How to make residential charging a success in India?
More than four Lakhs EVs were registered in India from Apr-21 to Mar-22 (Vahan Dashboard), accounting for 2.6% of overall vehicle registration for this period. In the future, the EV market is expected to grow, at a CAGR of 44% between 2020 and 2027 and is expected to hit 6.34 million-unit annual sales by 2027(IESA).
With limited public EV charging infrastructure, home charging solutions have carved a path for the EV market to grow. Home charging stations are a convenient way to supply an electric car battery with its daily electricity needs. Various studies show that a majority (around 80%) of all EV charging happens at home and hence residential charging will be central to the future charging ecosystem.
To boost the growth of residential charging, the Ministry of Housing and Urban Affairs (MoHUA) amended Model Building Bylaws in 2021 with a recommendation that 20% of all parking spaces in new multi-unit buildings, including residential buildings, be equipped with EV charging. However, this is not enough to build a residential charging ecosystem. Every stakeholder in the ecosystem has a role to play.
Figure 1: Residential Charging Ecosystem
In our view, multiple stakeholders can support India’s residential charging ecosystem. Below are some of the approaches:
Primarily, it is empirical to create awareness among the EV community including existing and potential EV owners, RWAs, real estate developers, and others, about the subsidies and tariffs that one can avail for setting up a residential EV charging system
RWAs can play an important role by planning their EV charging roadmap from the initial stage and encouraging their residents to adopt EVs. Once a society has 5-6 EVs, it can install common charging points in the spare or visitor parking lots. Chargers can be accommodated within the available sanctioned load for the property, and subsequently, scale up the charging facilities depending on residents’ EV charging needs
Real estate developers can play an important role in the integration of EV charging in new developments by planning charger-equipped parking spaces in the initial stage itself, getting an EV connection that will benefit potential EV users with benefit from the exempted/ reduced demand charges, or be mindful of the appropriate charger specifications to account for when installing the electrical infrastructure
Lastly, DISCOMs can play a significant role in streamlining the approval and installation of residential EV chargers, by instituting single-window application processes, creating clear operational guidelines for EV connections, and providing deferred payment plans to offset the capital costs of charger installation