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Introducing Roam, a business accellerating Kenya's clean transport transition.
Introducing Roam, a pioneering electric mobility company that is revolutionising transport in Kenya.
Africa carries the heaviest burden of the effects of climate change effects despite being responsible for only 4% of global carbon emissions, However, experts looking at the global race to net zero recognise the continent’s potential to play a vital role in accelerating global climate action.The transport problem
Alongside the clean energy industry, transitioning to electric transportation is a crucial step in reducing carbon emissions and combating climate change, especially in Africa where transportation emissions are growing rapidly. Electric vehicles (EVs) have the potential to play a significant role in cutting carbon emissions from the transportation sector and bringing about various environmental and societal benefits. Here are some of the key advantages of adopting electric vehicles in Africa:
Lower Carbon Emissions: Electric vehicles produce zero tailpipe emissions, meaning they do not release harmful pollutants like carbon dioxide (CO2) and other greenhouse gases. By promoting the adoption of EVs, Africa can make significant strides in curbing its transportation-related carbon emissions.
Better Air Quality: This is the second leading risk factor for death across Africa, which is home to five of the top ten most heavily polluted countries worldwide. Since EVs produce no exhaust emissions, they contribute to cleaner air in urban areas, reducing smog and improving public health. This can lead to fewer cases of respiratory diseases and improve overall well-being for citizens.
Reduced Dependence on Fossil Fuels: By switching to electric vehicles, Africa can reduce its reliance on imported fossil fuels and improve energy security.
Economic Benefits: The electric vehicle industry in Africa can create new job opportunities in manufacturing, infrastructure development, and research and development while encouraging economic growth.
The Electric TransitionThe obvious solution to the environmental, health and economic problems caused by the African transport sector is a switch to cleaner electric vehicles.
And across the African continent, start-ups are manufacturing and selling many forms of electric vehicles, from buses, to agricultural vehicles to motorbikes, all contributing to the reduction of harmful emissions.
Electric Vehicles can also provide an opportunity to African countries for vital employment in the manufacturing sector, where jobs are unfortunately rare in Africa. Such vehicle assembly operations also employ a high proportion of women, another added advantage for local economies.
To successfully move to electric transport systems in Africa, several challenges need to be managed, like the high initial cost of electric vehicle production. For the pioneering EV start-ups in Africa, investment is needed to overcome this challenge.
Introducing Roam
Energise Africa is pleased to welcome a key player in the African EV market back to the platform with their 3rd bond offer. Roam is an electric mobility company that is s revolutionising transportation by developing and deploying electric motorcycles and electric buses for emerging markets, starting in Kenya. The company was incorporated in Kenya in 2018 and is fully owned by a Swedish parent company.
Roam's vision to provide relevant electric mobility products for emerging markets, specifically targeting low-income groups to access affordable transport solutions while reducing carbon emissions, is commendable.
Electric mobility has the potential to transform transportation in many parts of the world, especially in regions like East Africa where accessibility and affordability are crucial factors.
Roam's strategic approach to leading the electric mobility movement in East Africa focuses on electric motorcycles and charging hubs, through which they can address crucial aspects of the electric vehicle ecosystem and contribute to sustainable transportation in the region.
Electric motorcycles are an excellent choice for last-mile connectivity in urban and rural areas. They offer efficient transportation options for people and produce, reducing the reliance on petrol-powered motorcycles, which contribute to air pollution and greenhouse gas emissions. By providing access to more electric motorcycles, Roam contributes to cleaner air and a healthier environment in Kenya.
Also, the introduction of charging hubs is vital for overcoming range anxiety, one of the significant barriers to electric vehicle adoption. Establishing a reliable and accessible charging network will mean electric motorcycle users can recharge vehicles conveniently, giving them more confidence while increasing initial uptake.
The electric mobility movement is not only beneficial for the environment but can also have positive economic and social impacts. By reducing its dependency on fossil fuels, Kenya can save on fuel costs and decrease its carbon footprint. And the adoption of electric vehicles is likely to create new job opportunities in the clean energy sector and contribute to a more sustainable and resilient Kenyan economy.
Roam’s vision and impact have not gone unnoticed and gained them global recognition as a finalist in the 2022 Earthshot Prize.
The impact of investmentsWith the funds from their third investment raise on Energise Africa, Roam will be able to deliver 356 new electric Roam Air motorcycles to entrepreneurs in Kenya, cutting carbon emissions and saving them money.
This will enable more low-income earners to gain access to a Roam Air bike, potentially generating daily savings of around 50%, as electric bikes are more cost-effective to operate compared to traditional gasoline-powered vehicles, reducing fuel and maintenance expenses.
For these customers, Roam offers a pay-as-you-go contract over 12 to 18 months, making the Roam Air more accessible to low-income earners who might not be able to afford the upfront cost of purchasing the vehicle outright. By providing this financing option, drivers can start saving money from the day they start using the Roam Air, which could be a significant benefit for them.
Investments in the Roam bond offer start at £50 and target a return of 6.75%. We’re very excited to offer Energise Africa investors the opportunity to invest in this impactful business and put their money to work to directly benefit lives and the environment in Kenya.