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Fuel shortages and high prices push adoption of EVs in Africa, led by Ethiopia
Soaring fuel costs and shortages are pushing Ethiopia to expand EV use, with more than 115,000 vehicles now on its roads, officials and analysts said.
Ethiopia is leading Africa's electric vehicle surge, with more than 115,000 EVs now on its roads following a 2024 ban on new gas and diesel imports to combat fuel shortages.
Minister of Trade and Regional Integration Kassahun Gofe stated Ethiopia spends about $4.2 billion annually on fuel imports, a burden worsened by shipments falling short by more than 180,000 metric tons due to Iran's closure of the Strait of Hormuz.
Private EV owners now spend roughly $4 a month on charging compared to about $27 previously spent on fuel, supported by Ethiopia's advantage where more than 90% of electricity comes from renewable sources.
While Ethiopia plans to increase electric vehicle assembly plants from 17 to 60 by 2030, Bob Wesonga, policy and investments lead at the Africa E-Mobility Alliance, warns that high purchase prices remain out of reach for many.
Across Africa, countries including Egypt, South Africa, and Morocco are also pursuing EV transitions, though Hiten Parmar of The Electric Mission notes that building out necessary charging infrastructure fast enough remains a daunting structural hurdle.