India’s EV sector requires an investment of $20-30 billion to boost charging infrastructure. The PM E-DRIVE Scheme, with a ₹10900 crore allocation, aims to support over 28 lakh electric vehicles and 88500 charging sites.
India’s electric vehicle (EV) sector requires an investment of $20-30 billion to expand its charging infrastructure and accelerate growth, according to the India Energy Storage Alliance (IESA). Speaking at the 'IESA India EV Fast Charging Summit' in New Delhi, IESA President Debi Prasad Dash highlighted that the EV charging segment, currently growing at a rate of 25-30%, could achieve double the growth rate with such investment. The summit underscored the importance of robust public and private funding to meet the growing demand for EV charging infrastructure and support India’s transition to green mobility.
The recently approved PM E-DRIVE Scheme was a central point of the summit discussions. This scheme, which replaces the FAME program, has a ₹10900 crore allocation over two years to boost EV adoption. It aims to support the deployment of 2479000 electric two-wheelers, 316000 e-three-wheelers, 14028 e-buses and 88500 charging stations all over the country. However, experts raised concerns about the sufficiency of this funding, particularly for fast-charging infrastructure. Challenges such as power supply reliability and extending infrastructure to rural areas were highlighted as critical barriers. Shiraz Khanna, CFO of Exicom, highlighted the need to upgrade grid and transformer capacity to facilitate EV adoption in non-urban regions.
Industry leaders pointed the importance of additional measures to achieve the government’s target of 30% EV adoption by 2030. Suggestions included reducing import duties, GST and taxes on EV components to make electric vehicles more affordable. Investments in local manufacturing and R&D were also identified as key enablers to lower costs and generate employment. Experts suggested focusing on improving the electricity distribution network and providing ready-to-use solutions for charging operators instead of funding the construction of charging stations directly. The summit concluded with a call for collaborative public and private efforts to establish a sustainable EV ecosystem across India.
