Electrifying Africa's public transport systems

South Africa has made a groundbreaking move in the public transport sector with the unveiling of its first electric minibus taxi named eKamva. The vehicle is set to hit the streets by early next year, offering a glimpse into the future of transportation in the country. CEO Justin Coetzee from Gometro, the mastermind behind this innovative project, sat down with CNBC Africa to shed light on the journey towards electrifying Africa's public transport systems. The conversation delved into the economic feasibility, charging infrastructure, affordability challenges, government support, and the transition process for combustion engine taxi owners. Coetzee emphasized the significant cost savings, environmental benefits, and the potential for a greener operating mode with electric minibus taxis. He highlighted the strong business case for electric vehicles, citing lower maintenance costs and a 70% reduction in running costs compared to diesel counterparts over a seven to ten-year lifespan. Despite the upfront investment in batteries and duties, the long-term economic advantages are clear, positioning electric minibus taxis as a lucrative option for the industry. Addressing concerns about practicality, Coetzee explained the vehicle's 200-kilometer range and the swift 45-minute charging time with a 50-kilowatt DC charger. By strategically locating charging facilities near taxi ranks, drivers can efficiently recharge during downtime, ensuring seamless operations throughout the day. The innovative financing model proposed for electric taxis aims to ease affordability challenges for operators. Coetzee acknowledged the initial sticker shock associated with the million-Rand price tag but outlined measures to reduce costs through tariff adjustments and battery subscriptions. Collaborating with industry stakeholders and financial institutions, Gometro is paving the way for a sustainable transition to electric taxis in South Africa. Government support emerged as a critical factor in driving this transformation, with Coetzee expressing optimism about policy shifts and the potential benefits for the automotive sector. He emphasized the urgent need to align with global trends towards cleaner energy solutions and secure the future of the local automotive industry. As the countdown to 2035 approaches, the pressure to adopt new energy vehicles grows, highlighting the timeliness of this initiative. In discussing the transition process for combustion engine taxi owners, Coetzee outlined a gradual integration plan that involves setting up rank-adjacent hubs for electric vehicles and allowing owners to trial the new technology. Over the next decade, a phased swap-out of diesel taxis is envisioned, ensuring a smooth and modular transition towards a fully electrified public transport system. The eKamva electric minibus taxi symbolizes a bold step towards sustainable mobility in South Africa, marking the dawn of a greener and more efficient era for the country's transportation sector.