BasiGo has secured a significant investment of KSh1.3 billion from the United States International Development Finance Corporation (DFC) to ramp up local assembly of its electric buses. This loan facility is expected to play a crucial role in fulfilling orders from Nairobi matatu operators, who have already placed over 500 reservations for these vehicles. The investment will also support BasiGo’s plan to create at least 300 green manufacturing jobs, further boosting the local economy.
The funds will be used to enhance BasiGo’s production capabilities in partnership with Kenya Vehicles Manufacturers, aiming to increase the monthly output from five to 20 buses. The company has set an ambitious goal of delivering 1,000 electric buses in Kenya over the next three years. Additionally, the investment will facilitate the expansion of BasiGo’s Pay-As-You-Drive model in Nairobi, offering operators continuous access to its charging infrastructure.
This move is part of a broader KSh32.3 billion initiative announced by DFC during President Ruto’s US tour in May. BasiGo’s CEO and co-founder, Jit Bhattacharya, emphasized that this new facility will significantly boost the firm’s production capacity, aligning with their goal to contribute to Kenya’s green transition.
By the end of March this year, BasiGo’s electric buses had collectively driven 1.5 million kilometers in Kenya, transporting 2.1 million passengers and avoiding over 680 tonnes of greenhouse gas emissions. This progress underscores BasiGo’s commitment to reducing the environmental impact of transportation.
Furthermore, new guidelines released by the Energy and Petroleum Regulatory Authority (EPRA) will support the growth of electric vehicle infrastructure in Kenya. Effective from September, these regulations aim to make EV charging accessible, promote affordable tariffs, and accelerate the adoption of electric vehicles in the country.
Overall, this investment and the new regulatory framework are set to propel Kenya’s electric vehicle sector forward, enhancing both environmental sustainability and local industry growth.
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