Transitioning to EVs isn't just about cutting GHG emission and cleaner air; it is also a strategic move to get into a leadership position in the transportation sector while saving billions of rupees by cutting down crude oil imports. This action will put fossil fuels in a backseat making electricity the new oil for the future as far as the transportation sector is concerned.
Of course, it will also call for electricity generation without using fossil fuels i.e. using renewable sources of energy. This shift, while unlocking economic prosperity, will need a robust domestic EV ecosystem. To promote the EV ecosystem, the government of India brought a scheme for faster adoption and manufacturing of Electrical and hybrid vehicles (FAME).
The Scheme, which was launched in 2015, provided for a government subsidy under the National Electric Mobility Mission Plan (NEMMP) had two phases: FAME India Phase I and FAME India Phase II; the later FAME II had expired on July 31, 2024 but the government is still in the process of formulating FAME III. Under the scheme, apart from EVs, subsidies were provided for establishing charging stations as well.
Gujrat utilised the scheme most by establishing 53 charging stations under the scheme while Kerela stood at number two establishing 30 stations. These charging stations are proving to be insufficient for cars and heavy vehicles.
It is well known that the earlier attempts of commercializing EVs by Scooters India, Reva Motors and Mahindra & Mahindra had failed mainly due to unavailability of adequate charging facitilities.
Despite the country establishing 12,146 operational public EV charging stations by February 2024, which was a substantial increase from 6,586 stations established by March 2023, many EV users were stranded on the road because of charging deficiency. This has demotivated prospective EV buyers.
The sales of electric cars have, of late, declined, one of the causes being constant worry about the range. If one gets stranded because of battery discharge, it is hard to find a charging station nearby. If one is lucky to get a charging station nearby, most of the time, it is not working.
However, if one is lucky on both these counts, one pays through the nose for fast charging that is required when one is stranded on the road. Electrical 2-wheelers, whose production and sales are rising, do not face this problem as they are used for short distances and are mostly charged at home.
Many Municipal Corporations have acquired Electric buses and plan to procure more to make their city pollution free but are constrained by sufficient number of charging stations, which apart from finance, requires land that is hard to find in bus stands or on their route.
Electric vehicles can be charged in various ways, depending on the size and type. Charging infrastructure for EVs is, therefore, of different types and is designed for different applications. There are specifications and standards for EV chargers which are known as electric vehicle supply equipment (EVSE). They vary from country to country based on EV models present in a particular market and the characteristics of the electricity grid.
Efforts are being made to standardise the connectors for EV in every country. Ultimately, the scale of economy and trade across borders may call for international standardization though in the USA, Tesla has its charging connectors different from other EV producers. India has 4 types of connectors which provide fast, moderate and slow speed charging.
The charging of an Electric vehicle (EV) involves converting alternate current (AC) from the grid to direct current (DC) for which there is a convertor on board that converts AC to DC. In the DC charging of EVs, the charging station transforms AC to DC and supplies DC power to EV’s battery.
Electric Vehicle charging are of various types; they are classified into 4 modes of charging; modes 1-3 are for AC charging of vehicles whereas mode 4 is for DC charging. Standard outlet connection is used for modes 1 and 2 for which EV seller provides connectors.
Simplicity is the greatest advantage of Level 1 charging; one just plugs in the vehicle without having to install any additional equipment while the longevity of EV’s battery pack is improved since it puts minimal thermal strain on the cells. However, mode 1 takes a very long time for charging and lacks communication between charger and battery. Mode 2, mostly used, is suitable for home or office charging.
Commercial or public charging utilises Modes 3 and 4 charging systems which have a different design that includes advanced control systems. Similar to different phone-charging routines, one can charge EV at a convenient time, be overnight at home when the owner is sleeping or at the office while the owner is working. On-the-go, the only choice is fast charging (high power DC).
Government of India has been promoting the installation of charging infrastructure through various initiatives, the FAME India Scheme being the most focussed one. It includes financial support and subsidies for setting up of public charging stations. The scheme supports customer focused strategy to promote EVs.
However, the policy’s success depends on adapting to user needs, implementing dynamic pricing, and embracing technology to achieve profitability from Electric Vehicle (EV) charging infrastructure. Such strategies are key to driving financial success of charging stations while supporting the broader goal of getting 30% of EV in new sales by 2030.
To make EV charging stations economically viable, there are several requirements which include financial support and subsidies, revenue-sharing models, land provision at promotional rates and viable EV charging tariffs to make charging business sustainable.
Presently, there is a chicken and egg situation; investors of charging stations waiting for more EV population and government grants and incentives while EV manufacturers complain about inadequate availability of charging stations.
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