Watu Credit, ARC Ride Encourage Riders to Embrace E-Bikes for Cost-Effective Operation - Capital Business
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(Left)Andrii Volokha, East Africa General Manager at Watu Credit Limited demonstrates how to swap an electric motorbikes battery accompanied by an electric bike owner, James Matatiro and Arc Rides Sales Manager, James Waweru/courtesy

Kenya

Watu Credit, ARC Ride Encourage Riders to Embrace E-Bikes for Cost-Effective Operation

NAIROBI, Kenya, Jan 17 – Boda boda riders have been urged to embrace electric bikes (e-bikes) to lower operation costs associated with high fuel prices and engine maintenance.

Watu Credit and ARC Ride, a Battery-as-a-Service (BaaS) provider, say e-bikes save riders 50 percent on the cost of running fossil fuel motorbikes.

So far, the financing company has funded 100 clean mobility solutions in Nairobi, which are currently being piloted.

During the launch of a new battery swap station in Nairobi, Andrii Volokha, General Manager for East Africa at Watu, said the company will expand its acquisition of electric assets in Mombasa, Kisumu, and Nakuru.

He, however, identified the primary challenge affecting riders as a lack of insurance coverage for electric vehicles in the event of an accident.

“The current figure remains at around 100 EVs. We are banking on government and market players’ support to improve charging infrastructure, boost education and awareness for riders to feel confident to take up more electric bikes,” Volokha said.

He affirmed that electric vehicle (EV) sales will increase in 2024 compared to last year as the prices for EVs continue to decline due to improved technology.

“A lot of infrastructure is being set up by both the private and public sector. Improved technology by the automakers will enable lower prices on a larger number of EV models as well as batteries. We could see some very interesting advances in solid-state EV batteries,” he said.

James Waweru, Sales Manager at ARC Ride, stated that EVs are quite efficient, safe, and not affected by weather, including rainy season, adding that there are already 80 battery swap stations set up in Nairobi for EVs.

The partnership between Watu and ARC Ride ensures that potential customers can access flexible financing solutions that make owning an e-bike more accessible.

Financing empowers riders to capitalise on these cost advantages, channelling their resources towards other essential needs or investments.

Watu has also partnered with the National Transport and Safety Authority (NTSA) to enhance education and awareness on road safety tailored for boda boda riders by introducing Watu Shule.

The driving school ensures affordability, providing classes for as little as Ksh 300 per week.

Upon successful completion, riders receive a driving license, granting them eligibility for comprehensive insurance coverage.

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