Cost of setting up an electric car charging station in India

How much Cost of setting up an electric car charging station in India?

The Indian government has taken an active role in promoting EVs in an effort to speed up their widespread adoption. However, the lack of sufficient infrastructure is the greatest obstacle EV-manufacturers have when trying to attract customers. Actually, the current EV charging infrastructure in the country is so poor that there would be pandemonium if the number of electric vehicles were to increase tremendously. In any case, this is a promising commercial prospect. As the number of people using electric vehicles grows, it’s a good time to start a charging station business. On the other hand, the expense of installing a charging station for electric vehicles is a topic of interest to many. Discuss the same thing in our post here.

Why is there a sudden need for EV Charging Stations in India?

As was previously indicated, the government has made significant efforts to hasten the spread of EVs. Although many people would like to switch to EVs, few have taken the leap because of the scarcity of charging facilities across the country. That’s why the government has a plan for building a reliable charging infrastructure as soon as possible. According to their plan, there would be a charging station every 100 kilometres along the roadway. There is also construction of an electric motorway from Delhi to Mumbai.

Unfortunately, the number of EV charging facilities in India is still woefully inadequate. There is likely to be an immediate demand for EV charging stations due to the increasing number of people who own electric vehicles. Mumbai, Delhi, Chennai, Bangalore, and Hyderabad are just few of the many large cities in India where there is a significant demand.

Cost of setting up an electric car charging station in India
Cost of setting up an electric car charging station in India

How to setup EV charging station in India?

In India, installing a charging station for electric vehicles is a straightforward process. According to official government policy, anyone can instal a charging station for electric vehicles so long as he follows the rules set forth by the Ministry of Power. If you’re interested in installing a charging station, all you’ll need to do is pay the electric charging station cost and comply with any applicable government regulations.

Level 1 chargers are the most fundamental of the various types of electric vehicle chargers. These are cheap, however they take a long time to charge the battery packs. Most drivers prefer a Level 3 charger. While pricey, DC power allows for rapid charging. Recovery of the greater investment cost may be possible due to the quicker return on investment.

Government Initiatives

The government of India has even made measures to lower the price of installing charging stations for electric vehicles (EVs). To achieve this goal, the requirement for a licence to construct EV charging infrastructure has been removed. Further, one can decide which charger kind is best for him and invest in it accordingly. It is now mandated by law that new electric vehicle charging stations have an a connection installed “within 7 days in metro cities, 15 days in other municipal areas, and 30 days in rural areas.”

More than that, the government allows EV charging station owners to use electricity from any legal supplier. As long as it complies with government regulations, they can use whatever technology they want. To counter this, the government has mandated that charging stations for electric vehicles form partnerships with at least one Network Service Provider to enable online booking of charging times.

Types of EV chargers

If you want to instal an electric vehicle charging station in India, you’ll need to adhere to either of two international standards or one Indian standard. Standardization efforts in this area include the European CCS, the Japanese CHAdeMO, and India’s own Bharat AC/ DC specifications. Specifications for such adapters are listed in the table below.

S. NoCharging StationVoltage (V)Power (kW)Type of VehicleType of compatible charger
1Level 1 (AC)240<=3.5 kW4w ,3w,2wType 1, Bharat AC-001
2Level 1 (DC)>=48<=15 kW4w,3w,2wBharat DC-001
3Level 2 (AC)380-400<=22 kW4w,3w,2wType 1, Type 2, GB/T ,Bharat AC-001
4Level 3 (AC)200-100022 to 4.3 kW4wType 2
5Level 3 (DC)200-1000Up to 400 kW4wType 2, CHAdeMO,CCS1,CCS2

Considerations including portability, reliability, compatibility, and safety should all be taken into account while selecting a charger. DC fast chargers are, so far, one of the best investments. Let’s analyse the price tag of installing a rural charging station for electric vehicles next.

Cost of EV charging station setup in India

The price of a high-quality DC fast charger setup may be more than Rs 10 lakh. You’d have to put down a lot of cash up front if you wanted to buy, say, four of these. To what extent this is true depends on how much you value land. In addition, the initial outlay may change depending on the specific chargers chosen for installation. The price tag could very well exceed 40 million rupees. Based on a general situation and a supply of 250KVA EV Stations, we have a rough estimate of the cost of setting up an electric vehicle charging station in India.

Charger TypeCCS – 60kWCHAdeMO – 60kWType 2 AC – 7/22kWBharat DC-001 – GB/TBharat AC-001
Approximate Cost (in INR)12,50,00012,50,0001,00,0002,40,00060,000
  • New Electricity Connection (250 KVA): 7,50,000 /-
  • Civil Works: 2,50,000 /-
  • EVSE Management Software + Integration: 40,000 /-
  • Technicians, Manpower, Maintenance, etc: 3,50,000 /- yearly
  • Advertising and Promotion: 50,000 /-
  • Land Lease (if the land is at lease): 6,00,000 /- yearly
  • Total Approximate: Rs. 40,00,000 /- (First year including setup and if the land is at lease)
  • Annual maintenance from the second year: Rs. 10,00,000 /- (Including land lease)
  • Operational cost: Software maintenance, Technical maintenance, Manpower,

Infrastructure Requirements for EV Charging Stations

Building a charging station for electric vehicles requires the necessary infrastructure. As a first example, we have electricity. The grid is a viable option for obtaining this. However, this assumes that one has obtained the required permissions from the relevant parties. Instructions for installing an electric vehicle charging station are as follows:

  • Transformer and subsequent substation
  • 33/11KV cable and supporting equipment for metering/termination
  • Enough space for entry, parking and exit of electric vehicles
  • Enough electric charging points to charge multiple vehicles at once
  • Local certifications based on state requirements

Understanding the Revenue Model

Clearly, the initial investment required to instal an EV charging station is substantial. You should study the business’s income model before putting money into it, though. Here are some preliminary estimates to help you visualise the potential income in 5 years. We calculated this based on a daily electricity use of up to 1000 kWh and an initial expenditure of 40 Lakh Rupees. At a constant rate of Rs 10 per unit, the following are the computations for multiples of 360 days.

  • 1000 kWh per day for 1st year: 1000x360x10 = 36,00,000/-
  • 1000 kWh per day for 2nd year: 1000x360x10 = 36,00,000/-
  • 1000 kWh per day for 3rd year: 1000x360x10 = 36,00,000/-
  • 1000 kWh per day for 4th year: 1000x360x10 = 36,00,000/-
  • 1000 kWh per day for 5th year: 1000x360x10 = 36,00,000/-
  • Total Revenue for 5 years: Rs. 1,80,00,000 /-


The market share of EVs has been growing steadily over the past few years. As more and more battery-powered vehicles (BCPs) enter the market. It stands to reason that we’d need a sturdy charging station for electric vehicles. However, many would-be entrepreneurs have been deterred by the expensive expense of setting up an EV charging station and a general lack of knowledge about the industry. However, as we have shown, if you are willing to make the substantial initial expenditure, installing a charging station for electric vehicles can become a lucrative company.


Q: Is EV charging station business profitable?

A: As EVs are fast becoming popular and there’s an increased demand for a robust electric vehicle charging infrastructure, EV charging station business seems to be a pretty profitable proposition.

Q: Are EV charging stations a good investment?

A: Provided you are willing to make a high initial investment, EV charging stations can be a good investment as the need for charging stations has been on a rise with the increasing popularity of electric vehicles.

Similar Posts