Rural EV Charging Deployment Challenges
According to government data, as of now, the country has more than 16,000 EV chargers, and plans are afoot to deploy about another 20,000 across India by FY2025.
August 29, 2024. By News Bureau
Electric vehicles have gained significant popularity in India as more individuals become aware of their environmental and economic benefits. However, to cater to the robust growth and rising demand, widespread charging infrastructure is increasingly becoming necessary.
According to government data, as of now, the country has more than 16,000 EV chargers, and plans are afoot to deploy about another 20,000 across India by FY2025. There are also indications that the top nine cities in India with a population of 40 lakh and above collectively need to be equipped with 18,000 public charging stations to advance India’s EV goals. While urban areas and Tier-I cities are growing their EV charging network quickly, rural regions are significantly behind in terms of required infrastructure, which hinders the wider adoption of EVs.
The main obstacle to charging infrastructure in these rural areas is a shortage of power supply. Many regions still face electricity shortages, which often makes it difficult to set up reliable EV charging stations. However, investment in grid enhancement, government intervention, and charging stations operating on solar power might help combat these issues to a greater extent.
Challenges Hindering the Deployment of Rural EV Charging Infrastructure
India aims to achieve 30% of EV sales by 2030, but it will not be possible unless rural areas start idealizing the concept of electric vehicles just like urban areas. Efforts are being made in urban areas to establish the best EV charging stations; similarly, the same level of commitment is required in rural areas to ensure a balanced and sustainable transition to electric mobility. The 30% EV aim set by India can only be achieved when rural areas are also given the same level of importance in the charging development sector.
SIAM, a national body that represents all major vehicles and vehicle manufacturers in India, conducted a study and found that in 2023, EVs accounted for 6.3% of total vehicle sales, with a total volume reaching 41.08 lakh units. The data also indicates that the industry witnessed a significant jump of 50% in the market compared to the previous year. However, prominent obstacles continue to hamper the growth of charging infrastructure, particularly in rural areas.
For instance - Rural Mobility Challenges: EVs are cheaper than petrol vehicles, which is leading to more adoption of electric-driven vehicles in rural areas. Moreover, government incentives further make them cost-effective, offering lucrative buying opportunities to customers. However, this is not enough. The lack of adequate charging infrastructure acts as a barrier to the adoption of EVs.
Grid Reliability: Reports suggest that over the last few months, India’s power demand rose by 12%, adding pressure to the country’s grid. More pressure on the power grid will lead to rampant power shortages in rural areas, which will directly impact the charging infrastructure. The only alternative solution to avoid this problem is to generate electricity through renewable resources that include solar and wind panels.
Geographical Diversity: The states and cities of India boast a diverse geographical landscape. They have various terrains that might need different EV chargers for different regions. For example, in places where waterlogging is a problem during the monsoon period, only water-resistant charging infrastructure can work, whereas, for areas with power shortages, solar panel charging infrastructure could be more suitable.
Strategies for Overcoming Challenges
The implementation of electric vehicle (EV) charging systems in rural areas presents significant challenges, mainly due to high costs and economic development concerns. In sparsely populated areas, the cost of installing and maintaining EV chargers can be disproportionately high compared to expected usage. Several strategies have commonly been employed to solve these challenges. One such strategy is deploying renewable energy, mostly for remote rural areas. Today, solar or wind energy-backed power solutions are considered tangible means to supplement energy for grid solutions. Pune City has 18 EV charging stations run by Maharashtra State Electricity Distribution Co. Ltd. (MSEDCL). Under this project, a solar-powered EV charging station will be established in a village.
While implementation of EV charging infrastructure is difficult in rural areas due to the high cost and limited benefits, Public-Private Partnerships (PPP) can play an important role in reducing the gap by collaborating with the government and private sectors to facilitate investment. The capital inflow could help rural areas step forward in the process of EV transition.
Moreover, technologies such as wireless charging will be available in the future, which can shift the balance of power further for charging infrastructure located in rural areas. The solution would also work for rural areas by removing the need for physical connections (similar to wireless charging), as seen with portable chargers. Further, government incentives similar to FAME-II could facilitate the growth of rural EV ecosystems, leading to the development of infrastructure, which will eventually boost sales. Such efforts will help strengthen charging point networks in rural areas and amplify the adoption of electric vehicles in rural communities.
Hence, leveraging PPPs, advancing technology, and securing policy support could become vital for making rural EV charging infrastructure a reality and ensuring a sustainable future. Such efforts can help rural communities access cleaner transportation options and increase the national EV adoption rate, supporting India's climate goals and economic growth. A strategic approach to ensure balanced development in these key areas will help eliminate the prominent challenges in rural areas and ensure uniform adoption of electric vehicles in both rural and urban areas.
According to government data, as of now, the country has more than 16,000 EV chargers, and plans are afoot to deploy about another 20,000 across India by FY2025. There are also indications that the top nine cities in India with a population of 40 lakh and above collectively need to be equipped with 18,000 public charging stations to advance India’s EV goals. While urban areas and Tier-I cities are growing their EV charging network quickly, rural regions are significantly behind in terms of required infrastructure, which hinders the wider adoption of EVs.
The main obstacle to charging infrastructure in these rural areas is a shortage of power supply. Many regions still face electricity shortages, which often makes it difficult to set up reliable EV charging stations. However, investment in grid enhancement, government intervention, and charging stations operating on solar power might help combat these issues to a greater extent.
Challenges Hindering the Deployment of Rural EV Charging Infrastructure
India aims to achieve 30% of EV sales by 2030, but it will not be possible unless rural areas start idealizing the concept of electric vehicles just like urban areas. Efforts are being made in urban areas to establish the best EV charging stations; similarly, the same level of commitment is required in rural areas to ensure a balanced and sustainable transition to electric mobility. The 30% EV aim set by India can only be achieved when rural areas are also given the same level of importance in the charging development sector.
SIAM, a national body that represents all major vehicles and vehicle manufacturers in India, conducted a study and found that in 2023, EVs accounted for 6.3% of total vehicle sales, with a total volume reaching 41.08 lakh units. The data also indicates that the industry witnessed a significant jump of 50% in the market compared to the previous year. However, prominent obstacles continue to hamper the growth of charging infrastructure, particularly in rural areas.
For instance - Rural Mobility Challenges: EVs are cheaper than petrol vehicles, which is leading to more adoption of electric-driven vehicles in rural areas. Moreover, government incentives further make them cost-effective, offering lucrative buying opportunities to customers. However, this is not enough. The lack of adequate charging infrastructure acts as a barrier to the adoption of EVs.
Grid Reliability: Reports suggest that over the last few months, India’s power demand rose by 12%, adding pressure to the country’s grid. More pressure on the power grid will lead to rampant power shortages in rural areas, which will directly impact the charging infrastructure. The only alternative solution to avoid this problem is to generate electricity through renewable resources that include solar and wind panels.
Geographical Diversity: The states and cities of India boast a diverse geographical landscape. They have various terrains that might need different EV chargers for different regions. For example, in places where waterlogging is a problem during the monsoon period, only water-resistant charging infrastructure can work, whereas, for areas with power shortages, solar panel charging infrastructure could be more suitable.
Strategies for Overcoming Challenges
The implementation of electric vehicle (EV) charging systems in rural areas presents significant challenges, mainly due to high costs and economic development concerns. In sparsely populated areas, the cost of installing and maintaining EV chargers can be disproportionately high compared to expected usage. Several strategies have commonly been employed to solve these challenges. One such strategy is deploying renewable energy, mostly for remote rural areas. Today, solar or wind energy-backed power solutions are considered tangible means to supplement energy for grid solutions. Pune City has 18 EV charging stations run by Maharashtra State Electricity Distribution Co. Ltd. (MSEDCL). Under this project, a solar-powered EV charging station will be established in a village.
While implementation of EV charging infrastructure is difficult in rural areas due to the high cost and limited benefits, Public-Private Partnerships (PPP) can play an important role in reducing the gap by collaborating with the government and private sectors to facilitate investment. The capital inflow could help rural areas step forward in the process of EV transition.
Moreover, technologies such as wireless charging will be available in the future, which can shift the balance of power further for charging infrastructure located in rural areas. The solution would also work for rural areas by removing the need for physical connections (similar to wireless charging), as seen with portable chargers. Further, government incentives similar to FAME-II could facilitate the growth of rural EV ecosystems, leading to the development of infrastructure, which will eventually boost sales. Such efforts will help strengthen charging point networks in rural areas and amplify the adoption of electric vehicles in rural communities.
Hence, leveraging PPPs, advancing technology, and securing policy support could become vital for making rural EV charging infrastructure a reality and ensuring a sustainable future. Such efforts can help rural communities access cleaner transportation options and increase the national EV adoption rate, supporting India's climate goals and economic growth. A strategic approach to ensure balanced development in these key areas will help eliminate the prominent challenges in rural areas and ensure uniform adoption of electric vehicles in both rural and urban areas.
- Akihiro Ueda, CEO, Terra Charge
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