South Africa has not implemented the scale of electric vehicle incentives that several other African countries have introduced, including import duty exemptions and charging infrastructure support. Unlike neighbors such as Malawi, Zambia, Rwanda, Mauritius, and Ethiopia, the nation currently imposes higher import duties and taxes on electric vehicles compared to conventional fuel-powered equivalents.
Kenya, another regional market that similarly lacks broad EV incentives, has established a specialized electricity tariff for electric vehicle users. The Kenyan tariff charges between 8 and 16 Kenyan shillings per kilowatt-hour depending on usage time, significantly below the 20 to 30 shillings per kilowatt-hour standard commercial and residential rates. Kenya’s utility company reported electricity sales to registered electric mobility customers increased from approximately 65.6 million shillings in 2025 to 185.3 million shillings in the current financial year. The Kenyan government recently removed monthly usage caps that previously limited fleet operators, allowing larger transportation operators to better utilize the favorable tariff structure.
During a recent Africa E-Mobility Week Forum in Stellenbosch, representatives from Golden Arrow Bus Services, which operates 1,200 buses including 120 electric vehicles, advocated for South Africa to adopt similar tariff policies. The bus operator noted that energy cost reductions from its electric fleet have provided relief to commuters facing high diesel prices, and that a supportive electricity tariff framework could enable further fleet electrification. The company emphasized that most charging occurs during off-peak hours and expressed concern about recent electricity rate increases implemented by Cape Town municipality, particularly a 25 percent hike during off-peak periods.
With South Africa having achieved over 500 consecutive days without rolling blackouts and Eskom reporting improved operational performance, industry observers suggest this presents an opportune moment for the national utility and municipalities to introduce specialized electric mobility tariffs. Such policies could incentivize off-peak charging behavior while supporting broader electric vehicle adoption objectives.
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