India simplifies approvals for setting up EV charging stations

In a bid to take EV penetration to the next level  and create a supportive ecosystem for easy adoption of electric vehicles in India, the federal government has eased the policies around setting up public EV charging stations.

Per the new directive, land available with government agencies can be used by state-owned enterprises to set up public charging stations. They need only pay nominal rates to the government as rent for the land. Additionally, now individuals can set up a public charging station without the need for a license.

The guidelines also include a revenue-sharing model which suggests that the private entities can bid for the land at a base price of Rs.1 per unit but need to share the revenue for the next 10 years. The tariff of PCS has been capped to not exceed the 15 per cent average cost of supply till March 2025.

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Additionally, the government has also eased the rules around the charging of EVs at home or offices. The new rules now allow the EV owners to charge their vehicle at their home or office with the existing electricity connection and the tariff applicable for domestic consumption shall be applicable.

According to the Bureau of Energy Efficiency (BEE), India has over 947,876 registered electric vehicles and the number of public charging stations is a mere 1,028. Hence, the updated policies will come in handy in the faster adoption of battery-operated vehicles in the country.

Sometime back we reported that the domestic fossil fuel companies like BPCL etc have started setting up the EV charging stations – which will not only take the charging ecosystem even in smaller towns but will also ensure that the charging station is available across the national highways as well.

Similarly, RWAs or resident welfare associations have also come forward in setting up charging stations – though exclusively for their residents – however, this does hint that not only the adoption of EVs is seeing an uptick but also the ecosystem around these vehicles is now taking shape.

That being said, the manufacturing side of things still is a sign of worry. We still do not have an affordable electric car in the price bracket of Rs. 5 lakh to Rs. 8 lakh – the segment that has the most fuel-powered cars. Moreover, leading automakers like Maruti and others are still waiting for the market to become conducive before they can enter the space.

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