Solar Taxi, a burgeoning mobility company in Ghana, has unveiled plans to launch electric intercity buses nationwide.

The Chief Investment Officer of Solar Taxi, Loving A. Koranteng announced the company's collaboration with the State Transport Company (STC) and various agencies to bring this initiative to fruition.

Addressing stakeholders at a meeting held on Wednesday, November 29, at the Marriott Hotel in Accra, on "Climate Finance Opportunities in Ghana; And Financing SME Agribusinesses in West Africa," Mr. Koranteng highlighted the role of electric vehicles in curbing carbon dioxide emissions and addressing climate change.

"We are presently collaborating with the State Transport Company (STC) to roll out electric intercity buses within the next 24 months. Our focus extends across the entire value chain of the transport industry. Electric vehicles play a crucial role in reducing CO2 emissions, and we are committed to this cause without seeking immediate financial gains," he emphasised.

Mr. Koranteng underscored Solar Taxi's commitment to developing a carbon credit project, nearing completion.

He explained that the company will generate revenue from the tons of CO2 they will save, outlining their dedication to environmental sustainability.

Additionally, Mr. Koranteng provided insights into Solar Taxi's vehicle assembly efforts, disclosing that they have successfully assembled over 450 vehicles, including two, three, and four-wheelers since 2018.

He emphasised the company's goal of assembling 10 bikes daily, highlighting the collaborative effort to scale up the project.

Furthermore, he clarified that Solar Taxi has partnered with other ride-hailing platforms, promoting climate-friendly transportation alternatives for Ghanaians.

"Operationalising these assets, we have partnered with Bolt and other ride-hailing platforms, enabling bike riders to earn revenue. Using electric vehicles significantly reduces operational costs, leading to an 80% savings in expenditure," he explained.

Mr. Koranteng highlighted the positive economic impact of transitioning from fuel bikes to electric bikes, citing improved incomes for users. He expressed the company's ambition to expand its presence on ride-hailing platforms to enhance public exposure and experience with electric vehicles.

He outlined Solar Taxi's ambitious plans to augment production capacity, aiming to increase daily output from one car to 10 cars.

Discussing the investments received, Mr. Koranteng highlighted that the company has secured funds related to climate change. However, he emphasised the existence of untapped potential for additional funding.

"We have received financial support, and climate considerations were among the top two reasons for securing these funds. We work with persistent energy and have made strategic investments," he stated.

Mr. Koranteng mentioned successful collaborations with banks, attributing part of the increased production capacity to these partnerships.

Addressing the local market dynamics, Mr. Koranteng praised the efforts of Development Bank Ghana, commending them for facilitating partnerships with financial institutions to mitigate risks.

He acknowledged the challenge posed by rigid requirements and the constant demand for significant equity, hindering access to investments.

Mr. Koranteng shared a practical example of facing difficulties securing investment due to stringent equity expectations, expressing frustration at the capital being sidelined instead of being utilised for productive ventures.

In proposing a solution, he suggested a reevaluation of the approach taken by local financial institutions, advocating for the use of potential carbon credits as collateral to facilitate credit assessments.

This, he believed, could strategically open up opportunities for companies implementing innovative investment strategies.

The one-day climate financing conference managed by EK Brand Consult was powered by Ghana Investment Support Programme and the British International Investment in collaboration with PANGEA Africa and Climate Policy Initiative.