Decoding Charging Station Cost - Insights into Setting Up EV Charging Infrastructure in India

Decoding Charging Station Cost - Insights into Setting Up EV Charging Infrastructure in India

Explore how to set up an EV charging station in India, including set-up cost breakdown & government incentives. Dive into the thriving EV market today!


Don’t you want to be a part of a world where everyone follows a sustainable lifestyle that helps our planet? Well, adopting electric vehicles and setting up an EV charging station surely account for this. Keep reading this blog to understand how to setup an EV charging station and the cost involved. 

The EV industry is taking India by storm, however, with this revolution, the need for a strong charging infrastructure is necessary. As Indian consumers adopt eco-friendly commutes, the demand for accessible and efficient charging stations is increasing. 

Growth of the Electric Vehicle (EV) Market in India

The Indian EV market is witnessing immense growth and is being backed by government incentives, environmental consciousness, technological advancements, and affordability. According to the India Energy Storage Alliance (IESA), India’s EV sales were more than 1.7 million in 2023, and with this, the need for a reliable charging infrastructure is evident.

Overview of the Cost Involved in Setting Up an EV Charging Station in India

Setting up an EV charging station in India involves several cost components, like the price of the charging equipment, installation charges, and ongoing maintenance. The initial investment can range from a few lakhs for a basic setup to several crores for a charging hub - depending on factors like location, infrastructure, and charging equipment. Understanding these financial requirements is crucial for investors and businesses before venturing into this market.

How to Set Up an EV Charging Station in India

Establishing an EV charging station in India requires a strategic approach to sustain the market effectively. Below are the key steps that businesses can follow before setting up an EV charging station.

Choosing a Location for the Charging Station

Selecting an optimal location for setting up an EV charging station is critical for a successful business. An ideal location should include high-traffic areas like shopping malls, office complexes, residential communities, and along major highways.

Obtaining Necessary Permits and Adhering to Guidelines Set by the Ministry of Power and Niti Aayog

In India, before proceeding to set-up an EV charging station, it is mandatory to obtain essential permits and approvals from the Ministry of Power and Niti Aayog. Below are the details:

  • Compliance: Ensure all regulatory requirements are met by obtaining the necessary permits and approvals from local and national authorities.
  • Guidelines: Follow the standards and guidelines issued by the Ministry of Power and Niti Aayog, which cover safety, technical, and operational aspects of running an EV charging station.

If you want to get more information on the permits and guidelines, then visit the Ministry of Power and Niti Aayog website.

Installing Charging Equipment That Meets International and Domestic Standards

It is crucial for businesses to invest in high-quality charging equipment that adheres to both international and domestic standards, like IEC 61851 for international and CEA & DISCOM for domestic guidelines. 

A few key considerations when selecting charging equipment:

  • Power output and charging speed
  • Compatibility with different EV models
  • Safety features and certification
  • Network connectivity and payment integration

Check the BIS website for more details on domestic EV charging station standards.

Marketing the EV Charging Station for Maximum Visibility

Once the EV charging station is operational in the correct location, the next most important step is to market the station to EV owners. Using digital platforms like Google Maps, charging station locator apps, and social media to increase visibility. Additionally, collaborating with EV manufacturers, local businesses, and issuing offers for first-time users can also help in marketing. 

Types of EV Charging Stations

As India transitions towards sustainable transport with electric vehicles, having a diverse charging infrastructure is paramount. Each type of charging station serves a unique purpose, making it essential to understand their differences to make a wise decision while setting up a station.

AC Charging Station - Affordable and Suitable for Longer Parking Durations

AC chargers are also referred to as Level 1 and Level 2 chargers, and AC charging stations are the most common and cost-effective option. This is ideal for locations where vehicles are parked for extended periods, such as residential complexes, workplaces, or shopping malls. These stations offer slower charging speeds but are convenient for overnight or prolonged charging sessions.

DC Charging Station - Offers Fast Charging, Reducing Charging Time for Quick Needs

DC chargers are also known as fast chargers, and DC charging stations offer quick charging capabilities. These stations are ideal for locations where drivers need a quick top-up or have limited time to spare, such as highways and petrol pumps. These stations deliver high-power charging and significantly reduce the charging time - perfect for those in a time crunch.

Battery Swapping Stations - Quick Battery Exchange for Reduced Infrastructure Requirements and Flexibility

Battery swapping stations present a unique alternative to traditional charging methods by allowing EV owners to quickly swap their depleted battery for a fully charged one. This business idea helps reduce wait times and reduces the need for an extensive charging infrastructure. Battery swapping stations are particularly suitable for commercial fleets or areas with high EV traffic.

Cost Estimates for Setting Up a Public Charging Station in India

Setting-up a public EV charging station in India involves various cost elements that need to be carefully considered. Continue to read in order to understand the various expenses involved. 

Breakdown of Charging Station Cost Elements for EVs

The overall cost of setting up a charging station encompasses several components:

  • Electricity connection and grid upgrades expenses to handle the load
  • Civil work expenses for constructing the station infrastructure
  • EVSE management software for monitoring & billing and operational efficiency expenses
  • Technician salaries and regular maintenance expenses
  • Advertising and marketing expenses
  • Land lease or land purchase costs, depending on the location

Understanding these components is vital in estimating the overall charging station cost.

Infrastructural and Charger Costs With Estimated Expenses

According to industry estimates, the infrastructural costs for setting up a charging station can range from ₹5 lakhs to ₹20 lakhs, depending on the site conditions and electricity connection requirements. The cost of charging equipment varies based on the type and power output, with AC chargers ranging from Rs 50,000 to Rs 1 lakh and DC fast chargers costing between Rs 2 lakh and Rs 14 lakh. 

As mentioned, the infrastructure and charger costs vary based on the type of station being installed:

  • AC stations are less expensive due to simpler technology and lower power requirements. For a basic setup like Bharat AC - 001 the cost is Rs 65,000 - depending on the specific equipment and installation location.
  • DC stations require more robust infrastructure and therefore come with higher costs. Specific setups like the Bharat Bharat DC - 001 charging station could cost around Rs 2.5 lakh, while more advanced CCS-type chargers could go up to Rs 14 lakh.
  • Battery swapping involves different expenses related to the purchase and management of battery inventories. 

Government Initiatives and Subsidies

The Indian government understands the importance of a sustainable transport system and recognizes the role of a strong EV charging infrastructure. Hence, it has implemented various initiatives and subsidies to encourage EV adoption and charging infrastructure in the country. Continue to read this guide to get more insights on the initiatives. 

Government Policy on EV Charging Stations, Including License-free Setup and Mandatory Spacing

The Ministry of Power has outlined a detailed policy framework for setting up EV charging stations. The policy includes:

  • No license is required for setting up public charging stations - this simplifies the process for new entrants.
  • Mandatory spacing of at least one charging station every 25 km on both sides of highways/roads.
  • Provisions for setting up charging stations at residential areas, malls, and other public places.

In order to get more insights on these policies, please check out this consolidated policy framework by the Indian Government. 

Subsidy Details Under the FAME India Scheme Phase-II

The Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India (FAME India) Scheme Phase II provides subsidies for the establishment of EV charging infrastructure. This includes:

  • Subsidy of up to 15% for public AC charging stations and up to 60% for public DC fast-charging stations
  • Additional incentives of up to 40% for two-wheelers, four-wheelers, buses, etc. 

More details on these incentives can be found on the official FAME website.

Financial Incentives by the Indian Government to Encourage the Establishment of Charging Stations

Beyond the FAME India Scheme, the Indian government also offers various financial incentives to promote investment in EV charging infrastructure, and they are:

  • Tax exemptions and reduced GST rates on charging equipment
  • State-level incentives, such as subsidies and land allotment

For more insights on these benefits, you may visit the official website of the Indian Government. Additionally, you may also check out this blog by Pulse Energy on “Starting an EV Charging Station Business in India” that mentions detailed information on these schemes and subsidies. 


In conclusion, as India transitions towards sustainable mobility, the business opportunity for EV charging stations is vast. This blog talks about the cost involved in setting up a charging station and the factors that influence the cost, like location, infrastructure requirements, and the type of charging equipment. However, by utilizing incentives and schemes from the government, automotive companies and entrepreneurs can invest in this business and contribute to a greener planet. 

Do you still have queries regarding how to set-up an EV charging station and the kind of cost involved? Well, Pulse Energy is here for you. Reach out to us with your problems, and let us give you quick and easy solutions for them.

Continue reading

Best Home EV Chargers in the UK
EV Charging Solutions and Management

Best Home EV Chargers in the UK

Andersen A2, Easee One, EO Mini Pro 3, etc. What should you look for when choosing the best EV Chargers in the UK? Find the best one for your needs!
Unveiling the EV Lifecycle Costs: A Comprehensive Guide
EV Charging Solutions and Management

Unveiling the EV Lifecycle Costs: A Comprehensive Guide

Explore the intricate world of EV lifecycle costs and gain valuable insights into the long-term financial implications of owning an electric vehicle.
Sign up for our expert EV charging services today
Sign Up


Enter keywords and click search.