The PayGo for E-bikes partnership will accelerate the adoption of electric motorcycles (electric bikes/e-bikes) in Kenya through digital pay-as-you-go (PayGo) technology and a public light-charging infrastructure, which will be available to any e-bike rider.
P4G has provided this partnership with US $792,500 in catalytic grant funding.
PayGo for E-bikes will address two key barriers to scaling e-bikes: customer affordability, and range and charging anxiety.
To address the affordability barrier, the partnership will offer PayGo options for drivers to switch to electric bikes. While the current up-front purchase price of e-bikes is too expensive for mass adoption, offering a daily PayGo rate for drivers to use the e-bike and charge it will cost less than existing costs of petrol bike financing, fuel and maintenance.
Range and charging anxiety, which is the driver’s concern that they will have insufficient power to reach their destination or they won’t be able to find a charging location, will be alleviated by charging stations throughout the city. The partnership will offer PayGo electric bike battery charging primarily using Kenya’s majority renewable energy powered grid at small and medium enterprises, so any e-bike drivers can easily recharge at their convenience.
Complementing P4G’s e-mobility portfolio in Kenya, the partnership will support the Kenyan government’s priorities for an electric vehicle transition and emission reduction targets of 30% by 2030. The partnership will also provide a boost for the nascent local e-bike manufacturing industry and create jobs. PayGo for E-bikes has a specific and intentional focus on bringing more women into what has traditionally been a male-dominated space through studying barriers to women’s participation in the sector and supporting product design for women.
During the grant period, the partnership will roll out 1,000 PayGo e-bikes to Kenyan riders and create wide-scale access to inexpensive charging at 100 stations planned based on existing ride patterns. Together, the partnership will enable drivers to save about $1,000 annually through reduced costs of financing, fuel, and maintenance.
Innovative PayGo Technology for Scaling E-mobility