It was the first country to ban petrol car imports this year. Is the shift to electric vehicles effective?
As fuel prices rose in Ethiopia, Awgachew Seleshi opted to buy an electric car, aligning with the government’s recent push to phase out petrol vehicles. However, months later, he’s questioning whether it was the right choice.
Seleshi faces various challenges, from unreliable electricity in the capital, Addis Ababa, to a shortage of spare parts.“Charging my car has been a struggle,” said the civil servant. “Spare parts imported from China are expensive, few mechanics can repair these cars, and their resale value is low.”
Seleshi’s difficulties highlight broader issues for Ethiopia. In January, the East African nation became the first to ban non-electric private vehicle imports. This move relieved authorities of the financial strain from fuel subsidies and underscored the country’s enthusiasm for electric vehicles as global demand for cleaner technologies grows.
Earlier this month, Ethiopia’s government raised fuel prices by up to 8% as part of its phased plan to eliminate fuel subsidies in Africa’s second-most populous nation.
Officials report some success in enforcing the ban on non-electric vehicle imports, with over 100,000 electric cars now entering the country each month. The goal is to increase imports to 500,000 monthly by 2030, when Ethiopia’s Grand Renaissance Dam on the Nile River is expected to reach full power capacity.
Prime Minister Abiy Ahmed announced earlier this year that the dam would start generating over 5,000 megawatts within a year—a capacity that authorities say could support the shift to electric vehicles. However, many residents of Addis Ababa, a city of over 5 million, doubt the country’s ability to meet its ambitious EV goals without further infrastructure and support services.
Mechanics who can repair electric vehicles report being overwhelmed with demand, while customers complain of high repair costs due to limited competition.
“There are just two or three garages that can repair electric vehicles in Ethiopia, and many consumers don’t know how to care for these cars,” said Yonas Tadelle, a mechanic in Addis Ababa. “Mechanics also lack the tools, spare parts, and expertise needed to fix them.” As a result, many EVs sit idle in garages, awaiting parts from China.
Transport Minister Bareo Hassen Bareo has said that Ethiopia aims to be a model of green development, with EV adoption as a priority. The government plans to invest in public charging stations and establish a local plant to manufacture EV batteries, reducing reliance on imports.
Private efforts to support EVs include an initiative between Olympian Haile Gebreselassie and Hyundai to manufacture electric cars locally, though it stalled due to issues with sourcing materials.
Economist Samson Berhane, based in Addis Ababa, said the rapid influx of electric vehicles amid limited infrastructure has made it challenging for customers to adapt. Some EVs are priced around $20,000, but Berhane believes Ethiopia could supply enough electricity to meet the demand of 500,000 EVs within the next decade while advancing its industrial goals.
Despite this optimism, some Ethiopians are abandoning electric vehicles, and sales of secondhand gas-powered cars persist. Ethiopia has around 1.2 million vehicles, with only a small portion being electric.
Businessman Yared Alemayehu bought a Chinese-made EV for a taxi service, despite knowing it had mechanical issues he hoped could be repaired. When a mechanic told him it couldn’t be fixed, he sold the EV at a loss and bought a 2007 Toyota Corolla for $20,000, including high taxes on gasoline vehicles. “My old electric car constantly needed charging, broke frequently, and repair costs were excessive,” he said.
Taxi driver Dereje Hailu, who bought a Chinese-made E-Star EV earlier this year, expressed disappointment. “With this car, I worry about getting stranded if I go far from Addis Ababa, where there are no charging stations,” he said.