BasiGo and its fleet of electric buses

BasiGo is a company founded in 2021 in Nairobi, Kenya, that aims to replace diesel-powered buses with electric ones across sub-Saharan Africa. The company was inspired by a brief suspension of public transport in Kenya during the COVID-19 pandemic in 2020, which led to dramatically clearer air and visibility of mountains like Mt. Kenya and Mt. Kilimanjaro from Nairobi. This event highlighted the potential for cleaner air if diesel buses were replaced. BasiGo does not manufacture its own buses but sources them from China and assembles them locally in Kenya. The company has built a fleet of over 100 electric buses, which have transported 15 million passengers since its founding. Its goal is to reduce emissions by replacing diesel buses, which are major contributors to air pollution and carbon dioxide emissions in the region.

BasiGo’s innovation lies in its business model, which differs from traditional bus sales. Instead of selling buses outright, the company leases them to operators, primarily individual bus owners or cooperatives, of which there are over 300 in Kenya. This pay-as-you-drive model reduces the upfront cost barrier for operators. Customers pay a small deposit, which is 40% less than the down payment required for a diesel bus, followed by a daily lease fee. The company also provides maintenance, insurance, and a charging network for its customers. This model aims to make electric buses more affordable and accessible. According to BasiGo’s CEO, Jit Bhattacharya, operators can earn a 5–10 times higher return on investment over the life of a BasiGo bus compared to a diesel bus, due to lower fuel and maintenance costs.

Replacing diesel buses with electric ones has significant environmental and health benefits. BasiGo estimates that replacing one diesel bus with an electric one in Kenya avoids 50 tons of carbon dioxide emissions annually. With approximately 20,000 buses operating in Nairobi alone, widespread adoption of electric buses could drastically reduce transportation emissions. Additionally, electric buses in Kenya run on domestically generated renewable energy, with 90% of the country’s energy mix coming from renewables. This reduces reliance on imported fossil fuels, keeping more money within the local economy. The switch to electric buses also reduces particulate matter in the air, which can lead to health benefits such as a decrease in childhood asthma cases. These factors contribute to both environmental sustainability and public health improvements.

Despite its progress, BasiGo faces several challenges. The company sources many parts for its buses from Chinese firms like King Long and BYD but must assemble the buses locally in Kenya, requiring significant investment in training personnel to build, repair, and maintain the vehicles. This training process can be time-consuming and resource-intensive, especially as the company expands to new locations. Another challenge is the high upfront cost of infrastructure upgrades needed to support electric vehicle charging, such as installing high-power chargers. Securing land for charging depots is also difficult and expensive, as these depots must be located on bus routes and near power lines to ensure efficient operations. These factors can complicate the company’s expansion plans.