BasiGo expands its fleet in Rwanda

From the newsletter

BasiGo, an electric bus company, is expanding in Rwanda with 28 new electric buses arriving by May, the largest shipment to date. As part of a plan to deploy 100 e-buses by year-end, it has secured 361 reservations. The company is upgrading its Rwandex Charging Depot to 1 MW to support this growth and developing additional charging sites nationwide.

• BasiGo faces growing competition from emerging players like IZI Electric in Rwanda. Therefore, it is countering

•  this by rapidly scaling operations, strengthening infrastructure, and leveraging early market dominance to solidify its leadership. 

• Replicating the business model in Kenya could be effective, but charging infrastructure remains a key challenge. Partnering with Kabisa, Rwanda-based EV company, which has an extensive charging network in Kigali, would enhance its short-term operations.

More details

• Rwanda’s public transport system remains heavily reliant on diesel-powered vehicles. Many of the existing buses are ageing, with an average lifespan of 19 years, leading to increased maintenance costs and inefficiencies. In response, the Rwandan government has set ambitious targets to transition 20% of its public transport fleet to electric buses by 2030, aiming to reduce carbon emissions by 72,000 tonnes annually.

• The first batch of BasiGo’s electric buses is expected to arrive in Kigali next month. This expanded fleet will serve both city and intercity routes. The company is also expanding its charging infrastructure network, including its Rwandex charging and service depot. The depot will feature 1MW of power, capable of reliably charging 25 electric buses overnight.

• According to  Doreen Orishaba, Managing Director of BasiGo Rwanda, “Over the last 15 months, we have demonstrated the reliability of our electric buses and the value of our model to bus operators. We are confident in our capacity to meet the needs of the Rwandan bus market,”

• BasiGo also collaborates with key stakeholders, such as AC Mobility in Rwanda, to integrate its buses into the existing transport network. These partnerships facilitate smooth fleet deployment and efficient management of charging infrastructure.

• Since BasiGo’s electric buses utilise the CCS-2 charging standard, which allows for rapid charging in approximately two hours, they can integrate seamlessly with Kabisa’s existing charging facilities. This synergy between BasiGo and Kabisa minimises the need for substantial investment in additional charging infrastructure, enabling BasiGo to scale its operations more efficiently.

• Central to BasiGo's strategy is its "Pay-As-You-Drive" financing model, which lowers financial barriers for bus operators transitioning to electric vehicles. This model enables operators to acquire electric buses with minimal upfront costs, paying a per-kilometre fee that includes battery leasing, charging, and maintenance.

• Competitive companies like IZI Electric have been pivotal in this transition in Rwanda. Within four months of operation, IZI's initial fleet of five electric buses covered over 74,000 kilometers, transported more than 250,000 passengers, and achieved a 38% reduction in running costs.

Our take

• BasiGo should expand its local assembly facilities by securing additional investment and forming strategic partnerships with regional suppliers. Establishing a robust supply chain for key components, such as batteries and chassis, could set it at par with Kiira motors which targets to produce 11 electric buses daily.

• BasiGo should collaborate with global e-bus manufacturers to facilitate technology transfer. Establishing a training centre for engineers and technicians would ensure a skilled workforce capable of assembling and maintaining electric buses at scale.

• East Africa sees a booming regional manufacture of electric buses. In order to electrify the mass transport in East Africa, the region has key players with sustainable models suitable for consumers.