TLDR
- Rwanda will stop registering gasoline-fueled motorbikes in Kigali starting January 1, 2025
- Gasoline bikes will remain operational but no new registrations will be allowed
- The policy builds on existing tax incentives, including capped electricity tariffs for charging stations
Rwanda will stop registering gasoline-fueled motorbikes in Kigali starting January 1, 2025, as part of its push to transition to greener alternatives. The policy builds on existing tax incentives, including capped electricity tariffs for charging stations and zero value-added tax on electric vehicles and their components.
Gasoline bikes, which make up 55% of vehicles in the country, will remain operational but no new registrations will be allowed, said Alfred Byiringiro, the Ministry of Infrastructure's chief technical adviser for transport.
Startups like Ampersand and Spiro are positioned to benefit. Ampersand, with over 4,000 e-bikes in Rwanda, has raised $21.5 million since 2023 and plans further funding rounds. Spiro, operating 1,300 e-bikes, aims to expand its fleet to 20,000 by 2025 and is preparing to raise up to $100 million.
You can follow Daba's reporting on Africa on WhatsApp. Sign up here
Key Takeaways
Rwanda's ban on new gasoline motorbikes underscores its commitment to combating urban air pollution while creating opportunities for e-mobility startups. With over 70% of the country's 100,000 bikes concentrated in Kigali, the policy could significantly boost demand for electric alternatives. Infrastructure remains key, with battery-swapping networks critical to scaling the electric fleet. Rwanda's policy aligns with broader trends in Africa, where urbanization and a young population drive growth in two-wheeler e-mobility markets.
