Standing on a bustling street in Dar es Salaam, Tanzania last year, bakery owner Gloria Laizer made what would become a fateful decision.
The 29-year-old resolved to ditch her noisy, petrol-burning three-wheeled vehicle, known locally as a bajaj, and replace it with an electric model.
The move paid off swiftly. Laizer bid goodbye to pricey petrol, slashing her daily expenses for cake deliveries from 31,000 Tanzanian shillings (US$12) to just 3,000 shillings (US$1). Soon, the low noise-emitting vehicle caught the attention of her children's school and she began ferrying other students home, giving her another income stream.
As a company, we have been able to save a lot of money, says Liazer.
Africa, Asia and Latin America are home to 570 million motorcycles and three-wheelers, the vast majority of which run on petrol. But a growing number of drivers, like Laizer, are switching to electric substitutes, a shift experts say is crucial to reining in the greenhouse gas emissions driving climate change.
Transitioning from vehicles with internal combustion engines to those powered by electricity is not just a trend. It is a necessary shift to achieve net-zero emissions targets, says Rob De Jong, Head of the Sustainable Mobility Unit with the United Nations Environment Programme (UNEP).
Two- and three-wheelers are the backbone of transport systems in many African countries, serving as taxis, delivery vehicles and personal transport. In Mali and Burkina Faso, for example, they make up 80 per cent of vehicles.
They can be found in urban settings, where they are ideal for skirting traffic jams, and in rural areas, where they are often the only form of transit.
These vehicles consume between 15 per cent and 20 per cent of all liquid petroleum fuels used for transport in countries outside the Organization for Economic Cooperation and Development.
Shifting these vehicles to electric has the potential to reduce carbon dioxide and other greenhouse gas emissions by between 500 and 600 megatonnes every year. That is the equivalent of taking between 170 and 200 million petrol-powered cars off the road about four times the number of cars in Germany in 2024.
In Tanzania, UNEP is working to spearhead the shift to electric vehicles through its Global Electric Mobility Programme. Along with countering climate change, the transition could create new economic opportunities, found a recent UNEP-led report.
Yassin Hamisi, 30, also Tanzanian, embodies this promise. Until 2020, he worked seasonal jobs as an uncertified welder. But that year, he took advantage of a lease-to-own scheme from manufacturer TR, securing an electric bajaj without a deposit.
Hamisi now earns enough to support his parents and himself financially. After paying off his bajaj, he intends to return to school, a dream he had given up on.
Since I became an e-bajaj taxi driver, I've shed the constant fear of survival and feel uplifted, says Hamisi.
Tanzania has about 1.2 million motorcycles and three-wheelers with internal combustion engines. At least 10 companies have entered the countrys electric mobility market, hoping to capitalize on an untapped opportunity. For example, leading ride-hailing platform Bolt, asset financer Watu and TR have just launched a pilot programme, deploying 25 electric bajaj taxis.
TR, which began its operations in Tanzania in 2020, aims to deploy 500 vehicles onto the streets of Dar es Salaam by the end of 2024, a five-fold increase from today. By 2025, the company wants to build an electric bajaj factory in the Tanzanian capital and extend its operations into new markets.
TR believes it has economics on its side.
A litre of gasoline, enough to travel approximately 20 kilometres, costs about US$1.20. Covering the same distance with an electric three-wheeler costs just US$0.20. These savings can offset the price difference between an electric and a conventional bajaj within six to eight months.
The response from drivers has been overwhelmingly positive, says Chris Tibenda, TRs Revenue Operations Manager. They are thrilled to save money.
Unlike internal combustion-powered three-wheelers, which emit approximately three tonnes of greenhouse gases per vehicle annually, electric three-wheelers could lead to zero emissions if powered by renewable energy. In Tanzania, like in other East African countries, most electricity is generated through renewable sources.
Since 2019, Tanzania has worked with UNEPs Global Electric Mobility Programme through SolutionsPlus, which assists startups and e-mobility companies, such as TR. This European Union-funded effort supports the rollout of electric two- and three-wheelers by providing policy advice and seed funding, among other things.
At the same time, the UNEP-hosted Climate Technology Center and Network (CTCN) is helping Tanzania develop a national framework for deploying and scaling up e-mobility.
The changes in Tanzania are part of what experts hope is a broader shift in Africa. As of 2020, the continent had 27 million two- and three-wheel vehicles, according to the UNEP-led report Electric Two- and Three-Wheelers: Global Emerging Market Overview, published in mid-January.
Decarbonizing roughly 70 per cent of two- and three-wheeled vehicles by 2040 in Africa could result in an annual reduction of 95 million tonnes of carbon dioxide emissions.
The rapid growth in the two- and three-wheeler markets, especially in Africa and Asia, will only increase the importance of the transition to electricity, says De Jong.
He believes countries worldwide should prioritize electric vehicles while also investing in public transportation, bolstering logistics and encouraging active mobility, such as walking and cycling.
In Africa, fostering a supportive political and regulatory framework is paramount to expedite this transition, De Jong says. Financial incentives are imperative to establish a level playing field. Where large-scale electric vehicle subsidy schemes are not feasible, exemptions from import and value-added taxes will be essential in reducing the cost barrier associated with electric vehicles.
While working as a streetside vendor of car accessories in Dar es Salaam, 43-year-old Ismael Mluge was inspired by electric three-wheeled taxis, eventually purchasing one through a lease-to-own plan with TR.
Mluge, a father of four, built his taxi business without using ride-hailing apps, quickly establishing a loyal customer base attracted to his vehicle's quiet and smooth rides. He benefits from low operational costs, spending only 2,500 to 5,000 Tanzanian shillings (US$1-2) daily on home charging.
At this point, I can take care of my family and after I complete this lease-to-own contract, I want to start my own fleet of electric three-wheelers, he says.
UNEPs Global Electric Mobility Program supports over 60 countries in the Global South with US$130 million in grants to transition away from fossil fuels in the transportation sector. It advocates for e-mobility targets and policies globally, collaborating with the International Energy Agency through Global Working Groups. Regionally, UNEP partners with organizations, including the Asian Development Bank, the European Bank for Reconstruction and Development, the World Bank, and the Centro de Movibilidad Sostenible to host support and investment platforms, fostering e-mobility marketplaces and capacity building to support policy development.
The Sectoral Solution to the climate crisis
UNEP is at the forefront of supporting the Paris Agreement goal of keeping global temperature rise well below 2C, and aiming for 1.5C, compared to pre-industrial levels. To do this, UNEP has developed the Sectoral Solution, a roadmap to reducing emissions across sectors in line with the Paris Agreement commitments and in pursuit of climate stability. The six sectors identified are: energy; industry; agriculture and food; forests and land use; transport; and buildings and cities.
