Economy

Govt revises EV charging station norms; prescribes revenue sharing model for land, open access

Rishi Ranjan Kala | Updated on: Jan 15, 2022
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Revised norms cover individual owners and public charging stations

In a significant development, the Power Ministry has put into effect the revised guidelines and standards for electric vehicle (EV) charging infrastructure in a bid to encourage faster adoption of EVs in the country as well as to fast track the setting up of related infrastructure. The revised norms cover individual owners and public charging stations (PCS). Promulgated on Friday, the major revision in the consolidated guidelines and standards for public and private entities are with respect to land. Now they can get government land for setting up charging stations through a revenue sharing model for 10 years. It also allows a government land-owning agency to offer land to a private entity for setting up PCS on a bidding basis with floor price of ₹1 per kilowatt hour (kWh). 

Open access

Another notable change is more clarity on open access. Any PCS can now get electricity from any generation company through open access within 15 days of receipt of its application. PCS operators will have to pay applicable surcharge, equal to the current level of cross subsidy (not more than 20 per cent as per Tariff Policy Guidelines), transmission charges and wheeling charges. No other surcharge or charges will be levied. Besides, an individual or entity is free to set up a PCS without requiring a license, but the station will have to meet technical, safety as well as performance standards and protocols under the guidelines. They will also have to abide by norms set up by Power Ministry, Bureau of Energy Efficiency (BEE) and Central Electricity Authority (CEA) from time to time. For personal vehicles, the revised guidelines allow EV owners the freedom to charge at their residence or their offices using their existing electricity connections. EY Partner and Leader (Power & Utilities) Somesh Kumar said, “Clearly the objective of electrification of transport can be realised only if adequate and reliable EV charging infrastructure is in place. Ministry has tried to clarify on certain points which have been gap areas for long. Allowing users to charge using regular electricity connections, prescribing ceiling tariffs, allowing open access, laying down revenue sharing model for land use, creation of database etc, all will facilitate faster and more efficient adoption of EVs”. The Bureau of Energy Efficiency (BEE) will be the central nodal agency for rollout of EV PCS. It is also preparing action plans for PCS installation in nine major cities with a million plus population, including the four metros. As per initial estimates, a total of 3,263 chargers under BAU scenario, 23,524 chargers under moderate scenario and 46,397 under aggressive scenario are being targeted for installation of PCS in these cities by 2030. PCS will be required to tie up with at least one online Network Service Provider to enable advance remote or online booking of charging slots by EV owners, the Ministry said.

Published on January 15, 2022

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