THE Programmes and Outreach Manager of the Ghana Chamber of Clean Energy (GCCE), Ms Emmanuella Biney, has called for stronger collaboration among government, financial institutions and industry players to tackle financing challenges confronting Ghana’s emerging electric two-wheeler industry.
She said addressing the financing constraints required more than increasing the availability of capital, but also appropriate financing structures, stronger institutional collaboration and an enabling policy environment to boost investor confidence and improve access to funding.
Ms Biney made the call in Accra on Tuesday when the GCCE, in partnership with the William Davidson Institute (WDI) at the University of Michigan, USA, organised a stakeholder consultative workshop on financing challenges in the electric two-wheeler industry.
The workshop brought together electric two-wheeler manufacturers, assemblers, retailers, financial institutions and other stakeholders to examine financing constraints and explore policy measures to improve access to capital.
Ms Biney noted that no single institution could address the challenges facing the sector and called for coordinated action among government and industry stakeholders.
She also urged the government to develop a deeper understanding of the financing constraints and policy gaps identified through the GCCE’s engagements with industry players, saying, “That was necessary to inform effective policy interventions.”
As part of the workshop, the research team presented seven preliminary financing gaps identified through its ongoing study for validation by participants.
The gaps included limited implementation of announced import duty waivers for electric two-wheeler companies, difficulties in transitioning from grant funding to follow-on investment and the reliance of companies on their own balance sheets to finance riders.
The study also identified limited access to affordable local-currency debt, lending requirements that early-stage companies struggled to meet, and equity investors’ preference for asset-light business models as major constraints.
Another challenge was the persistent information and expectation gap between electric two-wheeler companies and potential capital providers.
Participants subsequently held group discussions to validate the findings, identify additional barriers and propose possible approaches to addressing the financing challenges.
The discussions also explored ways to strengthen collaboration among government, financial institutions, electric two-wheeler companies and other industry stakeholders to improve access to financing and support the growth of the sector.
The findings and recommendations from the workshop will inform a public report to be jointly developed by the GCCE and WDI.
The report will guide the GCCE’s engagement with government, financial institutions and industry stakeholders on policy and financing measures required to address the identified barriers and improve access to capital for electric mobility businesses in Ghana.
BY TIMES REPORTER