Ultimately it is technology and investments that will deliver most of the climate goals. China correctly interpreted climate challenges as economic opportunities and promptly invested in renewable energy technologies to gain a global industrial and export edge.
Today, China has a global command for critical energy and tech minerals supply chains, which have enabled the country to significantly increase electric vehicle (EV) production and exports.
EVs include cars, buses, trucks, tuk-tuks, and motorbikes, which are expected to comprise the mobility of the future as internal combustion engine (ICE) vehicles gradually phase out. It is the EV battery technology and its support systems that differentiate global EV market leadership and control.
As battery chemistry rapidly evolves, higher energy density, longer driving range, shorter charging times, and flexibility will be achieved. We have witnessed similar technological evolution in ICT.
Whether subsidised or not, scaled-up Chinese production of EVs is already creating the necessary EV critical mass necessary to lower unit costs and consumer prices to increase consumer uptake across the globe. Even Elon Musk’s Tesla is in China, producing EVs for local sales and exporting them to Western markets at affordable prices. Affordability is the factor that will spur EV uptake and the energy transition from fossil fuels.
The West is concerned about the EV production stranglehold by China and is instituting protective tariffs against Chinese imports while subsidising its industries. The US is also busy searching for energy and tech minerals across its terrains as it moves out into the world to compete for these minerals with China.
Yes, whoever controls energy and tech mineral supply chains has an economic edge. Regarding Kenya, EV uptake is growing, with local assemblies and charging support systems being established.
China also holds global control of solar panels and storage batteries. Setting up solar panel assembly lines in Kenya can increase affordability and uptake while strengthening solar support systems.
Solar has significant possibilities in all economic areas of Kenya, as it provides businesses and households with numerous opportunities to be independent of the national grid anywhere and anytime.
In the next five years, I foresee a Kenya with a high uptake of EVs and solar applications, mostly from China and India, which seems all set to compete with China. I am also impressed by recent moves by our regulators to set up minimum standards for solar panels and batteries to ensure consumer protection from sub-standard solar accessories.
