To meet the growing demand for public charging of electric vehicles and achieve the mission of over 30% electrification by 2030, India will need a capital investment of around Rs 16,000 crore, according to a report released on Monday. It is said that it is necessary.
According to FICCI’s report, ‘Public Charging Infrastructure for Electric Vehicles: Roadmap to 2030’, the current financial viability of public charging stations in India remains low, with utilization rates below 2%.
To achieve profitability and scalability, “we need to aim for utilization rates of 8-10% by 2030,” the report added.
“For example, the current cost structure of electricity tariffs, which are fixed regardless of energy consumption, combined with low utilization of public charging stations, makes it difficult to achieve break-even.UP, While states like Delhi and Gujarat have no or low fixed tariffs, some states have high fixed tariffs, posing challenges to their viability,” FICCI said.
The report pointed out that India’s transition to clean energy and sustainability can only be achieved with the participation of key stakeholders such as policy makers, industry players and government agencies.
Five key challenges must be addressed if the country wants to expand its public charging infrastructure. According to the report, these include limited financial viability, discom or power-related issues, land-related issues, operational issues, standardization and interoperability.
Among other things, the association’s report also calls for standardization of GST rates for EV charging services. It proposes to reduce the tax rate from 18% to 5% in line with the taxation of the entire EV value chain.
It also wants to eliminate the two-part toll system and proposes instead a one-part toll system with consistent pricing across all states in the country.
(With input from PTI.)
