Ambitious strategy targets domestic EV battery production using lithium deposits

Officials are working on a strategy that would see batteries for electric vehicles (EVs) manufactured locally as the administration of Prime Minister Abiy Ahmed (PhD) doubles down on its policy to transition from combustion engines amid rising fuel import costs and climate concerns.

A member of the technical committee charged with drafting the EV strategy says the goal is to create an environment where international battery manufacturers can take root in Ethiopia, where cobalt and lithium, the primary components of EV batteries, are thought to be readily available.

He told The Reporter the strategy has gained approval from senior government officials.

“The main target now is ratifying it,” said the committee member.

The strategy entails the facilitation of domestic EV battery manufacturing in addition to the duty free incentives already available to EV importers and domestic assemblers. The government wants to see the number of EVs in Ethiopia rise to half a million by 2030, according to the committee member.

He revealed ambitions to introduce battery-run agricultural and construction machinery in addition to automobiles and public transportation. Local investors engaged in EV assembly have also shown interest in manufacturing EV batteries using locally-sourced lithium, according to him.

The draft strategy has been finalized and preparations are underway for consultations with stakeholders through the Ministry of Transport and Logistics, according to the committee member.

The ambitious figures included in the strategy are an adjustment to those in the government’s 10-year Perspective Plan, which targets 148,000 electric automobiles and 50,000 electric buses on the country’s roads by 2030.

Officials at the Transport Ministry claimed a few months ago that there were already 100,000 EVs on Ethiopia’s roads.

Following the government’s embargo on the import of combustion engine vehicles, domestic car assemblers have reportedly been preparing to shift their assembly lines to focus on EVs and hybrid vehicles.

The strategy is ambitious, and the committee member concedes it will not be easy to see it through as Ethiopia has no experience in EV manufacturing.

Source: Ambitious strategy targets domestic EV …

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