Mauritius is among the greatest locations to do enterprise in Africa and has been for a very long time. Earlier than the World Financial institution discontinued its “Ease of Doing Enterprise” report, Mauritius was ranked 1st in Africa and 13th globally. Though the World Financial institution mentioned it discontinued the Ease of Doing Enterprise Report “after knowledge irregularities on Doing Enterprise 2018 and 2020 have been reported internally in June 2020,” Mauritius has persistently been one of many prime ranked nations, which in a method nonetheless exhibits the nation was main the continent on this entrance.
Centurion Attorneys and Enterprise Advisors says “Mauritius stays among the many Sub-Saharan Africa area’s most business-friendly international locations, with strong financial insurance policies and prudent banking practices, appropriate for each home and international entrepreneurs and buyers.” Mauritius additionally has one of many world’s most beneficiant tax regimes. Private and company tax are harmonized at a low 15% and dividends are tax-free. Mauritius additionally has non-double taxation agreements with 33 international locations. Mauritius has now moved to increase its superior tax insurance policies to catalyze the adoption of electrical mobility. From the first of July 2022, all hybrid and electrical automobiles are actually duty-free in Mauritius. This was introduced earlier this 12 months by Finance Minister Renganaden Padayachy in his 2022-23 Price range Speech.
The Mauritian authorities additionally launched a rebate on the excise obligation scheme of 10% for the acquisition of electrical automobiles by people as much as a most of Rs 200,000 ($4,500). These incentives have been launched below the “Accelerating The Land Transport Electrical Automobiles Transition” program the place the federal government needs to additional cut back its dependence on import of petroleum merchandise, decarbonize the land transport system, and speed up the EV transition. This makes a lot sense for an island nation that will depend on imports for fueling ICE automobiles.
The federal government can also be shifting to extend the penetration of domestically generated renewable vitality. They’ve a goal of 60% vitality from renewable sources by 2030. The ability of incentives for the electrical mobility sector is well-known. Norway led the best way over the previous decade and now the share of electrical automobiles in Norway is persistently hovering above 85%. China is one other instance the place incentives actually sparked the EV revolution. In Africa, Rwanda launched a variety of superior incentives final 12 months.
It’s actually good to see one other African nation introducing some incentives for electrical automobiles. Mauritius is a member of the Southern African Growth Neighborhood (SADC) the place South Africa, the continent’s largest vehicle market, can also be a member. We hope South Africa can get impressed by its fellow SADC state. In South Africa, EVs nonetheless entice greater import duties and taxes than inner combustion engine automobiles, which is actually unusual in 2022.
A lot of the electrical automobiles nonetheless have greater costs than their equal ICE automobiles and therefore will value rather more once they land in Africa after delivery and import duties. Eradicating import duties for EVs might be one of many quickest methods to make sure customers get entry to extra inexpensive EVs. Mauritius and Rwanda are main the best way in Africa. I hope South Africa, Kenya, Zimbabwe, and the remainder of the international locations on the African continent observe quickly.
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