{"id":8794,"date":"2020-03-26T08:30:48","date_gmt":"2020-03-26T05:30:48","guid":{"rendered":"https:\/\/africasustainabilitymatters.com\/?p=8794"},"modified":"2026-01-11T05:30:56","modified_gmt":"2026-01-11T05:30:56","slug":"kenya-to-zero-rate-electric-vehicle-tax","status":"publish","type":"post","link":"https:\/\/rayscohosting.best\/ASM\/2020\/03\/26\/kenya-to-zero-rate-electric-vehicle-tax\/","title":{"rendered":"Kenya To Zero-Rate Electric Vehicle Tax"},"content":{"rendered":"\n

In efforts to accelerate the transition to electric vehicles,\nKenya is considering zero-rating tax on all electric automobiles.<\/p>\n\n\n\n

Kenya\u2019s Treasury in partnership with the Korean government has floated the idea of the fiscal incentive through the Green Climate Fund<\/a> \u2013 headquartered in South Korea. Kenya is a member of the fund and has a local chapter. This will come as a boon to investors in the local market that has already attracted Finnish firm Nopea Ride and Opibus.<\/p>\n\n\n\n

The proposal is contained in a report by the Energy and\nPetroleum Regulatory Authority (Epra) dated January 24 on formulation of\nelectric mobility policies in Kenya. The study, which primarily covers electric\ntwo-and three-wheelers (motorcycle taxis and tuk tuks) was conducted with\nsupport from the United Nations Environment Programme (Unep) alongside Germany’s International Climate Initiative<\/em> (IKI<\/em>).<\/p>\n\n\n\n

\u201cKenya through its partnership\nwith the Korean government has proposed the Green Climate Fund that will have\nzero rated tax on all e-mobility projects,\u201d Peter Odhengo, Climate Finance Policy advisor at\nthe National Treasury said in the joint report.<\/p>\n\n\n\n

Odhengo also doubles as a\ndirector at Greening Kenya Initiative\nTrust.<\/p>\n\n\n\n

\u00a0\u201cOther key areas the government is focusing on to encourage e-mobility are: Green tax – in future those who pollute more will pay more under the \u201cPolluter Pays\u201d principle; Green Economic Zones – will be developed for building electric cars, solar power systems and other more environmentally friendly systems and products; Sovereign Green Bond – will finance the introduction of greener cars and transport systems,\u201d says Odhengo.<\/p>\n\n\n\n

At the same time, the report reveals that Kenya is due to\nreceive a fleet of 140 electric vehicles from Japan as a donation for piloting\nin the counties. <\/p>\n\n\n\n

Currently, 98 percent of vehicles in Kenya run of fossil\nfuels \u2013 petrol and diesel. Besides\nthe daily chaos and traffic, Nairobi commuters are forced to put up with the din\nof engine noise and plumes of exhaust fumes from millions of tailpipes. This\ncarries the risk of exposing city residents to respiratory diseases. Traffic\nhas, however, for the time being disappeared in the wake of the corona scare\nthat has paralyzed movements and activities.<\/p>\n\n\n\n

\u201cFrom adopting electric two\nand three-wheelers to electric cars \u2014 light-duty vehicles (LDVs), electric\npersonal cars and electric buses, electric mobility is a cost-competitive and\neffective solution for tackling air pollution and greenhouse gas emissions in\nthe transport sector,\u201d the report says.<\/p>\n\n\n\n

In a separate report, the International Finance Corporation (IFC) estimates that Nairobi\u2019s electric cars market will hit $5 billion (Sh500 billion) over the next 10 years to 2030. This presents a golden opportunity for investors.<\/p>\n\n\n\n

Read also: <\/strong>Nopea Ride Adds Electric Taxis In Nairobi After Successful Test-Run<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

In efforts to accelerate the transition to electric vehicles, Kenya is considering zero-rating tax on all electric automobiles. Kenya\u2019s Treasury in partnership with the Korean government has floated the idea…<\/p>\n","protected":false},"author":3,"featured_media":8795,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","pagelayer_contact_templates":[],"_pagelayer_content":"","_lmt_disableupdate":"","_lmt_disable":"","footnotes":""},"categories":[89],"tags":[546,561,724,858,1474],"class_list":["post-8794","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economic-responsibility","tag-electric-vehicles","tag-energy-and-petroleum-regulatory-authority","tag-green-climate-fund","tag-international-climate-initiative","tag-unep"],"_links":{"self":[{"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/posts\/8794","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/comments?post=8794"}],"version-history":[{"count":0,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/posts\/8794\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/media\/8795"}],"wp:attachment":[{"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/media?parent=8794"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/categories?post=8794"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/rayscohosting.best\/ASM\/wp-json\/wp\/v2\/tags?post=8794"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}