Rwanda is making strides in e-mobility with initiatives to expand infrastructure and incentivize electric vehicle (EV) adoption. The Ministry of Infrastructure (MININFRA) is drafting a master plan for EV charging stations, targeting rural areas to ensure no vehicle travels more than 50 kilometers without access to a charging facility.
A preliminary geospatial analysis has identified over 226 potential sites for these stations, marking a step toward nationwide coverage. This effort builds on the government’s zero-rated, duty-free on EVs, introduced in April 2021, to promote the green economy and attract investment in the growing sector.
In 2024, Rwanda welcomed major global automakers, signaling its readiness for the EV revolution. CFAO Mobility Rwanda launched the country’s first BYD dealership, showcasing models like the BYD Dolphin and BYD Atto 3 from the world’s largest EV producer.
Additionally, AUTO24 Rwanda introduced Tesla vehicles to the local market, starting with the Tesla Model Y. Electric vehicle adoption in Rwanda is steadily increasing. According to the Rwanda Revenue Authority (RRA), the number of electric cars rose from 19 in 2020 to 512 in 2024. Hybrid vehicles saw even faster growth, surging from 28 in 2021 to 6,660 by 2024.
E-mobility is not just a win for the environment but also for local economies. In Nyamagabe District, electric vehicles have reduced transportation costs for animal feed, benefiting farmers and consumers alike.
“Electric cars are not only environmentally friendly but also cost-effective, leading to reduced prices for essential goods such as animal feeds,” said Vincent Uwimana, Acting Director of Agriculture and Animal Resources for the district.
For example, chicken feed that previously cost Rwf600 to Rwf700 per kilogram now cost Rwf100 to Rwf200 less thanks to the reduced transportation expenses facilitated by EVs.
Business owners like Vestine Mukanziza also highlight how EVs improve efficiency. “Electric cars are transforming our lives; we now get feeds at affordable prices,” she said.
Tax incentives play a crucial role in Rwanda’s e-mobility journey. The RRA’s annual report for the 2022/23 fiscal year highlighted an increase in the uptake of hybrid and electric vehicles, supported by exemptions on import duties, excise taxes, and VAT.
These measures, while encouraging environmentally friendly vehicle adoption, resulted in an estimated revenue loss of Rwf13.8 billion in the fiscal year.
The report emphasized that such policies aim to reduce air pollution and environmental harm. However, they also affect long-term excise revenue, particularly from fuel taxes. Despite the economic trade-offs, Rwanda’s shift toward hybrid and electric vehicles is a commitment to sustainability and green mobility solutions.