11 minute read
EBEE
partnered with Dera Energy to install 170 MW of solar capacity in Madagascar. Together, the two partners planned to build hybrid power plants, fixed solar power plants, and mobile power plants. These solar power projects are planned to be set up in the localities of Tamatave, Tulear, Diego, Majenga, Nosy Be, and Antananarivo. In August 2020, the company also partnered with Bboxx to extend the clean-energy platform's services to Madagascar.
EXPANDING BEYOND MADAGASCAR
Yavarhoussen believes that his company has the ability to replicate its success in Madagascar in other African countries where electricity demand still exceeds supply. "We know how to do it in Madagascar. There is no reason why we would not be able to do it in other African countries," Hasnaine affirms. The company has already announced multiple projects that will expand its services to other African countries, including Côte d'Ivoire, Guinea, and Ghana.
The Côte d'Ivoire project began in 2021 and generates 66MW of solar energy. This project contributes to the national plan to install 424 MW of solar power by 2030. Meanwhile, in Ghana, expansion plans have been delayed as onsite technical studies were not possible. Out of the continent, Filatex has also diversified its risks by investing in a hydro-power project in Albania.
Planning ahead, Yavarhoussen tells us that the focus now is on completing the projects in progress. "In 2023, I will be continuing the projects we started last year,” he says. The company will also be looking to install new solar panels as they are “the key to development.”
To grow the economy of Madagascar and other African countries, Hasnaine says that clean and affordable energy source is key as almost all sectors of the economy rely on energy. “Without access to cheap electricity, we can't do anything. We can't make some new factories. We can't do any project," he points out. With the many challenges from finance to infrastructure to poor economies of many African countries, Hasnaine is undeterred in his goal to affordably power Madagascar and the rest of Africa. "We need to keep going on and we have to be very motivated and patient and continue our war in order to get those projects done."
GOING GREEN WITH TWOWHEELERS:
OLIVIA LAMENYA, CEO, EBEE KENYA
BY ELLY AKOKO
ycling is something we in Africa consider a
Cpoor man's mode of transport. To our defense, we are mostly used to 20th-century bicycle models that are unpleasant to the eye and require one to break a sweat when moving uphill. eBee, an upstart company in Kenya, is seeking to make cycling as fashionable as it is in Europe by introducing something sleek, something that is beautiful, something that dignifies us, and above all, something that cares for the environment.
Olivia Lamenya, the Managing Director, is proud of her company and what it represents. “eBee because the world is moving into a space of sustainability, moving away from things that bring down the earth and looking at things that make the earth become better.”
Apart from making cycling fun, Olivia reveals that a bicycle was chosen as it was one of the most affordable means of emission-free mobility available in Kenya. “Many people in Kenya want to make money. Many people on the African continent would like to earn something and have a decent life, so why not give them an asset that allows them to start without too many complications? So electrical bicycles were a very sane thought for us at that particular moment,” says Olivia.
LEASE TO EARN MODEL
eBee mobility solution is centered around providing people with sustainable means of earning employment. With e-commerce on the rise, companies like Jumia and Glovo have a high demand for last-mile delivery personnel. With an e-bike, people could work as delivery partners and earn incomes without having an impact on the environment. The upfront cost of owning an e-bicycle,
although cheaper than electric cars, is still considerably high for a majority of people in the country who live on less than US$2 a day. With upfront ownership out of the picture, leasing became a wonderful compromise. “It's a lease model because we don't want anyone going into debt,” explains Olivia.
Olivia clarifies that the company has partnered with Quatrix to make the lease model work. Quatrix gets them the right personnel and together, they're able to approach companies like Glovo, Jumia, and Bolt and provide a delivery service.
In February 2022, eBee Africa signed a partnership agreement with ImaliPay to allow workers in the gig industry to have access to electric bicycles on favorable terms, removing the need for a lump sum for outright purchase. “ImaliPay is a very interesting concept for us because they look at how can we get guys who typically wouldn't be given a loan by the bank. How do you allow them the opportunity to cycle and pay you back on a day-to-day basis? And that's where ImaliPay came in.”
ImaliPay helps with the lease model by accessing the ability of buyers to pay back and then creates a very customer-friendly way of collecting back the money. “As the rider makes money on the platforms, ImaliPay is able to deduct the cost of the rent of the bicycle from the rider's daily intake. And that way, the rider doesn't feel too much of a loan or too much of a cost is implied on them. So, if they don't ride, they don't pay. If they ride and make money, then they pay.” Olivia sees this as a winwin situation for both the company and the riders.
BUILDING INFRASTRUCTURE FROM THE GROUND UP
One of the biggest challenges eBee Africa is facing is getting the right personnel to do repair and maintenance of the bikes because it is a completely new asset in the market. “One would automatically think that because somebody has repaired a motorbike, then they can repair this. It doesn't necessarily work that way.”
The Netherlands, a global leader in e-bike technology, has become strategic in helping eBee develop the necessary capacity to support the adoption of e-bikes in Kenya. “We have somebody from the Netherlands who has come in to help us transfer those skills and make sure that it is a fully Kenya-owned company,” she clarifies.
Despite the challenges encountered in setting up
infrastructure for electric cycling, Olivia is one happy manager. Her pride mostly comes from her team, which took a novel project and stopped at nothing to make it work. "They are a very supportive, very diligent, and industrious group of Kenyans, who are very open to new experiences. Obviously, none of them had ever seen an electrical bike, and none of them had ever worked on an electrical bike before. So, the ability to come in and take on the task of this bike, strip it down, figure it out, build it back together, ensure that the quality remains the same, understand what are some of the challenges that these riders would experience on the road, take the bike, ride it during the day, ride it during the night, understand what safety concerns could come is amazing."
To ensure a sustainable business and skills transfer locally, eBee is establishing the eBee Academy. "We're still building it and one of the things we would like to do is to attach ourselves to a polytechnic or some university or institute and see how we can bring these two together, encourage the youth to take on something totally different from what they would accept as a conventional form of engineering.” With the help of the Dutch, the company hopes it can make the technology work without much reliance on foreign help in the future. “We will bring in our specialists from the Netherlands to help us understand the bikes, but in the future, my expectation is that our shop floor managers will be the ones training the next group of engineers on how to manage this," adds Olivia.
The e-bikes rely on charging, as battery swapping is not yet widely available. "Right now, one of our batteries allows the rider about 70 kilometers before they need to charge, and it takes about 4 hours to charge the battery to full again," she explains. Riders can take the batteries home and charge them, but the company is planning to have charging infrastructure set up. "We are getting to a space where we know charging points will be necessary and we are looking through partnerships to see who can we set up with to create those charging stations.”
IT'S AN E-BICYCLE, NOT A MOTORCYCLE
Classification of electric bicycles as motorcycles has been one of the greatest impediments to lowering the cost of these bikes. According to her, taxation on these bikes is significantly high. She reveals that they are currently having conversations with the Kenya Revenue Authority, National Treasury, and Ministry of Transport on how to
lower the taxes levied on these bikes.
“We all wish we could snap our fingers and Kenya Bureau of Standards understand that this is a bicycle and not a motorbike, that Kenya Revenue Authority can immediately understand that it's a bicycle with a motor and reduce taxes. It is an educational process not only for them but also for us to understand and appreciate how do we create that balance that allows everybody to come.”
As with the government, Olivia believes that consumers too are confused as to what electric bikes are and haven't yet appreciated their benefits to both users and the environment. “We grew up knowing that bicycles are for the poor and changing that concept means changing the way we've thought for very many years." She, however, believes more efforts directed at behavioral change can yield the desired results. “I wish we could have something like a bicycle day in Kenya, where everybody rides to work or takes a different form of transportation other than a fuel consumption form of transportation. We are a working nation, have a day where we just walk or cycle to work just to change that. It could be once a year just the way we run the marathons and those kinds of activities,” says Olivia. "Maybe that would help people change the way we view some of these things and also appreciate what it means to not be a driver but to be a cyclist on the road. Maybe we would have more mutual respect when we see bicycles and motorbikes on the road," she ponders.
“The government can make pathways, cycle lanes, and maybe change rules around who uses what and make it more dedicated so that everybody understands which lane they are in. Have in driving school’s syllabus around respect for cyclists and other motorists on the road. We do understand that the vehicle has a license, but we can share these spaces. So, changing that concept is not just for the government, but it's also for the people of Kenya,” she adds.
ONE MILLION BIKES BY 2030
Regardless of the struggles that the company faces each day, Olivia goes home fulfilled that she is spearheading a good course. She goes on to say that the biggest joy is knowing that employees can take care of their loved ones and it's through a very small step that they took, providing them with an electrical bike.
“Those are the things that keep me excited, joyful, and happy. Receiving the feedback. Seeing female engineers work just as hard and just as tenacious as men is fantastic. Hopefully, we'll get to do that at a greater scale because they are the next generation.”
The greater scale for Olivia is an ambitious target of having 1 million bikes on the road by 2030. “Our goal has always been 1 million bikes on the road by 2030, not just for Kenya, but for sub-Saharan Africa. I believe that is something that is very achievable. Five years from now, we should be at least 80% of our journey there.”
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