Puma Energy Namibia has put on hold its plan to install electric vehicle (EV) charging stations across the country, citing low EV adoption and high vehicle costs.
Adell Samuelson, General Manager of Puma Energy Namibia, explained that the current EV market lacks affordability and sufficient range, discouraging potential buyers.
“EVs remain quite unaffordable, with prices ranging from N$700,000 to N$1 million, which is beyond the reach of most Namibians,” she stated. Additionally, the limited driving range of available models (120km to 400km) deters potential users.
Samuelson emphasised the need to avoid undertaking initiatives that may ultimately prove unsuccessful.
“We do not wish to invest in infrastructure that may not be utilised. However, we remain optimistic about the future and intend to collaborate closely with car dealerships to revisit these plans.”
Addressing additional concerns, Samuelson mentioned the complexities surrounding payment solutions for EV charging.
“Determining the preferred payment methods for charging EVs remains a challenge,” she stated. “While our engineering team is prepared with specifications, we must first address this critical issue.”
Samuelson outlined alternative strategies, focusing on strategic routes rather than widespread deployment. “Our current focus is on identifying strategic routes for potential charging stations,” she remarked. “We have engaged with EV owners and are considering locations based on their feedback and existing charging patterns.”
Earlier this year, Puma Energy announced a partnership with car dealerships to introduce EV charging points, initially targeting routes such as the South Africa-Noordoewer-Windhoek-Swakopmund Route.
Samuelson also expressed empathy for the Road Fund Administration (RFA), which faces potential revenue challenges with the rise of electric vehicles. “The RFA must proactively explore revenue recovery plans,” she urged. “As electric vehicles become more prevalent, the traditional fuel levy revenue model may become unsustainable.”
In response, Alli Iipinge, CEO of the RFA, appealed to lawmakers to devise policies to address future revenue concerns associated with the proliferation of EVs.
Currently, Namibia boasts approximately 100 EVs, with the government revising its target from 10,000 EVs by 2030 to 96,500 by 2025. In contrast, the country has approximately 400,000 combustion vehicles.
Notable EV models available in Namibia include the Nissan Leaf, Mercedes EQA/EQB, and BMW iX. The Nissan Leaf, priced at around N$240,000, according to research done by Sybrand de Waal ,an EV enthusiast. The car has a driving range of over 120km, while the Mercedes EQA boasts a range of 395km. The BMW iX, starting at N$1.7 million, provides a range of approximately 400km.
