EV Chargers: Soaring Demand, Limited Supply

From a small presence just a few years ago, EVs are now becoming a common sight on our roads.

Sales are rising fast, and the market is expanding at an incredible rate.

From a market size of $3.21 billion in 2022, India’s EV sector is expected to soar to $113.99 billion by 2029.

That’s a jaw-dropping 66.52% compound annual growth rate.

The battery market is on a similar path, estimated to grow from $16.77 billion in 2023 to $27.70 billion by 2028.

But as more people switch to electric, one big challenge remains - finding enough places to charge these vehicles.

Without enough charging stations, the growth of EVs could slow down, no matter how much demand there is.

On the ground, sales numbers reflect this momentum - 1.67 million EVs were sold in FY24, compared to 1.17 million the year before.

Four-wheeler EVs nearly doubled, going from 47,499 to 90,432 units in just one year.

But while India races ahead in making and buying EVs, one crucial piece is lagging behind - charging infrastructure.

As of February 2024, there were only 12,146 public EV charging stations in the entire country.

That’s one charger for every 400 EVs. Compare that to China’s 1:7 ratio or even the US’s 1:20, and the gap becomes obvious.

If India wants to support its EV boom, it needs around 1.32 million chargers by 2030.

That would mean installing over 400,000 charging points every single year from now.

To address this, the government has announced a ₹10,900 crore plan under the PM E-DRIVE scheme.

The plan covers everything from charging infrastructure and EV adoption to boosting local EV manufacturing.

Already, 2,877 charging stations have been approved, with another 1,576 focused on highways and expressways.

States have joined in as well - Maharashtra aims for EVs to account for 10% of vehicle sales by 2025, and Karnataka wants to electrify all cargo transport by 2030.

Automakers and startups are stepping in, too. Hyundai is investing $2.45 billion in Tamil Nadu to expand its EV footprint.

Tata Motors has committed $2.16 billion to reach 30-40% EV sales by FY30.

Ather Energy recently raised $71 million, boosting its valuation to $1.3 billion.

On the technology front, ABB India is bringing the Terra 360 charger to India, which can deliver a 100 km charge in just 3 minutes.

Maruti Suzuki is also making moves - installing fast-charging points across the top 100 cities and exploring battery rental options.

Still, the road ahead is far from smooth.

Setting up charging stations requires land and reliable electricity, both of which can be tough to secure.

India also relies heavily on imported components for chargers, which can slow things down.

And then there’s the issue of compatibility.

Without a universal charging standard, not every EV can use every charger.

Despite these challenges, the direction is clear.

India’s EV market is booming, and the demand for reliable, widespread charging infrastructure is only going to grow.

The next few years will determine whether the country can keep pace, not just in producing and selling EVs, but in making sure they can be charged, anywhere, anytime.