Create SPV for charging infra networks in Tier 2, Tier 3 towns, says report
India will need to install more than 400,000 EV chargers annually with a total of 1.32 million chargers till 2030, according to a Confederation of Indian Industry (CII) report on ‘Charging Infrastructure for Electric Vehicle’.
Even in a business-as-usual (BAU) scenario of 40% year-on-year growth, about 106 million EVs will be sold every year by 2030, it said, adding that the 400,000 EV chargers a year are based on a ratio of 1:40 charging infra to EVs.
The CII report done in collaboration with Edelman Global Advisory (EGA) is second in series of CII reports on ‘Roadmap for Future Mobility 2030’, said CII in a release on 25 July 2023.
The Government has set the ball rolling on accelerated adoption of EVs, aiming to achieve sales penetration of 30% for private cars, 70% for commercial vehicles, and 80% for two and three-wheelers by 2030.
“The foundation for this will be laid by the creation of robust charging infrastructure,” added Vipin Sondhi, Chairperson – CII National Committee on Future Mobility 2022-23 (last year) and Former MD & CEO, Ashok Leyland and JCB.
Sondhi 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, said CII.
Some of the key recommendations emanating from the report included:
Single-window mechanism to approve setting up of the public charging infrastructure along with timely electricity connections & reliable supply by DISCOMS to ensure a higher density of charging infrastructure and quality of service.
Rationalisation of demand charges by linking it to actual utilisation will also enable CPOs to ensure viability till the time demand picks up in the coming years.
Integrate charging networks into town planning, for both greenfield as well as brownfield development.
Creating a SPV for deployment of charging infra networks in Tier 2, Tier 3 towns as well as in rural areas. Also, good road network may help in building consumer confidence to adopt EVs.
Majority of components for EV charging stations, particularly Level 3 DC fast chargers are imported, including electronic components and Semi-conductors. This amounted to more than US$5,800 million in the previous year (Apr-Dec 2022).
The Government under the Aatmanirbhar Bharat programme may consider PLI like incentives to promote manufacturing of components for EV charging station. This will not only reduce India’s dependency on imports but also tap the opportunity to become a global supply hub for EVSE (electric vehicle supply equipment).
EV if not powered through 100% green source of energy will defeat the whole purpose of the mobility transition. Use of 100% renewables for charging stations should be made mandatory by promoting open access, DRE through the C&I sectors and net metering combined with local energy storage system and grid storage system. Fiinews.com
