Aera, a French carbon credit trader for Africa in partnership with the Swiss foundation myclimate, are set to $5M in carbon credits for M Auto’s EVs.
The two said the move aims to expand green mobility solutions in Africa. The sale is to Indian car manufacturer Mauto Electric Mobility (M Auto). Fabrice le Saché, Aera’s founding president explained the carbon credit revenues will aid in reducing the cost of renting electric bicycles and allow M Auto to raise additional funds to roll out bicycles faster thus reduce CO2 emissions from the transport sector on the African continent.
Carbon credits
These carbon credits, which will be allocated to M Auto between 2023 and 2025, correspond to its capacity to reduce CO2 emissions. Assembly plants will be developed to manufacture a target of two million electric bicycles, as well as building charging stations in six sub-Saharan African countries by 2030.
“Supporting carbon credit revenues is now crucial to evolve and ensure the sustainability of our green ambition. This would not be possible without our strong penetration and growth strategy developed by our teams over the last few months. We are therefore going to change the day-to-day transport sector in African cities where air pollution from traffic is becoming a major public health concern,” says Shegun Adjabi Bakari, CEO of M Auto.
In June 2022, M Auto announced the commercialisation of its two electric motorbike models “Chap Chap” and “Commando” in Benin and Togo. These vehicles, powered by a 72V lithium battery and capable of speeds of up to 90km/h, will contribute to the promotion of sustainable transport in these two West African countries.
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