A Path to Affordable Mobility in Sub Saharan Africa: Local Production of Electric/Solar Vehicles

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7 Feb 2025
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Local Manufacturing of Electric and Solar-Powered Cars in Sub-Saharan Africa: A Path to Affordable Mobility


Image from Empower Africa

Sub-Saharan Africa is a region brimming with potential. With abundant sunlight, vast lands, and rich mineral resources, the continent is uniquely positioned to harness renewable energy and innovative technologies to address pressing challenges such as transportation. One of the most promising solutions is the local manufacturing of electric and solar-powered cars. These vehicles could revolutionize mobility, reduce reliance on fossil fuels, and provide affordable transportation for millions. However, despite the region's resources, the cost of electric and solar-powered cars remains prohibitively high for the average person. This article explores how Sub-Saharan Africa, using Nigeria as a case study, can leverage its resources to produce these vehicles locally and make them affordable for the common man.

The Potential of Solar Power and Local Manufacturing


Sub-Saharan Africa receives an average of 2,000 to 2,500 hours of sunlight annually, making it one of the sunniest regions in the world. This abundance of solar energy can be harnessed to power electric vehicles (EVs) and solar-powered cars, reducing dependence on unreliable electricity grids. For instance, Nigeria, Africa's most populous nation, struggles with frequent power outages, but its solar potential remains largely untapped. By investing in solar infrastructure, the region can provide a sustainable energy source for EVs.

Moreover, Sub-Saharan Africa has vast tracts of land that could be used to construct manufacturing plants for EVs and solar-powered cars. Countries like Nigeria, South Africa, and Kenya have already begun exploring local assembly of vehicles, but the focus has primarily been on traditional internal combustion engine (ICE) vehicles. Shifting this focus to electric and solar-powered cars could create jobs, stimulate economic growth, and reduce the cost of importing vehicles.

Image from LEAP-RE

The region also boasts significant mineral resources, including lithium, cobalt, and nickel, which are essential for manufacturing EV batteries. For example, the Democratic Republic of Congo (DRC) produces over 70% of the world's cobalt, a key component in lithium-ion batteries. By leveraging these resources, African nations can reduce the cost of battery production, which is one of the most expensive components of an EV.

Why Are Electric and Solar-Powered Cars Still Expensive?


Despite these advantages, the cost of electric and solar-powered cars remains high. Several factors contribute to this:

1. High Initial Investment: Setting up manufacturing plants for EVs and solar-powered cars requires significant capital. Many African countries lack the financial resources to invest in such infrastructure, and foreign investors may be hesitant due to perceived risks.

2. Importation of Components: Even when vehicles are assembled locally, many components, such as batteries and solar panels, are often imported. This increases the overall cost due to import duties, shipping, and taxes.

3. Lack of Economies of Scale: The EV market in Sub-Saharan Africa is still in its infancy. Without a large-scale market, manufacturers cannot achieve economies of scale, which would help reduce production costs.

4. Technological Barriers: Developing and producing EVs and solar-powered cars require advanced technology and expertise, which may not be readily available in the region.

5. Infrastructure Challenges: The lack of charging infrastructure and maintenance facilities for EVs discourages potential buyers and increases the perceived cost of ownership.

Making Electric and Solar-Powered Cars Affordable


To make electric and solar-powered cars affordable for the common man, several steps can be taken:

1. Government Incentives and Policies: Governments in Sub-Saharan Africa can introduce policies to encourage local manufacturing of EVs and solar-powered cars. This could include tax breaks, subsidies, and grants for manufacturers. For example, Rwanda has implemented policies to promote the use of electric motorcycles, which could serve as a model for other countries.

2. Public-Private Partnerships: Collaborations between governments and private companies can help pool resources and expertise. For instance, in Nigeria, the government could partner with local and international automakers to establish manufacturing plants.

3. Local Sourcing of Materials: By utilizing locally available minerals like lithium and cobalt, African nations can reduce the cost of battery production. This would also create a sustainable supply chain and reduce reliance on imports.

4. Simplified Designs: To cater to the common man, manufacturers can focus on producing basic, no-frills electric and solar-powered cars designed solely for commuting. For example, the Indian company Tata Motors produces the Tata Nano, a low-cost car designed for affordability. A similar approach could be adopted in Sub-Saharan Africa.

5. Investment in Charging Infrastructure: Governments and private investors should prioritize the development of charging stations and maintenance facilities. This would address range anxiety and make EVs more appealing to consumers.

6. Awareness and Education: Public awareness campaigns can help dispel myths about EVs and solar-powered cars, highlighting their long-term cost savings and environmental benefits.

Case Study: Nigeria's Fuel Crisis and the Need for Affordable Mobility


Nigeria, Africa's largest economy, is currently grappling with a fuel crisis. The removal of fuel subsidies in 2023 led to a sharp increase in petrol prices, making transportation unaffordable for many. This has created an urgent need for alternative modes of transportation. Electric and solar-powered cars could provide a viable solution, but their high cost remains a barrier.

To address this, Nigerian manufacturers could focus on producing low-cost electric vehicles tailored to local needs. For example, a basic electric car with a range of 100 kilometers and a top speed of 60 km/h could be developed for urban commuters. By using locally sourced materials and simplified designs, the cost of such a vehicle could be significantly reduced.

Conclusion


Sub-Saharan Africa has the resources and potential to become a hub for the local manufacturing of electric and solar-powered cars. By leveraging its abundant sunlight, vast lands, and mineral wealth, the region can produce affordable vehicles that meet the needs of the common man. However, achieving this goal requires concerted efforts from governments, private companies, and other stakeholders. With the right policies, investments, and innovations, electric and solar-powered cars can become a reality for millions of Africans, providing a sustainable and affordable solution to the continent's transportation challenges.

References


1. International Energy Agency (IEA). (2022). "Africa Energy Outlook 2022."

2. BloombergNEF. (2023). "Electric Vehicle Outlook 2023."

3. World Bank. (2021). "Minerals for Climate Action: The Mineral Intensity of the Clean Energy Transition."

4. Tata Motors. (2023). "Tata Nano: The People's Car."

5. Rwandan Ministry of Infrastructure. (2022). "National Policy on Electric Mobility."

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