E-commerce boom turbocharges EV sales

Dear subscriber,

Online shopping has become a phenomenon in Africa in recent years as shoppers choose convenience. But as last-mile delivery companies rack up more mileage, cost cutting is becoming rampant, and EVs are rising to the occasion.

Brian Ambani - Editor

Egyptian e-commerce company VOO has partnered with Blu EV, one of Egypt’s leading electric vehicle companies, for the provision of electric motorcycles for deliveries. The two companies began a pilot in March using seven motorcycles and gradually expanded. This has since then been increased to 140 motorcycles that have covered more than 250,000 km. 

  • E-commerce in Africa is estimated to be growing at about 14% annually. E-commerce companies are switching to EVs, mainly light duty vehicles like bicycles, motorcycles and tricycles, for deliveries to cut costs.   

  • Supermarket chains have also been trialing heavy-duty EVs. High prices and limited charging stations means that unlike swap-ready light duty EVs, these vehicles are yet to become economically viable.  

  • Our take: Commercial customers will remain the biggest drivers of EV sales in Africa … Read more (2 min)

Chinese car manufacturer Dongfeng has introduced the Dongfeng Box E1 330 in South Africa, priced from R 459,000 ($26,600). It is the country’s third cheapest electric car and one of four Dongfeng Box variants that the company is introducing in the market. The BYD Dolphin Surf ($19,700) and Dayun S5 ($23,100) are the cheapest electric cars in South Africa. 

  • In early 2023, the only EV selling for less than R 1 million ($58,000) was the Mini Cooper SE which cost R 723,000 ($41,900). Now, there are numerous electric cars that sell for less than half that.  

  • New energy vehicle sales more than doubled in South Africa in 2024. The arrival of lower-cost models is boosting sales, a trend expected to continue.

  • Our take:The high price parity between fuel vehicles and EVs means financing innovation will be key for mass-market adoption… Read more (2 min)

Africa’s corporate fleets have a major opportunity to accelerate e-mobility adoption, including in Kenya where institutions like Kenya Power operate over 2,000 vehicles. According to Warren Ondanje, the Managing Director of the Africa E-Mobility Alliance, these organisations regularly purchase new vehicles, making them major possible buyers of EVs. 

  • Mr Ondanje is an experienced electric mobility professional who has spent five years at AfEMA. He is an engineer and previously managed operations at ARC Ride in Kenya.

  • African road transport carries over 80% of goods and 93% of passengers. Corporate and institutional fleets move a large share of this traffic, says Mr Ondanje. These fleets create a major market and opportunity for EVs. 

  • Click here to read the full article… (3 min)

Spiro’s head of ESG Imtinen Hamlaoui showcases the company’s ESG impact at an event in Nairobi (Source: Spiro)

Jobs

👨‍✈️ Join MAX as a fleet officer (Nigeria)

👨🏻‍💼 Become a Senior Accountant at Dodai (Ethiopia)

🛠️ Apply for Vehicle Service Manager’s role at BasiGo (Rwanda)

Events

📅 Register for Latitude 59 event and learn from global startups (Dec 3)

📅 Attend West Africa Power & Energy Cooperation Conference in Benin (Dec 4)

📅 Learn how you can unlock financing for your green project (Dec 10)

Various 

🚘 BEVs against PHEVs in the South Africa's electric vehicle market

🚍 Kiira Motors expedition reaches Zambia clocking 1,576 km

🛵 Dodai opens its third showroom in Addis Ababa

Seen on LinkedIn 

Jackson Wambua, a manager at Kenya Association of Manufacturers, says, “Given that e-mobility currently consumes just 0.01% of electricity, even modest uptake of electric boda bodas, buses, and delivery fleets would significantly increase this share without straining existing generation capacity.”