How to start your EV Charging Station Business and what to look for?
Alternatives to gasoline or diesel automobiles that are also affordable and ecologically beneficial include electronic vehicles (EVs). The term “EV” refers to any vehicle that uses electric combustion either entirely or in part.
These vehicles run on electric batteries or a combination of petrol and electricity instead of fuel. However, just like gasoline, diesel, or gas stations, electric car charging facilities are required. The EV charging stations offer the chargers needed to recharge an EV’s batteries while driving.
It’s not difficult to start an Electric vehicle charging station. This article will cover every aspect of beginning an EV charging station business, including expenses, earnings, franchising opportunities, how to increase revenue, outcompete competitors, and how to attract more clients.
Electric vehicle supply equipment (EVSE), commonly known as a charging station, is a piece of equipment that provides electrical power to charge electric automobiles (cars, trucks, buses, and others).
Types of EV Charging:
Depending on the level of charging they offer, there are three different kinds of electric chargers for EVs:
- Charging at Level 1 (Slow Charging) – It is a basic charging device that operates slowly. It can be used on residential circuits and draws 120 volts (V) through an Alternating Current (AC) connector. Through this apparatus, a battery can be charged for between eight and twelve hours. It is primarily utilized in homes for overnight EV charging.
- Charging at Level 2 (Standard Charging) – With a 240-volt (V) AC plug, it offers an average charging time of 4 to 6 hours. All EVs, including plug-in electric hybrid cars, can use it. These stations are typically found in public parking lots, businesses, and residential structures.
- Charging at Level 3 (Rapid Charging) – Using a 480 volt (V) direct current (DC) connector, it can charge a battery up to 80% in 20 to 30 minutes. It is incompatible with all EVs, though. Only public charging stations are able to have them installed.
How to start a charging station business:
Although the Ministry of Energy must provide authorization, there is no official license needed to start an EV charging station business. The governments of several nations provide several subsidiaries for commercial Public EV Charging Stations equipment machinery.
Setting up an EV Charging Station requires the following infrastructure:
- Installation of a transformer, safety gear, and substation gear.
- 33/11 KV cables and related line and meter equipment.
- Installations and civil works.
- Land area for car entry and egress as well as charging.
- Installation of all charger models that comply with regional and global standards.
The price to construct an electric charging station relies on the station’s dimensions, power, and potential, i.e., Ample room for moving vehicles is also required, and the cost to start an EV charging station company varies from 14,000 to 50,000 dollars. There are three different kinds of chargers: slow, standard, and rapid. The Indian government has removed the licensing requirements for starting an EV Charging Station business.
The setup cost will be recovered by an operator in around three years if we assume 8 hours of use per day and a profit margin of about 10 cents per unit of electricity charged.
The expense of operating, which includes on-time salary payments and equipment maintenance, may appear prohibitive, according to EVS reporters.
However, a long-term perspective and the ability to make investments should keep you strong until the day when the business will surely be lucrative.
The cost of an EV charging station franchise is low, and we will cover every aspect of running an EV two- and four-wheel charging station franchise in this blog.
Ten main firms provide everyone in the world with EV charging franchises: ChargePoint, Hyundai Motor Company,Shell, ABB, Siemens, Tesla, Webasto,Hyundai Motor Company, Schneider Electric, EV Box, and Blink Charging.
EV charging business models:
Here are some successful EV charging business models that could work for you:
- Regional networks for fast charging:
There is commercial potential in inter-regional and inter-city infrastructure gaps for big private and public enterprises, such as retail chains, hotel groups, and utilities. It usually takes a lot of internal resources and long-term collaboration work.
- Local programs for small companies:
Typically, accommodations, services, activities, and accessibility are where tourist destinations compete.
Businesses suffer, and visitor numbers drop when accessibility is poor. Electric vehicle infrastructure is becoming crucial and presents a financial opportunity for towns, cities, and tourist destinations that depend on highway connectivity for guest access.
- Business EV charging:
Retailers, shopping centers, motels, quick service restaurants, auto parking companies, and any other types of businesses with off-street parking can now offer EV charging with little effort.
A larger chain, such as a hotel or fast food corporation, may also make a more calculated decision to implement commercial EV charging.
- Businesses and e-fleets:
The use of e-fleet in large organizations is growing. Fleet managers are switching to Electric vehicles in response to employee demand and the requirement to satisfy sustainability goals. However, the strong commercial case is what is most propelling the adoption of fleet EVs.