How much cost of setting up an EV charging station in India ?

We tell you a matter of great happiness, you must have heard the "right to do", in the same way, the Government of India provides us with new business opportunities every day, in the same way, the Government of India has made it clear that any person is free to set up electric charging stations throughout the country, provided the charging station meets the standards of the Ministry of Power.

The Government of India has recently reported 'Information for Activatic and General-Reg'. Availability of more charging infrastructure has been recognized as a key requirement for rapid electric vehicle adoption in the country. Accordingly, setting up of Public Charging Stations (PCS) is exempted from license, and any person is free to set up charging stations in his/her city.

If you too want to set up your own EV charging station, you just need to follow some basic requirements, and you need to find the right vendor who will help you to set up your EV charging station.

Different Types of Electric Vehicle Chargers

Every charging station must have at least three fast chargers.

1. CCS
2. CHAdemo
3. Type-2 AC

In this the first two would need to operate at 50kW / 200-1000V, the Type-2 would be 22kW / 380-480V.

Last, the Type-2 will need to operate off 22kW / 380-480V.

The charging station must have a slow charger also

1. Bharat DC-001 (15 kW/ 72-200V) 
2. Bharat AC-001 (10 kW/ 230V)

Fast Chargers

Slow Chargers

Follow the instructions on how to set up an EV charging station.

• Understanding the Worth of Investing in an EV Charging Station
• Government Incentives
• Setup Costing
  1. Charger Cost
  2. Electricity and software cost

• Infrastructure Cost

1. 1. Manpower & Maintenance Cost
   2. Marketing and Advertising Cost

• Resource Requires for Charging station infrastructure
• Business Revenue Model

Understanding the Worth of Investing in an EV Charging Station

Electric vehicles are increasing in volume – now they can be needed to be recharged anywhere. Charging stations are a must in apartment buildings, retail centers and office buildings.

Government of India is promoting EV a lot so as per the infrastructure guidelines set by the government, it is mandatory to install an EV charging station every 3 km in cities and 25 km on both sides on highways. For long distance and heavy-duty vehicles like trucks, trolleys, there should be a charging station every 100 km on both sides of the road (mostly highways).

If we look at the current situation, we are nowhere near the guidelines set by the government, and there are almost negligible EV charging stations in India, we can come to the conclusion that there are a lot of EV charging stations in India is needed on a large scale.

Metro cities like Delhi, Mumbai, Bangalore, Pune, Hyderabad, Chennai, all these cities have high demand for EV charging stations.

Here people have zeal for EV, but they hold back due to less charging stations.

It seems that now you must have understood how much EV charging station is needed in different cities and locations.

Government Incentives on Electric Vehicle in India 2021

State-specific EV policies are in place to subsidize only a limited number of vehicles. In India, most states have decided to subsidize in terms of the size of the two-wheeler lithium battery.

Incentive amount is determined per kWh of battery capacity', Delhi and Maharashtra are the only two states that provide subsidy on different basis.

In Delhi and Maharashtra, eligible EV models and a number of smaller vehicle segments provide purchase subsidies for a specified number of EVs in each segment. Bihar's incentive scheme is different, providing a purchase subsidy on the first 100,000 vehicles manufactured within the state, including hybrid vehicles.

Purchase subsidy in Kerala is promised only for EV three wheelers; while in Tamil Nadu offers undefined purchase subsidy for state transport undertakings (STUs) when to purchase e-buses. The conclusion is, Maharashtra and Kerala offer subsidies based on the purchase of the vehicle, while Delhi and Bihar promise purchase subsidies based on the size of the vehicle's battery.

Cost of installing a charging station in your city

Whenever we go to start a new business, we first estimate how much it will cost. The cost of setting up Electric Vehicle Charging Station infrastructure in your city is 1,00,000 to 30,00,000. The price varies depending on the charger type, and from which company you are buying the complete electric vehicle charging station setup.

Capital Expenditure (CPEX)

New Electricity Connection (250), Transformer, Cabling (100 meters), Panels, Breakers, Energy Meter = 7, 50,000

Civil Works = 2, 00,000

EVSE Management Software - Integration with Chargers and Payment Gateway = 40,000

So, Total CPEX is 20, 00,000 approx.

Operating Expenditure (OPEX)

Technicians (1 technician @25k per month) = 25000

Site Maintenance Staff (1 personnel @15k per month throughout the year) = 1,80,000

Network Service Provider Fee= 6000

Lease Land Rent = 40,000

Advertising = 20,000

Total OPEX is 2,70,000

Total Cost of setting up Electric vehicle charging station is CPEX + OPEX = 27, 00,000 approx.

Resources required setting up an electric vehicle charging station.

1. Transformer with protection devices
2. 31/11 KV line/cable associated with equipment that helps for transmission/metering.
3. Good Civil Work
4. There should be enough space to charge the car and the vehicle can enter/exit smoothly.
5. International manufactured Cars have CCS and CHadeMO electric connector, so Charging Station may have one or more electric kiosk/boards where all the charger models are installed.
6. Kiosk/board should have the ability to install new chargers coming in the future.
7. Always be in touch with any network service provider, which enables EV charging bookings to be managed remotely/online by EV owners.
8. Best Public Amenities.

Understanding the Business (Revenue Model)

Revenue projections are something which we do not have control on. But we can assume a scenario and work out a feasible projection for the next 5 years.

If we take the above investment of Rs. 40 Lakhs, we get approximate of 500-1000 kWh per day EV power for consumption.

        Considering Electricity Utilization of (for 360 days and a fixed margin of Rs. 10 per consumption).

• 600 kWh per day for 1st year: 600x360x10 = 21,60,000/-
• 600 kWh per day for 2nd  year: 600x360x10 = 21,60,000/-
• 600 kWh per day for 3rd  year: 600x360x10 = 21,60,000/-
• 800 kWh per day for 4th year: 800x360x10 = 28,80,000/-
• 1000 kWh per day for 5th year: 1000x360x10 = 36,00,000/-

Total Revenue for 5 years: Rs. 1,29,60,000 /-
EVSE software management FEE of 5% on margin: Rs. 5,94,000/-

Revenue for 5 years comes as Rs. 1,23,66,000 /-  (Excluding the annual maintenance)

Conclusion

Although there are only 1% EVs in India as compared to traditional vehicles, the sale of EVs are going upwards and the requirement for charging stations is rising daily.

 If you have the investment capacity and are willing to become an entrepreneur with a broader vision, then the answer is YES. Now is the time to invest in Future, to invest in EV Charging Stations.

Interested in setting up your charging station business in India? Visit EV Business Opportunity.