Throughout Latin America, the transport sector is the largest and fastest-growing source of greenhouse gas emissions, driven by a car-centric urban development and a lack of electric and public transit alternatives. While there are a few electric vehicle (EV) pilot projects in the region, achieving long-term transformation and large-scale market adoption remains difficult. This is due to the higher capital requirements for EVs, risk perceptions by the private sector regarding public EV business models, and policies that are not conducive to wide EV adoption. The region has significant potential for clean transportation and electric mobility because it generates relatively clean electricity.

To overcome the barriers and take advantage of the opportunities, the project aims to reduce the investment risks for both the public and private sector in the e-mobility industry. It will provide technical support to develop and test business models and develop the enabling environment to expedite the widespread viability of electric mobility in urban public transport – including large-scale investments in infrastructure and EVs. 

The programme will improve access to affordable, attractive, and low carbon urban transport, especially for the most vulnerable populations that often depend on public transport to access basic services and socio-economic opportunities.