Electric bus company BasiGo has been awarded a $1.5 million grant from the U.S. Agency for International Development to scale up green public transportation in Rwanda, the company announced Tuesday.
The grant will directly support BasiGo’s electric bus pilot program with leading bus operators in Kigali and enable rapid expansion of its electric bus fleet across Rwanda, according to the company.
BasiGo’s first electric buses for Rwanda recently arrived in East Africa and will soon hit the streets of the capital city Kigali, the company said.
“BasiGo is committed to supporting the Government of Rwanda in bringing affordable, electric public transport to Kigali commuters,” the company said in a statement.
BasiGo, in partnership with Tap&Go, aims to put 200 electric buses on Rwanda’s roads by 2025, the statement said.
The USAID funding comes as Rwanda faces rapid urbanization that is straining its public transportation system. Africa’s urban population is projected to grow to over 1.3 billion by 2050, according to USAID.
“This skyrocketing population requires a modern mobility network to serve it,” the agency said on its website.
Diesel buses account for almost 60% of passenger trips in African cities currently, USAID said. Their tailpipe emissions significantly contribute to toxic air pollution and planet-warming greenhouse gases.
To expand access to greener transportation options, Nairobi-based BasiGo launched electric buses on the Kenyan market last year. The company now has 19 zero-emission, electric buses operating in Kenya through mileage-based leasing partnerships with private bus operators.
The USAID grant will help BasiGo pilot similar leasing arrangements with major bus companies in Kigali to demonstrate the cost-efficiency of electric buses. The pilot aims to attract additional financing and conduct market research to determine the profitability and potential for lower pollution levels, according to USAID.
Kigali currently has 300-400 diesel buses serving around 120,000 daily passengers, while facing demand for 700 buses. BasiGo intends to help address the shortage with 200 electric buses by 2025, USAID said.
