ETHIOPIA SET TO LEAD AFRICA IN ELECTRIC CAR REVOLUTION
In a surprising move, Ethiopia has emerged as a potential leader in the electric car revolution. While the country may not be well-known in the car industry, it is making waves with its commitment to promoting electric vehicles (EVs). This African nation has decided to exempt electric cars from heavy taxes, a move that is being hailed as a clever form of subsidizing EVs.
Ethiopia’s decision to prioritize electric cars may seem unexpected given its challenging geopolitical landscape. With neighboring countries torn apart by civil war and plagued by poverty and famine, one might assume that electric cars would not be a priority. However, Ethiopia is the second most populous country in Africa and is experiencing rapid economic growth, making it an attractive prospect for global investors.
The Minister of Transport and Logistics, Alemu Sime, recently announced that cars can only enter Ethiopia if they are electric. While the exact timeline for implementing this ban is unclear, it is clear that Ethiopia does not want to wait until 2035 or 2040 like other countries. In fact, the Ethiopian Ministry of Finance has already exempted electric vehicles from VAT and other taxes, as well as significantly reducing import fees. This move is part of a larger plan to import thousands of electric buses and cars over the next decade.
Ethiopia’s commitment to electric cars is not only significant for the country itself but also for the wider African continent. As the world’s leader in new car sales EV share, Ethiopia has the potential to become a trailblazer in promoting sustainable transportation in Africa.
While Ethiopia may not be a well-known name in the car industry, its dedication to electric cars is certainly turning heads. With its exemption of taxes and ambitious plans for importing electric vehicles, Ethiopia is positioning itself as a leader in the electric car revolution. As the world watches, it will be interesting to see how this African nation shapes the future of transportation on the continent.
EVs Take Over Ethiopia: A Revolution in the Making
In a surprising turn of events, Ethiopia is leading the way in electric vehicle (EV) adoption. With a population that can barely afford cars, the country has managed to achieve an impressive 90% share of new car sales being electric. This remarkable feat can be attributed to a combination of factors.
One of the main reasons for Ethiopia’s success is its heavy reliance on renewable energy sources. Just like oil-rich Norway, Ethiopia has invested heavily in hydropower and has the potential to generate an astounding 60,000 megawatts from renewables. In fact, the country plans to become carbon-neutral by 2025, a goal that is just around the corner.
Unlike Norway, which has abundant oil reserves, Ethiopia has to import all of its fuel, costing the country a staggering $6 billion in 2023 alone. This is a significant burden for a population where 75% of individuals earn less than $200 per month. With such high fuel costs, it’s no wonder the Ethiopian government is pushing for zero-emissions transportation.
To further incentivize the adoption of EVs, Ethiopia has implemented a tax exemption policy. This has led to a flood of Chinese cars entering the market, particularly cheap models that do not meet Western safety standards. While these vehicles may not be suitable for the US or EU markets, they are a perfect fit for Ethiopia.
One might argue that range anxiety would deter Ethiopians from embracing EVs. However, despite concerns about limited driving range, the affordability of electric cars, combined with the low cost of electricity, has made them a viable alternative to traditional gasoline and diesel vehicles. With tax exemptions and very cheap electricity, EVs are now on par with their fossil fuel counterparts in terms of cost.
It’s worth noting that Ethiopia’s EV market is still in its infancy, making it easier to implement widespread adoption. New Chinese electric cars are already 40-50% cheaper than other EVs, making them an attractive option for Ethiopian consumers. This stands in stark contrast to the early days of EV adoption in Norway, where a Tesla Model S cost the same as a VW Golf.
As the EV revolution continues to gain momentum in Ethiopia, the country is set to become a shining example of sustainable transportation. With its ambitious goal of carbon neutrality just a few years away, Ethiopia is proving that a developing nation can lead the way in embracing clean energy solutions.
Photo: Ministry of Transport and Logistics in Ethiopia
Well, the Norwegian Automobile Federation (NAF) wants to prove me I’m wrong. Two times a year, NAF conducts an exciting experiment called El Prix. It’s basically a range test, and this winter’s edition is pompously presented as “the world’s largest electric car test.”
I should point out that NAF has around half a million members, a quarter of Norwegian drivers. So, it’s not just some folks subjectively driving a few electric cars. The 2024 edition of the Winter El Prix (which tests all the cars under typical Nordic conditions) gathered an impressive number of 23 electric models.
You can only imagine the logistics needed to test all these cars on the same day under the same conditions. This is necessary for people like you and me to fairly compare the range and charging speed in freezing conditions. Basically, it’s a comparison test in almost the worst-case scenario, with temperatures as low as -10 °C / 28°F, icy roads, and a lot of snow.
Earlier this year, the refreshed Tesla Model 3 won a similar range test in the Norwegian cold weather against nine other competitors. As the lowest temperature was below -20 °C / 4°F, with harsher conditions, one could think that NAF’s test was an easy win for Tesla. Well, that wasn’t the case.
But first, let’s see the 23 contenders of the 2024 Winter El Prix:
– Audi Q8 e-tron Sportback
– BMW i5
– BYD Dolphin
– Ford F-150 Lightning
– HiPhi Z
– Hyundai Ioniq 6
– Hyundai Kona Electric
– Jeep Avenger EV
– KIA EV9
– Lotus Eletre
– MG4 Trophy Extended Range
– Mercedes-Benz EQE SUV
– NIO EL6
– NIO ET5
– Nissan Ariya
– Opel Astra Sports Tourer Electric
– Peugeot e-308
– Polestar 2 Long Range
– Tesla Model 3 Long Range
– Toyota bZ4X
– Volkswagen ID.7
– Volvo C40 Recharge
– XPeng G9
Different car types, battery capacities, and WLTP ranges, varying from 395 to 629 km (245 to 390 miles). While Tesla’s theoretical maximal range was the best, the real-world best range in Norwegian cold weather was a Chinese affair.
Hi five Z-Generation? No, HiPhi Z steals the ice crown from Tesla Model 3. Comparing the compact sedan from Tesla to the twice pricier, heavier, and larger newcomer HiPhi Z is like comparing apples to oranges. In fact, the Chinese weird-looking 5-door liftback, with a 120 kWh battery, rivals the Tesla Model S Long Range, with a 100 kWh battery and similar performance but a better maximum range.
So, we should take the HiPhi Z win over the 75 kWh battery Tesla Model 3 with a grain of salt. The most important thing to remember is that the big battery EV had the lowest difference between the theoretical optimum condition range and the real-world cold environment one – only 5.9%, compared to 29.9% for the Tesla Model 3.
The HiPhi Z, an impressive electric vehicle, defied freezing conditions and managed to travel an astonishing 522 km / 324 miles, which is incredibly close to the advertised WLTP range of 555 km / 344 miles. This feat was unmatched by any other car in the test pack, with the closest competitors achieving a difference of slightly over 12%. These included the BMW i5 eDrive40, Lotus Eletre, and KIA EV9. The Norwegian Automobile Federation captured a remarkable photo of the HiPhi Z during this test.
For more than half of the cars tested, the percentage difference from the WLTP range was even higher, surpassing 20%. The VW ID.7, Toyota bZ4X, and Volvo C40 stood out with the most significant differences, exceeding 30%. However, most other electric vehicles experienced an average loss of range ranging from 20% to 25%, which is considered the norm for current lithium-ion technology in cold weather conditions.
While the range loss garnered significant attention, another important factor, albeit less viral, is the increase in consumption due to the cold weather. Surprisingly, NIO’s models performed exceptionally well in this aspect, surpassing the WLTP values. The Chinese models, ET5 semi-break and EL6 SUV, showcased average consumption values that were 10% lower than advertised. The KIA EV9, on the other hand, only experienced a 1% increase in consumption compared to the WLTP value. The HiPhi Z also demonstrated commendable performance, with a consumption increase of less than 10%.
Efficiency applause is also warranted for several other electric vehicles. The Mercedes-Benz EQE SUV, BMW i5 eDrive40, MG4 Trophy Long Range, Nissan Ariya, BYD Dolphin, and XPeng G9 all exhibited efficiency percentages ranging from 4.7% to 7%. While it is expected for premium brands like Mercedes-Benz or BMW to deliver such impressive efficiency values, it is noteworthy that two of the most affordable Chinese EVs available worldwide also achieved this rank.
In conclusion, the recent proposal in Ethiopia and the cold weather test conducted by the Norwegian Automobile Federation demonstrate that the adoption of electric vehicles is progressing despite challenges. While China emerges as a clear leader in both cases, it is worth considering whether this should be viewed as a negative development. Although China may be criticized for its autocracy, alleged unfair practices, and human rights issues, their push towards electric vehicle adoption should be seen as a positive step. The dominance of Chinese cars in Ethiopia’s EV market and the advantage of Chinese batteries ultimately benefit everyone by reducing air pollution caused by traditional internal combustion engine vehicles. It is important to engage in a thoughtful debate on how we can accelerate the transition to electric vehicles and question why there may be resistance to this necessary change.