Electric buses offer a way out of the transport chaos

The 14th day of every month is a day all Kenyans have to hope against hope. They are all ears as the Energy and Petroleum Regulatory Authority (Epra) announces the monthly fuel price review, with the expectation of a reprieve from the ever-escalating costs. Rarely do prices come down, even marginally.

While hoping for a miracle one day, you’ll get reminded that there is a preferential VAT treatment on fuel that is not guaranteed to last. Worse still, there is a government subsidy that can be withdrawn at will.

But wait a minute, we have oil reserves in the country. The projection way back in 2012 when the discovery of oil reserves was announced was that Kenya would be an oil-rich country by this day. We live to wait for that day when we will have surplus oil production for use and export.

While we wait, we continue experiencing galloping inflation sponsored by fuel prices. We are affected by global oil politics and wars in countries that have nothing to do with us. Our dollar reserves are getting depleted day by day.

Nevertheless, we continue holding onto faith that Kenya will one day join the league of oil-producing nations. By that day may be, fossil fuels will be a condemned product, who knows. The war against climate change has identified some targets and fossil fuel is an obvious suspect. Investment in the petroleum sector is long-term, but who is willing to keep investing in a criticised sector?

The new talk in town is about green energy, carbon credits, biofuel, and other terms evoking a response to the climate crisis. The effects of global warming are so manifest, no more time for argument. All policies, incentives, and investments should be geared towards saving the planet.

Thinking of pollutants and greenhouse gas emissions, the motor transport sector comes to mind, and rightfully so.

According to Clean Technica, The Kenyan motor vehicle sector emits 39 percent of greenhouse gases in the country. We have twin issues to address here — carbon emissions and unbearable fuel prices. The alternative to fuel-powered motor vehicles is electric vehicles.

Whereas it is cheaper to operate electric vehicles than combustion engine ones, the initial cost is way out of reach for the majority. This is where tax incentives are required. The Finance Act, 2019 reduced excise duty on the importation of electric vehicles to 10 percent. This is quite laudable and perhaps it should be reduced to zero percent.

The Finance Act 2022 then removed VAT and excise duty on the manufacture of vehicles locally. Manufacture of vehicles in this country is rare, in most cases it is an assembly of knocked-down kits.

The incentive for local manufacture of vehicles is an excellent idea. However, I opine that it should be extended to cover the assembly of electric vehicles. At least for some time to allow this nascent idea to gain traction. Similar incentives should be granted to accessories that support electric vehicles such as the charging units.

Thinking of electrifying the transport sector, I am reminded that Kenya has surplus power supply. According to a KenGen report, Kenya’s demand for electricity stood at a historic high of 2,036 megawatts in November 2021 against an installed capacity of 2,990 megawatts. Ninety-two percent of this supply to the national grid is from renewable sources.

If we need more power, we are so endowed with solar, wind, geothermal, and rushing waters in our rivers. Private investors are even encouraged to generate their electric power, especially using solar. Surely, must we continue importing pollutants, in a country with an abundance of environment-friendly alternatives?

As a country, we need to carefully consider making a shift to electric power in the transport sector. That said, making a switch from combustion engine vehicles to electric vehicles is not an overnight decision by private motorists.

The same private motorists are struggling with fuel but find public transport unbearable. The low-lying fruit is mass public transportation using electric buses.

Having electric passenger buses is not an imaginary idea, such vehicles are plying some routes in Nairobi. The sector has already been pioneered by two companies, Opibus and BasiGo. The model is working and is cited to be very cheap to the operators. This needs to be implemented on a grand scale.

A decent and efficient public transport that is also friendly to the environment can answer many problems. If well implemented, the middle class will start abandoning their cars one by one and the chaotic matatu culture will start fading away.

From this initiative, we can expect less traffic on our roads, slower fuel-induced inflation, more dollars in our reserves, and most importantly forgiveness by Mother Nature.

Mwinzi is Deputy Principal, KCA University Technical College, Nairobi