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Ethiopia bans the import of private gas-powered vehicles, but the switch to electric is a bumpy ride

ADDIS ABABA, Ethiopia (AP) — When fuel prices soared in Ethiopia earlier this year, Awgachew Seleshi decided to buy an electric car. This was in line with the government’s new efforts to phase out gas-powered vehicles. But months later, he wonders if it was the right decision.

He faces a range of problems, from the erratic electricity supply in the capital Addis Ababa to the scarcity of spare parts.

“Charging my car was a challenge,” the official said. “Spare parts imported from China are expensive, few mechanics can repair such cars and the resale value of such cars is poor.”

Seleshi’s problems point to broader challenges for Ethiopia. In January, the East African country became the first country in the world to ban the import of non-electric private vehicles.

The decision eased pressure on authorities spending scarce foreign currency to subsidize fuel costs, but also reflected growing enthusiasm for electric vehicles as the world demands more green technologies to curb climate-changing emissions.

Earlier this month, the Ethiopian government raised fuel prices by as much as 8% as part of a plan to gradually end all fuel subsidies in Africa’s second-most populous country.

Authorities have had some success in enforcing the ban on non-electric vehicles entering Ethiopia, and more than 100,000 electric cars are now imported into the country every month.

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The official goal is to increase the monthly import figure to 500,000 by 2030. By then, the large new dam Ethiopia has built on the Nile is expected to be producing power at full capacity.

Ethiopian Prime Minister Abiy Ahmed said in a televised address earlier this year that the Grand Renaissance Dam will generate more than 5,000 megawatts of electrical energy within a year. Authorities say such capacity would support the transition to electric vehicles.

For now, many in Addis Ababa, a city of more than 5 million people, doubt the country can achieve its ambitious electric vehicle goals without further necessary infrastructure and services.

The few garage owners who can fix broken electric cars say they are overwhelmed, while customers say they are paying too much due to an apparent lack of competition.

“There are two or three garages in Ethiopia that can repair new energy vehicles and many consumers do not know how to handle such vehicles,” said Yonas Tadelle, a mechanic in Addis Ababa. “As mechanics, we also miss the tools. the spare parts and the know-how to repair such cars.”

Many electric vehicles are now parked in garages and parking lots awaiting parts expected to arrive from China.

Ethiopia’s minister responsible for transport, Bareo Hassen Bareo, has said he believes the country can be a model nation with a green economy legacy, with the prioritization of electric vehicles being a key component.

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The government will invest in public charging stations, he told The Associated Press, and there are plans to set up a factory that will produce EV batteries locally to reduce dependence on imports.

Private efforts include a partnership, which has since collapsed, between Olympian Haile Gebreselassie and South Korean automaker Hyundai to make electric vehicles in Ethiopia. That effort is believed to have failed due to material sourcing.

Samson Berhane, an economist based in Addis Ababa, said the sudden influx of electric vehicles into the local market, despite poor infrastructure, makes it difficult for customers to adapt comfortably. Some EVs sell for around $20,000.

“Very few people are willing to take the risk of buying electric cars due to the lack of infrastructure, the shortage of mechanics specialized in EV maintenance and the flooding of the market with Chinese brands with questionable details and long-term visibility ” said Berhane. .

But he said he believes Ethiopia is more than capable of powering the expected 500,000 EVs there over the next decade while meeting its industrial ambitions.

Some Ethiopians are already giving up on electric cars, and the second-hand trade in gasoline vehicles continues. There are at least 1.2 million vehicles across Ethiopia, and only a small portion are electric.

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Businessman Yared Alemayehu bought a Chinese-made electric vehicle that he hoped to use for a taxi service. He knew the car had a mechanical defect, but he believed it could be repaired. A mechanic disagreed.

He eventually sold the car at a loss and bought a Toyota Corolla – a 2007 car he believed was more reliable – for the equivalent of $20,000, an amount that included the high taxes on gasoline vehicles. Taxes may be higher than the cost of importing the vehicle.

“Besides having to charge my old electric car, it broke down frequently, overloaded the garage and the line at the garage was overwhelming,” he said.

Taxi driver Dereje Hailu, who had high hopes for his Chinese-made E-Star electric car when he bought it earlier this year, said his expectations were exceeded.

“With a car like that, I’m afraid I’ll get stuck if I go far away from Addis Ababa, where there are no charging stations,” he said.

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The Associated Press receives funding for global coverage of health care and development in Africa from the Gates Foundation. The AP is solely responsible for all content. Find AP’s Standards for Working with Charities, a list of supporters, and funded coverage areas at AP.org.

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