Cost of setting up an EV charging station in India

Cost of setting up an EV charging station in India

The Government of India has been quite aggressive in promoting EVs to push for faster adoption of EVs. However, the biggest challenge for EV manufacturers in attracting buyers is the lack of adequate infrastructure. In fact, in its current state, the electric vehicle charging infrastructure in the country is so limited that a rapid increase in the number of electric vehicles would spell disaster. However, it also presents a great business opportunity. One could launch an electric vehicle charging station and benefit from higher returns as EVs become increasingly mainstream. One thing that many people wonder about is the cost of an EV charging station setup. Let us discuss the same here in our post.

A good DC fast charger setup can cost more than Rs 10 lakh in India. If you plan to have 4 of these, you will need to make a high initial investment and this is especially true if you take into account the cost of the land and the rent. Also, the investment may vary depending on the type of charger installed and this cost can easily go up to Rs. 40 lakhs. Below, we have a rough estimate of the cost of setting up an Electric Vehicle Charging Station in India based on a typical scenario and a supply of 250KVA EV stations.

  • New electricity connection – 7,50,000/-
  • Civil Works – 2,50,000 /-
  • EVSE Management Software + Integration – 40,000/-
  • Technician, Manpower, Maintenance, etc. – 3,50,000/- p.a.
  • Advertisement and Publicity – 50,000/-
  • Land lease – 6,00,000/- per annum
  • Total Estimated – Rs. 40,00,000/-
  • Annual Maintenance – Rs. 10,00,000/-
  • Operating cost – software maintenance, technical maintenance, manpower

Roughly, setting up an EV charging station with one charger of each type on leased land in India would cost more than Rs 50 lakh. While some subsidy by the government gives some relief and it is definitely a costly business.

Read also – Kia EV6 in Price India

Why is there a sudden need for EV charging stations in India?

There has been a huge push by the government for faster adoption of EVs. However, limited electric vehicle charging stations across the country have deterred many from venturing into the world of electric vehicles, and hence, a roadmap has also been drawn up by the government for accelerated development of a robust charging grid. As per its plan, every 100 km of the highway will have a charging station on either side, and in addition, an electric highway is also being built that will connect Delhi to Mumbai.

At the moment, EV charging stations in India are nowhere close to meeting the requirement, and with the growing popularity of electric vehicles, there is certainly a sudden need for electric vehicle charging stations. Mostly, there is a huge demand in Indian cities like Mumbai, Delhi, Chennai, Bangalore, and Hyderabad.

How to set up an EV charging station in India

It is very easy to set up an EV charging station in India. According to the government, any person can set up an EV charging station provided he/she follows the guidelines issued by the Ministry of Power. So, if you want to set up a charging station, all you need to do is meet the government’s requirements, of course, in addition to paying the cost of the EV charging station.

There are many electric car chargers, the most basic of which are called Level 1 chargers. And they are also economical but charge the battery pack slowly. Level 3 chargers are the most popular and they are expensive but can charge very quickly via DC power the short turnaround time can really help recover the high investment cost.

Read also – Gayab Web Series Cast, Story, Release date, Watch Online 2022

Government initiative

To help popularise electric vehicles, the Indian government has also taken steps to reduce the cost of EV charging station setup by eliminating the need for licenses to build electric vehicle charging infrastructure. Also, one can choose the charger type And can invest at their convenience. The government has made it mandatory for electricity boards to provide new EV charging stations with connections within 7 days in metro cities, 15 days in other municipal areas, and 30 days in rural areas.

The government also allows owners of EV charging stations to get electricity from an authorized service provider. They are free to use any technology as long as it meets official security standards. However, the government has made it mandatory for EV charging stations to having a tie-up with at least one network service provider for online booking of charging slots.

Types of EV chargers

EV charging stations are required to comply with either two international standards or one domestic standard. These include the Japanese CHAdeMO, the European CCS, and India’s own Bharat AC/DC standard. With the help of the table given below, you will understand better about it.

S.NoCharging station Voltage Power (kW)Type of vehicle Type of compatible 
1Level 1 (AC)240<=3.5 kW4w, 3w, 2wType 1, Bharat AC 001
2Level 2 (DC,)>=48<=15 kW4w, 3w, 2wBharat DC 001
3Level 2 (AC)380-400<=22 kW4w, 3w, 2wType 1, Type 2, GB/T, Bharat AC 001
4Level 2 (AC)200-100011 to 4.3 kW4wType 2
5Level 3 (DC)200-1000Up to 400 kW 4wType 2 ChAdeMO, CCS1, CCS2

Infrastructure Requirements for EV Charging Stations

Obviously, infrastructure will be needed to set up EV charging stations, which can be sourced from the grid. However, one would require necessary approval from the same, and here is a list of requirements for setting up an EV charging station;

  • transformers and subsequent substations
  • 33/11KV Cable and Accessories for Metering/Termination
  • Adequate space for entry, parking, and exit of EVs
  • Enough electric charging points to charge multiple vehicles at once
  • Local certification based on state requirements

Read also:- Palang Tod Siskiyaan 3 Web Series Cast, Plot, Watch Online All Episodes


Can I set up an EV charging station in India?

According to the Government of India, any person is free to set up an Electric Vehicle Charging Station for his own use. However, the Ministry of Power’s standards and checklist also need to be met.

How much does an electric charging station cost in India?

India has 2477 electric vehicle charging stations spread across 274 cities. Of these, Maharashtra has the maximum number of EV charging stations at 538 while Tripura has the minimum of 1 EV charging station.

Are EV Charging Stations Profitable?

Experts predict the total EV charging station market will reach a value of $727 billion by 2031 and supercharging stations that charge electric vehicles faster than typical chargers for a premium and especially profitable 2020 Pulling in higher revenue.

How do you start an EV charging station?

Starting an EV charging station business does not require any license from the government, but requires permission from the ministry of energy, and the government of various countries provides a number of subsidiary companies for commercial public EV charging station equipment machinery.

Do EV charging stations need planning permission?

When might planning permission be required to set up and install an EV charging point? You may also need to apply for planning permission if the property is in a conservation area or near a heritage property like a listed building.

Leave a Comment