India requires 1.32 mn EV charging stations by 2030: CII report
The fervent support for electric vehicles from both the central and state governments has led to increased consumer options and awareness, contributing to an exponential surge in EV uptake during 2022
New Delhi: India may need a minimum of 1.32 million charging stations by 2030 to facilitate the rapid adoption of electric vehicles (EVs), according to a report released by the Confederation of Indian Industry (CII) on ‘Charging Infrastructure for Electric Vehicle’.
The report said the fervent support for electric vehicles from both the central and state governments has led to increased consumer options and awareness, contributing to an exponential surge in EV uptake during 2022, showing a remarkable threefold increase compared to the preceding year.
Keeping up with this momentum, in a business-as-usual (BAU) scenario with an annual growth rate of 40%, it is projected that approximately 106 million EVs will be sold every year by 2030. To ensure an ideal ratio of 1 charger for every 40 electric vehicles, India will need to install over 4,00,000 charging stations annually, with a cumulative total of 1.32 million chargers by the targeted year.
The CII report, developed in collaboration with Edelman Global Advisory, marks the second installment in a series of its reports focusing on the ‘Roadmap for Future Mobility 2030.’
Vipin Sondhi, chairperson – CII National Committee on Future Mobility 2022-23 (last year) and former MD & CEO, Ashok Leyland and JCB said, “The Government of India has set the ball rolling on accelerated adoption of EVs, aiming to achieve sales penetration of 30 per cent for private cars, 70 per cent for commercial vehicles, and 80 per cent for two and three-wheelers by 2030. The foundation for this will be laid by the creation of robust charging infrastructure.”
“This presents a huge opportunity for India and the Indian industry”, said Sondhi. He called for a conducive policy environment, at the central, and in the states to enable Indian startups, MSMEs, and large companies to rapidly roll out charging infrastructure across the country. The sheer extent of charging infrastructure that will need to be set up in India provides the economies of scale needed to turn the country into a global manufacturing hub for charging stations, in turn leading to job creation and exports.
The report proposed several recommendations, including streamlining the approval process for public charging infrastructure, rationalizing demand charges by aligning them with actual utilization, integrating charging networks into town planning for both new and existing urban areas, establishing a Special Purpose Vehicle (SPV) for deploying charging infrastructure in Tier 2, Tier 3 towns, and rural regions, and incentivizing domestic manufacturing of components for EV charging stations.
The report also highlighted the significant reliance on imported components for EV charging stations, particularly level 3 DC fast chargers, including electronic components and semi-conductors, amounting to more than $5,800 million in the period from April to December 2022. The government could consider offering incentives similar to the Production Linked Incentive (PLI) program under the Aatmanirbhar Bharat initiative to promote domestic manufacturing, thus reducing India’s dependence on imports and opening up opportunities to become a global supplier of electric vehicle supply equipment, it said.
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First Published:25 Jul 2023, 04:39 PM IST
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