20 Oct 2024

The government has a long term binding agreement with the original manufacturers of the Electric Vehicles (EVs) and has through negotiations, allowed for making locally as many of the components as possible and grow its local value chain.

This was said by President Dr Mokgweetsi Masisi during the showcasing of the eMobility vehicles in Gaborone on Saturday.

President Masisi said the agreement with the Chinese on manufacturing of EVs allowed the country to develop its value chain domestically without alteration of their standards.

He said the agreement also allowed for the country to name the locally manufactured EVs, which name would be easy to sell locally, regionally and in the global market.

President Masisi further said once the country had reached the required threshold of the locally produced electric cars, excess would be exported, at least within Southern Africa Customs Union and then the rest of Africa through the African Continental Free Trade Area (AfCFTA), the demand would go up and so would be the case in job creation.

“The very fact that we have signed and respect the agreements that we have with our neighbours and the rest of Africa through the African Continental Free Trade Area (AfCFTA) enables businesses to set up here.

The fact that we have a lot of raw materials to manufacture batteries for electric cars and more than anything else, we have a vibrant educated and trainable young workforce that is disciplined, hardworking, hungry to earn and motivated increases stability and prosperity here,” he said.

Although, he was not in a position to give the exact number of employment opportunities that would be created by the local assembly and manufacturing of the electric vehicles, he said the hypothesis was that from the onset, when the idea was hatched employment was created as there was a team assigned to follow up on the idea of assembling and manufacturing such vehicles.

Currently, he said there was a factory producing cables for electric cars in Botswana and was exporting to South Africa, adding that once there was a blip in demand as the manufacturer of the local electric car would also be buying such cables, the said company would have to increase its labour force.

Responding to a question relating to the current increase in imported cars in the country and if such was to be the case with electric cars and the possible negative consequences likely to impact on the locally produced EVs,

President Masisi said Botswana was an open economy that believed in competition.

“We believe we can make the case for ours to be competitive in price and quality. We shall watch such a development and seek to compete,” he said.

On other issues, he informed the media that a decision had been taken that up to three per cent of the GDP would go toward research and development.

“We will have an eco-system of evacuating and distributing that, but most of the beneficiaries will be the young and innovative Batswana, be it start-up or any other business they will find support and associate, collaborate and sometimes enter into partnerships with the likes of the manufacturer of EVs,” he said.

The eMobility showcase was also meant to release the EVs, currently known as Skywell, for test-driving.

President Masisi said he would personally test drive one of the vehicles.

Others who will get an opportunity to test drive EVs are; Vice President Slumber Tsogwane, Minister of Communications, Knowledge and Technology, Mr Thulagano Segokgo and Minister of Transport and Public Works, Mr Eric Molale.

President Masisi also announced that 200m Olympic champion, Letsile Tebogo, Miss World Africa, Lesego Chombo and Miss Botswana, Anicia Gaothusi will also get an opportunity to test drive the EVs for a year. ENDS