Ethiopia EV drive has taken a major leap in clean transport, rolling out 396 electric buses across the country and becoming home to the largest electric mass-transit fleet in Africa.
The latest milestone came in Bahir Dar, where 10 electric buses were launched at the same time, making the city one of the newest hubs in the country’s fast-growing green mobility network. More than six cities in the Amhara Region are now running emission-free buses, including Dessie, Woldia, Debre Berhan, Gondar and Central Gondar.
Speaking about the programme, State Minister of Transport and Logistics Bareo Hassen said the shift to electric mobility is not just about climate action, but about building a stronger economy.
“Ethiopia was spending nearly six billion dollars every year on fuel imports. That was draining our foreign currency,” he said. “With more than 90 percent of our electricity coming from renewable sources, mainly hydropower, electric transport turns this challenge into an opportunity.”
Ethiopia EV revolution is the fastest growing the rest of Africa
In January 2024, Ethiopia became the first country in the world to ban the import of fossil-fuel private vehicles. At the same time, the government cut customs duty on fully assembled electric vehicles to 15 percent, while taxes on petrol and diesel cars rose to as much as 200 percent.
This policy helped unlock investment and confidence in the sector. Today, electric buses are being assembled locally at the Belayneh Kinde factory in Debre Berhan, which has already created more than 1,000 jobs.
Minister Hassen said the biggest early challenge was “range anxiety” and limited charging infrastructure. That changed with the launch of the National E-Mobility Strategy (2025–2030), which set clear rules for charging tariffs, safety standards and private-sector participation.
Why electric buses matter
In Addis Ababa, charging an electric bus costs about four dollars a month, compared with around 27 dollars for diesel. Those savings help keep fares affordable for commuters while reducing pollution and noise.
“We are not just buying buses,” Hassen said. “We are building an industry.”
Ethiopia has mapped more than 2,200 charging stations nationwide and opened AI-enabled fast-charging hubs in Addis Ababa that can serve 48 vehicles at once. With the Grand Ethiopian Renaissance Dam nearing completion, surplus renewable power is being linked directly to the transport system.
By 2030, Ethiopia aims to have more than 500,000 electric vehicles on its roads, including buses, cars and heavy-duty trucks. The plan also links electric transport to rail freight, regional trade corridors and green aviation initiatives with Ethiopian Airlines.
For many African countries struggling with fuel imports and rising transport costs, Ethiopia’s approach is being watched closely.
“This shows a developing nation can leapfrog fossil fuels and lead in green logistics,” said Hassen. “We want Ethiopia to be a blueprint for Africa’s sustainable future.”
With 396 electric buses already in service and more cities joining the network, Ethiopia is not just talking about climate action; it is driving it.
