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The adoption of electric vehicles might fuel the development of more toll roads as the government agonises over a new source of revenue to replace the Road Maintenance Levy Fund.
The silent revolution of electric vehicles has triggered a loud crisis at the Treasury, forcing the government to consider the controversial return of toll stations to plug a gaping hole in road maintenance funding.
Kenya’s rapid shift toward green mobility is delivering an unexpected financial blow to the state’s coffers. As more motorists abandon fossil fuels for electric batteries, the Road Maintenance Levy Fund—historically charged on every litre of petrol and diesel—is drying up. This revenue collapse has sent policymakers back to the drawing board, agonising over how to fund the upkeep of the nation’s expanding infrastructure without the traditional fuel levy cushion. The solution being whispered in government corridors is one that few Kenyans want to hear: the return of road tolls.
The logic is brutally simple. The "polluter pays" principle that underpinned the fuel levy is obsolete in an era of zero-emission vehicles. An electric car damages the tarmac just as much as a diesel SUV, yet it contributes nothing to the repair fund under the current tax regime. This structural defect in the tax code has created a ticking time bomb for the Kenya Roads Board, which warns that billions of shillings needed for pothole repairs and re-carpeting are vanishing into thin air as EV adoption surges.
Reintroducing toll stations is a political minefield. Memories of the 1990s, when toll stations were notorious dens of corruption and inefficiency, remain fresh. However, the government argues that technology has changed the game. Modern, digital tolling systems could ensure seamless collection, but the public remains skeptical about paying for roads they feel they have already funded through taxes. The proposed model suggests a user-pay system that would capture revenue from all vehicles, regardless of their power source.
This situation presents a cruel irony: the government’s success in promoting clean energy is now undermining its ability to maintain the very roads those clean cars drive on. Incentives for EV importers have worked too well, too fast, outpacing the fiscal policy designed to support transport infrastructure. The Treasury is now racing to design a hybrid system that might tax electricity used for charging or impose an annual mileage fee, but these are complex to administer compared to the simplicity of a toll.
The era of "free" roads funded by fuel guzzlers is ending. Whether through digital gantries scanning license plates or higher taxes on electricity, the motorist of the future will pay. The government’s challenge is to execute this transition without sparking a revolt from a citizenry already burdened by the high cost of living. The road ahead is paved with good intentions, but it will likely come with a price tag at every exit.
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