IDB Lab, the innovation and venture laboratory of the Inter-American Development Bank Group (IDB Group), will invest reimbursable and non-reimbursable financing in the startup GoElectricTT to launch a new business model that aims to catalyze the adoption of electric vehicles in Trinidad and Tobago.
GoElectricTT will offer short- and long-term leases and rentals of an all-electric vehicle fleet and will engage in outreach and public education on the benefits of using the vehicles. With an initial fleet of 15 vehicles, the startup will focus on the business sector of Trinidad and Tobago and target companies that typically own or lease fleets. It will seek to lower the perceived risk of investment, allowing citizens to experience the benefits in terms of cost and sustainability, without making a long-term commitment, and encouraging them to transition to an electric environment.
The project aims to help avoid 190 tons of CO2 emissions from fuel combustion over a two-year period, advancing the IDB Group’s goal of introducing innovation and new technologies that are low in carbon emissions and for the digitalization of the transport sector.
The longer-term objective is to drive adoption of electric vehicles on a larger scale, as supply and acquisition costs become more accessible.
Trinidad and Tobago has a total of more than 800,000 vehicles for a population of approximately 1.4 million people. Most of these vehicles have internal combustion engines, which produce pollution and contribute to climate change. Despite fiscal incentives on the importation of electric vehicles as a way to move toward a low-carbon future, the adoption of these vehicles has been slow – accounting for less than 1% of new registrations.
This investment contributes to IDB Lab’s growing portfolio in climate technology, which focuses on creating early-stage opportunities in Latin America and the Caribbean, leveraging innovation and prioritizing real-life impact for the people of the region.
About IDB Lab
IDB Lab is the innovation and venture laboratory of the Inter-American Development Bank Group. Our purpose is to discover new ways to drive social inclusion, environmental action and productivity in Latin America and the Caribbean. IDB Lab leverages financing, knowledge and connections to support early-stage entrepreneurship, foster the development of new technologies, activate innovative markets and catalyze existing sectors.