William Ruto Champions Race To Electric Vehicles At Africa Climate Summit: "Market Value Would Be $7 Trillion"

• President William Ruto officially opened the Africa Climate Summit and Africa Climate Week 2023 at KICC Nairobi
• Ruto emphasised the importance of green energy solutions in adapting and mitigating climate change in Africa
• The head of state noted that if Africa takes charge of its minerals like cobalt and lithium, it will gain an estimated $7 trillion from electric vehicle manufacturing

Africa can gain much in terms of economic value in electric vehicle manufacturing and assembling.

President William Ruto said the continent is rich in its mineral resources to power green energy solutions.

Electric vehicles' market value

Speaking during the official launch of the inaugural Africa Climate Summit and Africa Climate Week 2023, Ruto said the continent stands to earn up to $7 trillion from electric vehicle manufacturing.

"If we consider the end-to-end value chain for electric vehicles, including the battery pack and other components, the market value skyrockets to $7 trillion. We are selling for $11 billion, which could be $7 trillion if we engage in the right trajectory," said Ruto.

Ruto acknowledged the continent's potential in renewable energy sources, saying it is the powerhouse for green energy.

Kenya's renewable energy

He revealed that Kenya's electricity national grid operates at 3 Gigawatts, with 93% renewable power.

"We target 100% renewable by 2030 and a 100 gigawatts grid, entirely renewable by 2040. The abundance of our renewable sources, possibilities of new technologies and opportunities created by new climate financing offer enormous possibilities for us.

"We have the capability to provide reliable and cost-effective energy access to construct and assemble electric motor vehicles, batteries and other components," he said.

The head of state noted that Africa is the key player in mineral resources, but much of the value addition, like manufacturing, is done elsewhere.

Ruto said Africa needs to rethink its strategies - "we longer continue to provide raw materials" - and offer end products.

"By 2025, the mining of battery-critical minerals - lithium and cobalt - is estimated to generate some $11 billion in value. If we engage in value added activities like refining into industrial-grade metals, that value could be quadrupled to $50 trillion," the president explained.

According to the United Nations (UN) Economic Development Africa Report 2023, the continent's mineral resources are significant in the manufacturing of electric motor vehicles.

"Africa’s large reserves of critical minerals are vital for global supply chains of high technology-intensive industries can turn African economies into key suppliers of parts and components in the automotive, electronics, renewable energy, and medical devices sectors.

"For instance, Africa accounts for 48% of global cobalt reserves and 47.6% of global manganese reserves, which are critical metals required to produce batteries and electric vehicles," said UN secretary general Rebeca Grynspan, during the United Nations Conference on Trade and Development 2023.

Launch of electric vehicles in Kenya

Ruto's administration championed the use of electric vehicles as a way of adopting low-carbon and efficient transportation systems.

The president drove around Nairobi city in a tiny electric car as he went to KICC for the African Youth Climate Summit 2023.

Ruto's motorcade was also composed of electric motorbikes, further emphasizing the commitment to sustainable transportation.