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Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Foreword by NITI Aayog
i
Status quo analysis of various segments of
electric mobility and low carbon passenger road
transport in India
In Cooperation with
Status quo analysis of various segments of
electric mobility and low carbon passenger
road transport in India
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Foreword by NITI Aayog
2
Disclaimer: While care has been taken in the collection, analysis, and compilation of the data Deutsche
Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH does not guarantee or warrant the accuracy,
reliability, completeness or currency of the information in this publication. The information provided is without
warranty of any kind. GIZ and the authors accept no liability whatsoever to any third party for any loss or
damage arising from any interpretation or use of the document or reliance on any views expressed herein. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Foreword by NITI Aayog
iii
Foreword by NITI Aayog
In 2015, India signed the historic Paris climate agreement along with more than 170 na tions, marking a
significant step that brought together developing and developed nations in combating global warming by
cutting down on greenhouse gas emissions.
At COP21, India had pledged to reduce its carbon footprint by 33-35% by 2030 below 2005 levels. It has
also pledged to increase the share of non-fossil fuels-based electricity to 40 per cent by 2030. Considering
the same, it is high time to switch to alternative fuel options to minimize air pollution and rising crude oil
import bill of the country so that we can meet our commitments at the global level.
The transport sector in India is the largest user of oil and second largest source of CO2 emissions world-
wide. India has seen a rapid increase in adoption of automobiles since the last ten years. Currently, Indian
transportation sector accounts for one-third of the total crude oil consumed in the country, where 80% is
being consumed by road transportation alone. It also accounts for around 11% of total CO2 emissions from
fuel combustion.
Government of India had notified the National Electric Mobility Mission Plan 2020 which seeks to enhance
national energy security, mitigate adverse environmental impacts from road transport vehicles and boost
domestic manufacturing capabilities for Electric Vehicles. In addition to this, the Government has notified
Phase-II of Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme to stimulate
the market of EVs in the country, de-licensed the charging infrastructure business and specified guidelines
& standards for charging infrastructure for electric vehicle thereby opening up the market of public charging
infrastructure & ensuring a roadmap for development of charging infrastructure, and introduced various
financial incentives to reduce upfront cost of EVs and charging infrastructure.
While, Government of India has taken crucial steps towards faster adoption of EVs, there are several
challenges and gaps existing in the EV ecosystem that must be addressed. In this context, the report on
“Status quo analysis of various segments of E-mobility and low carbon passenger road transport in India” is
a welcome initiative. It is believed that that the report will stimulate concerted and coordinated efforts by
Policy makers, Regulators, Utilities, OEMs and other value chain players to understand the existing gaps in
current landscape of EV industry India and the key action items required for enabling accelerated adoption
of EVs to support India’s vision of transitioning to sustainable and green mobility.
The team acknowledges and appreciates the contributions of all the stakeholders, who provided critical
inputs in shaping up the report.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | About the study
iv
About the study
On behalf of the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety
(BMU), the Nationally Determined Contribution-Transport Initiative for Asia (NDC-TIA) is a joint project of
seven organisations and with the engagement of China, India, and Vietnam. It aims at promoting a
comprehensive approach on decarbonizing transport i.e. a coherent strategy of effective policies that are
coordinated among various sector ministries, civil society, and the private sector. The overall aim of the
project, which is being implemented by the consortium of seven organisations together to support countries
in facilitating and informing these stakeholder processes and in developing selected climate actions. This
enables partners to make a sectoral contribution towards achieving their NDCs and increase ambition in
transport sections of long-term strategies and 2025 NDCs.
In this context, under the regional technical assistance programme NDC -TIA; one of the activities was to
“Perform a status quo analysis/investigation on different segments in India” (e.g. 2W, cars, trucks, buses,
freights) under its International Climate Initiative (IKI). This analysis provided us the existing status,
opportunities, challenges, gaps, and way forward for low carbon road transport in India. Different types and
technologies, services, business models, standards, protocols, contribution in India’s long-term NDCs and
other climate action and clean energy targets were assessed for various segments of low carbon road
transport including electric mobility.
The main objective or goal of this study is to examine the Low-Carbon Road Transport (LCRT)/E-mobility
development, accomplishments so far, supported by the policy, schemes, and regulatory interventions in
India.
The global average temperature is on a continuous rise and has been a cause of worry for leaders across
the world. As per NASA, 19 out of the 20 warmest years have occurred in the 21
st
century. The rise in change
in global temperature was an alarming bell and therefore needed immediate global attention. The 21
st
yearly
session of the Conference of the Parties (COP21) took place in Paris on 30 November 2015. It laid the
foundation for global climate change agreement that came into being on 04 November 2016. The central
aim of the Paris Agreement was to strengthen the global response to the threat of climate change by limiting
the global temperature rise to 1.5 - 2 degree Celsius above pre-industrial levels for the 21
st
century, along
with increasing the ability of countries to deal with the impact of climate change. Worldwide, Energy Sector
had contributed 73% of GHG emission
1
in 2016. Within the energy sector, transportation accounted for 7.9
GtCO2e in 2016, or 15% of total emissions.
Figure 1 Change in global surface temperature relative to 1951-1980 average temperatures
Source: 1 NASA's Goddard Institute for Space Studies (GISS)
1
Greenhouse Gas Emissions by Countries and Sectors (access here)
-0.6
-0.4
-0.2
0
0.2
0.4
0.6
0.8
1
1.2
1880 1883 1886 1889 1892 1895 1898 1901 1904 1907 1910 1913 1916 1919 1922 1925 1928 1931 1934 1937 1940 1943 1946 1949 1952 1955 1958 1961 1964 1967 1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006 2009 2012 2015 2018
Temperature Anomaly (
°
C)
Annual temperature mean
Lowess smoothing Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | About the study
v
Transport industry of India and emission challenges
With one of the lowest motorization rates in the world (22 cars per 1,000 people
2
), India is among the fastest
growing countries in transportation sector. From 2011 to 2020, India’s domestic vehicle sale (2W, 3W,
Passenger Vehicle, Commercial Vehicle) has grown at ~4% CAGR. With rising income and rapid urbanization,
the Indian mobility market is expected to expand rapidly.
Transportation, however, has contributed significantly in India’s overall GHG emission. During year 2016,
transport sector contributed to 270.6 MT CO2e of GHG emission
3
, third highest, only after power industry
and industrial combustion. Within transportation, road transport has been the highest contributor to the
GHG emission
4
. With the rising transport industry, India is also facing intense emission challenges.
Figure 2 Pollution level in India in the past has been alarming
Source: 2 IQAir
India therefore has a great opportunity to leapfrog towards decarbonizing the transport system to meet its
NDC commitments and to overcome environmental issues which would likely to become more severe, if
remain unaddressed, as India has huge prospects for growth.
LCPRT and e-mobility: India’s solution for sustainable growth of transportation sector
As India is experiencing acute challenges in controlling its carbon emissions, the country expects the
emission level to grow even further as its transport industry is expanding. To tackle the emission from the
transport industry, India is moving towards “zero or low carbon emission” transportation model by promoting
the use of alternative fuel vehicles and Electric Vehicles (EVs).
In 2009, through its National Biofuels policy, India sets an “aspirational” target to blend 20% biofuels into
the diesel and petrol mix by 2017. However, it has fallen well short of these targets. So far, it has attained
only around 2% bioethanol and 0.1% biodiesel blend in 2018. Further, India came up with its first passenger
vehicle fuel efficiency standards in 2014 that came into being in 2017. However, they are still less stringent
than the EU norms.
In addition, India has also set the national target of achieving 30% EV sales penetration by 2030 and
launched National Mission on Transformative Mobility and Battery Storage to promote localization of EV
component manufacturing. Alongside the various central level interventions, several states have also notified
their respective policies for promoting Electric Vehicles which cover subsidy and tax exemptions, among
other incentives, for consumers/ buyers.
However, with all these efforts in place, the market for EVs in India hasn’t picked-up as
expected.
Low growth in this domain instigates to do a deeper analysis to identify the barriers, challenges and gaps
existing in the EV ecosystem that needs to be addressed to unveil the growth of e-mobility and other LCPRT
systems in India.
2
India motorization rate (access here)
3
The Carbon Brief Profile: India (access here)
4
Distribution of greenhouse gas emissions from the transport sector in India in 2014 by type (access here) India was ranked 5
th
in world’s most
polluted countries in
2019
6 of the world’s 10
most polluted cities
were in India in
2019 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | About the study
vi
The structure of the report is highlighted as follows:
Chapter 1 deals with the As-is state of passenger road transport system in India including existing options
for clean mobility and review of passenger transport vehicle technologies.
Chapter 2 provides the market landscape of EV components, EV charging infrastructure, role of distribution
utility, consumer perception and roles of financial institutions.
Chapter 3 highlights the Central and State level policies on e-mobility, key gaps and recommendations and
also covers the Regulations and Technical standards covering e-mobility and clean fuels.
Chapter 4 provides a deep-dive into the forms and business models of e-mobility, charging infrastructure,
e-buses and provides a review of Model Concession Agreement for procurement of e -Buses and highlights
key gaps / improvement areas.
Chapter 5 provides the overview and key outcomes of stakeholder consultations and highlights the key
barriers in adoption of EVs and charging infrastructure through a mix of such consultations and international
best practices.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Table of Contents
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Table of Contents
Foreword by NITI Aayog ................................................................................................. iii
About the study ............................................................................................................. iv
Table of Contents ........................................................................................................... vii
List of Figures ................................................................................................................. x
List of Tables ............................................................................................................... xvii
Abbreviations ............................................................................................................... xx
1. As-is state of passenger road transport system in India ................................................ 1
Road transport industry in India.......................................................................................... 1
India’s automobile sector ................................................................................................... 1
Fuel import status of India ................................................................................................. 4
1.3.1 Fuel import and India’s Current Account Balance (CAB) ............................................................ 5
India’s options for clean mobility ......................................................................................... 6
1.4.1 Electric vehicles .................................................................................................................. 6
1.4.1.1 Two-wheeler EV segment ................................................................................................. 7
1.4.1.2 Three-wheeler EV segment ............................................................................................. 10
1.4.1.3 Four-wheeler EV segment ............................................................................................... 12
1.4.1.4 E-buses ....................................................................................................................... 13
1.4.1.5 Electric Vehicles @2030 ................................................................................................. 15
1.4.2 Hydrogen ........................................................................................................................ 16
Passenger transport vehicle technologies ........................................................................... 18
1.5.1 Hydrogen fuel cell vehicles ................................................................................................. 19
1.5.2 Electric vehicles ................................................................................................................ 20
1.5.2.1 Overview ..................................................................................................................... 20
1.5.2.2 Operating principle ........................................................................................................ 21
1.5.2.3 Types of powertrains ..................................................................................................... 21
1.5.2.4 Battery technologies ...................................................................................................... 21
1.5.2.5 Cost of an electric vehicle ............................................................................................... 23
1.5.2.6 Electric vehicle charging infrastructure ............................................................................. 23
1.5.2.7 Information and Communication Technologies (ICT) ........................................................... 24
1.5.2.8 Battery management system (BMS) ................................................................................. 26
1.5.3 Vehicle technology comparison ........................................................................................... 29
1.5.3.1 Total cost of ownership (TCO) ......................................................................................... 29
1.5.3.2 Environmental impact .................................................................................................... 30
2. Review and assessment of electric vehicle and charging infrastructure stakeholder
landscape ..................................................................................................................... 33
Policy and regulatory landscape ........................................................................................ 33
2.1.1 Roles of various ministries in EV ecosystem .......................................................................... 33
2.1.1.1 Ministry of Heavy Industries and Public Enterprises (MoHI&PE) ............................................ 33
2.1.1.2 Ministry of Road Transport and Highways (MoRTH) ............................................................. 34 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Table of Contents
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2.1.1.3 Ministry of Power .......................................................................................................... 34
2.1.1.4 Ministry of Housing and Urban Affairs (MoHUA) .................................................................. 35
2.1.1.5 Ministry of Finance ........................................................................................................ 35
2.1.1.6 Ministry of Environment, Forest and Climate Change .......................................................... 35
2.1.1.7 Ministry of Science and Technology .................................................................................. 35
2.1.1.8 Review of key policies notified by central government ......................................................... 37
EV components OEM landscape ......................................................................................... 37
2.2.1 EV component manufacturer .............................................................................................. 38
2.2.2 Battery manufacturer ........................................................................................................ 39
2.2.3 Gaps and challenges ......................................................................................................... 39
EV charging landscape ..................................................................................................... 43
2.3.1 EV charging infrastructure – market landscape ...................................................................... 44
2.3.2 Procurement of EV charging infrastructure ............................................................................ 46
2.3.3 Setting up EV charging infrastructure in India ....................................................................... 48
2.3.3.1 Preparation of business model ......................................................................................... 48
2.3.3.2 Location identification .................................................................................................... 50
2.3.3.3 Civil works and equipment selection ................................................................................. 53
2.3.3.4 Obtaining power connectivity and inspection ..................................................................... 61
2.3.4 Battery swapping – market landscape .................................................................................. 65
Distribution utility – market landscape ............................................................................... 67
2.4.1 Role of Distribution utility in EV marketplace ......................................................................... 67
2.4.2 Discom role in providing “make-ready” infrastructure ............................................................. 68
2.4.2.1 Discom role in Building, Owning and Operating of Charging Station ...................................... 71
2.4.3 Discom role in inspection and auditing of charging infrastructure ............................................. 71
2.4.4 Discom role in managed charging ........................................................................................ 73
2.4.5 Challenges ....................................................................................................................... 74
Consumers – market landscape ........................................................................................ 75
Financial institutions – market landscape ........................................................................... 77
2.7. Summary ....................................................................................................................... 79
2.8. Gaps in EV landscape ...................................................................................................... 81
2.9. Risks & challenges to EV stakeholders ............................................................................... 82
2.10. Recommendations ........................................................................................................... 85
3. Review of policy, regulation and technical standards for electric mobility and LCPRT ...... 87
Policy initiatives .............................................................................................................. 87
3.1.1 Electric mobility ................................................................................................................ 87
3.1.1.1 Central policies ............................................................................................................. 87
3.1.1.2 State policies ................................................................................................................ 93
3.1.1.3 Summary of state policies ............................................................................................. 121
Promotion of electric mobility by California (USA) and China ......................................................... 123
Key recommendations for state policies ...................................................................................... 124
3.1.2 Clean fuel ....................................................................................................................... 127
3.1.2.1 Initiatives for monitoring and control of air pollution in India .............................................. 127
Regulations and technical standards ................................................................................ 140
3.2.1 Electric mobility ............................................................................................................... 140
3.2.1.1 CEA regulation on grid interconnection and electrical safety standards ................................. 140 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Table of Contents
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3.2.2 Clean fuel ....................................................................................................................... 145
3.2.2.1 Emission standards in India ........................................................................................... 147
3.2.2.2 Fuel quality standard .................................................................................................... 152
3.2.2.3 Average fuel consumption standard ................................................................................ 156
3.2.2.4 Fuel Efficiency.............................................................................................................. 157
4. Review of Services and Business Models in electric mobility ...................................... 162
Framework for assessment of business models ................................................................. 162
Key business models promoting uptake of electric mobility................................................. 162
4.2.1 Mobility .......................................................................................................................... 163
4.2.1.1 Electric vehicles ........................................................................................................... 163
4.2.1.2 Traction battery ........................................................................................................... 178
4.2.2 Infrastructure .................................................................................................................. 181
4.2.2.1 EV charging infrastructure ............................................................................................. 181
4.2.2.2 Future EV charging business models ............................................................................... 187
4.2.3 Energy ........................................................................................................................... 189
4.2.3.1 Virtual Power Plant (VPP) .............................................................................................. 190
4.2.4 E-Buses .......................................................................................................................... 191
4.2.4.1 Procurement model for E-buses ...................................................................................... 191
4.2.4.2 Financing mechanism for e-bus ...................................................................................... 198
4.2.4.3 Review and analysis of Model Concession Agreement for procurement of e -Buses .................. 204
Review of charging infrastructure landscape in India ......................................................... 214
4.3.1 Development of public charging infrastructure through competitive bidding basis ...................... 215
4.3.2 Development of charging infrastructure through collaboration or MoUs .................................... 216
4.3.3 Captive development by fleet operator and OEMs ................................................................. 217
4.3.4 Home and workplace charging – collaboration with real estate developers ................................ 219
4.3.5 Battery Swapping Stations ................................................................................................ 220
5. EV ecosystem enablers and barriers ....................................................................... 221
5.1. Electric mobility stakeholder consultation ......................................................................... 221
5.2. Key barriers in EV charging infrastructure ........................................................................ 226
5.3. Key challenges and barriers in adoption of EV ................................................................... 230
6. Annexure ............................................................................................................ 233
Chapter 1 As-is state of passenger road transport system in India ...................................... 233
Chapter 2 Review and assessment of electric vehicle and charging infrastructure stakeholder
landscape ............................................................................................................................... 248
Chapter 3 Review of policy, regulation and technical standards for electric mobility and LCPRT267
Chapter 4 Review of Services and Business Models in electric mobility ................................. 289
Chapter 5 EV ecosystem enablers and barriers ................................................................. 312
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
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List of Figures
Figure 1 Change in global surface temperature relative to 1951-1980 average temperatures .................. iv
Figure 2 Pollution level in India in the past has been alarming .............................................................. v
Figure 3 Gross Value Added (GVA) contribution from transportation sectors during FY19 ......................... 1
Figure 4 GVA (INR Tn) from road transport sector (FY15- FY19) ........................................................... 1
Figure 5 Vehicle categories and associated services in Indian market .................................................... 2
Figure 6 Domestic vehicle production trend of India ............................................................................ 2
Figure 7 Domestic vehicle sales trend of India .................................................................................... 2
Figure 8 Category-wise vehicle export trend in India from FY15 to FY20 ................................................ 3
Figure 9 Need for India to shift its mobility strategy ............................................................................ 3
Figure 10 Fuel-wise share in overall vehicle sale ................................................................................ 3
Figure 11 Issues arise from high conventional vehicle on the road ........................................................ 4
Figure 12 % consumption of fuel sources by road transport industry ..................................................... 4
Figure 13 Change in production and import of crude oil and natural gas (FY13-FY19(P))......................... 4
Figure 14 Oil and Natural gas reserves in India and their share at global level ........................................ 5
Figure 15 Impact of oil price fluctuation on India’s oil import bill........................................................... 5
Figure 16 Clean and low carbon technologies on road in India with share in sales ................................... 6
Figure 17 Year-wise EV sales trend from FY15 to FY20 in India ............................................................. 6
Figure 18 Category-wise distribution of EV sales in India ..................................................................... 7
Figure 19 Reasons for domination of two-wheelers in Indian automobile market ..................................... 7
Figure 20 Emerging players in 2W EV space (1/2) .............................................................................. 8
Figure 21 Emerging players in 2W EV space (2/2) .............................................................................. 8
Figure 22 Variation in cost of 2W EV and conventional vehicles (ICE) .................................................... 9
Figure 23 State-wise 2W EV presence and their share in all India 2W EV population (till July 2020) ....... 10
Figure 24 State-wise 3W EV presence and their share in all India 3W EV population (till July 2020) ........ 12
Figure 25 State-wise 4W EV presence and their share in all India 4W EV population (till July 2020) ........ 13
Figure 26 Major players in e-buses segment in India ......................................................................... 13
Figure 27 State-wise cumulative e-buses sales (FY17 onwards) and their share in all India e-buses
population (till July 2020) ............................................................................................................. 14
Figure 28 EV Sales penetration projected by NITI Aayog by 2030 ....................................................... 15
Figure 29 Actual and projected EV sales by 2030 as per NITI Aayog projections ................................... 15
Figure 30 Overview of Indian mobility landscape .............................................................................. 16
Figure 31 Advantages of hydrogen over conventional and battery vehicles for long haul and frieght vehicles
.................................................................................................................................................. 18
Figure 32 Vehicle components and the technology differentiator ......................................................... 19
Figure 33 Conventional and non-conventional fuel technologies in passenger vehicles in India ............... 19
Figure 34 Propulsion system of a hydrogen fuel cell vehicle ............................................................... 19 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
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Figure 35 Operating principle of a hydrogen fuel cell vehicle .............................................................. 20
Figure 36 Propulsion system of an electric vehicle ............................................................................. 21
Figure 37 Illustration of a lithium-ion battery ................................................................................... 22
Figure 38 Commercial stage of key battery technologies .................................................................... 22
Figure 39 EV cathode market share by 2025 .................................................................................... 22
Figure 40 Category-wise vehicle export trend in India from FY15 to FY20 ............................................ 23
Figure 41 Classification by EVSE output – AC and DC ........................................................................ 23
Figure 42 Application of ICT across transportation ............................................................................ 24
Figure 43 ICT - Key for smart mobility ............................................................................................ 25
Figure 44 Utilizing ICT in real time data updation and communication for during EV charging ................. 26
Figure 45 Illustration of a battery management system (BMS) ........................................................... 27
Figure 46 System architecture of BMS ............................................................................................. 28
Figure 47 Cell balancing in battery pack .......................................................................................... 29
Figure 48 Fuel category-wise lifetime CO2 emission ........................................................................... 31
Figure 49 Environmental impact of achieving 30% EV penetration by 2030 .......................................... 31
Figure 50 Ecosystem of electric mobility in India .............................................................................. 33
Figure 51 Policy and regulatory structure for EVs in India .................................................................. 36
Figure 52 Key national level initiatives to promote adoption of electric vehicles - Timeline ..................... 36
Figure 53 Overview of India auto ancillary industry FY19 ................................................................... 38
Figure 54 Categorization of OEMs in EV space .................................................................................. 38
Figure 55 Impact of rise of electric mobility on auto component industry ............................................. 39
Figure 56 Global reserves for metal used in battery manufacturing ..................................................... 43
Figure 57 Summary of gaps in OEMs electric mobility market ............................................................. 43
Figure 58 Refueling in electric mobility ............................................................................................ 44
Figure 59 Value chain of EV charging infrastructure .......................................................................... 44
Figure 60 Total EV charging stations in India - 2020 ......................................................................... 45
Figure 61 Share of Charging point operators .................................................................................... 45
Figure 62 Charging stations awarded by DHI under FAME – II Scheme ................................................ 45
Figure 63 Charging infrastructure provider and EVSE operators in India .............................................. 45
Figure 64 Procurement of EV charing infrastructure .......................................................................... 46
Figure 65 Key aspects of EOI released by DHI under FAME II scheme ................................................. 47
Figure 66 State-wise break-up of charging stations sanctioned by DHI ................................................ 47
Figure 67 Process of setting up an EV charging infrastructure ............................................................ 48
Figure 68 Types of charging stations ............................................................................................... 48
Figure 69 Levels of EV charging ...................................................................................................... 49
Figure 70 Pricing mechanism options for EV charging ........................................................................ 50
Figure 71 EV charging station business models ................................................................................. 50
Figure 72 3x3 Km grid for EV charging station (illustrative) ............................................................... 51
Figure 73 Shortlisting criteria for selection of location for EV charging station....................................... 52 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
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Figure 74 Hardware required to setup EV charging infrastructure ........................................................ 54
Figure 75 Approved EV chargers for public charging in India .............................................................. 54
Figure 76 Key requirements for selection of equipment ..................................................................... 55
Figure 77 Services offered by NSPs and key players .......................................................................... 58
Figure 78 EV charging communication infrastructure ......................................................................... 58
Figure 79 Communication protocol for managed charging (Illustrative) ............................................... 59
Figure 80 Process for obtaining electricity connection for EV charging station ....................................... 62
Figure 81 Process flow chart of installation of a public charging station in Greater Houston Area ............. 63
Figure 82 Gaps in existing EV charging infrastructure ........................................................................ 65
Figure 83 Value promosition for battery swapping............................................................................. 65
Figure 84 Typical arrangement at Battery swapping station (BSS) ...................................................... 66
Figure 85 Private players in battery swapping space ......................................................................... 66
Figure 86 Reasons for low adoption of battery swapping in India ........................................................ 67
Figure 87 Rationale for adoption for rate basing in California .............................................................. 70
Figure 88 Categories of managed charging ...................................................................................... 73
Figure 89 Advantages of managed charging ..................................................................................... 73
Figure 90 Key challenges for Discoms with high EV penetration .......................................................... 75
Figure 91 Consumer preference for their next vehicle purchase .......................................................... 75
Figure 92 Consumer preference to own BEVs with change in petrol prices ........................................... 75
Figure 93 Reasons consumers consider hybrids or BEVs .................................................................... 76
Figure 94 Consumer willingness to pay extra for an EV ...................................................................... 76
Figure 95 Minimum driving range consumers are expecting from a BEV (km) ....................................... 76
Figure 96 Amount of time consumers are willing to wait for full EV charging ........................................ 76
Figure 97 Responsibility of building accessible EV public charging infrastructure ................................... 77
Figure 98 Role of financial institution in uptake of electric mobility ...................................................... 77
Figure 99 Snapshot of FAME I scheme ............................................................................................. 89
Figure 100 Outlay break-up under FAME II ...................................................................................... 90
Figure 101 Category-wise no. of vehicles to be subsidized under FAME II ............................................ 90
Figure 102 Demand incentive category-wise distribution in FAME II .................................................... 90
Figure 103 Snapshot of FAME II and progress till date ....................................................................... 90
Figure 104 States with notified and draft EV policy ........................................................................... 93
Figure 105 State EV policy analysis framework ................................................................................. 93
Figure 106 Snapshot of promotional measures for EV value chain players ............................................ 94
Figure 107 Other key measures taken by Delhi for uptake of electric mobility ...................................... 95
Figure 108 Snapshot of promotional measures for EV value chain players ............................................ 96
Figure 109 Other key measures taken by Andhra Pradesh for uptake of electric mobility ....................... 97
Figure 110 Snapshot of promotional measures for EV value chain players ............................................ 99
Figure 111 Other key measures taken by Uttar Pradesh for uptake of electric mobility .......................... 99
Figure 112 Snapshot of promotional measures for EV value chain players .......................................... 101 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
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Figure 113 Other key measures taken by Maharashtra for uptake of electric mobility .......................... 101
Figure 114 Snapshot of promotional measures for EV value chain players .......................................... 102
Figure 115 Other key measures taken by Uttarakhand for uptake of electric mobility .......................... 103
Figure 116 Snapshot of promotional measures for EV value chain players .......................................... 104
Figure 117 Other key measures taken by Karnataka for uptake of electric mobility ............................. 105
Figure 118 Snapshot of promotional measures for EV value chain players .......................................... 107
Figure 119 Other key measures taken by Madhya Pradesh for uptake of electric mobility..................... 107
Figure 120 Snapshot of promotional measures for EV value chain players .......................................... 109
Figure 121 Other key measures taken by Kerala for uptake of electric mobility................................... 109
Figure 122 Snapshot of promotional measures for EV value chain players .......................................... 111
Figure 123 Other key measures taken by Tamil Nadu for uptake of electric mobility ............................ 112
Figure 124 Snapshot of promotional measures for EV value chain players .......................................... 113
Figure 125 Other key measures taken by Bihar for uptake of electric mobility .................................... 114
Figure 126 Snapshot of promotional measures for EV value chain players .......................................... 116
Figure 127 Other key measures taken by Punjab for uptake of electric mobility .................................. 116
Figure 128 Snapshot of promotional measures for EV value chain players .......................................... 119
Figure 129 Other key measures taken by Telangana for uptake of electric mobility ............................. 119
Figure 130 India's initiatives for monitoring and control of air pollution – Timeline .............................. 127
Figure 131 Institutional mechanism of AQM ................................................................................... 128
Figure 132 Snapshot of air pollution monitoring and institutional mechanism ..................................... 129
Figure 133 Timeline of air quality standards adopted by India .......................................................... 130
Figure 134 India: Problems with pollution ...................................................................................... 132
Figure 135 Snapshot of National Clean Air Programme .................................................................... 132
Figure 136 Key components of NCAP............................................................................................. 133
Figure 137 Key sectoral interventions under NCAP .......................................................................... 133
Figure 138 Action points for transport and power sector under NCAP ................................................ 134
Figure 139 Segregation of action plans across identified sectors under NCAP ..................................... 135
Figure 140 Timeline for promotion of use of biofuels in India ............................................................ 137
Figure 141 Blending rate of ethanol has been low in recent year....................................................... 137
Figure 142 Key observation of the Auto Fuel Vision Committee ......................................................... 139
Figure 143 Key safety considerations ............................................................................................ 141
Figure 144 Key parameters for grid, equipment and life safety in EV charging, and mapping with CEA
specified guidelines ..................................................................................................................... 142
Figure 145 Eight missions identified under National Action Plan on Climate Change (NAPCC) ............... 145
Figure 146 India's key Intended Nationally Determined Contribution (INDC) targets for the period 2021 to
2030 ......................................................................................................................................... 145
Figure 147 Adoption of emission norms by India - Timeline .............................................................. 148
Figure 148 Timeline adoption of emission standards by India, EU and China ...................................... 149
Figure 149 Comparision in emission norms for 2W and 3W under BS IV and BS VI ............................. 150 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
xiv
Figure 150 Comparision in emission norms for light duty vehicles under BS IV and BS VI .................... 151
Figure 151 Comparision in emission norms for heavy duty vehicles under BS IV and BS VI .................. 152
Figure 152 Trend in permissible limit for gasoline contents in different BS standards........................... 153
Figure 153 Trend in permissible limit for diesel contents in different BS standards .............................. 154
Figure 154 BS IV to BS VI transition – Challenges and opportunities ................................................. 156
Figure 155 Conversion factor of different fuel types to petrol equivalent ............................................ 156
Figure 156 Fuel efficiency for vehicles in India ............................................................................... 157
Figure 157 Methodology to calculate CO2 savings under CAFE norms and India’s emission target for
passenger cars ........................................................................................................................... 158
Figure 158 Global emission targets from passenger vehicles by leading countries ............................... 159
Figure 159 Business model framework .......................................................................................... 162
Figure 160 Value-wheel for businesses to promote uptake of electric mobility among customers .......... 163
Figure 161 Evolution of models and services in mobility .................................................................. 164
Figure 162 Car sharing business models based on service provider and consumer relationship ............. 169
Figure 163 Home network illustration for an EV user ....................................................................... 175
Figure 164 Roaming in EV charging............................................................................................... 176
Figure 165 Payment methods for enabling electric mobility services .................................................. 178
Figure 166 Overview of a battery life-cycle with recycling ................................................................ 178
Figure 167 Sample design of a battery subscription service arrangement........................................... 180
Figure 168 Players involved in charging infrastructure business ........................................................ 182
Figure 169 EESL business model .................................................................................................. 185
Figure 170 Business models in deployment and operation of EV infrastructure ................................... 186
Figure 171 Business innovation in EV charging vis-à-vis market development stages .......................... 187
Figure 172 Business innovation in EV charging in the growth stages ................................................. 188
Figure 173 Electric vehicle connection technologies to end-user ....................................................... 190
Figure 174 Virtual power plant for aggregating power from EVs ........................................................ 190
Figure 175 PPP models in city bus private operations ...................................................................... 191
Figure 176 Snapshot of Gross Cost Contract (GCC) PPP model ......................................................... 192
Figure 177 Advantages and disadvantages of GCC for authority and bus operators ............................. 193
Figure 178 Snapshot of Hybrid Gross Cost Contract (GCC) PPP model ............................................... 193
Figure 179 Advantages and disadvantages of Hybrid GCC for authority and bus operators ................... 194
Figure 180 Snapshot of Net Cost Contract (NCC) PPP model ............................................................ 195
Figure 181 Advantages and disadvantages of NCC for authority and bus operators ............................. 195
Figure 182 Snapshot of Hybrid Net Cost Contract PPP model ............................................................ 196
Figure 183 Advantages and disadvantages of Hybrid NCC for authority and bus operators ................... 196
Figure 184 Contract selection framework parameters ...................................................................... 198
Figure 185: Financing options for e-buses...................................................................................... 198
Figure 186: Operating lease arrangement in GCC model in India under FAME scheme ......................... 204
Figure 187 Routes for development of EV charging infrastructure ..................................................... 215 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
xv
Figure 188 EESL Exicom's AC-DC charging stations for EVs .............................................................. 216
Figure 189 Priority for policy measures to fast track EV adoption in India .......................................... 221
Figure 190 Ranking major challenges for EV adoption in India .......................................................... 221
Figure 191 Priority areas for policy makers to catalyze EV adoption .................................................. 222
Figure 192 Priority technical interventions to promote uptake of electric mobility ................................ 223
Figure 193 Ranking challenges faced in setting up EV charging station .............................................. 223
Figure 194 Pan India single window clearance facility ...................................................................... 223
Figure 195 Policymaker's priority for developing charging infrastructure ............................................ 224
Figure 196 Regulatory measures for promoting charging infrastructure development in the country ...... 224
Figure 197 Need for a state coordinated forum as a common platform for state representatives to promote
electric mobility .......................................................................................................................... 225
Figure 198 Category-wise vehicle export trend in India from FY15 to FY20 ........................................ 233
Figure 199 India's crude oil production, import, consumption and import dependency (FY13-FY19(P)) .. 233
Figure 200 India's natural gas production, import, consumption and import dependency (FY13 -FY19(P))
................................................................................................................................................ 233
Figure 201 Total no. of buses - public and private (FY11-FY17) ........................................................ 233
Figure 202 Fuel-wise share in sales of buses in India ...................................................................... 234
Figure 203 Trend in sales of 2W, 3W and 4W segments from FY12 to FY20 ........................................ 235
Figure 204 Fuel wise break of annual vehicle sales .......................................................................... 235
Figure 205 YoY sales trend in key vehicle fuel technologies .............................................................. 236
Figure 206 Trend of e-bus adoption and its share in overall bus sales................................................ 236
Figure 207 Total vehicles sold by key electric mobility OEMs (Cumulative) ......................................... 236
Figure 208 Propulsion system of a petrol vehicle ............................................................................ 238
Figure 209 Propulsion system of a diesel vehicle ............................................................................. 239
Figure 210 Propulsion system of a CNG vehicle .............................................................................. 239
Figure 211 Key amendments in revised charging infrastructure guidelines and standards .................... 252
Figure 212 Assessment of overall cost of charging through home and public chargers ......................... 255
Figure 213 Expected EV sales by 2030 .......................................................................................... 256
Figure 214 Energy charge tariff for EVs in Indian states (INR/kWh) .................................................. 264
Figure 215 Functions of a network service provider ......................................................................... 266
Figure 216 AQI data for 31st March 2020 and 2019 ........................................................................ 270
Figure 217 CEA stakeholders for forming EV charging regulations ..................................................... 283
Figure 218 Potential revenue streams for business in the electric mobility ecosystem .......................... 289
Figure 219 Payment methods for enabling electric mobility services .................................................. 290
Figure 220 Swipe transaction at PoS ............................................................................................. 290
Figure 221 Transaction using NFC at PoS ....................................................................................... 290
Figure 222 QR payment ............................................................................................................... 291
Figure 223 Summary of mobility business models ........................................................................... 292
Figure 224 Snapshot – Key global EV charging business models ....................................................... 292 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
xvi
Figure 225 Classification of e-bus charging methodologies based on way of electricity transfer ............. 296
Figure 226 Profit & Loss statement ............................................................................................... 303
Figure 227 Balance sheet ............................................................................................................ 304
Figure 228 Cash flow statement ................................................................................................... 305
Figure 229 NPV - Basecase .......................................................................................................... 306
Figure 230 Parameters considered to assess sensitivity of the project ............................................... 307
Figure 231 Project sensitivity w.r.t charging station utilization .......................................................... 307
Figure 232 Year-wise charging station utilization at 30% YoY growth ................................................ 308
Figure 233 Model output - Scenario I ............................................................................................ 308
Figure 234 Project sensitivity w.r.t retail tariff ................................................................................ 308
Figure 235 Project sensitivity w.r.t EV charging tariff ...................................................................... 309
Figure 236 Project sensitivity w.r.t charging station utilization with no subsidy ................................... 309
Figure 237 Year-wise charging station utilization at 35% YoY growth ................................................ 310
Figure 238 Model output - Scenario IV .......................................................................................... 310
Figure 239 Survey participants category break-up .......................................................................... 312 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Tables
xvii
List of Tables
Table 1 2W (Conventional and EV) offerings by traditional OEMs .......................................................... 8
Table 2 List of OEMs approved under FAME II scheme (1/2) ............................................................... 11
Table 3 List of OEMs approved under FAME II scheme (2/2) ............................................................... 11
Table 4 Four wheeler offerings (conventional and EV) by key OEMs in India ......................................... 12
Table 5 Anticipated EV adoption path in India ................................................................................. 16
Table 6 Applications of hydrogen in various sectors........................................................................... 17
Table 7 ICT - bridge between conventional and smart vehicle ............................................................ 25
Table 8 Total cost of ownership calculation of fuel technologies .......................................................... 30
Table 9 Localization timelines under PMP for key components ............................................................ 40
Table 10 2030 localization potential of EV components ...................................................................... 42
Table 11 Key factors to consider in multi-criteria decision making for selection of location for EV charging
infrastructure ............................................................................................................................... 51
Table 12 Typical process for acquisition of land ................................................................................ 53
Table 13 International communication standards and their description ................................................ 59
Table 14 Advantages of battery swapping stations to the stakeholders ................................................ 66
Table 15 NEMMP Targets ............................................................................................................... 87
Table 16 Key policy guidelines of Delhi EV policy .............................................................................. 94
Table 17 Key policy guidelines of Andhra Pradesh EV policy ............................................................... 96
Table 18 Key policy guidelines of Uttar Pradesh EV policy .................................................................. 98
Table 19 Key policy guidelines of Maharashtra EV policy .................................................................. 100
Table 20 Key policy guidelines of Uttarakhand EV policy .................................................................. 102
Table 21 Key policy guidelines of Karnataka EV policy ..................................................................... 104
Table 22 Key policy guidelines of Madhya Pradesh EV policy ............................................................ 106
Table 23 Key policy guidelines of Kerala EV policy .......................................................................... 108
Table 24 Key policy guidelines of Tamil Nadu EV policy .................................................................... 110
Table 25 Key policy guidelines of Punjab draft EV policy .................................................................. 115
Table 26 Key policy guidelines of Telangana draft EV policy ............................................................. 118
Table 27 Tabular comparison of state EV policies ............................................................................ 121
Table 28 AQI categorization and associated health impacts .............................................................. 130
Table 29 State-wise focus area on electric mobility and alternate fuel ............................................... 135
Table 30 Key provisions of grid connectivity of DER regulation by CEA for EV charging operators .......... 140
Table 31 Safety Provisions for Electric Vehicle Charging Stations as per Safety and Electric Supply
Regulations, 2019 ....................................................................................................................... 140
Table 32 Additional provisions for EV charging station adopted globally ............................................. 142
Table 33 Key international standards on EV charging safety and grid interconnection .......................... 143
Table 34 Standards on communication between Utility and EV charging station .................................. 144 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Tables
xviii
Table 35 Measures adopted by India to curb emission level ............................................................. 146
Table 36 Similarity in fuel specification for gaoline and diesel in BS VI and Euro 6 .............................. 148
Table 37 Engine technological upgrades from BS IV to BS VI ........................................................... 155
Table 38 Formula for calculation of Average Fuel Consumption Standard for Manufacturer ................... 156
Table 39 Average fuel consumption standard for passenger cars in India ........................................... 157
Table 40 Timeline for notification of CAFÉ norms for different vehicle category ................................... 158
Table 41 Phase I - Category N3- Rigid vehicles at 40 km/h .............................................................. 160
Table 42 Phase II - Category N3– Rigid vehicles at 40 km/h ............................................................ 160
Table 43 Fuel consumption calculation for N2 category vehicles ........................................................ 161
Table 44 Fuel consumption calculation for M2 and M3 category vehicles ............................................ 161
Table 45 Integrated value chain - BaaS ......................................................................................... 181
Table 46 Shape of EV charging industry - Present and future ........................................................... 188
Table 47 Features of PPP city bus operation models ........................................................................ 197
Table 48 Subsidy provided by China for e-buses ............................................................................. 199
Table 49 Review of Uttar Pradesh, Gujarat & Maharashtra e-bus procurement RfP .............................. 210
Table 50 State-wise total number of EVs (as on Jul'20) ................................................................... 234
Table 51 Key actions by auto players in India ................................................................................. 237
Table 52 Various levels of charging and rated capacity (power) ........................................................ 241
Table 53 Charging time for a Chevy Bolt ........................................................................................ 241
Table 54 Various contacts in a charging gun .................................................................................. 242
Table 55 IEC 60309 charging connector ........................................................................................ 242
Table 56 Charger characteristics ................................................................................................... 244
Table 57 Communication protocol for managed charging ................................................................. 246
Table 58: Protocols and uses ....................................................................................................... 247
Table 59 Total cost of ownership calculation of fuel technologies ...................................................... 248
Table 60 NEMMP Targets ............................................................................................................. 249
Table 61 Technical requirement of slow and fast chargers ................................................................ 251
Table 62 MoHUA guidelines for public charging stations ................................................................... 252
Table 63 City-wise developments ................................................................................................. 254
Table 64 Inputs and assumptions for cost benefit analysis ............................................................... 255
Table 65 Expected public charging stations in India by 2030 ............................................................ 257
Table 66 BEE appointed State Nodal Agencies (SNA) for EV charging infrastructure ............................ 257
Table 67 Power utilities in the field of EV charging .......................................................................... 261
Table 68 Inspection checklist of an EV charging station ................................................................... 261
Table 69 Key fleet operators in India ............................................................................................. 264
Table 70 Comparison of norms specified under NAAQS and WHO guidelines ....................................... 269
Table 71 MoHUA guidelines for public charging stations ................................................................... 282
Table 72 Vehicle categories and description ................................................................................... 283
Table 73 Category N3- Rigid vehicles at 60 km/h ............................................................................ 284 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Tables
xix
Table 74 Category N3- Tractor Trailer vehicles at 40 km/h ............................................................... 284
Table 75 Category N3- Tractor Trailer vehicles at 60 km/h ............................................................... 285
Table 76 Category M3- Vehicles at 40 km/h ................................................................................... 285
Table 77 Category M3- Vehicles at 60 km/h ................................................................................... 285
Table 78 Category N3– Rigid vehicles at 40 km/h ........................................................................... 285
Table 79 Category N3– Rigid vehicles at 60 km/h ........................................................................... 285
Table 80 Category N3– Tractor Trailer vehicles at 40 km/h .............................................................. 285
Table 81 Category N3– Tractor Trailer vehicles at 60 km/h .............................................................. 286
Table 82 Category M3– Vehicles at 40 km/h .................................................................................. 286
Table 83 Category M3– Vehicles at 60 km/h .................................................................................. 286
Table 84 Innovation to curb CO2 emission...................................................................................... 286
Table 85 Active and passive safety standards ................................................................................. 288
Table 86 Decision framework to selected suitable PPP contract for e-bus procurement ........................ 295
Table 87 E-bus charging technologies ........................................................................................... 301
Table 88 General assumptions...................................................................................................... 301
Table 89 Model output on project feasibility ................................................................................... 306 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xx
Abbreviations
2W Two-wheeler
3W Three-wheeler
4W Four-wheeler
AC Alternating Current
AIS Automotive Industry Standards
APERC Andhra Pradesh Electricity Regulatory Commission
AQM Ambient Air Quality Monitoring
ARAI Automotive Research Association of India
ARR Aggregate Revenue Requirement
BBMP Bruhat Bengaluru Mahanagar Palike
BDBP Biodiesel Blending Program
BEE Bureau of Energy Efficiency
BEV Battery Electric Vehicle
BHIM Bharat Interface for Money
BHP Brake Horsepower
BIS Bureau of Indian Standards
BMS Battery Management System
BOO Build Own Operate
BOOT Build Own Operate Transfer
BS Bharat Stage
BSS Battery Swapping Station
CAB Current Account Balance
CAFÉ Corporate Average Fuel Efficiency
CAGR Compound Annual Growth R ate
CAN Controller Area Network
CCS Combined Charging System
CCTV Closed-circuit television
CEA Central Electricity Authority of India
CHAdeMO CHArge de MOve - Japanese fast-charge, Direct Current (DC) standard for electric vehicles
CMS Central Management System
CMV Central Motor Vehicle Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xxi
CNG Compressed Natural Gas
COD Commercial Operation Date
COP Conference of Parties
CPCB Central Pollution Control Board
CPUC California Public Utilities Commission
CSFC Constant-speed Fuel Consumption
DC Direct Current
DER Distributed Generation
DHI Department of Heavy Industries
DISCOMs Distribution Companies
DMRC Delhi Metro Rail Corporation
DR Demand Response
EBPP Ethanol Blended Petrol Programme
ECU Electronic Control Unit
EESL Energy Efficiency Services Limited
EM Cities Electric Mobility Cities
EMSP Electro Mobility Service Provider
EPF Employees' Provident Fund
EV Electric Vehicle
EVCS Electric Vehicle Charging Station
EVSE Electric Vehicle Supply Equipment
EVSEO Electric Vehicle Supply Equipment Operators
FAME Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India
FY Financial Year
GCC Gross Cost Contract
GDP Gross Domestic Product
GFR General Financial Rules
GHG Greenhouse Gas
GNCTD Government of National Capital Territory of Delhi
GPS Global Positioning System
GVA Gross Value Added
GVW Gross Vehicle Weight
HEV Hybrid Electric Vehicle Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xxii
HMI Human-Machine Interface
MoHI&PE Ministry of Heavy Industries and Public Enterprises
HPCL Hindustan Petroleum Corporation Limited
IBEF India Brand Equity Foundation
ICE Internal Combustion Engine
ICT Information and Communications Technology
IEC International Electrotechnical Commission
IEEE Institute of Electrical and Electronics Engineers
INDC Intended Nationally Determined Contributions
INR Indian Rupee
IOCL Indian Oil Corporation Limited
IoT Internet-of-Things
IRR Internal Rate of Return
IS Indian Standard
ISO International Organization for Standardization
KPI Key Performance Indicators
LAN Local Area Network
LCO Lithium Cobalt Oxide
LCPRT Low-Carbon Passenger Road Transport
LCV Light Commercial Vehicle
LED Light Emitting Diode
LFP Lithium Iron Phosphate
LMO Lithium-ion Manganese Oxide
MCA Model Concession Agreement
MCV Medium Commercial Vehicle
MoEF&CC Ministry of Environment, Forest and Climate Change
MPERC Madhya Pradesh Electricity Regulatory Commission
MSL Minimum Service Levels
MTOE Million Tonnes of Oil Equivalent
NAAQS National Ambient Air Quality Standards
NABL National Accreditation Board for Testing and Calibration Laboratories
NAMP National Ambient Air Quality Monitoring Programme
NBEM National Board for Electric Mobility Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xxiii
NBP National Biofuel Policy
NCC Net Cost Contract
NCEM National Council for Electric Mobility
NCR National Capital Region
NDMC New Delhi Municipal Council
NEMMP National Electric Mobility Mission Plan
NMC Nickel-Manganese-Cobalt
NPV Net Present Value
NSP Network Service Provider
OCPP Open Charge Point Protocol
OEM Original Equipment Manufacturer
OICA Organisation Internationale des Constructeurs d'Automobiles
International Organization of Motor Vehicle Manufacturers
OMC Oil Marketing Companies
OSCP Open Smart Charging Protocol
PAT Perform Achieve and Trade
PCI Public Charging Infrastructure
PHEV Plug-in Hybrid Electric Vehicle
PISC Project Implementation and Sanctioning Committee
PMP Phased Manufacturing Programme
PPP Public Private Partnership
QCBS Quality and Cost Based Selection
REIL Rajasthan Electronics & Instruments Limited
SDO Standards Developing Organization
SERC State Electricity Regulatory Commission
SIAM Society of Indian Automobile Manufacturers
SNA State Nodal Agencies
SOC State of Charge
SOH State of Health
STU State Transport Utility
TANGEDCO Tamil Nadu Generation and Distribution Corporation
TCO Total Cost of Ownership
TOU Time of Use
TPEM Technology Platform for Electric Mobility Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xxiv
TSIIC Telangana State Industrial Infrastructure Corporation
UNFCC United Nations Framework Convention on Climate Change
UPI Unified Payments Interface
VGF Viability Gap Funding
VPP Virtual Power Plant
WAN Wide Area Network
WHO World Health Organization
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
1
1. As-is state of passenger road transport
system in India
Road transport industry in India
India has the second-largest road network in the
world, spanning a total length of 5.89 million Kms
6
.
Road transport contributes towards 64.5% of the
country’s overall goods movement and caters to 90%
of India’s total passenger traffic (Figure 3).
Road transport has been a preferred mode of
transport for any passengers and goods movement
vis-à-vis other modes of transport like air, water and
rail transport.
Road transportation contributed towards ~78% of the
total GVA generated by the entire transportation
sector, which accounts for 5.73% of the total GVA
added by the services sector in India.
Growth in urbanization has affected the growth of
road transportation industry as well. From FY15 to
FY19, India’s rate of urbanization increased from
32.78% to 34.47%
7
which further led to the road
transport industry to grow at a CAGR of 9.40%,
resulting in a commensurate growth of the
automobile sector over the same period.
India’s automobile sector
India is the fifth largest automobiles market in the world, with 3.82 million units sold in 2019
8
. Following
schematic highlights the categorization of automobiles in India.
5
As per the System of National Accounts (SNA), gross value added, is defined as the value of output minus the value of intermediate
consumption and is a measure of the contribution to GDP made by an individual producer, industry or sector. At its simplest it gives the
rupee value of goods and services produced in the economy after deducting the cost of inputs and raw materials used.
6
Road Infrastructure in India (access here)
7
India: Degree of urbanization from 2009 to 2019 (access here)
8
Ranking provided by OICA (International Organization of Motor Vehicle Manufacturers) and includes only passenger and commercial
vehicle sales (access here)
Figure 3 Gross Value Added (GVA)
5
contribution from
transportation sectors during FY19
Source: 3 EMIS India transportation sector 2020/2024
Figure 4 GVA (INR Tn) from road transport sector
(FY15- FY19)
Source: 4 EMIS India transportation sector 2020/2024
INR 170.4 Bn
INR 1,243.09 Bn
INR 112.3 Bn
INR 5,306.50 Bn
GVA
FY19
3.70
4.00
4.35
4.73
5.31
FY15 FY16 FY17 FY18 FY19
9.40%
CAGR
Road transport generated the
highest Gross Value Addition
(INR 5.31 Tn) amongst other
transportation segments in
FY19. It contributed ~78%
towards the overall GVA added
by transportation sector during
the year. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
2
Figure 5 Vehicle categories and associated services in Indian market
Source: 5 IEBF, Motor Vehicles Act, 1988
Note: In Contract carriage, single contract with vehicle owner is entered into expressly or impliedly with full control over the vehicle.
Whereas, in Stage carriage there is no single contract with the vehicle owner with no full control over the vehicle and individual fares are
paid. Source – MoRTH (access here)
India manufactured 26.36 Mn vehicles in FY20. The production volume has been increasing at a CAGR of
2.44% since FY15 commensurate with the demand for vehicles, which has also seen a similar steady increase
over the years barring FY20, owing to multiple factors such as slump in economic activities, delay in
consumer purchase decision in hope of availing heavy discount on BS IV vehicles, liquidity crunch due to
collapse of some non-banking financial companies, weak rural demand
9
for two-wheeler passenger vehicles,
etc.
Figure 6 Domestic vehicle production trend of India
Figure 7 Domestic vehicle sales trend of India
Source: 6 SIAM
10
Due to decline in domestic demand for vehicles in FY20, OEMs had resorted to increasing exports to achieve
the desired sale. During FY20, exports of vehicles grew to 4.76 Mn vehicles from 4.62 Mn vehicles in FY19.
9
Weak rural markets hurt 2-wheeler sales (access here)
10
Data has been represented as per the vehicle categorization provided in SIAM report (access here)
Indian Transport
Vehicles
Goods Carrier Passenger Carrier
Private Vehicle Public Vehicle
2W
4W
Contract
carriage
Stage carriage
3W 4W
3W
4W 4W
•Mopeds
•Scooter
•Motorcycle
•Electric 2-Wheeler
•Cars
•Vans
•Jeep
•Electric 4-wheeler
•Cabs/ taxis
•Electric 4-wheeler
3W
•Auto
•e-Auto
•Shared Auto
•Shared e-Auto/ e-rickshaw
•Shared Cabs/ taxis
•Mini-bus
•Bus
•e-bus
•Auto
•E-cart
•Trucks
•Mini-trucks
Commercial Non-Commercial
23.36 24.02
25.33
29.09
30.91
26.36
0
10
20
30
40
FY15 FY16 FY17 FY18 FY19 FY20
No. of vehicles (Million units)
Passenger VehiclesCommercial Vehicles
2W & 3W dominates the domestic Indian auto
market 19.72 20.47
21.86
24.98
26.27
21.55
0
10
20
30
40
FY15 FY16 FY17 FY18 FY19 FY20
No. of vehicles (Million units)
Three WheelersTwo Wheelers Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
3
Figure 8 Category-wise vehicle export trend in India from FY15 to FY20
During FY15 to FY20,
export volumes have
expanded from 15% to
20% of total vehicles
manufactured in India
Source: 7 SIAM
11
It is expected that with growth in urbanization coupled with likely impact of increasing per capita income,
the slump in vehicle sales, as observed during FY20, will not continue in the future. However, the concerns
around environmental impact of conventional fuel and import dependency have pushed India to re-think its
automobile/ transport sector expansion strategy.
Figure 9 Need for India to shift its mobility strategy
In COP21, India had committed to reduce the emission
intensity of its GDP by 33-35% by 2030, from its level in
2005. At present, 97% of Indian vehicles are propelled by
petrol and diesel that have an adverse impact on
environment. Therefore, in order to achieve the GHG
emission target committed under INDC, it is inevitable that
India transits to greener mobility technologies in transport.
Sustained high share of conventional vehicles in overall
passenger automobile mix, would aggravate the energy
security concerns, increase the risk of exposure to oil price
fluctuations in future and lead to increasing GHG
emissions. Therefore, it would be a wiser move to embark
the journey towards green mobility.
11
Data has been represented as per the vehicle categorization provided in SIAM report (access here)
Figure 10 Fuel-wise share in overall vehicle sale
Source: 8 Vahan portal
3.57 3.64
3.48
4.04
4.62
4.76
15% 16%
15%
17%
20%
20%
0%
5%
10%
15%
20%
25%
0.00
1.00
2.00
3.00
4.00
5.00
FY15 FY16 FY17 FY18 FY19 FY20
No. of vehicles (Million units)
Passenger VehiclesCommercial Vehicles
Three WheelersTwo Wheelers
Export as % of total production
~6%
CAGR
Global
warming
Extremely high
conventional vehicle sales
Growth in
domestic pollution
level
Global temperature is rising every year; 19 out of the 20 warmest
years have occurred in the 21st century
India is among the most polluted countries in the world;
ranked fifth in world’s top polluted countries in 2019
97% of the overall vehicle sale in last five years, have
been from conventional vehicles (petrol & diesel)
85% 85% 85% 85% 84%
13% 12% 12% 13% 13%
2% 3% 3% 3% 3%
0%
20%
40%
60%
80%
100%
FY15 FY16 FY17 FY18 FY19Fuel share in overall sale (%)
PetrolDieselOther Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
4
Figure 11 Issues arise from high conventional vehicle on the road
Fuel import status of India
Road transportation industry is
among the highest consumers of
natural gas and high speed diesel
in India (Figure 12).
During FY19, only 12% of overall
crude oil demand and 64% of
natural gas demand was met from
domestic production and balance
was met through imports. Import
trends of crude oil and natural gas
for last five years (FY13 to FY19)
depicts that it has increased
considerably owing to the growth in
the road transport sector.
Decline in production
of crude oil and
natural gas during
FY13 to FY19 has
further contributed
towards country’s
import dependency
The import dependency of India on
crude oil has been increased from
84% in FY13 to 88% in FY19, whereas, for natural gas, it has increased from 23% to 36% during the same
period.
Crude Oil import dependency: 88% (FY19) Natural Gas import dependency: 36% (FY19)
Limited availability of proven reserves of crude oil and natural gas is an area of concern, as they are not
commensurate with the long term demand of crude oil and natural gas.
Figure 12 % consumption of fuel sources by road transport industry
Source: 9 Indian Petroleum and Natural Gas Statistics 2018-19
Figure 13 Change in production and import of crude oil and natural gas
(FY13-FY19(P))
Source: 10 Indian Petroleum and Natural Gas Statistics 2018-19
Up to
17.1%
share in NG
consumption
3.3%
share in HSD
consumption
HSD: High Speed DieselNG: Natural Gas
Second
highest in
share of
consumption
after power
sector
Highest
contribution in
consumption
along with
railway
transportation
-1.68%3.45%
-3.49%8.51%
Oil
NG
ProductionImport
FY13-FY19(P)
Impact of high conventional
vehicle share
Increased fuel dependency High GHG emission
Low energy security
High Current Account
Deficit (CAD) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
5
Figure 14 Oil and Natural gas reserves in India and their share at global
level
Source: 11 Indian Petroleum and Natural Gas Statistics 2018-19
India’s proven reserves of crude oil and
natural gas have declined during FY12 –
FY18. Crude oil reserves have reduced at
a CAGR of 3.86%, whereas natural gas
reserves have remained at the same
level as that of FY12 levels.
India’s share in proven global reserves
stands at only 0.3% and 0.7% for crude
oil and natural gas respectively.
India needs to swiftly move away from conventional vehicle
technology in order to avoid higher import dependency
1.3.1 Fuel import and India’s Current Account Balance (CAB)
International crude oil prices have had significant impact on India’s current account balance. Trend of
expenditure on imports as a function of import volumes of crude oil for last nine years is provided at
Figure 15.
Figure 15 Impact of oil price fluctuation on India’s oil import bill
Source: 12 Petroleum Planning and Analysis Cell, Ministry of Commerce and Industry
For year FY16, when oil prices were at 46.17 US$/bbl, CAB was (minus) 1.1% of GDP
12
, whereas it reached
to (minus) 2.1% of GDP
13
during FY19 when oil prices were at 69.88 US$/bbl, although the import volume
remained the same.
Decoupling of Indian automobile sector from oil and natural gas
would improve the overall trade balance of the country
12
RBI Annual Report 2016-17
13
RBI Annual Report 2019-20
0.3%
0.7%
% share in world’s
overall Oil reserves
% share in world’s
overall NG reserves
5.7 5.7 5.7
4.8
4.7
4.5 4.5
1.3 1.3
1.4
1.2 1.2 1.2
1.3
1.1
1.15
1.2
1.25
1.3
1.35
1.4
1.45
0.00
1.00
2.00
3.00
4.00
5.00
6.00
FY12 FY13 FY14 FY15 FY16 FY17 FY18 (P)
Trillion cubic meters
Thousand million barrels
Proven Oil Reserves (Thousand million barrels) Proven Natural Gas Reserves (Trillion cubic metres)
6.72
7.85
8.65
6.87
4.17
4.70
5.66
7.83
7.17
172
185
189 189
203
214
220
226 227
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
8.00
9.00
10.00
0
50
100
150
200
250
FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20
Import (INR
Tn
)
Import (Mn Tn)
Crude Oil Import (INR Tn) Crude Oil Import (Mn MT)
105.52
US$/bbl.
46.17
US$/bbl.
69.88 US$/bbl.
CAB
-22.15 US$
Bn.
CAB
-57.26 US$
Bn.
CAB
-32.40 US$
Bn.
₹
India saved Trillions of rupees
on imports as the prices of
crude oil fell Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
6
India’s options for clean mobility
Although avenues for clean mobility are gaining momentum in India, there is need to have a large scale
adoption to witness a considerable impact on savings in import bill, reduction of GHG emissions and energy
security for the future.
Overall share of electric vehicles and low-carbon road transport
technology in total vehicle sales is less than 1%
14
Among available clean/ low carbon mobility technologies, electric vehicles and CNG vehicles are most
preferred in India. Availability of fiscal incentives for electric vehicles and low prices of CNG compared to
petrol and diesel could explain such preference for these technologies.
Figure 16 Clean and low carbon technologies on road in India with share in sales
Source: 13 Vahan dashboard; % figures are rounded
1.4.1 Electric vehicles
EVs have emerged out as a promising alternative that could help in mitigating the adverse environmental
impacts caused by conventional vehicles.
As on July 2020,
total
registered EVs in
India were
5,18,110
Figure 17 Year-wise EV sales trend from FY15 to FY20 in India
Source: 14 Vahan dashboard (accessed 25th July 2020)
14
This does not include hybrid vehicles (conventional plus non-conventional fuel technology)
Battery
Vehicles
Solar
vehicles
CNG LPG LNG Methanol Ethanol
Electric mobility Low-carbon technology
75% <1% 22% 3% <1% <1% <1%
% share in total clean mobility sales in last five years
2
18
57
97
147
168
0.01%
0.10%
0.29%
0.45%
0.65%
0.77%
0.00%
0.20%
0.40%
0.60%
0.80%
1.00%
0
50
100
150
200
FY15 FY16 FY17 FY18 FY19 FY20
No. of vehicles (‘000)
EVs sales (registered)% share in EVs in total vehicle sale (registered)
133%
CAGR Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
7
Although the numbers of EVs are rising in the country, however, the adoption across vehicle categories
is uneven. The sections provided below aims to explore the possible reasons for such observed
phenomena.
Figure 18 Category-wise distribution of EV sales in India
Source: 15 Vahan dashboard
~79% of the EV addition is from three-wheeler segment, followed
by two wheelers (17%); the four-wheeler segment contributes only
3% towards the overall EVs on the road
1.4.1.1 Two-wheeler EV segment
The Domestic vehicle sales data (refer Figure 7, depicting trends for domestic vehicle sales data cumulative
for conventional and electric vehicle), signifies that the two wheeler segment, with more than 80%
contribution towards total vehicle sales, is the major driver for increased sales in the Indian automobile
sector. The factors which could explain the dominance of two wheeler segment in India is provided at Figure
19.
Figure 19 Reasons for domination of two-wheelers in Indian automobile market
Source: 16 SIAM
Two-wheeler EV segment has grown at a CAGR of 62% in last four years (FY16-20)
15
. The growth is fuelled
by the incentives offered by GoI under its FAME II scheme. Several states have also come up with their EV
policies which provide for fiscal and non-fiscal incentives over and above as provided by GoI.
Although the share of two-wheeler EVs is merely 17% of the overall EV population in the country, it is likely
to follow the similar trend as it is observed in conventional vehicle market today. So far, concerns around
new technology, relatively high prices of EVs (for same performance c ompared to ICE vehicles), range
anxiety, adequate availability of charging facilities etc. have prevented the uptake of two-wheeler EVs.
However, with the maturity in EV technology, price parity achievement and development of the peripheral
infrastructure, the share of two-wheeler EVs is expected to increase. OEMs are also increasingly considering
the two-wheeler EV market as an attractive avenue and therefore many start-ups such as Ather, Revolt,
Okinawa, Evolet etc. have entered this space. The entry of conventional 2W players such as TVS, Bajaj and
15
JMK Research & Analytics – Two wheeler India Market Outlook, May 2020
Why two-
wheeler
dominates
the Indian
market?
1
2
3
Majority of population lives in rural areas; average household
income in India is low
Average motorized trip length in India is less which favors two-
wheeler vehicles
Indian roads have high traffic density encouraging public to use
two-wheelers Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
8
Hero in the EV segment have further proven the attractiveness quotient of this market. Snapshot of players
in two-wheeler EV segment along with their range of products and prices is summarised below.
Table 1 2W (Conventional and EV) offerings by traditional OEMs
Conventional vehicles Electric vehicles
No. of models Price range No. of models Price range
11 models 47k – 111k
8 models
(2 upcoming)
35k – 79k
11 models 44k – 240k 1 model 115k
10 models 43k – 194k 1 model 100k – 115k
3 models 43k – 211k 1 model 80k
Source: 17 Deloitte Analysis
Note: Variants within the model are not considered separately
Figure 20 Emerging players in 2W EV space (1/2)
Entry year 2013 2015 (10 years in India) 2010
(Since 2006 in
EV)
No. of models 2 8 7 1 4
Price range 113k – 150k 39k – 108k 34k – 67k 125k 36k – 51k
Source: 18 Deloitte Analysis
Figure 21 Emerging players in 2W EV space (2/2)
Entry year 2019 2015 2017 2019
No. of models 2 3 3 6
Price range 111k – 129k 51k – 80k 59k -80k 39k – 60k
Source: 19 Deloitte Analysis
It is evident from above that as the segment is evolving, the
companies are offering varieties of models with competing price Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
9
ranges to the customer. This is a good indicator for future prospect
of 2W EVs.
The high prices of electric vehicles compared to ICE vehicles is still posing a big challenge in its adoption.
A cost comparison of EV and ICE 2W vehicles, for similar performance, is shown at Figure 22.
Surveys conducted by Deloitte and various other agencies have also indicated that the huge price
difference is acting as a barrier in large scale adoption of electric vehicle over the conventional vehicle.
Figure 22 Variation in cost of 2W EV and conventional vehicles (ICE)
Source: 20 Deloitte Analysis; Ex-showroom price – Delhi
Current prices of 2W
electric vehicles are
higher than the ICE 2W
vehicles in the similar
performance range.
High upfront cost
including future battery
replacement cost posing
challenge in its adoption.
As projected by Bloomberg, lithium battery prices are expected to drop with 10% CAGR during 2018 to
2024
16
. Drop in battery prices and consequential fall in prices of EVs may provide necessary thrust for
high uptake of two-wheeler EVs by bringing them at par with conventional vehicles. It is expected that
sales penetration of 2W would reach to ~24% in 2024
17
from current <1% sales penetration (2019).
Government of India, through FAME II scheme, is also supporting the adoption of two wheelers. Under
the scheme, government is providing maximum subsidy of INR 30,000 on the purchase of 2W electric
vehicle. However, since the scheme is supportive for high speed 2W vehicles, the market is therefore
expected to be shifting towards high speed vehicles.
Source: 21 FAME-II to impact electric 2-wheeler segment most: CRISIL (access here); FAME II dashboard (access here)
16
A Behind the Scenes Take on Lithium-ion Battery Prices (access here)
17
India’s Electric Mobility Transformation (access here)
1.15
1.13
1.08
1.00
0.68
0.55
0.52
0.56
78
80
58
69
93
83
87
90
0
10
20
30
40
50
60
70
80
90
100
0
0.2
0.4
0.6
0.8
1
1.2
1.4
TVS iQubeAther 450Okinawa
IPraise+
Bajaj
Chetak
Electric
Honda CB
Shine
Honda
Activa 5G
Hero
Splendor
Hero
Passion
Top speed (Kmph)
Price ( INR Lakh)
Price Top speed
Box 1: FAME II & high speed 2W vehicles
Under FAME II, electric two-wheeler are mandated to have a minimum range of 80 km per charge and minimum top speed of 40
kmph to qualify for the incentive.
CRISIL, in their assessment of the product portfolio of various EV manufacturers indicated that, “the electric two-wheeler segment
would be impacted the most by FAME-II rules. More than 95 per cent of the electric two-wheeler models being produced now will not
be eligible for incentive under FAME-II.” Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
10
Going forward, it is expected that high speed electric vehicles will be
preferred in the Indian 2W market
Maharashtra accounts for the highest number of 2W EV presence among other Indian states. Thirteen states
in the country account for 95% of all India 2W EV population.
Figure 23 State-wise 2W EV presence and their share in all India 2W EV population (till July 2020)
Source: 22 Vahan dashboard
1.4.1.2 Three-wheeler EV segment
Three-wheeler EV segment contributes to 79% of overall EV presence in India . Currently, this segment is
driving the electrification of the Indian automobile industry. Such high population of 3W EVs could be
described through following reasons:
1. Three-wheelers are not only a mode of transportation but serve as the lifeline for several people formally /
informally employed by their use.
2. 3 W offers better value proposition in the shared mobility space. A ride as low as Rs.10 attracts passenger
to take ride in E-Rickshaw
18
3. There is a growing need for last-mile connectivity with increase of shared mobility through Rail-Metro,
Buses etc. (E-rickshaws tend to bridge the gap between demand and supply of last mile connectivity in the
peripheral areas and areas far off from urban connectivity network). Companies such as Kinetic Green and
SmartE are working with government agencies to offer their e-rickshaws for the last mile connectivity from
metro stations.
4. The cost of maintenance of 3W EV is almost reduced by 80 per cent compared to an ICE vehicle
5 Driving on smaller and known route – no range anxiety issues (which otherwise is a concern for other
electric vehicle categories)
6 E-rickshaws are quieter, cleaner and cheaper to maintain than a traditional auto rickshaw. They also are
less strenuous than cycle rickshaws, which require manual peddling
18
Prices may vary with city, however it still remain low as compared to other conventional means of travel
19905
14021
13223
9997
5374
4792
3681
3224 3197
2624
1708 1447 1218
22%
38%
53%
64%
71%
76%
80%
84%
87%
90%
92%
94% 95%
0%
20%
40%
60%
80%
100%
120%
0
5000
10000
15000
20000
25000
No. of Units
Vehicle presence % Share in all India 2W EV vehicles Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
11
The above factors are expected to drive the business case for investments in in 3W by various OEMs. For
instance, Mahindra and Mahindra has revised its strategy to focus aggressively on development
and sales of electric three-wheelers instead of electric cars in the coming years.
Government is offering subsidy to three-wheelers in the range of INR 32,200 to INR 68,923. Total ten OEMs
have been identified as eligible for subsidy under the FAME II scheme. The list has been provided in the
tables below:
Table 2 List of OEMs approved under FAME II scheme (1/2)
OEM
Best Way
Agencies Pvt.
Ltd
Champion
polyplast
Energy Electric
Vehicles
Khalsa Agencies
Kinetic Green
Energy and
Power Solutions
Ltd
No. of
Models
approved
under
FAME II
2 models 3 models 1 models 1 model 4 models
Source: 23 FAME II dashboard
Table 3 List of OEMs approved under FAME II scheme (2/2)
OEM
Mahindra
Saera Electric
Auto Pvt. Ltd.
Thukral Electric
Bikes Pvt Ltd
Victory Electric
Vehicles
Y C Electric
Vehicle
No. of
Models
approved
under
FAME II
4 models 1 model 1 model 4 models 1 model
Source: 24 FAME II dashboard
Uttar Pradesh accounts for the highest number of 3W EV population among other states in the country.
Cumulatively, nine states contribute to ~96% of total 3W EV population of the country.
Box 2: Mahindra & Mahindra revisiting their strategy on EV – shifting focus to 3W from 4W
segment
Background: M&M was initially focusing on developing electric cars, but they realized that factors like lack of
infrastructure and high prices are keeping customers at bay. The company has thus decided to focus on three-
wheelers which are more commercially viable and can attract considerable passenger demand.
Target: The Company has set a target of selling 10,000 units of 3W electric vehicles on a monthly basis, and has
also been engaging with different state governments and private entities to push these zero-emission vehicles
Recent development : The Company has launched its electric three-wheeler, Treo, in 2019, and has also invested
in a manufacturing capacity for these vehicles in Karnataka. The company has already started supplying these vehicles
to fleet aggregating platforms like SmartE and others. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
12
Figure 24 State-wise 3W EV presence and their share in all India 3W EV population (till July 2020)
Source: 25 Vahan dashboard
1.4.1.3 Four-wheeler EV segment
The four-wheeler EV segment contributes to only 3% share of the country’s overall EV population. There are
limited models available in EV 4W segment. However, major OEMs have planned to introduce more EV
models suitable for Indian market in the future which could possibly increase competition in the market and
boost their adoption.
Table 4 Four wheeler offerings (conventional and EV) by key OEMs in India
Conventional vehicles Electric vehicles
No. of models Price range No. of models Price range
8 models
(3 upcoming)
5L – 20L
4 models
(2 upcoming)
10.54L-25L
10 models
(2 upcoming)
5.5L – 37L
5 models
(2 upcoming)
5.5L-18L
9 models 4.57L-22L 1 model 23.75L
2 models 13L – 18L 1 model 20.88L - 23.58L
Source: 26 Deloitte Analysis; L: Rupees Lakhs
Similar to the other EV vehicle segments, high prices are a major concern for large scale adoption of 4W EV.
One of the key reasons for high EV prices is limited presence of ancillary manufacturers in India. Most of the
auto-parts of these vehicles are imported, with China being the major supplier of EV components to India
19
,
which leads to the increase in prices of EVs. Hence, developing local manufacturing hubs for EV components
19
Impact of EV penetration on Indian Automotive Component Industry (access here)
174063
89493
29192
24988 24605
18906
16599
10282
6225
42%
64%
71%
77%
83%
88%
92%
95%
96%
0%
20%
40%
60%
80%
100%
120%
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
200000
Uttar
Pradesh
DelhiWest Bengal Bihar Assam RajasthanUttarakhandHaryana Jharkhand
No. of Units
Vehicle presence % Share in all India 3W EV vehicles Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
13
could play a major role in bringing down the EV costs in the future and enable the sector to be resilient to
supply disruption due to geo-political disturbances.
As on July 2020, West Bengal has the maximum number of 4W EV presence in the country, followed by
Tamil Nadu.
Figure 25 State-wise 4W EV presence and their share in all India 4W EV population (till July 2020)
Source: 27 Vahan dashboard
1.4.1.4 E-buses
Electric buses are the least adopted vehicle segment among EV, in India. However, with the growing focus
of the GoI to transform the public transportation landscape in the country, several players have ventured
into this arena and have started launching their electric bus models. An illustrative list of such players are
mentioned below:
Figure 26 Major players in e-buses segment in India
OEM Model Range (Km/charge) Price Key highlights
K6 200
Above INR 2 Cr.
Olectra is owned by
Megha Engineering.
It has collaborated
with BYD for e-
buses. First
company to deploy
100 electric buses in
India. Has 160+
buses deployed in
India and has won a
tender for 600 more
buses under FAME-II
K7 200
K8 300
Star Bus Ultra
Electric 6/9
215 NA
60% market share in
FAME-I bus
4118
4049
2082
1674
1348
555
359
217
141 137
27%
53%
66%
77%
86%
90%
92%
93% 94% 95%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0
500
1000
1500
2000
2500
3000
3500
4000
4500
West BengalTamil Nadu DelhiMaharashtraKarnatakaGujaratUttar PradeshHaryana RajasthanJharkhand
No. of Units
Vehicle presence % Share in all India 4W EV vehicles Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
14
OEM Model Range (Km/charge) Price Key highlights
Star Bus Ultra
Electric 9/12
151
deployment. Has
won order for 300 e-
buses from
Ahmedabad Janmarg
Limited and 220 bus
contract under
FAME-II
Circuit – S 50 Above 1.5 Cr
First battery
swapping bus
project in
collaboration with
Sun Mobility in
Ahmedabad
Ecolife Electric 150 Above INR 2 Cr.
JV with Polish bus
maker Solaris
Urban 144
Above INR 1.91 Cr.
JV between PMI
Electro Mobility and
Beiqi Foton Motor
(China). Won
contract for 760
buses under FAME-II
Regio 168
Lito NA
Source: 28 Deloitte Analysis
By observing the sales trend of e-buses in Indian states, Maharashtra, West Bengal and Himachal Pradesh
could be identified as the early adopters of e-buses.
Figure 27 State-wise cumulative e-buses sales (FY17 onwards) and their share in all India e-buses population (till July
2020)
Source: 29 Vahan dashboard
232
83 82
50
41 40
15
10
6
2 2 2
41%
56%
70%
79%
86%
93%
96%
98% 99% 99% 100% 100%
0%
20%
40%
60%
80%
100%
120%
0
50
100
150
200
250
No. of Units
Vehicle presence % Share in all India e-buses population Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
15
1.4.1.5 Electric Vehicles @2030
The Government of India has targeted 30% EV penetration by 2030. However, the momentum required to
achieve the target would require transformational and radical measures to be adopted by Policy makers in
this space.
“NITI Aayog and RMI projected EV sales penetration of 80% for two and three-wheelers, 50% for
four wheelers, and 40% for buses by 2030”
Figure 28 EV Sales penetration projected by NITI Aayog by
2030
Figure 29 Actual and projected EV sales by 2030 as per
NITI Aayog projections
Source: 30 India’s Electric Mobility Transformation (access here)
The ambitious target of adoption of EVs, if achieved, would result in savings of 474 MTOE of oil (approx. INR
15.21 Tn) annually and would cut down CO2 emission by ~846.3 Mn Tons annually.
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
20202021202220232024202520262027202820292030
EV sales penetration (%)
2W 3W 4W Buses
56,594
12,319
10,587
542
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
2030
No. of vehicles (‘000)
2W 3W 4W Buses
89
411
15
0.6
0
100
200
300
400
500
600
700
800
900
1000
2020
No. of vehicles (‘000)
2W 3W 4W Buses
Projected 2030Actual 2020
91%
41%
92%
98%
Required
CAGR Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
16
1.4.2 Hydrogen
Along with using electricity (preferably renewable) to power vehicles, hydrogen is another strong option to
ensure a cleaner future. It has always been considered as a clean energy carrier which can be produced
from renewable and nuclear energy and it also emits clean water.
Box 3: India’s mobility landscape and possible EV adoption
When compared with the advanced countries, India’s mobility landscape is very different. The industry is matured in
the western countries, whereas, in India, it is still evolving. Therefore, the dynamics for EV transition in India are bit
different compared to most of the western world, having developed economies and high per capita income. The key
differentiating factors are shown below:
Figure 30 Overview of Indian mobility landscape
Noting the above-illustrated differences in Indian mobility landscape, EV adoption in the country is also expected to
be influenced by these factors. Table below enlist the expected EV adoption path in the country:
Table 5 Anticipated EV adoption path in India
1. 2W EVs segment would
be the early adopters
compared to 4W EVs
✓ 2W EVs fits perfectly in the equation of Indian mobility:
o Low upfront cost as compare to 4Ws and low cost of
operation;
o Most suitable means of commutation in high traffic areas;
o Ideal for short distance commutation (within city/village)
2. Rise in adoption of 3W
EVs
✓ 3W EVs are the solution for cheap last mile connectivity. Which
is essentially a driving factor for its higher adoption.
✓ As 3W are source of earning for many Indians, will low cost of
operation, uptake of 3W EVs can be expected increase further
3. Greater adoption of EVs
in commercial/ public
segment
✓ As Indian customers prefers public transport, it is expected that
public transport will play greater role in curbing CO2 emission
✓ With low vehicle ownership, commercial fleets are expected to
turn electric owing to their low operation cost
4. Introduction of EVs in
shared mobility
✓ Indian customers are price sensitive, and shared mobility is a
cost effective way to commute. With EVs, the operation cost is
even lower and therefore bringing down the overall cost of
vehicle sharing for customers resulting in higher uptake.
DEPENDENCE ON PUBLIC TRANSPORT
HIGH TRAFFIC DENSITY
LOW VEHICLE OWNERSHIP
HIGH SHARE OF 2Ws & 3Ws
PRICE SENSITIVE CUSTOMERS
India has very low vehicle ownership ratio as compared with
the western countries. Reported in 2018, India has 22 cars
per 1,000 individuals whereas US and UK had 980 and 850
cars per 1,000 individuals.
2W is the most preferred vehicle category for
transportation in India. Sale of 2W contributes to more
than 80% share in overall vehicles sales in the country.
Also, India has high 3W usage than European countries.
The average income of Indian customers is less as compared
to the western customers limiting their affordability for
owning a vehicle. Indian customers are also highly price
sensitive than their global peers
The traffic density of Indian cities are much higher than
their western counterparts. This is largely due to the
limited infrastructure presence for transport in India.
Public transport is the most preferred means of transport in
India; these includes buses, trains, shared autos etc. Also,,
India has higher share of passenger vehicle sales than its
western counterparts.
2
4
1
3
5
LOW AVERAGE COMMUTE DISTANCE
Majority of Indians travels up to 5 km per day on an average
for their work, whereas an American travels around 26 km
every day for work.
6 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
17
Although adoption of hydrogen ensures a clean future, it has a high production cost and is highly inefficient
when compared with other technologies (electric vehicles). Storage and transportation of hydrogen is
another challenge that has hampered its large scale adoption in various countries as well.
However, with technological advances and growing concerns over global warming, hydrogen has emerged
as the “future of energy”. It is the most abundantly found element on earth which can be extracted from a
wide range of substances—including oil, gas, biofuels, sewage sludge and water.
Hydrogen is the “single” solution for the energy needs of multiple sectors. Table 6 below provides the
applications of hydrogen in different sectors.
Table 6 Applications of hydrogen in various sectors
Sector Applications
Replace existing
hydrogen feedstocks
• The primary use case for green hydrogen is to replace the massive amounts of the gas
that are already produced using carbon-intensive methods to satisfy industry needs.
Power generation
and grid balancing
• Decarbonized hydrogen can be used as a fuel for power generation, to provide load
balancing for intermittent renewables, particularly for seasonal storage - a longer time
period than is possible with battery storage.
• Hydrogen is also a source of distributed power for off-grid applications, such as the
military, public safety, and remote communities, providing primary power and cooling
and heating energy.
• Some modern gas turbines can already burn up to 30% hydrogen and 70% natural
gas. They could be retrofitted to run on 100% hydrogen, producing zero carbon
emissions.
• Existing nuclear plants can be used to produce high quality steam at lower costs than
natural gas boilers and potentially used in many industrial processes to allow utilities to
produce and sell hydrogen regionally as a commodity in addition to providing clean and
reliable electricity to the grid.
Transportation
• Powering fuel-cell vehicles is one of the leading use cases for green hydrogen. This can
play an important role in certain transportation segments such as long-haul trucks,
heavy equipment, cars, vans, minibuses, trains, ships, planes and material handling
equipment. Both high efficiency and low emissions could be achieved.
Buildings
• Renewable hydrogen presents an opportunity for gas utilities to respond to growing
pressure to decarbonize their distribution systems.
• Blending hydrogen with natural gas for water and space heating applications can help
decarbonize the building sector in the US with minimal or no end-use appliance
upgrades.
• It can complement the use of heat pumps by meeting heating needs during peak cold
periods. It can produce combined heat and power (e.g., district heating systems) to
provide building climate control.
• Onsite hydrogen fuel cells can provide heat and electricity to buildings.
Industrial Processes
• The ‘lowest hanging fruit’ for large-scale use of hydrogen in decarbonization is the
conversion of existing industrial uses to lower carbon sources of hydrogen since no
process retrofits would be needed (the processes are already running on hydrogen).
• They can serve as a source of decarbonized heat in industrial processes, especially in
high-grade (over 500°C) and medium-grade (100 to 500°C) heat applications, which
are difficult to electrify.
H
2
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Acknowledging the advantages of hydrogen, countries across the globe have taken numerous initiatives
towards production, distribution, and usage of hydrogen.
European Union, in July 2020, mapped out its vision to promote
renewable hydrogen, which is expected to lure an investment of up
to 470 billion euros ($530.72 billion).
In transportation, hydrogen holds great advantage especially for long haul and freight vehicles. These
vehicles are operated year-around covering distance of 1,00,000 – 2,00,000 Kms every year. Majority of
these vehicles use diesel fuel which emits higher pollutants.
An IEA study
20
suggests that, road freight accounts for more than
35% of transport-related carbon dioxide (CO2) emissions, and
around 7% of total energy-related CO2 emissions.
Figure 31 Advantages of hydrogen over conventional and battery vehicles for long haul and frieght vehicles
Hydrogen can help eliminate the pollution causing from diesel heavy duty vehicles. It has energy density
(~120 MJ/kg) around three times more than diesel or gasoline. Half the energy generated by an internal
combustion engine is wasted as heat, whereas Fuel Cell EVs only lose 10%. When compared with battery
vehicles, fuel cell vehicles also hold advantage in terms of their weight. Fuel cell vehicles offer higher range
than battery vehicles at same or even less weight.
Hydrogen production technology is not fully matured yet. One of the clean process of hydrogen production
is through electrolysis which uses power generated from renewable plants. However, researches have been
undergoing to improve the electrolyser in order to make the process more efficient.
Once the technology matures and the cost of hydrogen production
comes down, hydrogen is expected to be used in transport industry
and majority of energy use sectors.
Passenger transport vehicle technologies
Components of a vehicle can be categorized as: (i) Propulsion system; (ii) Chassis; (iii) Automotive
Electronics and (iv) Body. However, to assess vehicles on the basis of technology, the propulsion system is
considered.
20
Road-Freight and Fuel Economy: IEA analysis (access here)
Why
Hydrogen?
High
energy
density
Less
heat
loss
Lighter
than
battery
vehicles
100%
clean Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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Figure 32 Vehicle components and the technology differentiator
“All vehicles are
mostly similar in
terms of vehicle
components,
except for
propulsion system;
it is the technology
differentiator.”
Propulsion system of a vehicle includes components such as storage system, fuel system, drive train and
exhaust system. Globally, propulsion system using conventional technologies have been used for decades.
However, concerns over global warming have caused a paradigm shift towards development and deployment
of low carbon or electricity based vehicles. Figure 33 represents the conventional and key non-conventional
technologies for vehicles used in India.
Figure 33 Conventional and non-conventional fuel technologies in passenger vehicles in India
Note: Details about conventional technology and CNG technology is provided in Annexure - 6.1. Hydrogen
fuel cell vehicles and electric vehicle technology is discussed in the below sections:
1.5.1 Hydrogen fuel cell vehicles
Hydrogen is the single most abundant substance
in the universe. More than 200 years ago,
hydrogen was used in the very first internal
combustion engines by burnin g the hydrogen
Figure 34 Propulsion system of a hydrogen fuel cell vehicle
Fuel input
(Body)
Propulsion
Transmission
(Chassis)
Brake
(Chassis)
Main body
Automotive
Electronics
Technology
differentiator
Conventional technology Non-conventional technology
Petrol Vehicles
Diesel Vehicles
CNG Vehicles
Hydrogen Fuel Cell Vehicles
Electric Vehicles
Hydrogen Tank
Fuel Cell
Battery
PCU
Electric
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itself, similar to burning gasoline today
21
. However, this did not prove to be quite successful, due to safety
concerns as well as low energy density of hydrogen
22
. Rather, in a modern fuel cell, hydrogen is a carrier of
energy, by reacting with oxygen to form electricity.
The propulsion system of the hydrogen fuel cell vehicle includes hydrogen tank as storage system; fuel-cell
and battery pack as fuel system; electric motor and drive train; and an exhaust system.
In a hydrogen fuel cell vehicle, the fuel cell system is comprised of a fuel cell stack and assistant systems.
As seen in Figure 35, the fuel cell stack is the core component which converts chemical energy to electrical
energy to power the car.
Besides the fuel stack, there are four assistant system in the fuel cell: hydrogen supply system, air supply
system, water management system and heat management system. The hydrogen supply system transits
hydrogen from tank to the stack. An air supply system, which is comprised of an air filter, air compressor
and humidifiers, provides oxygen to the stack. Water and heat management systems with separate water
and coolant loops are used to eliminate waste heat and reaction products (water).
Through the heat management system, heat from the fuel cell could be harvested to heat vehicle cabin and
improve vehicle efficiency. The electricity produced by the fuel cell system goes through a power control
unit (“PCU”) to the electric motor with assistance from a battery to provide additional power when needed.
Figure 35 Operating principle of a hydrogen fuel cell vehicle
1.5.2 Electric vehicles
1.5.2.1 Overview
An electric vehicle (EV) is propelled by an electric motor, powered by rechargeable battery packs. Below are
the key components of an EV:
i. An electric motor;
21
A History of the Automobile (access here)
22
Hydrogen in internal combustion engines (access here)
Hydrogen
tank
Hydrogen
supply
system
Fuel cell stack Air supply system
Water & heat
management system
Battery
Power Control
Unit
Electric Motor
Water
Waste Air
Recycled heat
(to vehicle
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ii. A power control unit; and
iii. A rechargeable battery
The electric motor gets its power from a
controller which in turn is powered by a
rechargeable battery.
1.5.2.2 Operating principle
The electric vehicle operates on the
principle of converting electricity to
kinetic energy to drive motor(s) which in
turn rotates the wheels of the vehicle. It
uses batteries which are charged to store power for running the electric motor(s). Unlike conventional
technologies, there are no tail-pipe emissions from electric vehicles.
1.5.2.3 Types of powertrains
Based on the input used to power the vehicle, electric cars (powertrains) are categorized into three distinct
types:
Battery Electric Vehicle (BEV)
Hybrid Electric Vehicle (HEV)
Plug-in Hybrid Electric Vehicle
(PHEV)
Battery Electric Vehicles (BEV) run entirely on a battery and electric drive train. These are fully-electric
with rechargeable batteries and no gasoline engine. BEVs are charged by electricity from an external source.
BEV vehicles in India: Hyundai Kona Electric, Mahindra e-Verito, Mahindra e2o, Tata Nexon EV 2020 etc.
Hybrid Electric Vehicles (HEV) are powered by both fuel and electricity. The electric energy is generated
by the car’s own braking system to recharge the battery(also called ‘regenerative braking’). HEVs start off
using the electric motor and subsequently the gasoline engine is called in as load or speed rises. Only
conventional fuel is utilized by such vehicles.
HEV vehicles in India: Toyota Camry, Toyota Prius, Volvo XC90 T8 Excellence etc.
Plug-in hybrid electric vehicles (PHEV) are powered by conventional fuels and by a rechargeable battery
pack. The battery can be charged up with electricity by plugging into an electrical outlet or electric vehicle
charging station (EVCS). PHEVs have much larger battery packs when compared to other HEVs and therefore
can run larger distances on battery energy.
PHEV vehicles in India: BMW i8, BMW 740e iPerformance, Toyota Prius Prime etc.
1.5.2.4 Battery technologies
Battery play a vital role in overall development of electric vehicle industry. The last decade has experienced
critical innovations in the field of battery technology. Lithium-ion batteries (Lithium Iron Phosphate-LFP,
Nickel Cobalt Manganese-NMC, Lithium Cobalt Oxide-LCO etc.) have emerged as a perfect combination for
electric vehicles. These batteries offer higher number of cycle life as compared to traditional lead-acid
batteries, however the main reason for their high adoption in EVs is their high energy density characteristic.
Figure 36 Propulsion system of an electric vehicle
Electric
motor
Battery
packs
Electric
motor
Battery
packs
Fuel tank Engine
Electric
motor
Battery
packs
Fuel
tank
Engine
Battery PCU
Electric
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High energy density allows lithium-ion batteries to store
more energy in less weight / volume which is an ideal
requirement for e-mobility applications.
Along with lithium-ion batteries, there have been
advancements in other battery technologies such as metal-
air, solid-state, lithium-sulfur batteries etc., however, these
are still under research.
Figure 38 Commercial stage of key battery technologies
Source: 31 Deloitte analysis
LFP, NMC and NCA batteries have been widely used in vehicles. All Tesla’s elec tric vehicles have NCA
batteries; BYD uses LFP batteries, and Chevy Volt, BMW uses NMC batteries in their respective EV models.
It is estimated that in the next five years, use of LFP and LMO batteries will reduce due to their low energy
density, and chemistries such as NMC532, NMC622 and NMC811 will experience increase in adoption.
Figure 39 EV cathode market share by 2025
Source: 32 CRU
Figure 37 Illustration of a lithium-ion battery
Electrolyte
solution
Anode Cathode
Commercialized &
matured
Commercialized with
continued R&D
Limited
commercialization
R&D
1.Lead-acid
2.LFP
3.LCO
4.Li-Polymer
5.Ni-MH
6.Ni-Cd
7.ICRFB
1.NMC111
2.NMC422
3.NMC532
4.NMC622
5.NMC811
6.NCA
7.LMO
1.LTO
2.VRFB
3.ZNBR
1.NaS
2.Li-metal
1.NMC712
2.LNMO
3.Li-S
4.Metal-air
5.Solid State
Batteries
PRESENTFUTURE
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
LFP LMO NCA NiMH NMC111 NMC532 NMC622 NMC811
NMC532 will have the
majority share in EV
Cathode market by 2025
Decline of LFP & LMO chemistry due to
low energy density
"NMC811 will have 7.5% share in EV cathode
market by 2025" -CRU
NMC811 will experience sharp increase in its
share post 2025 to 2030
TESLA is the only EV manufacturer
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1.5.2.5 Cost of an electric vehicle
The cost of an electric vehicle is currently higher compared to a conventional vehicle with similar
characteristics and performance. One of the major reasons for the same is the high price of the battery
which accounts for nearly 40% of the total EV cost.
Although the prices of batteries have fallen considerably in the last decade
23
, they are still at a level which
makes EVs difficult to attain cost parity with their conventional counterparts.
Figure 40 Category-wise vehicle export trend in India from FY15 to FY20
“Battery contributes as
the major cost
component for an electric
vehicle; industry expects
this share to come down
to 18% by 2030 which
may increase affordability
of electric vehicles”
Source: 33 India’s Electric Vehicle Transition (access here)
1.5.2.6 Electric vehicle charging infrastructure
Electric Vehicle Supply Equipment (EVSE) is an equipment or a combination of equipment, which provides
dedicated functions of supplying electric energy, from a fixed electrical installation or supply network to an
EV for the purpose of charging. There are different ways to classify an EVSE, depending on power supply
(AC or DC), power rating levels, speed of charging, communication and connector type.
Figure 41 Classification by EVSE output – AC and DC
In AC charging, the vehicle has an on-board charger to convert AC from the grid into DC to charge the
vehicle. A DC charger, on the other hand, can be used to charge the vehicle directly using the Battery
Management System. An AC EVSE comes in different power ratings ranging from 3.3 kW to 43 kW. A DC
EVSE is able to supply higher power rating ranging from 10 kW to 240+ k W. There are three levels of
charging stations available, with each successively providing faster charging capability. Details about
charging levels is provided in Annexure - 6.1 (Table 52).
23
A Behind the Scenes Take on Lithium-ion Battery Prices – BNEF (access here)
Battery,
40.18%
Electric drive,
9.97%
Power
electronics,
6.98%
Vehicle
interface
control,
2.99%
Non-
powertrain
components,
39.88%
Component-wise
cost break of an
electric vehicle
AC/DC
converter
Battery
Pack
BMS
bypass for DC
EVSEGrid
ACAC, DC
Electric Vehicle Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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India has laid guidelines for minimum requirement for setting up of Public Charging Infrastructure (PCI).
Minimum technical requirements for fast and slow charging stations as provided in Annexure - 6.1 (Table
61).
Details on EV charging is provided in Section 2.3.
1.5.2.7 Information and Communication Tec hnologies (ICT)
ICT provides access to information through telecommunication. ICT is based on communication technologies
and integrates computer system/hand held system, audio video display with Internet/IoT.
ICT covers all forms of Computer and Communica tions equipment as well as the software used to create,
store, transmit, receive, interpret, and manipulate information in its various formats. It deals with all the
systems involved in creating, storing, sending or transmitting, receiving and manipulating these kinds of
information. The ICT system includes both hardware devices and the software that allow the hardware device
to carry out their intended functions. The hardware devices include computer system, monitor/ display
screen, communication devices such as modem, router, hubs etc.
ICT uses transmission media suc h as cables, telephone lines, cellular link, satellite links etc. and
communication networks such as Local Area Network (LAN), Wide Area Network (WAN), Internet, Satellite
links etc. However, in case of electric vehicles, the communication network will mostly be wireless.
Information and Communication technology is widely getting used in fields such as Education, Agriculture,
Medicine, Defence, E-governance E-Commerce, Banking etc. With no exclusion, transportation is another
emerging space where ICT have added significant value and holds promising potential for future growth.
Figure 42 Application of ICT across transportation
Source: 34 Deloitte analysis
ICT has been used in vehicles for decades now and is available in the form of electrics, electronics, and
software. It has helped in introducing many innovations in the automotive sector such as anti-lock braking
system, electronic stability control, emergency brake assist etc.
With the rise of technology in automotive industry, ICT will play huge role in the next generation vehicles.
Some of ICT’s role in future vehicles is provided in the below figure.
P
Smart
Home
ParkingDestinationRoads & Highways
Bike Path/
Walkways
Bus
Subway /
Light Rail
Transit
Hubs
Traffic Train Bus Tolls
Maintenance
Stations
Vehicles
Fleet OperationPhysical InfrastructureEnergy Infrastructure
Finish
Start
Mobility ManagementIn-Vehicle Experience
Cyber Infrastructure
B Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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Table 7 ICT - bridge between conventional and smart vehicle
Energy and
cost efficiency
ICT will be useful in implementing
functions using software which uses
hardware previously (e.g. Steer, brake-
by-wire) thereby reducing the weights
of the overall car.
It can also use intelligent predictive
management to reduce energy
consumption.
Reducing
accidents
Using its pro-safety function, ICT
can greatly help in bringing down
total number of accidents. With
the help of ICT, vehicles will be
able to interpret their
environment and act
autonomously in dangerous
situation.
Seamless
connectivity
Future vehicles will have seamless
connectivity including the state-of-the-
art in infotainment. ICT will help update
the vehicle frequently to keep track
with the advances in multimedia and
infotainment technology.
Personalization Personalization is expected to be
the demand of future customer.
ICT will enable transfer secondary
vehicle functions to a personal
mobility device.
Source: 35 The Software Car: Building ICT Architectures for Future Electric Vehicles (access here)
ICT is the way forward for “smart” vehicles and infrastructure
ICT adds value to electric mobility through interconnection of existing and new platforms. It enable s
coordination between smart grid, smart vehicle and smart traffic allowing them to operate seamlessly.
Figure 43 ICT - Key for smart mobility
Source: 36 ICT for electric mobility II: Smart Car – Smart Grid – Smart Traffic (access here)
Growth in EVs has the potential to increase loading of distribution networks with consequential issues
regarding variations in voltages at tail end of the network and line congestion during charging. Suitable ICT
technologies including Active Managed charging, V2G, etc. will enable optimal charging of electric vehicles
in a manner which does not cause substantial strain on the distribution network.
Also mentioned in Table 7, ICT can help vehicles in reducing the weight and cost. Other than emergency
situations, ICT has the capability to enable controlling of the electric vehicle such as breaks, steering,
infotainment function etc. ICT can also help in connecting platforms such as vehicle, charging infrastructure,
energy grid and traffic management. It assists in controlling vehicle traffic flow and grid load management
for implementing new mobility concepts. The technology uses cloud computing wh ich is accessible through
all mobile technologies. It helps in providing and analysing information regarding the vehicle, route planning,
energy systems and traffic situation.
Smart GridSmart vehicleSmart Traffic
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ICT also plays important role in charging of electric vehicles, as it enables EV owner, charging operator and
other associated players in coordination of overall EV charging process. An illustrative example of the same
in provided in Figure 44.
Figure 44 Utilizing ICT in real time data updation and communication for during EV charging
Source: 37 NEC Electric Vehicle (EV) Charging Infrastructure (access here)
With the help of ICT, EV owners will be able to receive real time information on the nearest charging station,
availability of the station, real-time price of charging, status of the battery, remaining run time, etc. Charging
station operators can also monitor the health and utilization of charging stations, schedule maintenance
activities and manage the charging process remotely.
1.5.2.8 Battery management system (BMS)
A battery management system is said to be the brain behind the batteries. It is one of the most critic al
components of an electric vehicle.
The purpose of the BMS is to guarantee safe and reliable battery
operation.
To ensure the same, a BMS monitors and evaluates charge control and cell balancing in the battery.
Overcharging results in overheating which causes structural damage and raises risk of explosion and fire.
Every time a battery is drained below a critical level, its capacity gets reduced to a cer tain extent
permanently. BMS ensures that the battery’s charge doesn’t go above or below the threshold limits. Along
with this, the BMS measures how much energy is left in the battery (State of Charge). It also monitors the
rate at which energy is getting utilized and estimates the duration it will last. Thus, the role of BMS can be
categorized into three aspects:
Charging information/
storage battery
information
Userswill obtain
•charging station
information;
•store information;
•local information etc.
Business operatorswill
obtain information on
•maintenance,
•charger control,
•battery control etc.
Information about the vehicle, %
charge, battery health etc. is updating
in the cloud in real time
Information about the store, available
charging slots, charger details is
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Protecting the battery
Operating the battery with safe
limit of current, voltage and
temperature
Measuring and estimating the
battery state
Figure 45 Illustration of a battery management system (BMS)
Source: 38 Towards a Smarter Battery Management System for Electric Vehicle Applications ( access here)
The key blocks of a BMS system are provided below:
a. Thermal Management Block: This block measures the battery temperature and accordingly initiates
the cooling or heating operation to maintain the temperature within the optimal range
It also sends signals to ECU if the temperature goes beyond allowable limit.
b. Measurement unit: The measurement unit measures voltage, temperature, current at different places
and the ambient temperature.
c. Capability estimation block: This block sends information regarding the safe charging / discharging
levels to ECU and the charger unit.
d. Cell equalizer block: It compares the highest and the lowest voltages across all the cells to apply
balancing techniques
e. State of Health (SoH): State of Health (SOH) is a measure of the battery’s ability to store and deliver
electrical energy.
f. State of Charge (SoC): State of Charge (SOC) describes the level of charge of an electric battery
relative to its capacity
The overall system architecture of a BMS can be divided into two categories: software; and hardware. Figure
46 represents system architecture of BMS:
Battery
Pack
Discharger
Measuring Unit
Bus voltage
Temperature
Current
Cell Voltage
Cell equalizer
State of power
State of health
State of charge
Capability estimation
Thermal Management
Display
terminal
Fan/
Heater Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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Figure 46 System architecture of BMS
Source: 39 Battery Management Systems in Electric and Hybrid Vehicles (access here)
In the hardware part of the BMS, the safety circuitry is the core unit for ensuring its safety in the event of
an overcharge, over-discharge or overheating. The sensor system monitors and measure battery parameters
including cell voltage, battery temperature and battery current. Data acquisition helps BMS in analyzing and
building a database for system modelling. Charge control helps in governing charge discharge con trol.
Communication module helps in transferring data/ information from / to BMS. Thermal management helps
in monitoring and ensuring that the cells operate at an optimum temperature.
The software part of BMS is critical as it controls all hardware operations and analysis of sensor data for
making decisions and state estimations. Activities such as switch control, sample rate monitoring, cell
balancing control, and dynamic safety circuit design is handled by the software of BMS. BMS conducts
automated data analysis that determines state estimation and fault detection.
Battery Management
System (BMS)
User interface
Fault detection
Data acquisition Cell balancing
Thermal
management
Sensor system SoH determination Communication
Safety circuitry SoC determination Charge control
Hardware Software Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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The role of BMS gets very important while using it in EVs. Not only
BMS ensures high efficiency and capacity to the battery, it also
provides safety to the vehicle driver/ passengers.
1.5.3 Vehicle technology comparison
In this section, we would aim to assess fuel technologies on the basis of reliability, cost and their lifetime
CO2 contribution.
Source: 40 seven reasons why the internal combustion engine is a dead man walking (access here)
1.5.3.1 Total cost of ownership (TCO)
Cost plays an important role in selection of vehicle by consumers. Total cost of ownership (TCO) for electric
vehicle is compared with TCO for other fuel vehicles.
BHP value has been considered as the criteria for selection of the vehicles for comparison. Vehicles with BHP
values of 90-130 were considered (except Tata Tigor EV, BHP - 40.2). It is observed that the TCO of an
Box 4: Cell balancing by BMS
BMS uses cell balancing technique to maximize battery pack performance.
In a battery pack, single cells
are connected in series and in
parallel in order to achieve
higher voltage and capacity.
However, every cell is distinct
due to manufacturing and
chemical offset, and for safety
purpose, the charging/
discharging of cells is allowed
only till any of the cell reaches
its maximum or threshold
limit. Due to this, the capacity
of the battery pack is
contained by the imbalance in
the cells of the pack.
Figure 47 Cell balancing in battery pack
Thereby reducing the overall energy efficiency and lifetime of the battery pack.
BMS approaches balancing in two ways: active balancing and passive balancing. BMS uses SoC of each cell to provide
balancing to the battery pack. It uses multiple algorithms to calculate accurate SoC of cells and ensures to keep
same SoC for each cell at a given time.
In active balancing, BMS transfers energy from energy-excess cell(s) to energy-depleted cell(s) via bi-directional
DC-DC power converter circuits. Whereas, in passive balancing, BMS dissipates energy from energy -excess cell(s)
to their respective resistors. Normal operating (V2)
Voltage range (V1)
Normal operating (V2)
Voltage range (V1)
OC UCUCUC UC
C1 C2 C3 C4 C5 C6 C7 C8 C9
C1 C2 C3 C4 C5 C6 C7 C8 C9
Cx: Cell X, UC: Under charged; OC: Over charged
Box 5: Reliability: Electric vehicle vs Conventional vehicle
When it comes to reliability, EVs are far more superior to any other conventional vehicle. Forbes in 2018 reported
that a drivetrain for a conventional vehicle has more than 2000 moving parts, whereas drivetrain of an EV has only
20 moving parts, reducing the risk of functional failure and increases reliability.
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electric vehicle (Tata Nexon EV) when compared with an equivalent conventional vehicle is very high.
However, electric vehicles which are available at prices comparable to conventional vehicles tend to have
relatively inferior technical specifications (Tata Tigor EV).
Table 8 Total cost of ownership calculation of fuel technologies
Tata Tigor EV Tata Nexon EV
Petrol Ford
Ecosport
Diesel Ford
Ecosport
CNG Maruti
Suzuki Ertiga
Vxi
Cost of running
for 5 year (Rs.)
~10 Lakh ~16 Lakh ~12 Lakh ~12 Lakh ~9 Lakh
Source: 41 Deloitte analysis
Among electric, petrol / diesel and CNG vehicles, the Total Cost of Ownership is found to be the least for the
CNG vehicle. On the other hand, the highest TCO was that of EV primarily due to its very high ex-showroom
price (in comparison with other vehicles). Detailed comparison tables are provided at Annexure - 6.1 (Table
59)
“High EV prices are delaying their adoption among consumers. Early
achievement of cost parity with ICE vehicles would favourably shape
the EV market in India”
1.5.3.2 Environmental impact
Electric vehicle holds a great advantage in terms of improving the air quality of the region. It helps in
reducing the CO2 emissions as well as particulate matter (PM), nitrogen oxide (NOx), carbon monoxide (CO)
etc. In the below sections, we will review some of the studies that were conducted to assess environmental
impact of electric vehicles.
1.5.3.2.1 Lifetime CO2 emission study
Altigreen Propulsion Labs conducted a study in October 2015, to estimate the lifetime CO 2 emission for
various Indian vehicles. The overall lifetime CO2 emission of a vehicle was bifurcated into three categories:
(i) Manufacturing emission; (ii) Indirect emission; (iii) Direct emission.
a. Manufacturing emission
The report considered following manufacturing emission numbers based on the expected lifeti me of the
vehicle in terms of kilometres driven:
• Petrol vehicle: 40 g CO2/km; Diesel vehicle: 20 g CO 2/km; CNG vehicle: 40 g CO 2/km; Electric
vehicle: 70 g CO2/km
Higher value for EVs were considered in the report assuming lesser lifetime (in terms of kilometres driven)
and high energy intensive manufacturing processes.
b. Indirect emission
This emission category is also called as WTT (Well-to-Tank) and includes emissions from transport, refining,
purification and conversion from primary fuel to usable forms. For electric vehicles, the numbers were
calculated using India’s power generation mix.
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This emission category considers emissions directly from the vehicle exhausts. Data for the sa me was
collected based on the actual tests done by the ARAI. For EVs, numbers were considered based on the range
of EVs and the emissions from various power plants in India.
1.5.3.2.2 Study findings
The study found that petrol vehicles were the highest emitter of CO2 in the conventional vehicle category.
However, it was stated that the figures only represent the CO2 emission and not its quality. The report also
established that lifetime CO2 emissions from EVs was calculated to be higher than petrol vehicles. Although,
most of it was due to higher emission from associated thermal power plants in 2015 whose generated
electricity flows into the grid to charge such vehicles.
Figure 48 Fuel category-wise lifetime CO2 emission
“As concluded from the
study, petrol-based
vehicles were the highest
emitter of CO2. The
report also concluded
that, it is essential to
grow renewables in the
generation mix to justify
replacing conventional
technologies for EVs”
Source: 42 Autotech review: lifetime CO2 emissions in different Indian vehicles
1.5.3.2.3 Reduction in emission of air pollutants
In Nov 2020, CEEW published a study
24
which estimated the impact of EV adoption in India’s overall emission
level. The study found out that meeting the 30% EV penetration target in 2030 could lead to reduction in
primary particulate matter (PM) by 17%, nitrogen oxide and dioxide (NOx) emission level by 17%, and
carbon monoxide (CO) emission level by 18%. Also, achieving the 30% penetration target will lead to 4%
reduction in greenhouse gas (GHG) emissions under the business as usual (BAU) scenario.
Figure 49 Environmental impact of achieving 30% EV penetration by 2030
Source: 43 CEEW - Can Electric Mobility Support India’s Sustainable Economic Recovery Post COVID-19? (access here)
24
CEEW - Can Electric Mobility Support India’s Sustainable Economic Recovery Post COVID-19? (access here)
17%
reduction
17%
reduction
18%
reduction
171
202
232
200
290
0
50
100
150
200
250
300
350
CNG Diesel Petrol EV (range 8
km/kWh)
EV (range 4.7
km/kWh)
CO2 Emissions (g/KM)
Manufacturing emissionIndirect emissionDirect emissionTotal
PM2.5/ PM10
NOx CO Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
32
In 2017, SWEEP
25
assessed the impact of adoption of electric vehicles (EVs) over gasoline vehicles in Utah’s
Wasatch Front region.
26
It performed the analysis using the Greenhouse Gases, Regulated Emissions, and
Energy Use in Transportation (GREET) fuel-cycle model developed by the Argonne National Laboratory.
From the analysis, it was found out that compared to a gasoline-fuelled vehicles, electric vehicles will reduce
the pollutant emissions by—99% for Carbon Monoxide (CO), 90% for Nitrogen Oxides (NOx), 81% for PM2.5
and 57% for PM10.
In another study conducted by scholars of Denmark Technical University
27
, if India achieves higher EV
penetration, it may reduce its particulate matter (PM2.5) emission level by at least 50%.
As suggested by studies and modelling analysis, introduction of
electric vehicles will greatly influence reduction of air pollutants
25
Southwest Energy Efficiency Project (SWEEP) is a public interest organization dedicated to advancing energy efficiency in Arizona,
Colorado, Nevada, New Mexico, Utah and Wyoming.
26
The Potential for Electric Vehicles to Reduce Vehicle Emissions and Provide Economic Benefits in the Wasatch Front (access here)
27
Electric vehicles and India's low carbon passenger transport: a long-term co-benefits assessment (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
33
2. Review and assessment of electric
vehicle and charging infrastructure
stakeholder landscape
The electric mobility ecosystem is composed of multiple stakeholders The primary role of developing a
holistic ecosystem and providing the policy / regulatory support is played by Central/ State governments
and the sector regulators. They enable investment, encourage adoption and ensure fair operation of the
industry. An overview of the various stakeholders shaping electric mobility industry in India are outlined in
the figure below.
Figure 50 Ecosystem of electric mobility in India
Source: Deloitte analysis
Note: Vital players are those players without support and participation of which, the targeted results cannot be achieved; Key actors
are those players who will have direct participation in uptaking the electric mobility market in India; Primary actors are those actors who
will support “key actors” in creating an ecosystem for electric mobility in India; Secondary actors are those players who would facilitate
the growth of electric mobility space in India
Policy and regulatory landscape
As illustrated in Figure 50, there are several key ministries which are playing important role in creating
holistic ecosystem for electric mobility in the country.
2.1.1 Roles of various ministries in EV ecosystem
2.1.1.1 Ministry of Heavy Industries and Public Enterprises (MoHI&PE)
Under MoHI&PE, Department of Heavy Industries (DHI) is spearheading the policy and implementation
measures to fast-track adoption of Electric vehicles in India. To achieve the objectives of reduced emission
NITI
Aayog
MoP
State
Gov./Nodal
agency
DHI
MoRTH
EVSE
manufacturer
Battery
manufacturer
OEM
DISCOM
Network Service
Providers
Charging infra/
Battery swapping
operator
Open
Access
Generator
Municipality
MoH&UA
R&D Institutes/
labs
ARAI
BIS
DST
CERC/
SERC
MNRE
MoF
MoP&NG
Other GoI
Ministries
#
Funding
institutions
MeitY
CEA
BEE
Real Estate
(Land, Bus
depot etc.)
State Transport
Utility
Institutions/
housing
societies
Individual
owners
Demand
aggregator
Vital
Players
Workplace,
Grocery
stores and
shopping
complexes
etc.
EV Ancillary
manufacturer
Other
entities
*
*
Other entities:
•RBI
•CPCB
•SPCB
•FOR
•GST Council
•Rear earth mining
#
Other GoI Ministries:
•MeitY
•MNRE
•MoC&I
•MoD
•MoEF&CC
•MoM(Mines)
•MOP&G
•MoSD&E
•MoST
•MSME Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
34
and energy security, DHI has notified Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles
in India (FAME) scheme, in March 2015, with the following four major focus areas:
Technology
development
Demand incentives
Charging
infrastructure
Pilot projects
The scheme provides financial incentives/subsidies to achieve the objectives of National Mission on Electric
Mobility (NMEM). The total financial layout for the scheme was INR 765 Cr which was further increased to
INR 895 Cr. In March 2019, the ministry notified FAME–II scheme, with increased layout of INR 10,000/-
crores which includes a spill over from FAME-I of INR 366 Cr. The primary role of the ministry is to develop
framework for implementation of FAME scheme .
National Automotive Board , under DHI, is an operating agency for implementation of FAME India
schemes. This organization monitors the state-wise progress and maintains the web portal for dissemination
of data related to the scheme. Further, the ministry has formed a Project Implementation and
Sanctioning Committee to frame rules for sanctioning of projects under FAME scheme. This committee is
responsible for awarding PCI project implementation agency.
Project Implementation and Sanctioning Committee (PISC)
28
, an inter-ministerial panel, is setup by
DHI for monitoring, sanctioning and implementation of projects under the FAME -II programme in March
2019. The committee is chaired by CEO, NITI Aay og and Secretaries, Financial Advisor and Directors of
various ministries and association are the members of the committee. Key roles and responsibilities of the
PISC is listed below:
• Sanctioning of projects under the FAME II scheme
• Modifying coverage of various components and sub-components of the scheme
• Modifying limits of the fund allocation under the scheme
• Review of demand incentive under the scheme, annually
• Review of vehicle-wise capping of incentive, annually
• Decide other scheme parameters for smooth implementation
2.1.1.2 Ministry of Road Transport and Highways (MoRTH)
The ministry is responsible for formulating policies and regulations pertaining to road transport. The Ministry
also plays a key role in formulating non-financial incentives for promoting EVs by provisioning for parking
infrastructure, priority lane access, etc.
Automotive Research Association of India (ARAI ) under the ministry carries out research and
engineering services on behalf of the Ministry. One of the functions of ARAI is to develop standards for
vehicles and its components. These standards are marked as AIS -XXX standards. Till date about 220
standards are published by the organization. AIS 138-Part 1 and Part 2 are notified by ARAI which specifies
the charging requirements (AC and DC) for all electric vehicles (2/3/4) wheelers with the exception of trolley
buses, rail vehicles and off-road industrial vehicles.
2.1.1.3 Ministry of Power
The ministry is responsible for perspective planning, policy formulation, processing of projects for investment
decision, monitoring of the implementation of power projects, training and manpower development and the
administration and enactment of legislation in regard to development of Power Sector. The Ministry forms
policies for the sector and has notified that electric charging stations are to be considered as service and not
distribution of electricity implying it is a delicensed activity. Further, the Ministry has issued guidelines for
implementation of Charging Infrastructure under which Bureau of Energy E fficiency (BEE) has been
entrusted with the role of Central Nodal Agency (CAN). BEE has notified 25 State Nodal Agencies (SNAs)
for various states. SNAs for states are various agencies including DISCOMs, nodal agency for RE and EE,
transport authorities etc. whose responsibility is to enable implementation of charging infrastructure in states
28
Constitution of PISC under FAME II (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
35
/ cities. Central Electricity Authority (CEA) under the Ministry is responsible for preparation of standards
related to safety of EVSE. The committee on technical aspe cts of charging infrastructure has provided a
report on the standards and technical specifications to be followed for PCI.
State Electricity Regulatory Commissions (SERCs) were formed under the provisions of the Electricity
Act, 2003. These regulatory commissions are responsible for notifying electricity tariffs applicable for the
PCI. In addition, as the PCIs can be installed in existing locations (parking lots, malls, shopping complex
etc.) issues related to use of multiple connections in a single premise are addressed by the SERCs.
2.1.1.4 Ministry of Housing and Urban Affairs (MoHUA)
Encouraging "Electric Vehicles" as a viable option for phased transportation in terms of short and long
distance trips with appropriate "Charging Infrastructure" is therefore, the pre-condition for this paradigm
shift/ phased migration to sustainable transportation. In order to steer the development of charging facilities
in commercial and residential building complex, MoHUA is playing a key role by amending building bye-laws.
MoHUA notified that residential and commercial complexes will have to allot 20% of their parking space for
electric vehicle charging facilities. MoHUA has also amended Urban and Regional Development Plans
Formulation and Implementation Guidelines – 2014 to include the formulations of norms and standards for
charging infrastructure in the city infrastructure planning.
2.1.1.5 Ministry of Finance
Ministry of Finance is one of the key ministries that has enormously helped in uptake of electric mobility in
India. In 2019, Ministry of Finance rationalized the customs duty for all categories of vehicles, battery packs
and cells to support Make in India. It also reduced the GST rates for the purchase of electric vehicles from
12% to 5% and announced income tax rebate of INR 1, 50,000 on purchase of electric vehicles.
2.1.1.6 Ministry of Environment, Forest and Climate Change
Ministry of Environment, Forest and Climate Change is the main concerned union ministry in the “National
Electric Mobility Mission Plan 2020” initiative. The ministry also notified Draft Battery Waste Management
Rules, 2020 to strengthen the ecosystem for handling and disposal of batteries across India.
2.1.1.7 Ministry of Science and Technology
The MoST has formed a “Technology Platform for Electric Mobility (TPEM)”, funded primarily by the MoHIPE.
MoST is playing a key role in forming electric mobility standardization roadmap for India. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
36
Figure 51 Policy and regulatory structure for EVs in India
Source: 44 Deloitte analysis
India has taken multiple initiatives to promote electric mobility, with the policy and regulatory support,
adoption of electric vehicles have started increasing in last five years (industry grew at 133% CAGR in past
five years, refer Figure 17).
Central government in last 10 years has notified numerous promotional measures including fiscal incentives
for electric vehicle buyers, public EV charging infrastructure development etc. to support uptake of electric
vehicles in the country.
Timeline for various initiatives taken by policymakers and regulators is provided Figure 52:
Figure 52 Key national level initiatives to promote adoption of electric vehicles - Timeline
Source: 45 Government notifications
PolicyTechnical Standards
Public Charging
Infrastructure
Guidelines for Charging
Infrastructure
Oct
2019
Guidelines for Charging
Infrastructure
Dec
2018
Central
Electricity
Authority
Central Nodal Agency
Safety Standards
and database
AIS -138 (Part1) –AC Charging
AIS -138 (Part2) –DC Charging
Specifications of Charging system
Project Implementation and
Sanctioning Committee
FAME-II
Mar
2019
FAME-I
Mar
2015
State Electricity
Regulatory Commission
State Nodal Agencies for
EV Charging
Infrastructure
Electricity Tariff/Supply Code
Implementation
National Mission for Electric Mobility
Bharat EV Charger
Specification-DHI
April
Phase-I of the FAME India
scheme launched under the
NEMMP 2020 for a two-year
period between 01 April,
2015 and 31 March, 2017 Feb
Amendments made to the
Model Building Bye-laws
(MBBL) 2016 and Urban
Regional Development
Plans Formulation and
Implementation (URDPFI)
Guidelines 2014 making
provisions for establishing
Electric Vehicle Charging
Infrastructure
October
National Automotive Board
(NAB) constituted. Shall be
the nodal agency for the
implementation of FAME India
scheme including
disbursement of funds for the
various components
August
Draft Amendment to Central
Motor Vehicles Rules, 1989, for
rule 115-D, allowing retrofitting
conventional vehicles into electric
vehicles or hybrid electric based
vehicles
The Minister of
State for Power,
Coal, New and
Renewable Energy
declared that the
government of
India aims to
attain 100% e-
mobility by 2030.
March
201320162012
National Electric Mobility Mission
Plan 2020
The 2020 roadmap estimates a
cumulative outlay of about Rs. 14000
cr. during the span of the scheme,
including industry contribution
January
20152017
March
DHI extends FAME I
for six months.
It has since been
extended for a total
4 times
−DHI stopped extending
benefits to mild hybrid
vehicles in the country
under the FAME
−National Board for
Electric Mobility
(NBEM) constituted six
years after its approval.
April
2018
March
MoP amended
its existing
target of 100%
e-mobility by
2030 to 30%
e-mobility by
2030
Clarification on charging
infrastructure for Electric Vehicles
with reference to the provisions of
the Electricity Act, 2003. Charging
of EVs is a service and doesn’t
require any license
April
Charging
Infrastructure for
Electric Vehicles
Guidelines and
Standards notified
Dec
2019
−Union Cabinet has
approved setting up
a National
Mission on
Transformative
Mobility and
Battery Storage
chaired by CEO
NITI Aayog
−Phase II of FAME
launched
March
Feb
Technology
Platform for
Electric Mobility
(TPEM) set up to
support R&D
Consortia
Projects.
2011
National Council for
Electric Mobility NCEM
constituted, the apex
body in the GoIfor
making
recommendations to
promote electric
mobility and
manufacturing of
electric vehicles
Union Cabinet
Ministry of Power
Ministry of Road Transport and Highways
Ministry of Housing and Urban Affairs
Department of Heavy Industry
October
MoP issued revised
guidelines and
standards for
charging
infrastructure for
electric vehicles
including a phased
approach with
measures such as
provisioning of one
charging station per
grid of 3km x 3km
in cities and at ever
25km oh
highways/roads
2020
Amendment to
the “Charging
Infrastructure for
Electric Vehicles –
Guidelines and
Standards”
capping max tariff
applicable to EV
public charging
June
May
DHI revises
Phased
Manufacturing
Program (PMP) for
xEV parts for
eligibility under
FAME II scheme
DHI approves
2636 EV
charging
stations in
Phase-II to
Fame India
Scheme
January Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
37
2.1.1.8 Review of key policies notified by central government
2.1.1.8.1 Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles (FAME) – I
and II
Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles (FAME) programme was launched by
DHI in 2015. It is the flagship scheme under the NEMMP 2020 mission plan of Central government to enhance
hybrid and electric technologies in India. The overall scheme is proposed till FY 2022 to support market
development for EVs. Phase 1 of the scheme has been implemented over a two -year period starting from
FY 2015-16 to FY 2016-17 and was extended till FY 2018-19. Phase 2 of the scheme has been launched
from FY 2019-20 till FY 2021-22. In March 2019, the ministry notified FAME –II scheme with increased layout
of Rs 10,000/- crores, which includes a spill over from FAME-I of Rs 366 Cr (for further detail on FAME
scheme please refer to chapter 3)
2.1.1.8.2 National Mission on Transformative Mobilit y and Storage
The aim of the mission is to drive strategies for transformative mobility and Phased Manufacturing
Programmes for EVs, EV Components and Batteries. Following are the key roles, roadmap and anticipated
impact envisaged under the mission:
EV components OEM landscape
India is the fifth largest market for automotive industry
29
and therefore has a strong presence of OEMs in
the conventional vehicle segment. Further, there are numerous companies dealing in auto-ancillary
components as well as companies dealing in aftermarkets. A snapshot of auto-ancillary industry is provided
below:
29
Ranking provided by OICA (International Organization of Motor Vehicle Manufacturers) and includes only passenger and commercial
vehicle sales (access here) Role
•Drive strategies for transformative
mobility and Phased Manufacturing
Programmes for EVs, EV Components
and Batteries
•Creating a Phased Manufacturing
Program (PMP) to localize
production across the entire EV
value chain
•Details of localization will be finalized
by the Mission with a clear Make in
India strategy for the electric vehicle
components as well as battery
•The Mission will coordinate with key
stakeholders in Ministries/
Departments/states to integrate
various initiatives to transform mobility
in India
•Phased battery manufacturing roadmap
with initial focus on large-scale module and
pack assembly plants by 2019-20 and Giga-
scale integrated cell manufacturing by 2021-
22
•Ensuring holistic and comprehensive growth
of the battery manufacturing industry in
India through PMP
•Preparing roadmap for enabling India to
leverage its size and scale to produce
innovative, competitive multi-modal mobility
solutions that can be deployed globally in
diverse contexts
•Roadmap for transformative mobility in “New
India” by introducing a sustainable mobility
ecosystem and fostering Make-in-India
Roadmap
•Drive mobility solutions to benefits to the
industry, economy and country
•Improving air quality in cities along with
reducing India’s oil import dependence and
enhancing the uptake of renewable energy
and storage solutions
•The Mission will lay down the strategy and
roadmap which will enable India to
leverage upon its size and scale to develop
a competitive domestic manufacturing
ecosystem for electric mobility
•Benefit all citizens as the aim is to promote
‘Ease of Living’ and enhance the quality of
life of our citizens and alsoprovide
employment opportunities through ‘Make-
in-India’ across a range of skillsets
Impact Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
38
Figure 53 Overview of India auto ancillary industry FY19
Source: 46 ACMA
The present auto-ancillary
industry plays a vital role in the
development of automotive
sector of the country. During
FY19, it contributed 2.3% in
India’s GDP and 4% in overall
export revenue. The industry is
highly unorganized with more
than 10,000 players catering to
the market and employing more
than 50 lakhs people in the
country.
Conventional automobiles are an assembly of more than 2000 different components. Whereas, the transition
towards electric mobility have opened new avenues for few auto component manufacturers , the same has
also posed a threat to several other players in ancillary segment of conventional vehicles . Many of the
conventional automobile component s such as engine parts, clutches, radiators etc. run the risk of being
obsolete in a market dominated by EVs since it is expected that the EV market would be dominated by
different sets of auto-ancillary manufacturer, having expertise in only electronics and electrical related auto-
components. The broad classification of electric vehicle components of OEMs is provided in
Figure 54.
Figure 54 Categorization of OEMs in EV space
2.2.1 EV component manufacturer
In comparison with the conventional vehicles, the EV auto-component industry is at a very initial stage. In
contrast to more than 10,000 auto component manufacturer in conventional vehicle segment, there are very
few players in EV auto-ancillary manufacturing space currently. With the transition towards EVs, the existing
auto component manufacturer s would have to realign their product portfolio to suitably match the
requirements of upcoming EV market. This would not only help in reducing the cost of EV (reduced existing
import dependency) but also minimize the risk of unemployment in the conventional segment.
2.3%
Contributi
on of GDP
US$ 15.1
Bn Export
US$ 57
Bn
Turnover
USD 10.1
Bn
Domestic
Aftermarket
50 Lakh
employment
OEMs
EV component manufacturer Battery manufacturer Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
39
Figure 55 provides the likely impact of EVs on conventional auto-component industry.
Figure 55 Impact of rise of electric mobility on auto component industry
As the complexity in
manufacturing of vehicles
reduces with the
introduction of electric
vehicles, it is expected
that the need for core
ICE vehicle parts such as
engine, clutch, gears and
radiators would come
down
Source: 47 BEE - Technical study of Electric Vehicles and Charging Infrastructure (access here)
As shown in Figure 55, workers in auto-component industry having “extremely negative” to “negative”
impact from the transition will have maximum risk of job losses. It will be crucial that these workers get
proper training and skill development on newer automobile technologies to ensure job continuity.
2.2.2 Battery manufacturer
India has limited battery manufacturing capacity to cater to the EV market. Presently, most of the electric
vehicles sold in India uses imported batteries as the major players in EV battery manufacturing such as BYD,
Panasonic, CATL, CALB, LG Chem etc. have manufacturing facilities outside India. This also leads to higher
costs of batteries and consequential increase in EV prices in India. However, the Govt. of India has taken
several steps in building domestic battery manufacturing capability for the future. However, the scale and
outcomes of the same remains to be seen in the future.
2.2.3 Gaps and challenges
The localization of the supply chain, being promoted through the Phased Manufacturing Program (PMP), has
already surpassed its previous deadline of achieving the targets. Yet the extent of localization achieved is
very low. In September 2020, the Government has further pushed the effective date of indigenization of
xEV parts for PMP under FAME-II to April 2021.
Auto-component Impact Auto-component Impact
Electric MotorBrakelining
BatteriesHeadlights
InvertersLeaf springs
Wiring harnessesShock absorber
MicroprocessorsEngine parts
ControllersClutch
Steering systemsRadiators
SeatsGears
Extremely negativeNegativeModerate
Extremely positivePositive
Box 6: Exide Industries and Leclanché JV
Exide Industries and Leclanché, entered in an exclusive agreement in June 2018 to form a new joint venture (75:25)
to build lithium-ion batteries and energy storage solutions to power the growth of India’s electric vehicle market. The
plant is located in Gujarat and is expected to be operational in 2020.
“Nexcharge will focus on e-transport, on stationary energy storage systems and speciality storage markets. In e-
transport, the target segment is fleet vehicles including e-buses, e-wheelers and e-rickshaws.” - Nexcharge Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
40
Table 9 Localization timelines under PMP for key components
Category e-2W e-3W e-3W e-4W e-4W e-Bus
Item Description L1&L2 E-Rick/
E-Cart
L5 M1 N1 M2/M3
HVAC NA NA NA Oct 19 Oct 19 Apr 21
Electric compressor NA NA NA Apr 21 Apr 21 Apr 21
Power and control wiring Apr 19 Apr 19 Apr 19 Oct 19 Oct 19 Apr 21
MCB/ Circuit breaker Apr 19 Apr 19 Apr 19 Apr 21 Apr 21 Apr 21
AC Charging inlet Type-2 NA NA NA Apr 21 Apr 21 Apr 21
DC Charging inlet CCS2/CHAdeMO NA NA NA Apr 21 Apr 21 Apr 21
DC Charging inlet BEVC DC001 NA NA NA Apr 21 Apr 21 NA
Traction battery pack Jul 19 Jul 19 Jul 19 Jul 19 Jul 19 Apr 21
Wheel rim integrated with Hub motor Apr 21 Oct 19 Oct 19 Apr 21 Apr 21 Apr 21
DC-DC Converter Apr 21 Apr 21 Oct 19 Apr 21 Apr 21 Apr 21
Electronic throttle Apr 21 Apr 21 Apr 21 Apr 21 Apr 21 Apr 21
Vehicle control unit Apr 21 Oct 19 Apr 21 Apr 21 Apr 21 Apr 21
On-board charger Apr 21 Oct 19 Apr 21 Apr 21 Apr 21 Apr 21
Traction motor Apr 21 Apr 21 Apr 21 Apr 21 Apr 21 Apr 21
Traction motor controller/ inverter Apr 21 Apr 21 Apr 21 Apr 21 Apr 21 Apr 21
Instrument panel Apr 21 Apr 21 Apr 21 Apr 21 Apr 21 Apr 21
Lighting Apr 21 Apr 19 Apr 19 Apr 21 Apr 19 Apr 19
Body Panel Apr 21 Apr 19 Apr 19 Apr 21 Apr 19 Apr 19
Revised in September 2020
Source: 48 Phased Manufacturing Programme (PMP) for xEV parts for eligibility under FAME II scheme (DHI) ( access here)
As the domestic market is tuning to the transition, there has been limited capacity for production of localized
components for electric vehicle. At this stage, the industry needs assistance from the government in
realization of localization targets with support in implementation. A focused effort is essential for the
development of localized market for EV component manufacturing, but the existing industry traction should
also not be derailed in the quest for localization. This is a delicate challenge for the policy to address.
Further, there is need to support local manufacturers and workers in catching up with the electric vehicle
technology. This could be done by providing funds to the manufacturers and facilitating skill development
for the workers.
As per SIAM, support to local manufacturers to acquire and develop technology and collaborate globally with
technology suppliers is essential. A pool of funds may be considered for technology acquisition for multiple
manufacturers in India.
Nevertheless, steadily number of models achieving localisation requirement are increasing. Out of
approximately 50 plus electric two -wheeler models being produced in the country, only three L2
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
41
and fifteen L1 models met FAME II localisation requirements
30
till September 2020. However,
this figure has reached to four L2 and twenty -six L1 model by mid of December 2020
31
.
Localization of the supply chain is critical from the perspective of bridging the cost differential between EVs
and ICE vehicles. A well-established local supply chain can help reduce the cost of electric vehicles. However,
in absence of any EV adoption mandate, developing local supply chain for EV component seems difficult.
China, under its NEV Policy, mandated EV manufacturing and sale by way of NEV credit systems (case study
provided below) and invested heavily in creation of charging infrastructure. Visibility of upcoming demand
of EVs through adoption mandate has played an important role in development of local auto component
manufacturing for EVs in China.
However, supply chain localisation and availability of EV demand are not linearly correlated. The supply
chain localisation depends on three major aspects that should co-exist – conducive Government policies,
financial muscles of auto component man ufacture and access to raw material. While government policy
(PMP) provided the ample push for the local manufacturing and few auto -component manufactures have
enough access to capital for investment, India is lacking in availability of r aw material needed for
manufacturing of key EV component having high share in EV value chain.
Battery commands nearly 30 - 35% of the EV cost in the value chain. Therefore, Government is weighing
up plans to incentivize local battery manufacturing. NITI Aayog sought Cabinet approval in January 2020 to
provide subsidies to investors upon setting up of giga-scale battery manufacturing facilities for Li-Ion
batteries compatible to EVs in India. However, success of this program lies on the access of raw material
from the countries that have its major reserve (Figure 56). Strength of inter-government bilateral ties and
geopolitical situation would govern the India’s ambition to become a major hub for battery production.
Currently, Li-ion battery production facilities are largely concentrated in China, North America, Europe,
Japan, and South Korea.
Key EV components and their potential to achieve localisation by 2030 is shown below.
30
CNBC (access here)Very High
31
FAME – II dashboard (access here), accessed on 16
th
December 2020
Box 7: Case Study: China localization of EV component
In 2009, China adopted a New Energy Vehicle (NEV) plan to leapfrog existing automotive technologies. It has
launched pilot program in 10 cities to promote NEV. China adopted seven key tools as policy measures to promote
NEV – mandated government procuremen t (at least 30% of EV in total vehicle procurement), reduced taxes
(exemption from the standard consumption tax), direct subsidies to manufacturers, consumer subsidies, industrial
policy Made in China 2025, NEV credit target (NEV credit targets for two years: 10% of the conventional passenger
vehicle market in 2019 and 12% in 2020), Subsidies for development of charging infrastructure.
To boost local supply-chain of EV component key strategy adopted by China through above mentioned policy
measures are as follows:
• Creation of certainty in upcoming demand for EV through government procurement mandate and NE V
credit mechanism
• Invested in creation of charging infrastructure to strengthen EV ecosystem
• Enforced manufacturer to use local manufactured components (40% by 2020 and 70% by 2025). This
policy coupled with NEV credit mandate pushed manufacturer to build and develop ecosystem of local
suppliers of EV component.
• Actively done Lithium offtake deals with countries rich in lithium
• Increased production and mining of rare earth metals available in China
Further, abundant availability of raw material requires to manufacture EV auto components offered additional
inherent advantage to create local supply chain for EV components. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
42
Table 10 2030 localization potential of EV components
Component
(% cost contribution)
Current
localization
Localization
potential by 2030
Rationale
Battery Cell
(30-35%)
Very Low Low • Unavailability of core raw materials like
lithium
• Battery R&D is capital intensive
• Rapid evolving of battery technology
• Cost competitiveness of Chinese Li-ion
batteries
Chassis and Body
(10-15%)
High Very High • No requirement of special raw materials
or technology
• Manufacturing know-how already exist
locally
BMS and TMS
(10-12%)
Moderate Very High • Primarily require software
• India is known for development and
export of software
Motor
(10-12%)
Very Low Moderate • Unavailability of rare earth magnets
such as the Neodymium magnet
• China is the leading producer of rare
earth magnets accounting for over 90%
production and over 40% reserves.
Geopolitical risk involved in sourcing
raw material.
Power Electronics
(8-10%)
Very Low Very High • No major challenge exists except
requirement for capital for doing R&D
and setting-up of infrastructure
Others (HVAC, Control
units etc)
Moderate Very High • Indian manufacturers have experience
and know-how
• Already manufacturing such system,
minor adaptation is required for EVs
Source: 49 Analyst reports, Sector outlook reports, Deloitte analysis
To leverage India’s cost advantage and achieve the high levels of supply chain localization for EV
manufacturing in India, ecosystem stakeholders need to start with the following:
• Facilitate extensive support for Research, Development and Demonstration of technologies using
raw material abundantly available in India, to find alternatives and reduce dependence on scarce
natural resources required for EV manufacturing
• Commitment and investments in technology from incumbent OEMs and auto component companies
• Policymakers will have to strike a balance between promoting localization while making EVs
economical. Need to re-think on waiving unrealistic riders of localisation requirement for availing
subsidy, at least during demand creation phase.
• Invest in creating charging infrastructure, to build ecosystem for EVs. Prospects for future demand
in EVs would bolster investor sentiments, leading to development of local supply chain for EV
components. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
43
Figure 56 Global reserves for metal used in battery manufacturing
Source: 50 Deloitte analysis, USGS Mineral Commodity Summaries 2019
Summary of gaps in existing electric mobility market for OEMS is provided in Figure 57.
Figure 57 Summary of gaps in OEMs electric mobility market
EV charging landscape
Abundant availability of EV charging infrastructure is one of the major drivers for enabling higher adoption
of electric mobility. A robust and well developed EV charging infrastructure alleviates the charge anxiety of
users and increases offtake.
The refuelling (charging) of EV batteries can be done in two ways: first, by charging the batteries; second,
by replacing (swapping) the drained battery with the new one which is commonly known as Battery
Swapping. Australia, 5.11
Morocco and Western Sahara, 5
China, 0.32
Algeria, 0.22
Syria, 0.18
Argentina, 2
Australia, 2.7
Chile, 8
China, 1
Congo (Kinshasa), 3.4
Australia, 1.2
Indonesia, 2.1
Australia, 1.9
Brazil, 1.1
Russia, 0.8
Cuba, 0.6
South Africa, 2.3
Ukraine, concentrate, 1.4
Brazil, 1.1
Australia, 0.99
Gabon, 0.65
Australia, 5
Brazil, 3.2
Russia, 2.5
China, 2
Ukraine, 0.65
Ukraine, 0.9
India, 0.73
Canada, 0.72
Namibia, 0.17
Turkey, 0.17
Lithium
(MnMt. Tons)
Cobalt
(MnMt. Tons)
Nickel
(‘0 MnMt. Tons)
Manganese
(‘00 MnMt. Tons)
Iron
(‘0 MnMt. Tons)
Phosphate
(‘0 BnMt. Tons)
Graphite
(‘00 MnMt. Tons)
World battery
metal reserves
Australia has
maximum number
of metal reserves
available (total –6)
Brazil has sufficient
Nickel, Manganese
and Iron ore
reserves
Lack of R&D promotion
•R&D is required to be promoted to
ensure continues development in the
industry and less dependency on
imports
Lack of focus on skill
development on new
technologies
•With the transition towards EV, many
ICE auto ancillary workers are at the risk
of losing their jobs; there is need to
upskill, support (financially and
technically) them to ensure
employment
Lack of strictness in
implementation of localization
targets
•Early deadlines for localization for some
of the critical deadlines (e.g. battery,
motor) is has already passed without
complete localization Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
44
Figure 58 Refueling in electric mobility
2.3.1 EV charging infrastructure – market landscape
There are multiple services that are provided within the EV charging infrastructure value chain, an illustration
of the same is provided below:
Figure 59 Value chain of EV charging infrastructure
Source: 51 Deloitte analysis
The Ministry of Power has directed CEA to develop a database for public charging infrastructure, available in
India. However, as on date there exist no such database to have consolidated information of operating
charging infrastructure in India. CEA reported that there are more than 372 public charging sta tions in
Delhi
32
. As per charging infra dashboard developed by a research institution, total of 1827 charging stations
have been deployed across the country.
32
CEA - India EV Charger PCS Locations (access here)
Charging in electric mobility
Charging by EVSE operators Battery swapping
Smart grid
management
Software
Network management
software
Hardware
Charging
infrastructure
Charge point
manufacturer
Charge point
installer
Power generation (includes
renewables and decentralized
sources)
Power distribution
Supply electricity
charging points
Operation and
maintenance
Recycling
EV charging infrastructure value chain
Smart grid access
Smart charging
capability
Energy billing
management
Supply and deliveryHardware manufactureServices
Smart electricity generation,
transmission and distribution
Chargermanufacture, including
components, installation and
maintenance
Advanced customer management
solutions for commercialand
residential consumers
Enhanced customer
offering to differentiate
service
Software
Residential consumers
Commercialconsumers Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
45
Figure 60 Total EV charging stations in
India - 2020
Figure 61 Share of Charging point
operators
Figure 62 Charging stations awarded by
DHI under FAME – II Scheme
Source: 52 EV charging dashboard (acces here), DHI
EESL: Charging station aggregator, EESL, has been the leading charging point operator in the country. EESL
has installed about 92 public charging stations across India along with 308 AC and 180 DC captive chargers
33
.
Further, the company has won a tender for installing about 600 PCI under FAME –II scheme. Tendering
process for installing about 600 PCUI across 60+ cities in the country is underway. EESL intends to install
10,000 EV charging stations in India by FY22-23
34
. At present, EESL owns close to 20% of country’s total
charging stations. In July 2020, EESL has launched the first EV charging plaza
35
in the country.
REIL (Rajasthan Electronics and Instruments Limited): A public sector demand aggregator, REIL has
installed about 200 Stations in India. In a recent tender floated by DHI, REIL has been awarded with 1000
charging stations under the FAME –II scheme. Further, the company has already started tendering work to
install 270 PCI
36
Tata Power: Tata Power, an electric utility, has installed about 100 PCS across the country, including 42 in
Mumbai.
37
The company has signed MoUs for setting up commercial EV charging stations at HPCL, IOCL,
and IGL retail outlets. TATA Motors as also partnered with TATA Power to set up 300 fast-charging stations
across Mumbai, Pune, Delhi, Bangalore and Hyderabad.
Apart from above, there are multiple other charging infrastructure providers and EVSE operators that are
operating in the market. Some of the key players are listed below.
Figure 63 Charging infrastructure provider and EVSE operators in India
EV charging equipment
including AC EV charger,
DC quick charger, and
Site Management
AC and DC chargers of
varying configurations
and Installation
Manufacturing of Fast DC
chargers and installation.
Batteries and Bharat EV
chargers. High Voltage
all-in-one Harmony
chargers — GB/T
33
EESL - Electric vehicles & EV charging infrastructure (access here)
34
EESL EVSE (access here)
35
India’s first of its kind public EV Charging Plaza inaugurated by Union Power Minister (access here)
36
Rajasthan Electronics Seeks to Empanel Agencies for Setting Up EV Charging Stations (access here)
37
Tata Power to Set Up 500 EV Charging Stations in India by 2020 (access here)
1827
charging
stations
EESL,
19.40%
PlugNGo,
2.30%
Fortum,
5.30%
Mahindra,
2.90%
Ather,
1.20%
Chargezon
e, 3.80%
NDMC,
1.50%
Others,
63.60%
2636 charging
stations
planned
Box 8: India’s first of its kind public EV Charging Plaza inaugurated in New Delhi
India’s first EV (electric vehicle) charging plaza was inaugurated on 20
th
July 2020 at Chelmsford Club in New Delhi.
The plaza was setup by EESL (Energy Efficiency Services Ltd) in partnership with NDMC (New Delhi Municipal Council).
The plaza has the capability to charge 5 EVs of different specification simultaneously.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
46
Charging station solutions
for transport and fleet
3.3kW AC Charging
Station for offices,
commercial and
residential complexes.
AC Type 2 Charger and
charging management
software
'ChargeGrid' series (Lite,
Pro and Ultra) of EV
charging stations for
homes, apartments, PCS
and commercial spaces.
Charging stations
providing charging
services over Fortum's
Charge and Drive platform
Offer Charging Station
Solutions for home, cities
and highways including
CMS and end- user
mobile apps.
Note: List is not exhaustive
2.3.2 Procurement of EV charging infrastructure
In India, there are primarily two modes of procurement for EV charging infrastructure:
Figure 64 Procurement of EV charing infrastructure
In the public procurement process, government entities adopt competitive bidding to procure EV charg ers.
The procurement follows all the technical guidelines as laid out by concerned ministries and regulators. In
addition to it, it also complies with the General Financial Rules (GFR) and other prevailing public procurement
guidelines.
Under public procurement, Department of Heavy Industry invited Expression of Interest (EoI) from Indian
cities and states for submission of proposal for deployment of EV charging infrastructure within Cities. In
response to such proposals, DHI has sanctioned 2,636 Electric Vehicles (EVs) Charging Stations, amounting
to Rs 500 Crore (Approx.) in 62 cities across 24 States/UTs under FAME scheme phase II.
Procurement of EV charging
infrastructure
Public procurement Private procurement Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
47
Figure 65 Key aspects of EOI released by DHI under FAME II scheme
Source: 53 DHI, Deloitte analysis
State-wise details of sanctioned EV charging stations is provided in Figure 66:
Figure 66 State-wise break-up of charging stations sanctioned by DHI
Source: 54 DHI
In addition to the previously sanctioned 2,636 charging stations, in
September 2020, Ministry of Heavy Industries further sanctioned
241 charging stations in Madhya Pradesh, Tamil Nadu, Kerala,
Gujarat and Port Blair.
38
38
670 new electric buses and 241 charging stations sanctioned under FAME scheme (access here)
Extensive Demand for charging infrastructure in India
under FAME II
Promoting fast chargers
Fast
Charger
Slow
Charger
62 cities
1
3
2
1,633 charging stations
1,003 charging stations
DEMAND -Request through 106 proposal for 7,000EV charging
stations
SUPPLY-Sanctionedthe2,636EVchargingstations
19 Public entities
24 states
States are sensitive for setting charging infrastructure
Positive Outlook for EV charging industry
4
19 entities across different states expressed their interest in setting charging stations
~62%
~38%
The electric vehicle charging infrastructure market in
India is anticipated to grow at a CAGR of over 40%
during the forecast period 2019-2025.
GAP-Thedemandfor4364EVchargingstationsisnotmet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
48
The next section elaborates on the process of installing an EV charging infrastructure in India.
2.3.3 Setting up EV charging infrastructure in India
Government of India has de-licensed the setting-up of an electric charging station. Any individual or
organization is allowed to setup their own EV charging infrastructure as long as the charging station meets
the technical standards laid out by Ministry of Power. Such an individual / organization needs to follow a
standard process starting from preparation of business model to inspection and commercial operation. Figure
67 illustrates a five step process for commercial development of EV charging station.
Figure 67 Process of setting up an EV charging infrastructure
Source: 55 Deloitte analysis
2.3.3.1 Preparation of business model
Preparation of business model include selection of type of charging station, identification of the target
market, cost economics, pricing mechanism and ownership model.
2.3.3.1.1 Type of EV charging station
For any EVSE operator, it is crucial to decide on type of charging station requirement. Selection of a particular
type of charging station will depend upon various factors such as traffic density, expected utilization,
availability of power infrastructure, etc. Cost economics of a charging station is highly influenced by the
location and type of charging station selected.
Figure 68 Types of charging stations
Home Charging
Kiosk-side
charging
Commercial space charging Parking lot/ Group charging Public fast charging
Source: 56 Deloitte analysis
Preparation of business
model (target market,
pricing etc.)
Step
01
Location identification for
setting up charging
station
Step
02
Obtaining land for the
charging station
Step
03
Civil works and
equipment installation
Step
04
Power connectivity
Inspection and
clearance
Step
05
EV Charging Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
49
2.3.3.1.2 Identification of target market
Target market for EV charging station relates to the category of vehicle the charging stations intends to
cover. For instance, e-2w, e-3w be the possible target markets for slow charging stations. e-4W can be
charged in both slow / fast charging stations depending upon the location. Identification of target market
will help in ensuring highest possible utilization of the charging station and also helps in selection of the
charger type (AC / DC).
Potential vehicle
segment(s) for
EVSE operator to
be picked as
target market
2.3.3.1.3 Selection of EVSE charging
Once the charging station type and target market are identified, the next step is to select the suitable
charging type/level for the station. EV charging is categorized into three categories: Level 1 charging, Level
2 charging, and Level 3 charging.
Figure 69 Levels of EV charging
Source: 57 Vehicle Charging – US Energy (access here), EVSE – Types of charging (access here), Understanding the Different EV Charging Levels
(access here), Levels of Charging (access here), EV Charging Station Installation Guidebook (access here)
2.3.3.1.4 Determining cost economics
The cost economics of the charging station will include three components: capital expenditure, operational
expenditure and the cost of power.
Capital expenditure Operational expenditure Cost of power
This will include cost of land, supply
and erection of EVSE, CMS, meter,
LED screens, CCTV camera etc.
This will include maintenance cost,
and services cost such as payment
gateway charges, parking charges,
insurance premium etc.
This includes cost of power and
other additional surcharges. Breakup
includes:
i. Demand charge; ▪120 V AC outlet
▪Typical duration of charge event:
6-10 hours
▪5 miles per hour charging
▪Best for hybrid EVs, home/
workplace charging
▪>200 V AC outlet
▪Typical duration of charge
event: 1-3 hours
▪10-20 miles per hour charging
▪Best for commercialcharging
▪DC fast charger
▪Typical duration of charge
event: 30 mins
▪>75 miles per hour charging
▪Best for high traffic areas,
highways
Level 1 Charging
Level 2 Charging
Level 3 Charging
2W 3W 4W E-buses Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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Capital expenditure Operational expenditure Cost of power
ii. Energy charge;
iii. Surcharges;
iv. Electricity duty
Details about the capital expenditure, operational expenditure and cost of power (demand charge) can be
estimated from the selected charging station type and charging methodology (levels).
2.3.3.1.5 Pricing mechanism
A suitable pricing mechanism allows the operator to recover its investment and also ensures realization of
targeted IRR. The international experience suggests four key pricing mechanism that the EVSE operator can
adopt.
Figure 70 Pricing mechanism options for EV charging
Source: 58 Deloitte analysis
In time based fees, EV owners are charged for the total time their vehicle is connected to the charge unit.
Total energy consumed is not taken into consideration in time-based fees.
In the energy-based fees, EV owners are charged based on the total energy consumed during charging.
This does not take time for charge into account.
In Fixed fees, EV owner is charged at a flat fee, irrespective of the time or energy consumed in charging.
In Membership/ subscription fees , EV owner is usually charged on monthly / annual basis and in return
the EV owners can charge their vehicle at any of the operator’s charging station.
Other than earning revenue from the charging service, the EVSE operators can earn non-energy revenue
through advertisements as well.
2.3.3.1.6 Partnership model
Globally, there have been multiple established partnership based business models for public charging
infrastructure. Some of these models are provided in the below figure:
Figure 71 EV charging station business models
Source: 59 Deloitte analysis
Details about EV charging business model is provided in Section 4.2.2.1.
2.3.3.2 Location identification
Once all other information related to business model is determined, identification of location within the city
is the next step for the EVSE operator.
Time-based
fees
Energy-
based fees
Fixed fees
Membership/
Subscription
fees
Independent model
Utility Installations -
Own & through PPP
Integrated Model
Charging infrastructure
to increase revenue in
existing business
1234 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
51
Ministry of Power , in its technical
guidelines, has stated the requirement of
at least one charging station in a grid of 3
Km x 3 Km along with one charging station
at every 25 Km on both sides of highways
and roads.
To identify the optimal siting, EVSE
operator can evaluate several key locations
such as city highways and other points of
interest within the city (hospitals, malls,
commercial complexes, offices, fuel
stations, etc.). Further the operator can
install its charging stations in such a way
that it covers maximum points of interest.
Figure 72 illustrates a 3km x 3km grid for a city. Each grid as highlighted is expected to have at-least one
charging station. However, the optimal location within each grid needs to be evaluated through a multi-
criteria decision matrix. The EVSE operator may refer below criteria for selecting location for charging
infrastructure:
Network interface Urban interface Power interface
Whether the location witnesses
adequate traffic and ensures
convenience of charging
Whether the location has adequate
demand and infrastructure enablers
Whether the location can sustain the
EV load
To assess the criteria mentioned above, following factors can be considered to have data driven assessment
of locations.
Table 11 Key factors to consider in multi-criteria decision making for selection of location for EV charging infrastructure
Parameters Factors to consider
Location profile Location, Topography, Demography, etc.
Type of transportation
prevalent
Roadways, railways, airways etc.
Key statistics Type of transport: 2 wheelers, 3 wheelers, 4 wheelers, Buses, Commercial vehicles,
Personal vehicles
Key attributes viz.
• Spatial distribution of registered motor vehicles
• Share of Different Modes of Transport in overall transportation sector (LCV,
MCV etc.)
• Average annual growth by category
Key areas Ring roads, Commercial and industrial hubs, Expressways, Highways, Intra-city
roads, Bus terminals
Forecasts for
transportation sector
• Forecast for private and commercial vehicles
• Forecast for freight transportation
• Expected penetration of conventional vehicles and Electric vehicles in the
future
Power infrastructure
• High level network overview with load growth forecasts
• Overloaded / under-loaded areas
• Optimal locations for solar power
Source: 60 Deloitte analysis
Figure 72 3x3 Km grid for EV charging station (illustrative)
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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For selection of location, below is the shortlisting criteria for a detailed optimal location analysis for charging
station within a specified grid in a city:
Figure 73 Shortlisting criteria for selection of location for EV charging station
Source: 61 Deloitte analysis
Locational enablers Network enablers Traffic enablers
▪ High demand and population
▪ Presence of C&I industry
▪ Availability of solar power
▪ Ease of monitoring of EVSE
▪ Robust network connectivity
▪ Spare capacity in DTs and
feeders
▪ Optimal bus voltage
▪ Proximity to service transformers
▪ Space for electricity/ civil works
▪ Adequate flow of vehicles
▪ High daily run
▪ Adequate parking space
▪ Ease of access to EV users
Siting of EVSE should be such that the facility attracts enough traffic to be optimally utilized. Therefore, a
site near office complexes, business hubs, commercial establishments, residential flats, etc. would make
better business proposition.
i. Adequate parking and lanes: EVSE locations should have adequate parking space as well as entry
/ exit lanes for the vehicles and as such it becomes important to assess areas with similar provisions.
Areas with huge traffic density would have lesser provision for the same but the charging demand
at such locations would be high.
ii. Traffic flow: The number of electric vehicles now and in the future will be great where the traffic
flow is large, so the same as charging demand and the benefit of EVCSs.
iii. Distance from city centre: While rental fees would be lesser in the city outskirts than the interiors,
those are not suitable locations for ensuring maximum utilization of EVSE. User charges will be
guided by rental and level of utilization of charging stations.
Choice for appropriate siting of an EV charging station is also dependent on whether the location has
sufficient electrical grid capacity to absorb the EV load growth at present and in future. To ascertain the
same, a detailed framework is adopted by the developer for distribution network load flow analysis. The aim
of the network assessment is to determine:-
Final set of
location
Location
assessment
Power
network
assessment
Traffic
assessment
Available
potential
location
Level 1 criteria:
✓Population
✓Total demand
✓Proximity to traffic
✓Cellular network
✓EVSE to utility/ grid
connectivity
Level 2 criteria:
✓Spare capacity in
network
✓Congestion
✓Health of Dist.
Network
✓Proximity to power
source
✓Construction cost
Level 3 criteria:
✓Traffic flow
✓Vehicular congestion
✓Parking space
✓Accessibility
✓Visibility Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
53
i. Location and spare capacities in distribution network
ii. EV penetration manageable in existing network
iii. Appropriate mix of slow and fast chargers
iv. Time of the day where EV charging can be curtailed/ throttled
2.3.3.2.1 Obtaining land for installation of charging infrastructure
Upon identification of suitable location for installation of charging infrastructure, the land is acquired or
leased depending upon the respective state guidelines. Typical process for acquisition of land and the degree
of difficulty in seeking administrative approval is provided in Table 12.
Table 12 Typical process for acquisition of land
Case Type of land Typical process Degree of difficulty in
securing Administrative
approval
Private
developer
creating
Charging
infrastructure
for Government
bodies
Government
1. Government Body makes request to District
Collector (DC) for transfer of land
2. If the land is not earmarked for any future
development under the town and country
planning Act, the DC initiate the process of
transfer/lease of land with approval of State
Government
Difficult
Private
1. Government Body make s request to District
Collector (DC) for acquisition of land
2. DC initiate the process as per the State Land
Acquisition Act.
3. DC determines the compensation to be paid
to the owner of such land
Very Difficult
Private
developer
creating
Charging
infrastructure
for entity other
than
government
body
Government
1. Developer makes request to District Collector
(DC) for transfer/lease of land
2. If the land is not earmarked for any future
development under the town and country
planning act, the DC determines the fair
value of land
3. Initiates the process of transfer/lease of land
with approval of State Government
4. Developer needs to apply for changes in
Land record in the office of Land and
Revenue
Very Difficult
Private
1. Developer and the owner of land either carry
out a sale or lease transaction
Easy
Source: 62 Deloitte analysis
In addition, there are additional administrative approvals required, if the identified land is an “Agricultural
Land”. In such situation, approval for change of land use needs to be taken before using such land for
purpose other than agriculture.
2.3.3.3 Civil works and equipment selection
Selection of equipment is critical in setting-up of EV charging station. Figure provided below depicts the
typical hardware infrastructure required to setup an EV charging station. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
54
Figure 74 Hardware required to setup EV charging infrastructure
Source: 63 Siemens - Electric vehicles (EV) charging (access here), EVConnect - EV Charging 101 (access here), Deloitte analysis
Requirements for selection of right equipment has been detailed in sections below.
2.3.3.3.1 Government mandate
Equipment selection for the charging station must be in line with the government guidelines. For public EV
charging stations, Ministry of Power (MoP) notified its guidelines on October 2019. Key requirements
mentioned therein are summarized below:
• The charging station should have an exclusive transformer with all related substation equipment
including safety appliance
• The charging station should include 33/11 kV lines/cables and associated equipment including
line termination etc.
• The charging station must have appropriate cabling and electrical work ensuring safety
• The charging station must have adequate space for charging and entry/ exit of vehicles
• The charging station should have any of the chargers shown below:
Figure 75 Approved EV chargers for public charging in India
Bharat AC 001 Bharat DC 001 Type-2 charger CHAdeMo charger CCS charger
Power output: 10 kW
Rated voltage: 230 V
Power output: 15 kW
Rated voltage: >48 V
Power output: >22 kW
Rated voltage: 380-415 V
Power output: >50 kW
Rated voltage: 200-500 V
Power output: >50 kW
Rated voltage: 200-750 V
Source: 64 MoP Charging Infrastructure for Electric Vehicles Revised Guidelines Standards (access here)
Note: 2W and 2W charging stations are free to use any charger other than those provided above. However, they must be in line with CEA’s
technical and safety standard
• The charging station must tie up with at least one online Network Service Provider (NS P) to
enable advance remote/ online booking of charging slots.
Transformer Safety switch Lighting
panel
EVSE
Rectifier module (In case of DC charger)
Switch gears
Cabinet
Visual Indicators/HMI etc.
Auxiliary Supply Equipment
Electricity
meter
Chord
Connector
Other EVSE
Components
Charge controller
EVSE can be free-standing or mounted to a wall or ceiling.
In case of "Smart" charging, stations include communications hardware for
use with software applications.
AC Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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• EVSE shall be type tested by a third party lab accredited by National Accreditation Board for Testing
and Calibration Laboratories (NABL)
For long range EV charging station, at least
two chargers of minimum 100 kW power
output of different specification
(CCS/CHAdeMo etc.) with single connector
gun each should be installed
2.3.3.3.2 Other selection requirements
Beyond the government mandates, there are several other factors that influence selection of an EVSE. There
are multiple requirements that are required to be fulfilled by the EVSE operator while selecting the
equipment. Some of the key such requirements are provided in the below figure.
Figure 76 Key requirements for selection of equipment
1 Environmental requirement 2 Mechanical requirement 3 Protection requirement
4 Specific requirement 5 Functional requirement 6 Communication requirement
7
Billing and payment
requirement
8 Performance requirements 9
Marking and painting
requirements
10 Cable requirement
Environmental requirement
This includes the operational range of the EVSE in environmental conditions such as temperature, humidity,
pressure, storage temperature etc.
Below are the environmental requirements stated in per AIS 138 Part I:
▪ Ambient Temperature Range: 0°C to 55°C (section 11.11.1.2)
▪ Ambient Humidity: 5% to 95% (Section 11.2)
▪ Ambient Pressure: 86kpa to 106kpa (Section 11.11.2.4)
▪ Storage Temperature: 0°C to 60°C
Mechanical requireme nt
The mechanical requirement of an EVSE tests the system for me chanical impact, ingress protection,
mechanical stability and cooling function.
Below are some of the standards/ values accepted while procurement of a DC 001 charger:
• Ingress Protection: The minimum IP degrees for ingress of objects is IP 54
• Mechanical Impact: As per IEC 61851 -1 Section 11 .11 .2
• Mechanical Stability: As per section 11 .11 .2.2. of AIS 138 Part Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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• Cooling: Air cooled or forced cool for protection and safety of equipment from any fire hazards
Protection requirement
The protection requirement ensures the EVSE is equipped to sustain an electric shock, and provide Protection
for Over current, under voltage, over voltage, Residual current, Surge protection, Short circuit, Earth fault
at input and output, Input phase reversal, Over temperature and Emergency shut-down with alarm.
AIS 138 Part I specifies the standard for protection against electric shock and earthing:
• Protection against electric shock – Section 7.0
• Effective earth continuity between the enclosure and the external protective circuit - Section 6.4.1.2
Cable – As per AIS 138 Part ½; length of cord will be 5 meter; cord extension as per Section 6.3.1 of AIS
138 Part 1
Specific requirements
Specific requirement related to EVSE includes output power, charging current, load dump etc. These
requirements are in accordance with IEC 61851 standard:
• Rated outputs and maximum output power: IEC 61851 - 23 (Section 101.2.1.1)
• Descending rate of charging current: IEC 61851-23 (Section 1 01.2.1.4)
• Load dump: IEC61851-23 (Annex BB 3.8.3)
Functional requirements
The function requirement of EVSE equipment deals with its current and voltage level. The guidance for the
same is provided in AIS 138-2 standard.
• Measuring current and voltage: AIS 138-2 (Annexure C3.1)
o Voltage measurement: ± 0,5%
o Current measurement: ±1 A if the actual current is less than or equal to (~) 50 A
Communication requirements
Appropriate communication system in an EVSE system is highly essential. The EVSE should have feature to
remotely connect with a Central Management System (CMS) which will have the authorization to approve
or modify any activity in the EVSE.
• Communication between EV and EV charging station should be through a physical layer of CAN
(Controller Area Network) bus. CAN bus should comply with the requirement of ISO 11898 -2:2003
AIS 138-2 provides details about the system definition for communication between DC EV charging
station and electric vehicle
• For EVSE to Central Management System (CMS) communication, the general requirement is through
Ethernet/Wi-Fi/2G/3G/4G technologies. Also, the CMS system must use Open Charge Point Protocol
(OCPP).
CMS must have the authorization for allowing/ disallowing charging of an electric vehicle through.
• Reliable Internet connectivity is another requirement of the EVSE system
• Metering is another requirement of EVSE. A grid responsive metering as per units consumption of
the vehicle must be in place with the EVSE. The central system should be able to access the metering
information from any remote location.
Billing and payment requirement
For billing and payments in the charging station: Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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• Billing should be done through a grid responsive meter which is in line with Indian metering standard,
and
• Payments should be compliant with authorized mobile payment platforms (BHIM, Bharat QR, UPI
etc.)
User interface and display requirements
The user interface and display of an EVSE system should have:
• ON/OFF (Start-Stop) Switches
• Emergency stop switch
• Visual Indicators
• Display
• Support language
• Display Messages
• User Authentication
• End of Charging
Performance requirements
The performance requirement of EVSE can assessed on the basis of output voltage and current. The
approved value of the performance parameters is defined in AIS 138 standards . Below are some of such
requirements:
DC output and current tolerance requirement :
• DC Output current regulation in Constant Current Charging (CCC): ± 2.5 A for the requirement
below 50 A, and ± 5 % of the required value for 50A or more
• DC Output voltage regulation in Constant Voltage Charging (CVC): Max. 2 % for the max rated
voltage of the EVSE
Control delay of charging current in CCC requirement:
• DC output current Demand Response Time: <1 s Ramp up rate: 20 A/s or more
• Ramp Down rate: 100 A/s or more
DC output current ripple limit of EVSE
• 1 .5 A below 10 Hz,
• 6 A below 5 kHz,
• 9A below 150 kHz
Periodic and random deviation (Voltage ripple)
• Max. Ripple voltage: ±5 V.
• Max slew rate: ±20 V/ms
Marking and painting requirements
Guidelines for markings on the EVSE is provided in AIS 138 standard. Some of the mandated markings given
in AIS 138 standard are:
• Name or initials of manufacturer
• Equipment reference
• Serial number
• Date of manufacture; rated voltage in V; rated frequency in Hz; rated
• Current in A; number of phases;
• IP degrees
2.3.3.3.3 IT infrastructure for EV charging station
Suitable backend IT infrastructure is highly crucial for seamless operation of EV charging station. A Network
Service Provider (NSP) is the responsible entity for managing and operating network related services for Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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charging stations. Such an entity enables cloud based access of information regarding EV charging, location
of charger, types and numbers of chargers and other details.
Overview of services provided by NSP is given below:
Figure 77 Services offered by NSPs and key players
Source: 65 EVConnect - EV Charging 101 (access here), Deloitte analysis
Govt. of India has mandated Charging station operators to tie up
with at least one online Network Service Provider (NSP).
Other than EV and EVSE, there are two other vital components that remotely access the information at
charging station viz. CMS (Central Management System) and mobile apps. CMS is a cloud based backend
system managed by the EVSE operator. It communicates with EVSE to manage user authorization, billing
and rate of charging. The CMS also enables end-users to find nearest charging stations, reserves a charging
slot and pay. Mobile applications are utilized for remotely accessing information about nearest charging
station, its availability, operating status, etc.
Figure 78 illustrates the communication infrastructure in a typical EV charging process.
Figure 78 EV charging communication infrastructure
Source: 66 DHI - Committee Report on Standardization of Public EV Chargers
There is a need for communication between the vehicle, EVSE, CMS and user mobile app in order to efficiently
operate the charging process. The EVSE communicate s with the Battery Management System (BMS) of
Interfaces Network services Other
✓Driver interface
✓Operator
interface
✓Admin interface
✓Charging station
management
✓Driver
management
✓Customer
location
✓Pricing & access
control
✓Notification
✓Reporting
✓Network
database
✓Charging station
interface
adapters
✓Charge station
operational
software
Network Service Provider (NSP) services
EV Charging NSPs
EV-EVSE
Communication
EVSE-CMS
Communication
CMS-Mobile app
Communication
Ensuring safe and secure
supply of energy for EV
charging
To manage grid associated
parameters, user
authorization, billing and
other information related to
charging
Locating nearest charging
station, reservations, billing
details etc.
EV EVSE CMS Mobile app
SAE J1772
protocol
OCPP
protocol
OCPP
protocol Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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battery packs in EV, to enable it to charge at right rate, for maintaining State-of-Charge (SOC) of batteries.
EVSE and Central Management System (CMS) communicates in order to enable maximum charging rate to
be controlled depending upon the grid parameters.
EV public charging uses OCPP protocol remotely to communica te the
EVSE status with the mobile app user
In case of managed charging, the utility has remote access to connect/disconnect EV or alter the charging
speed based on network parameters and conditions. International experience suggest that there are multiple
protocols that could be followed during managed charging.
Figure 79 Communication protocol for managed charging (Illustrative)
As shown in Figure 79, there are multiple messaging protocols layered between the EV, the EVSE, NSP and
the utility, which can be leveraged for different purposes. Presently, there are no industry-wide standards
for the entire “ecosystem” for information exchange and communication . Many industry stakeholders are
advocating for open, non-proprietary communications messaging protocols to reduce the cost of managed-
charging implementation.
Details about the standards presently used for communication is provided in Table 13:
Table 13 International communication standards and their description
Standard Description
OSCP 1.0
OCPP 1.5
OCPP 1.6
OCPP 2.0
The Open Smart Charging Protocol (OSCP)and the Open Charge Point Protocol (OCPP) were
developed by the members of the Open Charge Alliance (OCA). These are open protocols for
communication between charging points and the EV charging network administrator. These
protocols provide charging station owner an option of changing EV charging network
administrator without stranding equipment assets. The OSCP acts between the charging
station and the energy management system, can provide 24 -hour prediction for local available
capacity, and fits charging profiles to grid capacity. OCPP 1.6 includes smart charging support
for load balancing. The most recent version, OCPP 2.0, includes support for ISO/IEC 15118
(among other things). Although not yet formalized as a standard and managed by a
OPENADR AND OCPI
SMART
PHONE
WI-FI
EVSE EVEVSE EV
SMART
METER
UTILITY DATA CENTERNSP DATA CENTER
SMART METER
COMMUNICATIONS
NETWORK
BROADBAND CELLULAR
123
4
2 2 2
2
4
4
4
2
2
2 4
2
1
OCPP AND OPENADR
SAE J1772(PLUG), ISO/IEC 15118
(EV TO EVSE)
INTERNET PROTOCOL
SMART
METER
33 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Standard Description
recognized Standards Developing Organization (SDO), there is significant adoption of the
OCPP protocol and efforts are underway to develop it into a full standard within the IEC.
OpenADR 2.0 The Open Automated Demand Response (OpenADR 2.0b is the most updated version)
standard is currently managed by the OpenADR Alliance. It provides an open and standardized
way for Virtual Top Nodes (e.g., electricity providers and system operators) to communicate
with various Virtual End Nodes (e.g., aggregators, EV charging network operators, etc.) using
a common language over any existing IP-based communications network. Originally developed
as a peak load management tool, it has since expanded to include other DERs. Messaging
protocols such as OpenADR can also be used in combination with other protocols, such as
those used to communicate between a charging station and a network operator (e.g., OCPP76,
IEEE 2030.5, etc.).
ISO/IEC 15118 ISO/IEC 15118 (also referred to as “OpenV2G”), enables the managed charging functionality
in an EV, such as optimized load management. More specifically, it specifies the
communication between the EV and the EVSE and supports , EV authentication and
authorization (also known as “Plug and Charge”), and metering and pricing messages. Version
2 that will include V2G is currently under review, anticipated to come by end of 2020.
IEEE 2030.5/
SEP2.0
IEEE 2030.5 (formerly Smart Energy Profile 2.0 or SEP2.0), is an application layer protocol
that defines messages between any client/server. Pricing, demand response, and energy use
are among the types of information that can be exchanged using the protocol and can
integrate a wide variety of DER devices, including EVs and EVSE.
IEC 63110 IEC 63110 is an international standard defining a protocol for the management of EV charging
and discharging infrastructures. It is part of an IEC group of standards for electric road
vehicles and electric industrial trucks and is assigned to the Joint Working Group 11 of the IEC
Technical Committee 69. At the date of publication it was still under development
Other than protocols mentioned above, t here are several proprietary protocols that can be used in
communications. These protocols are:
• GPS tagging: Vehicles can be managed through an on-board diagnostic interface (OBD2) which has
built-in capabilities, like GPS location software, which can be managed according to the local grid
circuit.
• Programming capabilities: EVs can also have the ability to program their charging window that
would enable the user to align charging with TOU or other EV rates. In addition to this, such vehicles
also have the capabilities to receive price, emissions, or grid stress signals from utility or aggregator
directly, so that the EV’s charging program could intelligently align its charging schedule optimally.
A case study on offerings provided by Network service Provider highlighting the range of solutions provided
is presented below in Box – 9. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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2.3.3.4 Obtaining power connectivity and inspection
Process for obtaining electricity connection for charging station can vary as per state. However, an indicative
process for obtaining connectivity is illustrated below:
Box 9: EV Connect – Overview of offering provided by NSP in New York
Background: EV Connect, a leading provider of EV charging solutions, was awarded a $4 million contract from the
New York Power Authority (NYPA) to install and manage approximately 300 additional Level 2 EV charging s tations
throughout New York State. EV Connect provided management of the charging ecosystem, which includes the
charging stations, host locations, electric utility interaction and the driver experience.
For the program, EV Connect partnered with GE and EV Box to provide the charging stations, and local contractors
for installation work. EV Connect was also entrusted with activities such as initial site assessment, to recommending
the right charging stations to fit the need, installation, on-boarding/training utility administrators and configuring
admin portal with utility preferences. EV connect also provides on-going care and management 24/7.
Overview of the EV cloud platform : The EV Connect management system is consisted of a cloud -based network
that communicates with the charging station, driver mobile app, site host portal, and utility. Communication from the
EV Cloud to the stations is either via OCPP or a cloud-to-cloud integration. The platform can manage an unlimited
number of geographically dispersed charging stations and provides the following features:
a) Charge point management and operation: The platform can manage chargers and sessions remotely, letting
the user to monitor and adapt charging sessions based on up-to-date analytics. Chargers can be connected via
an M2M connection to the Microsoft Azure cloud-based platform, which supports open protocols such as OCPP,
OCPI and OSCP. Utility can also input remote commands including start/stop charging, unplug connector, remote
firmware updates or change charger configuration and access a live KPI dashboard.
b) Smart charging: Smart Charging through the EV cloud uses algorithms to manage EV charging sessions. Thus
the utility can smartly balance between the supply of power and available grid capacity and the demand for
energy for charging the cars.
c) Price control: Set pricing policies unique to different stations, station groups, locations, and drivers. Some of
the pricing policies include: charging per kWh, per connected time, per charging time, etc.
d) EV-driver app and interactive map: The EV connect can helps drivers find and monitor the perfect charge
point; charge and pay with your app; see exactly how fast, how much and at which rate the car is charging etc.
The platform also provides users information of health of charging stations, geographical locations and real-time
availability
e) Insights and Reporting: The dashboard gives detailed insights on historical charging station data analytics,
session data, energy usage, utilization by station or driver, and more. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Figure 80 Process for obtaining electricity connection for EV charging station
Source: 67 Deloitte analysis
As per inputs received from industry, average duration for receiving
connectivity for charging station varies from 30 to 45 days that may
further be extended in case network upgrade is required
As per policy mandates, before the commercial operation, the charging station will undergo an inspection
by the appropriate authority. The authority evaluates the charging station on various parameters as per
concerned guidelines laid down by CEA or as per International Standards. Some of these parameters are
mentioned below:
Protection Harmonic Current DC Injection
Voltage Sag,
Voltage Swell,
Flicker, Disruptions,
etc.
Overload
Lightning Protection Protective device
Disconnection of EV
from the supply
Locking of the
coupler
Protection against
overvoltage at the
battery
Note: Checklist for complete inspection of EV charging station is provided in Annexure 6.2
Once the inspection by the Discom official / Electrical Inspector is done, the charging station is made
available for commercial use.
Submission of
document for getting
Electricity Connection
Technical sanctioning of load
–Discom checks for network
upgradation requirement
Upgrade network, if
required
Discom informs Electrical
Inspectorate Department to provide
approval for energization
Electrical Inspectorate Department visit the site and
carry inspection as per CEA (Measure relating to
Safety and Electric Supply) Regulation, 2010
Electrical Inspectorate Department
provides its approval to Discom for
Energization of charging unit
Discom release the
connection with appropriate
metering infrastructure
1234
567 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Source: 68 Recommended Electric Vehicle Charging Infrastructure Deployment Guidelines for the Greater Houston Area (access here)
Box 10: International experience on process of installation of public charging station
The City of Houston laid down guidelines for setting up of EV charging infrastructure in the Great Huston Area. The
guidelines were laid for all type of charging viz. home charging, outdoor charging, and public charging. Process flow
chart of installing a public charging is provided below:
Figure 81 Process flow chart of installation of a public charging station in Greater Houston Area
Consultation with
utility
Consultation with
governing authority
Utility consideration:
•EV rate structure
•Availability of power
•Metering
•Total load
management
•Smart grid
•Level 2/ Level 3
charging
Governing authority
considerations:
•Public planning
•Funding/ grant
requirement
•Public siting locations
•Traffic patterns
•Public street signage
Consultation with EV
& EVSE suppliers
Consultation with
local business owners
Consultation with
electrical contractor
EV/ PHEV/
Promoter/
Property
owner
Site plan developed
Obtain permits
Conduct installation
Installation
completed final
inspection and
approval
OEM considerations:
•Level 2/ Level 3 charging
•Current and future EV
needs
•Determination of number
of chargers required
•Determination of location
of parking areas
•Determination of electrical
loads
•User payment options
Business owner
considerations:
•Quality of EVSE
•Location of EVSE
station
•Ownership concerns
•Cost sharing
•Maintenance
responsibilities
•User payment for
service
•Vandalism
•Lighting/ shelter
•Advertisement
•Smart grid/ load
sharing
Contractor considerations:
•Proximity to utility service
panel
•Standing water/ flood
issue
•Safety and accessibility
considerations
•Avoidance of tripping
hazard
•Installation meets building
code requirement
•Additional lighting
requirement
•Load sharing options
Contractor considerations:
•Drawing of EVSE
location
•Electrical plan including
new circuit
•Additional meter
requirements
•Concrete cutting,
trenching, landscape
considerations
•Contractor estimate
Approving authority
considerations:
•All building codes
satisfied
•Qualified and certified
contractor
Utility service upgrade
completed Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Source: 69 Practitioner’s Guide for Deployment of Public Charging Stations for Electric Vehicles- Learnings from first large-scale roll-out of
public charging stations by EESL
2.3.3.4.1 Challenges
The key challenges in development of EV charging infrastructure are provided in Figure 82. For details,
please refer information provided in the Annexure 6.2.
Box 11: India’s experience on setting up of a public EV charging infrastructure
Background: The United States Agency for International Development (USAID), under its bilateral program with the
Ministry of Power (MOP), was assisting EESL to develop and implement a scalable business model for deployment of
Public Charging Station (PCS). EESL, in partnership with the USAID's Program, designed and implemented a first-of-
its-kind large-scale roll-out of PCS project.
To setup the large scale PCS project, EESL identified activities under four phases:
Location for the setup of large scale EV charging infra, EESL signed MoU with NDMC in January 2019 to install up to
100 PCS in their region. NDMC was the land owner as well as the power supplier.
The PCS was operational from May 2019, and its average monthly utilization till December 2019 was 6.2%
Business model designing
Location assessment
and installation
EV analytics
Scaling up & EV
ecosystem development
•Selection of region and type of
chargers
•Business model design
•Cost economics of PCS
•Pricing mechanism
•Location assessment
•Field visit
•Site prioritization
•Installation of PCS
•User mobile interface
•Reporting and analytics
•Tools for scale up
•Capacity building
•Partnerships
•Asset monetization
P H A S E 1P H A S E 2P H A S E 3P H A S E 4
T A S K S
U N D E R T A K E N MoU, revenue model and utilization
MoU between EESL and NDMC was signed in January 2019
Land owner: NDMCCharging station operator: EESLPower supplier: NDMC
Energy-based pricing mechanism was adopted by EESL for the PCS (EV
owner will be charged based on the total electricity consumed)
6.2% utilization per month (May –December 2019)
✓Adequate land for PCS
✓Approvals and permission
for installation of PCS
✓Support in power sanction
✓Location assessment
✓Demand aggregation
✓Bulk power procurement
✓Install and operate PCS
✓Ensuring connectivity to
the PCS
R O L E S
MoU Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Figure 82 Gaps in existing EV charging infrastructure
2.3.4 Battery swapping – market landscape
Battery constitutes approximately 40% of the upfront cost of an EV. The high upfront cost of EV is a key
barrier to its widespread adoption. Removing the battery from the vehicle and providing the same through
a service can lower the cost of an EV and offer a better value proposition to users. Such a model can ensure
that upfront prices of EVs are at par or even lower than the ICE vehicles. Battery swapping provides such a
method of decoupling of batteries from EVs and reducing their upfront costs. It also ensures reduced waiting
/ charging time for vehicles and offers a promising alternative to increase the adoption of EVs in commercial
segment.
Figure 83 Value promosition for battery swapping
In battery swapping, a third party takes the ownership of the battery and is liable for replacing the drained
batteries with fresh / charged batteries. The third party also needs to ensure standardization in batteries.
Battery Swapping Stations act as a battery aggregator and charge batteries by availing electricity connection
from either power distribution companies or through open access.
Value proposition for
battery swapping
Reduced EV cost (Battery
ownership with third party)
Lower vehicle dowtime
(especially for commercial
segment)
Lack of policy support for
workplace charging
•As per SIAM, Research has shown that
people are 20 times as likely to buy an
electric vehicle if there is access to
charging at their workplace
Lack of focus on developing
private charging infrastructure
•International experience suggest that
more focus need to be given at
development of private charging
infrastructure. Except Delhi no other
state provide subsidy in development
of private charger infrastructure.
Delay in installation of charging
infrastructure
•Supply where distribution mains
require extension: up to 45 days
•Supply where augmentation of
transformer sub-station capacity is
required: up to 6 months
Additionalcharge is borne by
applicant in seeking electricity
connection
•As per the existing Supply Code of
many State, the cost of upgradation of
electricity network is required to be
borne by the applicant. The network
upgradation cost includes cost of
33/11 kV lines, Substation bay,
transformer cost etc. that increases the
cost economics of development of
Charging Station significantly. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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Figure 84 Typical arrangement at Battery swapping station (BSS)
Battery swapping provides multiple advantages to all stakeholders in the value chain:
Table 14 Advantages of battery swapping stations to the stakeholders
EV Owner BSS operator Discoms
• Reduced cost of ownership
• Fast refuelling – reduced
downtime/ charge time
• Reduced range anxiety (in
presence of wide network of
BSS)
• Relieving the concern of
battery lifetime
• Reduced cost of real estate
(no need for large parking
space)
• Can minimize electricity cost
(in ToU scenario)
• Can have other revenue
stream by participating in
electricity market
• Planned development of
infrastructure
• BSS can be treated as flexible
load
• Increased predictability of
load, which otherwise would
be difficult to have in high EV
penetration scenario
3W (predominantly e-rickshaw and some share of e-auto) is by far the largest adopter of EVs in India at the
moment. In a typical charging cycle these commercial vehicle faces downtime of 3 -4 hours that have
significant impact on their earning potential.
To overcome such challenge, battery swapping is emerging as promising business model for this segment
of vehicles with many companies entering into this arena (Sun Mobility, Lithion, E-Chargeup Solution, ACME,
Amara Raja, Panasonic etc.)
Figure 85 Private players in battery swapping space
Buses, 2W and 3W
(IOT enabled keychain to
access the dock to place
the drained battery, pay for
energy consumed and pick
up a charged battery)
2W and 3W
(Swapping takes less than
5 mins.)
3W (e-rickshaw)
(Provides IoT enabled
solutions for battery
swapping)
2W and 3W
(Conducting pilot
programmes on battery
swaps in Delhi NCR)
Battery swapping
station
Fees
Service Power
Electricity Bill Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
67
2W and 3W (e-rickshaw)
(Having operational battery
swapping station in Delhi
and NCR)
3W (e-auto)
(Established battery
swapping stations for fleet
of e- Autos in Tirupati city)
4W
(Launched EcoCharge
station as India's 1st
Battery Swapping and
Charging Station for Ola
Electric in Nagpur)
Even with significant benefits offered by battery swapping to the associated players, this model is still at a
nascent stage in India. Key factors hindering the adoption of battery swapping are provided below:
Figure 86 Reasons for low adoption of battery swapping in India
Reduction in upfront cost of EV is an important advantage of battery
swapping. However, OEMs such as Renault have come–up with
battery leasing option to their customers which reduces the high
upfront cost of the EV for the customer, and also at the same time
ensures use of verified batteries in their vehicles.
Distribution utility – market landscape
2.4.1 Role of Distribution utility in EV marketplace
A well-developed and robust charging network is vita l for increased offtake of EVs and vice-versa.
Development of charging infrastructure and increased adoption rate of electric vehicles is a classic case of
chicken-egg problem. Discom could play a vital role in providing a solution to this problem. Discoms are
aptly placed in the EV ecosystem to catalyse the development of charging infrastructure by leveraging its
business synergies and technical capabilities. Following excerpts highlight the unique positions that discoms
possess in in development of charging infrastructure:
Grid infrastructure
Discoms have existing grid infrastructure that could be suitably augmented to cater to EV
charging load. Further, discoms have the visibility of optimal locations which can absorb
the EV charging load and can help stakeholders in determining such optimal locations.
Reasons for lack of adoption of battery swapping by the industry
Standardizationis the biggest bottleneck in the large-scale adoption of battery swapping in India. Without standardization of EV
batteries, the battery swapping business model cannot be a success.
Proprietary technology of battery is a strong selling proposition for any OEMs. As standardization would mean sharing the same
battery characteristics as their competitor leading to losing value in their product.
There is risk of brand reputation for the OEMs from battery swapping. OEMs have concerns that any fire or other fatal accident
caused as a result of plugging in faulty/ sub-standard battery with their vehicle, may severely tarnish their brand reputation.
1
2
3 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Distribution transformer
loading
Discoms have better visibility of the DT loading and line capacities that could be utilized in
optimal siting analysis. Zones could be earmarked for near-term, medium-term and long-
term suitability for charging infra development, matching with the Discom’s DT/ grid
augmentation plan. This would provide visibility to the charging infra developer of the
adequacy of network infrastructure before investing in development of charging infra at a
particular location/zone.
Metering and Billing
system
Discoms have existing well-established system of metering, billing and collection system.
This includes smart metering infrastructure, billing software etc., which could be
leveraged for invoicing energy usage by EV owner/Charging Point Operator/ Commercial
Institution.
Access to suitable
locations
State owned Discoms have access to land allotted to them by State Government, for
existing as well as future development of grid sub-stations. Discoms can use such land for
development of charging infrastructure, in case, they don’t have any near to medium
term plan for utilizing it for other purposes. Further, being a government owned entity, it
is expected that discoms can acquire suitable land with minimum administrative hurdles.
Technical expertise
Technical expertise of discoms puts them in an unmatched position for developing
charging infrastructure. CEA Regulations mandates Discoms to have Safety Officers that
could play an important role of inspection and safety audit in development of charging
infrastructure.
Distribution Utilities worldwide have played an active role in laying out and scaling up charging infrastructure
installations. The roles and responsibilities range from coming out with a prioritized set of locations for
setting up charging infrastructure within their respective license areas, offer new tariffs and incentives as a
part of demand response (DR) program for the EV users, extend distribution operations and integrate EVSE
operations through advanced telemetry and communication pro tocols, etc. Involvement of utilities can range
from being a mere network infrastructure provider to the EV charging stations to providing the full depth of
consumer services starting from network development, owning and operating the stations, and rolling out
DR programs. For instance,
• Discom could invest in “make-ready” infrastructure, which include the electrical infrastructure
required up to, but not including, the actual EV charging equipment.
• Discom could Build, Own and Operate installations, which would include the make -ready
components as well as the charging equipment itself, resulting in a single regulated entity building
out and owning the electric infrastructure and vehicle charging equipment.
• Discom could leverage their technical capabilities in inspection and auditing of charging
infrastructure.
2.4.2 Discom role in providing “make-ready” infrastructure
Utilities are adopting a range of approaches while undertaking investments in network upgrades necessary
for facilitating EV charging services. Supported by regulators, utilities in the US have taken an approach of
investing in “make-ready” infrastructure where utilities set up the necessary infrastructure required for EV
charging services providers to install charging stations. “Make-ready” infrastructure may include components
such as necessary transformer and transformer pads, new service meter, new service panel, associated
conduit and conductor necessary to connect each piece of equipment, and it can also include Smart Grid Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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69
Devices. While the “make-ready” infrastructure is owned by utilities, the EVSE is owned by charging service
providers.
The above-mentioned case study provides an exemplary mechanism to fast -track the EV Charging
Infrastructure, however it requires Electricity Regulators in India to explore mechanism/design for
distribution utilities to allow recovery of cost associated with “make -ready” infrastructure in
their Annual Revenue Requirement (ARR) filings. States such as Andhra Pradesh and Madhya Pradesh
have already recognized these issues and allowed recovery of expenses incurred by Discoms in developing
of charging stations through ARR and tariff determination.
In the US, such practice of recovering investment cost of developing charging infrastructure is known as
“rate-basing”. Rate-basing investments add only a small amount to customer el ectricity bills, and
regulatory agencies may encourage these investments due to their potential to increase utilization of the
electric grid and incentivize wider adoption of EVs and drive down rates for all ratepayers.
Box 12: Charge Ready Program
Through the Charge Ready Program, South California Edison (SCE) pr ovides the requisite grid infrastructure at an
SCE consumers’ premises (also known as the site host) for installing the EVSE. Charge Ready was developed to
reduce barriers to EV adoption by deploying electric infrastructure to serve EV charging stations (E V supply
equipment, or EVSE) at long dwell-time locations where EVs are usually parked for at least four hours. These
locations provide adequate time for most EV drivers to fully recharge their vehicles.
The Pilot is open to eligible non-residential customers in the following long dwell-time location market
segments:
• Workplaces
• Multi-Unit Dwellings (MUDs), such as apartment buildings
• Fleets
• Destination centers, such as sports arenas or malls
Through Charge Ready, SCE installed, owned, maintained, and paid a ll related costs for make-ready
stubs serving EVSE, including:
• Electric distribution infrastructure, such as transformers, service lines, and meters dedicated to EV
charging equipment deployed under the Pilot.
• Customer-side infrastructure, such as panels, step-down transformers, wiring and conduits, and stub outs,
to allow for EVSE installations.
Participating customers were responsible for procuring, installing, and maintaining qualified EVSE,
including electrical energy and networking costs, but received rebates applicable against some or all of
the EVSE and installation costs.
The participant of this program has to enrol themselves on SCE Charge Ready Enrolment Portal. Once SCE confirm
that the applicant meet the initial qualifications of the program, an Account Manager (SCE representative) provide
a program overview and discuss deployment considerations and options with the applicant. The following support
is provided by SCE:
• Evaluation of the site, requirement of the actual number of charging stations based on several criteria,
including current and near-term EV adoption and the number of parking spaces available at applicant site.
• Provide approved list of vendors and charging stations to applicant to assist them in procurement
process and installation of charging stations. Rebate in the cost of installation by procuring through
SCE approved vendors
• All permit and inspection are obtained by SCE or Charge Ready vendor, on behalf of applicant
• On signing of the Agreement between SCE and Applicant, the SCE deploy the necessary electrical
infrastructure suitable for the agreed number of charging stations to be developed by the applicant. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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There are several reasons why rate-basing upgrade costs (if any) – at least for an initial period – make
sense.
• Rate-basing costs is much simpler than trying to ascertain individual customer responsibility for an
upgrade
• Imposing distribution facility upgrade costs on specific consumers may discourage them from
purchasing an EV or “smart charging” equipment that could actually benefit the grid by facilitating
off-peak load and improving grid utilization.
• Impact of EV charging on the distribution system has been minimal and hence the investmen ts if
spread across all consumers will also have minimal impact.
The state of California issued the state policy goals under Assembly Bill (AB 32) to reduce greenhouse gas
emissions and the related ARB Scoping plan which includes a comprehensive strategy t o reducing
greenhouse gas emissions from the transportation sector. Electrification of vehicles is a critical component
of the ARB’s 2008 Scoping Plan. Electric Tariff Rules-Rule 15 (Distribution Line Extensions) and Rule 16
(Service Line Extensions) pertain to grid equipment used by multiple customers, for example, a transformer
serving multiple homes and network equipment used by just one customer respectively.
As per California Public Utilities Commission (CPUC), the rationale for adoption of rate basing of EVSE is
highlighted below:
Figure 87 Rationale for adoption for rate basing in California
Particulars Rationale
Utility expenses
vs customer
expenses
An upgrade to equipment which has the potential to serve multiple customers is generally
considered a utility expense and the associated cost is borne by the general body of ratepayers
and not just by the EV customer or just by the group of neighbours being served by the
transformer.
Upgrade as a
system asset and
Rule 16
provisions
The cost to replace a shared distribution transformer, due to projected impact of additional
loading by EVs, would be considered a total system asset and, as a result, should be included in
rate base.
On the other hand, the cost to replace an existing customer-specific service transformer would
be at the customer’s expense. A commercial or public charging station is hence considered as a
system wide asset.
EV as a new and
permanent load
The load profile created by EVs is similar to that created by other large residential appliances,
such as large portable air conditioners and hence it cannot be considered as a temporary load
created by specific customers.
Improved system
utilization and
reduced losses
for managed
charging
• Incremental EV load on a larger scale has the potential to yield improved electricity system
asset utilization in the long-term. Benefits of the same would accrue to all customers of the
utilities
• On a large scale EV charging occurring during off-peak periods could actually reduce the
price of energy for all ratepayers which would have otherwise been incurred by utilizing
expensive peaker plants in on-peak periods. The benefits of the same would be realized by
all customers
Residential level
upgrades
Any expenses incurred over and above the standard residential allowances, if any given to EV
owners, would be rate based provided that the additional expenditure pertains to only basic and
necessary investments
Adherence to
overall state
goals
Adoption of EVs is based on California State’s goal to reduce greenhouse gas emissions through
the electrification of the transportation sector and hence any investments in achieving the same
is as per the state goals.
Source: 70 Deloitte analysis Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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2.4.2.1 Discom role in Building, Own ing and Operating of Charging Station
Discom may further extend their role from developing of make-ready infrastructure to owning and operating
of Charging Station. It is a classic case of forward integration, whereby Discom would embark into the
business of their prospective consumers (EVSE operators). Several regulators in US allow utilities to own
charging stations in-order to avoid stifling of market competition except in particular cases where
provisioning of charging service is an issue such as in disadvantaged communities. In cases where there is
no restriction on utilities to own charging infrastructure, utilities have set-up charging stations along with
the necessary grid facing infrastructure. In this case, utilities are allowed to recover the cost of “make-
ready” infrastructure and EVSE through rate-basing.
For example, the CPUC allows “PG&E to include the EVSE it owns in its rate-base, because it will be utility
property that is used and useful in rendering utility service”. Similarly, in “Power Your Drive program” ,
SDG&E is responsible for owning, operating and maintaining the installed chargers. The program is open to
existing SDG&E consumers who have dedicated parking spaces (minimum 5 for Multi Dwelling Units and 10
for businesses). The eligible property owners have to apply
to the program through the SDG&E website and complete
a similar evaluation process as in the case of SCE
(explained in case study above).
In India, similar model could be adopted with necessary
approvals from regulators. Utilities can decide to recover
the full cost of EVSE infrastructure through an increase in
fixed charges; a mix of fixed and variable charges from EV
charging services; or fully from EV charging services. In all
cases, regulatory approval is required. A range of options
can be considered for tariff rate structure design as shown
in alongside.
There could be several business model possible under this approach. Discom may consider to develop the
entire infrastructure under this model and may bid-out the operation of charging station to third-party
under regulator approved commercial arrangements.
2.4.3 Discom role in inspection and auditing of charging infrastructure
By leveraging its technical capabilities, Discom can facilitate in the inspection and auditing of the charging
stations. As per CEA (Measures relating to Safety and Electric Supply) Regulation, 2010, Electrical Inspector
and Chartered Electrical Safety Engineer (CESE) are made responsible for providing permission to electrical
installation before connected it with the electricity grid. The Discom could play a supervisory role during
construction of charging/ battery swapping stations. Suitable Regulatory provisions needs to be done to
waive-off the requirement of permission of Electrical inspector/CESE in case Discom provides undertaking
that the entire charging infrastructure has been developed under their supervision. As the electrical
installation could be expected to be constructed under the supervision of technical experts of Discom, the
Electrical Inspector/ CESE could be allowed to provide permission to connect charging infrastructure with
electricity grid without any detailed testing and inspection against the undertaking provided by the Discom.
This would lead to reduction in number of administ rative approvals required in setting up of charging
infrastructure as well reduce the overall time from commissioning to electrification of the charging
infrastructure.
Discoms can also play a role in specifying and standardizing the technical requirement of the equipment,
used at charging stations and, as a step further, in specifying/developing communication protocol for
communicating with the Discom, charging station, captive generators (buil t for EV charging only) etc.
Discoms can also render assistance on understanding requirements for enabling demand response and
implementation of V2G in near future.
Charging station
(Home/ Public/ Workplace)
Time-of-Use
Pay per kWh
Pay per Hour
Pay per charging
session
Monthly Fee
One-time fixed Fee
Utility/ regulators put a cap on
maximum rates to be charged Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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In addition to the above, Distribution utilities / companies, in association with technology start-ups, are
reinventing the experience of EV charging through the electricity network. In London, start-ups such as
Ubitricity, in collaboration with municipal corporations and grid operators is offering on-street electrical
vehicle charging services by installing smart socket in street light lamp post. Overview of the Ubitricity model
is provided below:
Box 13: ElaadNL
ElaadNL is owned by the Distribution System Operators (DSO) in the Netherlands. Since its establishment in 2009,
ElaadNL provides the coordination for the connections of public charging stations to the electricity grid
on behalf of the involved DSO’s (until 2018). ElaadNL is the knowledge and innovation centre in the field of smart
charging infrastructure in the Netherlands. Through their mutual involvement via ElaadNL, the grid operators prepare
for a future with electric mobility and sustainable charging.
Through ElaadNL DSOs helped in developing the Open Charge Point Protocol (OCPP) which is a de-facto
global standard for connecting different charge stations with different management systems which now is managed
by the ‘Open Charge Alliance’.
ElaadNL also facilitate inspection of the public charging stations . Network operators are responsible for the
quality, reliability and safety of the electricity grid. Even when charging stations for electric vehicles are connected
to the grid, it is important that these parameters remain guaranteed. That is why every new type of public charging
station must be inspected by the network operators before it can be connected to the electricity network. G rid
Operator Inspection is facilitated by ElaadNL in collaboration with all participating grid operators - Coteq Netbeheer,
Enexis, Liander, Rendo Networks, Stedin and Westland Infra. The applicant needs to apply for inspection by sending
email or calling at designated number provided by ElaadNL.
Box 14: Ubitricity model – street lamp post charging station
The Problem: Requirement of planning permission for designated EV chargi ng spaces. No affordable solution
available for residents with electric vehicles without off-street parking.
The Solution: Ubitricity, a German company, developed a hardware & software solution to enable electric charging
points to be more ubiquitous. It uses a ‘SimpleSocket’, installed at lamp post, capable to communicate with
‘SmartCable’ provided to EV owner on subscription of Ubitricity plan. Each SimpleSocket and SmartCable has unique
identity that is used to charge EV owner on monthly basis against energy usage by them anywhere within the
permitted EV charging points.
The Business Model: Ubitricity tied up with Municipal Corporation for setting up of SimpleSocket in street lamp
posts. It provides SmartCable to EV owner against payment of one-time hardware cost. SmartCable is equipped with
communication and smart metering device that logs the electricity consumption and communicates with the Ubitricity
server to transmit energy usage data, location and ID of SimpleSocket etc. At the end of a month, Ubitricity sends
monthly energy usage bill to its consumer having details of energy consumption and parking charges, if any. It
charges nominal monthly subscription charges in providing its services to the EV owner. Ubitricity reimburses the
energy charges and parking charges to grid operator and Municipal Corporation respectively and retain the
subscription charges as its revenue.
At present Ubitricity provide cable compatible for Type 1 and Type 2 charging:
SmartCable Charging
Point
Signage App based charging
point locator Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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2.4.4 Discom role in managed charging
A major concern associated with the high uptake of EVs is the risk of “unmanaged charging”. Unmanaged
charging refers to random charging of electric vehicles at any time suitable to the EV owner which can
possibly lead to simultaneous charging of many vehicles in a concentrated region thereby increasing the
stress on the distribution grid. This situation could be further aggravated by coincidence of peak EV charging
with peak electricity demand.
With high share of EVs, the unmanaged charging may lead to substantial increase in the peak load,
fluctuation in voltage, overloading of distribution equipment etc. to address the challenge of unmanaged
charging, the concept of ‘Managed charging’ has been introduced in many advanced jurisdictions throughout
the world. In managed charging, the utility or a third-party will remotely control the vehicle charging by
either disconnecting it from the grid, connecting it at a time when the stress on the grid is the least or even
throttle / alter the charging speed to better correspond to the real-time needs of the grid
39
.
Managed charging is categorised into following two types:
Figure 88 Categories of managed charging
In active managed charging , utilities will be able to control vehicle charging schedule. This is done by
using algorithms based on certain grid conditions related to load, voltage, feeder capacity etc. The active
managed charging therefore can help in ensuring that vehicles do not cause excess strain on the network.
Customers also benefit lower electricity rates during active managed charging and thereby lowering the
operational cost of owning an EV.
Whereas, the passive managed charging focuses on load control through behavioural changes in
consumers. In this form of managed charging, utilities try to influence the EV charging behaviour by
incentivizing certain behaviour patterns through time-of-use tariffs for charging or other such incentivizing
programs.
Below are some of the advantages of managed charging:
Figure 89 Advantages of managed charging
Advantages Particulars
Improve grid
economics
By modulating/varying the charging levels to reflect the grid conditions, managed charging can
achieve higher utilization rates, and therefore capacity factor of generation assets (increased
charging rates during off-peak period and reduced rates during peak load/overload conditions)
Reduction in
emissions
Managed charging can reduce emissions by aligning charging with surplus renewable generation,
thereby creating a scenario where excess renewable capacity can be absorbed in the system,
such as photovoltaic (PV) production during peak solar hours and wind spikes during off-peak
hours.
39
Beyond load growth: The EV managed charging opportunity for utilities (access here)
Managed charging
Active managed charging Passive managed charging Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
74
Advantages Particulars
Reduced stress on
the grid
Managed charging can reduce grid stress and maintain grid stability by minimizing charging ramp
rates and reducing the strain on local distribution transformers which tend to be overloaded
during peak period.
Capex deferral Managed charging can reduce the need for new peak generation and distribution capacity
resulting from EVs charging during peak hours.
Reduction in T&D
losses
Modulating the amperes flowing through the charging station can also result in reduction of
technical losses in the distribution system
New market
opportunities
Capacity and ancillary market services such as frequency regulation and spinning reserves.
Benefits to EV
consumer
Economic returns to EV owners by reducing the cost of charging through dynamic rates and
potential payments for the supply of ancillary services.
2.4.5 Challenges
The key challenges which discoms could face with high penetration of EVs is summarized in the figure below.
Box 15: International experience in managed charging
1. Los Angeles Department of Water and Power (LADWP)
The Los Angeles Department of Water and Power (LADWP), through its “Charge Up L.A.!” program, offers up to
$500 for Level 2 residential chargers or $4,000 for commercial chargers. As a condition of the rebate program,
recipients must agree to participate in LADWP’s demand response program for the life of the installation in the
event the utility needs to curtail that load. Further, LADWP can disconnect the load from the EV charger for the
duration of the event without notice.
2. Managed charging for bidding in CAISO
eMotorWerks, which developed a Vehicle Grid Integration platform called JuiceNet, has its own smart grid enabled
JuiceBox EV charger, and provides JuiceNet platform capabilities to five other Electric Vehicle Supply Equipment
(EVSE) manufacturers. Additionally, eMotorWerks has started deploying its platform to control vehicle charging
directly over the telematics link with select OEMs. By controlling how and when large quantities of EVs charge
throughout the day, eMotorWerks can bid that capacity into wholesale power markets such as the California
Independent System Operator (CAISO), use it to balance renewable generation, or provide traditional DR services
to the utilities, while observing driver behaviors and allowing driver override to avoid customer dissatisfaction. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Figure 90 Key challenges for Discoms with high EV penetration
Distribution utilities should proactively conduct adequate technical
analysis to understand the impact of EV penetration under different
scenarios and devise a mechanism for optimal integration of the
same in the grid.
Consumers – market landscape
Although, there have been significant developments in the electric mobility space, the perception of
consumers is still not in favour of electric vehicles. Deloitte, through its Automobile Consumer Study 2020,
surveyed 3022 consumers in India to understand opinions regarding critical issues in automobile sector.
• Over past few years, there has been decline in 2-3% of consumers who are unwilling to pay any
more for either autonomous technologies or alternative engine technologies.
• Around 40% consumers preferred Electric vehicles (Battery/ hybrid) for their next vehicles. However,
decision of buying an EV is dependent upon the price of fuel for ICE vehicle. Only when the fuel
prices rise by an additional 40%-50% from the present level, it is expected that majority consumers
will prefer electric vehicles over ICE.
Figure 91 Consumer preference for their next vehicle
purchase
Figure 92 Consumer preference to own BEVs with change in
petrol prices
Source: 71 2020 Deloitte Automobile consumer Study
Conventional vehicles are still the preferred choice for the Indian
vehicle user
51%
25%
15%
9%
Gas/diesel (ICE)
Hybrid EV
Battery EV
Others (including ethanol,
CNG, and hydrogen fuel
cell)
31%
48%
62%
75%
80%
95 114 133 152 >152
Rs. per liter
Current petrol priceis in the
range of 70-80 Rs. per liter
Voltage Stability and Harmonics
Non-linear load of EVs, sudden onset of
charging load etc. may cause voltage
unbalance, harmonics, voltage dips and
may lead to voltage crossing acceptable
limits at various nodes.
Uncontrolled charging in peak
hours
Uncontrolled charging would lead to
increase in peak load demand,
transformer overloading, line losses, and
power losses shall become more relevant
as EV penetration increases
Choosing appropriate locations for
placement of EVSE
•Identification of nodes that have a
capability to handle external load is a
key challenge.
•Utilities shall be required to identify
strong buses in the system for
connecting EVSE, in order to maintain
system stability.
•Optimizing siting of charging stations
such that congestion related to EV
charging demand does not occur and
the station is optimally utilized
Percentage of consumer like to own BEV
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Majority of consumers stated that lower emission from EVs is their primary reason for purchase. However,
only 14% of consumers are willing to pay an additional Rs 3 Lakh for an electric vehicle in comparison to a
similar conventional vehicle.
Figure 93 Reasons consumers consider hybrids or BEVs
Figure 94 Consumer willingness to pay extra for an EV
Source: 72 2020 Deloitte Automobile consumer Study
Even though consumers prefers EVs due to their low emission
capability, they are not willing to pay extra for EVs.
Majority of consumers expect the range of an EV to be more than 340 kms for buying. Around 64% of
consumers are willing to wait for at least 30 minutes to fully recharge a battery electric vehicles.
Figure 95 Minimum driving range consumers are expecting
from a BEV (km)
Figure 96 Amount of time consumers are willing to wait for
full EV charging
Source: 73 2020 Deloitte Automobile consumer Study
Indian consumers prefers EVs with high travel range and charging
infrastructure supporting fast charging
56%
21%
5%
11%
7%
0%
10%
20%
30%
40%
50%
60%
Lower emisionLower vehicle
operating costs
Rebates/tax
incentives
Social
status/keeping up
with latest
technology
Vehicle
brand/other 14%
21%
53%
10%
2%
More than 3 Lakh
Between 1 to 3 Lakh
Less than 1 Lakh
Wouldn't pay more
Don't know
7%
15%
30%
28%
14%
6%
0%
5%
10%
15%
20%
25%
30%
35%
640 Km480 Km320 Km160 Km 80 KmDon’t know
7%
24%
35%
22%
7%
0%
5%
10%
15%
20%
25%
30%
35%
40%
Less than 10
mins
10 mins to
less than 30
mins
30 mins to
less than 1
hour
1 hour to less
than 4 hours
4 hours and
more Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Around 65% of consumers think that it is
either the responsibility for vehicle
manufacturers or government to build
publicly accessible EV charging stations
and other infrastructure.
Majority of consumers
believe that the vehicle
manufacturers should
install and operate EV
charging infrastructure
Figure 97 Responsibility of building accessible EV public charging
infrastructure
ICE vehicles are still the preferred vehicle option among Indian
consumers and expected to remain the same unless fuel prices
jumps 40%-50% from their existing level.
High vehicle prices is one of the major bottleneck in adoption of EVs
as Indian consumers are not willing to pay extra for EVs.
Financial institutions – market landscape
Financial institutions are one of the vital stakeholders that can catalyse uptake of electric mobility. They
enable stakeholders in realizing their electric mobility plan by helping them in financing various activities
such as developing of manufacturing units, upgrading/ augmenting distribution network, setting up EV
charging infrastructure or for purchasing electric vehicle.
Figure 98 Role of financial institution in uptake of electric mobility
There is no proactive participation of financial institutions in promoting electric mobility in India. Among all
nationalized banks, only State Bank of India has come up with the loan facility for electric car buyers at
reduced interest rate.
State Bank of India introduced country’s first “Green Car Loan” (Electric Car) to encourage
customers to buy electric vehicles. The scheme offers a 20 basis points smaller interest rate than on
the existing car loan schemes .
Further, access to debt capital by the small and medium manufacturers of auto ancillary part and start-ups
venturing into EV manufacturing, is very difficult, as the financial institutions still consider EV as a nascent
market with a high technological risk perception. New entrants in the EV market have limited financial muscle
34%
31%
19%
16%
0%
5%
10%
15%
20%
25%
30%
35%
40%
Vehicle manufacturerGovernment Existing fuel
companies
Electic utilities
EV component
manufacturer
Battery/ Cell
manufacturer
Power utility
Charging & Battery
swapping service provider
Customers/ End-
user
Electric mobility
stakeholders
Financial support to all value chain players
Financial
Institution Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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as their business models are still evolving and they do not have substantial financial backing. Therefore, it
is very difficult for such players to raise capital from lending institutions. However, the established OEMs are
relatively in comfortable position to raise debt fund, based on the strength of their balance sheet.
The industry needs the support of financial institutions in bridging
the gap to access finance for increased offtake of EVs. There is an
increasing need to consider electric mobility as a priority sector for
lending, so as to catalyse large scale uptake of EVs in the country. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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2.7. Summary
Summary of electric mobility landscape analysis:
Commitment towards GHG reduction, huge dependency on importe d crude oil, high
urbanization, and growing population are the key drivers that could propel the transition
from conventional mobility to electric mobility. Policy makers and regulators have taken
collective effort to promote electric mobility in India. DHI introduced FAME schemes (I & II)
to spur the EV demand whereas MoP notified guidelines on installation of charging
infrastructure. Electricity regulatory commissions have also brought out special tariffs for EV
charging, and ARAI has introduced standards for AC & DC charging. MoHUA has amended
Building Bye-laws and Urban and Regional Development Plans Formulation and
Implementation Guidelines to make charging infrastructure development as an integral part
of urban planning, development and construction.
Along with the policy efforts by the Govt. of India, states have also come out with their
independent EV policies to help uptake of electric mobility.
Although central government and state government are putting substantial efforts to drive
the EV adoption in India, traction can only be seen in 3W and 2W segments. The 3W
segment, particularly e-rickshaws, is driving the high adoption rate of EVs. For 2W the major
drivers are lower operational cost, ease of charging at home with available infrastructure.
However, EVs still need to achieve cost parity with ICE vehicle for large offtake by
consumers, especially in the2W segment. High cost of EVs is identified as the biggest
bottleneck in adoption of electric vehicles in the country.
Exclusion of 4W private vehicle from FAME – II eligibility for demand incentive along with
multiple issues related to high cost, unavailability of adequate charging infrastructure, range
anxiety etc. is causing this segment to witness lesser adoption of EVs.
E-buses have not witnessed the required level of traction as envisaged under various
policies. Even after allocating more than 40% of total incentive pie for e-buses under FAME –
II, no significant traction has been observed. Mandatory requirement of procuring e-buses on
GCC model needs to be re-looked with consideration for relaxing requirement of huge bank
guarantees as security to increase uptake of e-buses.
From supply-side point of view, there are several constraints. For battery manufacturing,
India lacks in access to raw materials (mineral resources). EV auto ancillary in India is also at
nascent stage with limited manufacturing capabilities. Huge dependency on imported auto
component (mainly electronic and electrical) acts as a barrier in attaining price parity with
ICE vehicle. Phased Manufacturing Program, Aatma Nirbhar Bharat, and incentives
announced by several states in their EV policy is expected to strengthen the supply-side
scenario in medium to long run.
FAME II scheme allotted 10% of its overall outlay for EV charging however, there has been
no significant growth in development of EV charging infrastructure. Administrative
procedures of land acquisition and electricity connection, lower utilization of charging
infrastructure, absence of provisions for recovery of expenditure through tariffs, absence of
regulatory provision for participating in ancillary market etc. are some of the challenges
industry is currently facing.
01
02
03
04
79
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Discoms have not been mandated to actively participate in the development of charging
infrastructure. Further, as highlighted above, There exists no regulatory clarity on allowing
capex for charging-infra development as pass-through in tariffs.
With their inherited capability of existing infrastructure, existing consumer base and superior
technical skills, the role of distribution utilities will be crucial for uptake of EV charging.
Discoms need to actively participate in planning for EV charging infrastructure. Random
charging of EVs may put strain in the grid. Harmonics from EV charging stations will also
impact the power quality of the system. There is need to carry out analysis and determine
the need for strengthening the distribution network in order to integrate EV charging
stations.
Battery constitutes approximately 25 - 40% of the vehicle cost. Battery swapping model
allows to take out of the cost of battery from the upfront cost of EVs. The cost can be
reduced, and a better value proposition could be offered to consumer for adoption of EVs
with prices at par or lower than the ICE vehicle. However, lack of policy guidance on
standardization of battery for EVs, and huge upfront capital requirement is posing challenge
in massive uptake of battery swapping business model.
To incentivize charging infrastructure development, regulatory commission needs to play an
active role. This can include the following:-
• Devising mechanism for recovery of investment made by discoms as part of tariff.
• Incentivizing charging infrastructure developers by allowing them to participate in
real-time and ancillary power market
• Developing framework to promote managed charging
Although there are still challenges across EV landscape, private players are betting heavily
on success story of EVs in India. Many start-ups have entered into manufacturing of EVs in
past 5-7 years and conventional vehicle manufacturers, both domestic and global, are also
launching EVs in Indian marketplace.
Similarly, several players have ventured into development of charging stations and have
substantial plans for developing charging stations as well as battery swapping station across
India in the future.
05
06
07
08
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2.8. Gaps in EV landscape
Policymaker and
Regulator
EV Component OEMs
Battery OEMs
Distribution companies
EVSE and battery
swapping
Consumers
Financial institute
Too many riders put in
FAME scheme to avail
subsidy – localization, re-
certification, max. speed
Regulatory uncertainty in
allowing capex investment for
developing charging
infrastructure as pass-through
No mandate for
EV adoption in
FAME/ State EV
policies
Lack of focus on skill
development on battery
technologies
Availability of limited
suppliers
Lack of strictness in
implementation of
localization targets
Availability of limited
financing options
Delay in providing
connectivity to charging
infrastructure
Lack of support for
promotion of workplace
charging
Lack of
standardization
Limited availability of
charging infrastructure
Limited travel range of
EVs
Lack of awareness
Availability of limited
financing options
High charging time
No mandate for Financial Institution
to providing funding for electric
mobility (as priority sector lending)
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No mandate for Discom to develop
charging infrastructure. Lack of regulatory
guidance on investment approval
Lack of support for
conducting system
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2.9. Risks & challenges to EV stakeholders
Risks & challenges for EV stakeholders in the existing market are categorized into five categories:
Policy risk
Financial risk
Supply chain
risk
Technological
risk
Other risks
EV Component OEMs
- Non –
implementation
of policy
measures after
announcement
- Phasing-out of
subsidy support/
posing stiffer
norms for
availing
incentives
- Policy risk
associated with
import-export of
automobile
component
- Introduction of
any policy
mandating
investment in
recycling of
battery
- High cost of
funding due to
perceived high
technology risk
by FIs
- Exchange-rate
risk due to
import
dependency for
auto
components
- Investment
recovery risk -
evolving
business
models, limited
charging
infrastructure
- Insufficient
access to
mineral
resources for
manufacturing
critical
components
indigenously
- Quality of
indigenously
manufactured
auto ancillary
component
- Demand-supply
issue of
indigenous auto
ancillary
component due
to limited
manufacturing
capacity
- Geo-political risk
-unstable
relationship with
China (import
dependency on
China)
- Fast evolution of
technology
(especially in
Battery) – risk
of obsolesce
- Battery prices
may not go
down as
predicted (may
be due to
demand-supply
mismatch)
- Interoperability
- Price versus
performance -
risk of
technology
preference
- Uncertain
consumer
preference
- High wage rate
of skilled
manpower/
shortage of
skilled
manpower
- Evolving safety
standards and
their compliance
related risk
- Environmental
concern –
battery
scrappage or
recycling issues
Battery OEMs
Distribution
companies
- Uncertainty
around
government
funding support
for network
upgradation
- High cost of
supply than
approved EV
tariff (accrual of
EV tariff subsidy
- Risk associated
with new vendor
performance
(EVSE vendors),
in case it enters
into business of
- Unpredictable
EV demand –
technological
limitation in
managing
charging
- Shortage of
manpower
within Discom
for doing core
business, while
obligating
Policy
Risk
Financial Risk Supply Chain
Risk
Technological Risk
Other Risks
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Policy risk
Financial risk
Supply chain
risk
Technological
risk
Other risks
- Regulatory
disallowance for
recovery of
Capex
- Tariff increase
across consumer
category, if
pass-through is
allowed for
CAPEX done for
network
upgradation –
reduction in
electricity
demand from
price-sensitive
consumer
categories
committed by
government)
- No regulatory
guidance on
approving of
Capex to
upgrade network
to cater EV load
- Difficulty in
raising cost-
effective funds
to finance
network
upgradation due
to poor financial
performance of
discoms
development of
EVCS
- Inventory stock-
out risk –
unpredictable
requirement of
network upgrade
(due to limited
network load
flow studies
conducted)
demand on real-
time basis
- New technology
(say Hydrogen)
replaces EV
technology
leading to
stranded asset
- Cyber security
threat in sharing
Discom data
interface with
EVCS owned and
operated by
third-party
- Network
behaviour with
high EV
penetration –
power quality/
safety
additional role
as SNAs/
facilitator for
development of
EVCI
- Operational risk
in providing
charging service
(in case discom
enter into such
business) –
payback may be
calculated
considering EV
demand
assessment,
traffic density,
city planning,
urbanization etc.
EVSE and battery
swapping
- No roadmap for
EV adoption.
Uptake of EVSEs
and increase in
EV adoption
posing a
chicken-egg
problem
- Policy risk
associated with
import-export of
EVSEs
- Government
procurement
policy related
risk
- Uncertainty
around
participation of
EVCI provider in
real-time and
ancillary power
market
- Unpredictable
real-estate cost
with increase in
demand for
suitable location
for developing
EVCI
- EV tariff and
electricity
demand charges
for sanctioned
load
- Evolving
business model,
lower utilization
of assets –
banks reluctance
to fund, high
cost of funds
- Capping on
service charges
may pose
significant risk
on investment
recovery
- Availability of
local supply
chain for EVSE –
cost and quality
concerns
- Suitability of
imported EVSE
chargers Indian
weather
conditions
- Pace of
development of
Indian power
electronic
market
- Overall
performance of
Indian MSME
especially in
Power
electronics
- Software
integration
issues, due to
presence of
- Change in
technical
specification –
risk of
obsolescence
- New technology
(say Hydrogen)
replaces EV
technology
- Battery
technology
change which
may make
existing
charging
stations obsolete
- Evolution of
interoperability
measures/
mandates
- Regulatory
compliance for
power purchase
(say RPO/HPO
compliance)
- Operational risk
- payback may
be calculated
considering EV
demand
assessment,
traffic density,
city planning,
urbanization
etc., leading to
investment
recovery risk
- Consumers
preferring home
charging
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Policy risk
Financial risk
Supply chain
risk
Technological
risk
Other risks
multiple
operators
Consumers
- Phasing-out of
subsidy support/
posing stiffer
norms for
availing
incentive
- NGT guidance
on mandatory
disposal of
battery after
certain time may
change the cost
economics of
EVs
- Huge bank
guarantees for
e-buses under
GCC model
- High upfront
cost of EV (for
similar
performance ICE
equivalent)
- EV tariff and
service charges
offers significant
risk on
operational cost
- Limited
availability of EV
models
- Limited
availability of
charging
infrastructure
- Newer
manufacturing
unit of EV auto
component may
poses quality
concern
- Longer duration
of charging (fast
DC charging is
not supported
by existing
batteries used in
2W and 3W
- New technology
(say hydrogen)
may replace EV
technology –
risk of
obsolescence
- Risk associated
with battery
quality and
safety
-
Financial institute
- Non –
implementation
of policy
measures after
announcement
- Certainty of EV
and associated
businesses are
difficult to
predict (in
absence of any
adoption
mandate)
- Lack of clarity
on government
efforts for
enabling
sustainability of
EV business – no
regulatory
framework for
participation of
EVCI provider in
real-time and
ancillary power
market
- Uncertainty
around life of
the asset, end-
of-life value, and
resale value
- Uncertainty
around picking-
up of EV
demand.
Investors are
concerned about
the viability of
EV business
considering
consumer
preference and
issues around
range-anxiety,
lack of
development of
EVCI
- Capacity
utilization of
EVCI is very low,
risk of
investment
recovery
- No observed risk - EV technology is
still evolving and
it is true with
other technology
as well, such as
Hydrogen Fuel
Cell. In case
Hydrogen based
technology
establishes itself
earlier than EV
technology, then
investor would
come at risk of
recovery of
investment
- Rapidly changing
technological
environment
- No observed risk
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2.10. Recommendations
Recommendations for uptake of electric mobility in India:
National / State level policy should be formulated for incentivizing Distribution Utilities on
investing in development of EV charging infrastructure
In line of international case-studies, a Charge-ready infrastructure programme to be
launched mandating Discoms to spearhead the development of charging infrastructure by
leveraging their technical capabilities, international case studies shall be capitalized to align
Discom role in charging infrastructure ecosystem
Electricity Regulator to be mandated to provide mechanism for approval for Rate-basing of
utility investments in building EV charging infrastructure
Electricity Regulator should design and implement TOU tariffs for EV charging
Technical standards for charging equipment in the case of Managed charging should be
designed and approved
Designing electricity market structures for participation of EVs. Electricity regulators shall be
mandated to devise mechanism for allowing charging infra developer in demand response
market.
Policy consideration to be deliberated for workers in ICE Auto Ancillary industry (primary
mechanical) to skill them suitably for working in EV auto ancillary industry (primary electrical
and electronics)
Standardization of battery should be done to enable battery swapping a plausible business
model catering primarily to commercial vehicle
Financial Institutions should be encouraged to extend their lending facility to electric mobility
sector.
Existing scheme/policies designed for promoting electric mobility needs to be fine-tuned,
based on the scheme/policy performance and market expectations. For examples, riders are
availing subsides could be re-examined.
01
02
03
04
05
06
07
08
09
10
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Many of the new technology related to managed charging of EV has been introduced first
using a pilot platform. The results for these pilots are then used to carry out large scale
deployment of technology. While standards and guidelines introduced in India do provide
provisions for communication protocol between EVSE and other stakeholders, there has been
no pilot initiative on large-scale managed charging pilots. Utilities and regulators across India
need to take initiative on introducing pilot projects which can demonstrate the benefits of
managed charging of EVs.
It has been observed that having dedicated tariffs and incentives for EV encourages
adoption. While few states in India have taken EV policy initiatives, a large number of states
are yet to introduce EV specific tariffs for public and home charging as well as incentives
under state policies for purchasing EVs and setting up home and public charging stations.
National level policy for Urban Local bodies / municipalities, etc. to issue Charger
Deployment plans and undertake investments in PCS through loans from Central
government. The same could be converted to grants on timely achievement of milestones
subject to the local authorities tying up with designated government agencies for
implementing the roll out plan.
Adopt a framework for state level / city level authorities to undertake competitive bidding for
allotment of zones for PCS installations.
Develop frameworks for public private partnerships / franchisee agreements for developing
EVCS.
Explore innovative business models for development of charging stations.
For EV users, interoperability, or “e-roaming,” means that users can charge at any station
with a single identification or payment method, and that all charging stations can
communicate equally with vehicles. For this to work seamlessly, common standards for
charging network operators must also be established
A key enabler for smart charging and other vehicle-grid integration aspects is collaboration
among various stakeholders. There is a need to create a common platform which can bring
together expertise of all stakeholders.
11
12
13
14
15
16
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3. Review of policy, regulation and
technical standards for electric mobility
and LCPRT
Conducive policies and regulations play a vital role in unleashing the potential of new technology and opening
corridors for new opportunities. Similarly, technical standards play a major role in streamlining of
technological development, compatibility of various systems and component s used in value chain. It also
ensures safety and reliability of new technologies which in turn increases consumer confidence. This chapter
will focus on highlighting various policy and regulatory measures taken collaboratively by several ministries
under Central/State government to expand the uptake of electric mobility and clean fuel based automobile
market in India. It also covers the review and analysis of CEA regulations for electrical safety standards and
grid interconnection.
Policy initiatives
3.1.1 Electric mobility
3.1.1.1 Central policies
As EVs are at nascent stage, policy and regulatory measures are crucial to provide push to the development
of the electric mobility ecosystem. Globally, the policy and regulatory measures have focused on providing
various fiscal and non-fiscal incentives for adoption of EVs and charging infrastructure. Realising the need
of the transition to cleaner technology, the government has been leapfrogging in developing various policies
and support structures for increased adoption of EVs. There have been several policies issued at different
stages of the journey of Indian automotive sector which are aimed at adoption of clean fuel and electric
mobility. These policies and interventions are highlighted subsequently.
3.1.1.1.1 National Electric Mobility Mission Plan (NEMMP)
Adopted in 2013, the National Electric Mobility Mission Plan (NEMMP) 2020 laid down the vision and roadmap
for EV penetration in India. NEMPP outlines incentives along four priority areas for EVs viz. demand
incentives, manufacturing of EVs, charging infrastructure development, and research and development.
The Mission aims to achieve 6 to 7 million on road electric vehicles
by 2020.
In terms of the assessment made by the joint Government-Industry study, the total investment requirement
envisaged in the mission document for setting up the required infrastructure to achieve the target (both
power and charging infrastructure), is summarized in following table:
Table 15 NEMMP Targets
Area 4W 2W 3W Buses LCV Total
Additional generation
Capacity (MW)
150-225 600 10-15 <5 10-
20
775-
865
Power Infrastructure
(Rs Crore)
1,200-1,300 3,300-3,400 75-85 20-30 90-
100
4,685-
4,915
Charging Infrastructure
(Rs Crore)
950-1000 - 70-80 10-20 115-
125
1,145-
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Source: Department of Heavy Industries. 2013. “National Electric Mobility Mission Plan 2020”
It was expected that GoI will support the development of electric vehicle charging infrastructure in the initial
stages of development when the pilot projects will be rolled out for cities and during the phase when the
business model will be at a nascent stage. Subsequently, private sector participation will be required to set
up country wide charging infrastructure. Moreover, roll out of the EV charging infrastructure was planned in
a phased manner as follows:
Phase I (first year) This will involve detailed and in-depth evaluation of various options, prioritization and putting
in place the required frameworks and models for EVSE adoption, enabling policies, charging
infrastructure standards, laws and undertaking detailed studies that will facilitate the roll out
of the optimum EV infrastructure.
Phase II (Year 1 - 3) The activities in the medium time frame would build on the initial basic work done and include
deeper impact assessment studies and programs, pilot projects in various cities, EV
infrastructure consortium building activities, development of possible business models, etc.
Phase III (Year 3 to
2020)
This will include the following activities:-
i. Ensuring availability of reliable and regular electricity supply,
ii. Making available adequate recharging facilities with convenient access,
iii. Development of EV charging as a viable business entity,
iv. Well established and synergic linkage between EV charging infrastructure with
renewable energy generation infrastructure,
v. Development of public recharging infrastructure that includes opportunities for rapid
recharging through either setting up of optimal number of fast recharging centres or by
use of batteries swapping stations that allows quick replacement of discharged battery
packs with charged ones.
There were several provisions listed under the policy, however the same were not effectively implemented.
i. Permissive legislations: Legislations to allow usage of electric vehicles in various areas
ii. Operational regulations: Use of legislation framework and regulations aimed at setting safety
regulations, emission regulations, vehicle performance standards, charging infrastructure standards,
etc.
iii. Fiscal policy measures: Trade related policies for shaping the market, imports and exports
iv. Manufacturing policies aimed at encouraging investments. Specific policies aimed at incentivizing
manufacturing and early adoption of electric vehicles through demand creation initiatives
v. Schemes and pilot projects for facilitating infrastructure creation
vi. Policy for facilitating research and development
The Government of India has taken considerable measures to keep efforts aligned to the provisions laid
down under NEMPP, however the EV sales penetration stands nowhere near to the planned target level. In
all likelihood the EV penetration target of 14%-16% by 2020 as envisaged under NEMMP is unlikely to be
achieved. (In Chapter 1, we observed that the yearly sales penetration of EVs in last five years has been
less than 1%)
Failure in achieving EV penetration targets envisaged under NEMMP,
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mobility were not sufficient. Nevertheless, the actions taken as per
the provision of NEMMP has provided the initial boost for uptake of
EVs and increased the awareness level among consumers and
industry players FAME Scheme
The FAME (Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles) scheme was first launched
in 2015 as a flagship scheme under NEMMP 2020 mission plan of Central government to enhance hybrid and
electric technologies in India. The overall scheme is proposed till FY22 to support market development of
EVs.
FAME Phase I
Phase 1 of the scheme was initially launched for over a two-year period starting from FY 2015-16 to FY
2016-17 with an overall outlay of INR 795 Cr. The scheme was later extended four times for six months
each with additional outlay of INR 100 Cr.
The funds were used to provide direct subsidy to the EV buyers. Along with direct subsidy, grants for specific
projects under pilot projects were sanctioned, also, R&D/technology develop ment, and public charging
infrastructure components were also sanctioned under the scheme. 465 buses were sanctioned to various
cities/states under this FAME I.
Figure 99 Snapshot of FAME I scheme
The FAME I scheme failed in utilizing complete allocated fund in four years of its period. Only 41% of its
overall outlay of INR 895 Cr was utilized.
Although the FAME I scheme failed to utilize sanctioned funds, it has
provided the stepping stone for uptake of electric mobility in Indian
market. The scheme was successful in creating awareness and
momentum for electric mobility in the market.
FAME Phase II
In March 2019, the MoHI&PE notified FAME –II scheme with increased layout of Rs 10,000/- crores, which
includes a spill over from FAME-I of Rs 366 Cr. Period for Phase 2 of the FAME scheme was from FY 2019-
20 till FY 2021-22.
FAME II aims to leverage the buzz created by FAME I to create a platform for the EV industry to take off in
the country. The scheme is focused on promoting dema nd as 86% of the scheme outlay is reserved for
demand incentive. The overall outlay is segregated into four categories:
359
Total incentive amount (INR Cr)
2.8 Lakhvehicles
Sold
30registered
OEMs
41%
fund
utilization
2015-2019
Scheme outlay INR 895 Cr. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 100 Outlay break-up under FAME II
As far as subsidization of vehicle goes, the scheme is supporting sale of close to 1.56 Mn vehicles (all
categories). Breakup of this provided in below figure.
Figure 101 Category-wise no. of vehicles to be subsidized under
FAME II
Figure 102 Demand incentive category-wise distribution
in FAME II
Source: 74 FAME II scheme
Subsidies under FAME II are limited to EVs using advanced Li-
battery and newer technologies only
Figure 103 Snapshot of FAME II and progress till date
FAME II outlay
Demand incentive
Administrative
expenditure
Charging
infrastructure
Committed
expenditure of FAME I
1000000
500000
55000
7090
2W 3W 4W Buses
2W, 23%
3W, 29%
4W, 6%
Bus, 41%
Demand incentive
25,017vehicles
sold
22approved
OEMs
2019-Aug 2020
Demand
incentive, 8596
Charging
infrastructure,
1000
FAME I
committed
fund, 366Other, 38
<1%
fund
utilization
till date
Fund allocation breakup (INR Cr.)
NO
E-buses
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FAME II till
date Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Key policy gaps in FAME II scheme :
No incentive for vehicle
scrappage/ Retro fitment
allowance
The incentives under the policy are for purchase of new
EV only, however it does not provide for any scrappage
incentive, to encourage ICE vehicle owners to scrap
their vehicle for EVs. Further, it does not talk about any
retro-fitment allowance for converting existing ICE
vehicle to EV.
No mandate for EV adoption Unlike China and California, there is no EV mandate
provided under the scheme that led to following issues:
1. Insufficient development of charging
infrastructure: In China, State Owned Grid
Utilities are investing hugely in development of
charging infrastructure; EV mandate in the country
provides assurance to investors in terms of
business continuity, higher utilization of assets and
early payback.
2. Investment dilemma among automob ile
manufacturer: Currently, automobile
manufacturers have hugely invested in ICE
technology. India is transitioning towards BS IV to
BS VI standard and EV at the same time. In the
absence of clarity on certain uptake of EV (through
mandate) it will be very difficult for the automobile
industry to do parallel investment in two
technologies simultaneously as limited resources
are available with industry.
No provision for fee-bate
concept
ICE vehicles have been in use since decades and
therefore users are comfortable in using it. A huge
inertia has been developed among consumers that
restricts them to switch to EVs. Presently, there is no
concept of fee-bate being used in the policy that allows
to put huge fees/ penalty /cess/surcharge in using ICE
vehicle that may reduce the inertia carried by ICE
technology. (Sweden has increased taxes on cars that
create pollution, thereby dissuading consumers from
buying vehicles with internal combustion engines as
they contribute significantly to noise and air pollution)
Additional riders for availing
subsidy
Under FAME I, two-wheelers with top speed of up to
25km/hr were qualified for incentives of up to INR
17,000 and INR 22,000 for high speed ones. However,
riders put under FAME II mandated to have a minimum
range of 80 km per charge and minimum top speed of
40 kmph to qualify an electric two-wheeler for an
incentive of INR 20,000.
The higher performance parameters comes at a higher
cost that have excluded the large section of society
that are price-sensitive from EV purchase.
Ather’s 450X model (Top speed: 80 km/hr), Revolt’s
RE400 (Top speed: 80 km/hr), Bajaj’s Chetal (Top
speed: 80 km/hr) all priced at more than Rs. 1.15
Gap 1
Gap 2
Gap 3
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Lakh. Avon E Star (range 65km/charge, top speed less
than 50kmph comes at Rs. 60,000)
No subsidy for private 4W With growing per capita income of the country, it was
expected that there would be an increase in purchase
of private 4Ws. However, the FAME II is providing
subsidy only for public 4Ws.
Requirement of re-certification To be eligible for demand incentive OEMs are
mandated to undergo re-certification process for
conformity check to obtain certificate of ‘FAME II India
Phase II eligibility fulfilment’ from approved testing
agencies in India. Further, the OEMs need to get the
certificate in each year to claim the subsidy. This
creates and unnecessary administrative bottleneck for
OEMs
Requirement of indigenous
component
FAME –II guideline requires OEMs to use certain
percentage of indigenous components to be eligible for
availing subsidy. However, the Auto ancillary industry
for EVs is at a nascent stage. To have a large number
of EVs on road, there is a need for well-developed
supply chain of auto components. In absence of the
same, the requirement of indigenous components acts
as a barrier in realizing the incentives. . Further,
limited number of indigenous manufacturers of EV
components leads to import of such components
thereby driving up the prices of EVs.
No institution is assigned with
responsibility of developing
charging Infrastructure
Uptake of EV and setting-up of charging infrastructure
is a chicken and egg problem. FAME-II allocated Rs.
1000 crore as incentive for developing charging
infrastructure. However, presently there is no
centralised institution which is assigned the
responsibility of development of country wide charging
infrastructure.
In China, the guidance for developing electric vehicle
charging infrastructure for 2015–2020 was developed
as focused policy document to develop charging
infrastructure across country. It has established clear
goals for national and regional electric charging
infrastructure layout and identified strategic regions for
development of charging infrastructure. State Grid
Corporation of China, a State-owned electric utility is
investing hugely in development of charging
infrastructure across country.
Gap 5
Gap 6
Gap 7
Gap 8 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
93
3.1.1.2 State policies
Several states have notified their
EV policies aimed at promoting
manufacturing and increasing
demand of electric vehicles in
their respective states. Karnataka
was the first state to release its
EV policy. Till date, a total of
eleven states have notified their
EV policies viz. Delhi,
Uttarakhand, Uttar Pradesh,
Madhya Pradesh, Maharashtra,
Telangana, Andhra Pradesh,
Karnataka, Kerala, Tamil Nadu,
and Gujarat.
In the sections below, we will
analyse the state policies in
detail. Each State policy has been
assessed across three levels:
Figure 105 State EV policy analysis framework
Figure 104 States with notified and draft EV policy
Policy notified
* State Government of Telangana & Gujarat have approved their EV policies, however the final policy is
not available in public domain
Draft EV Policy: Punjab, Bihar, Goa, Odisha, Assam, and Haryana have either published their Draft
policies or are in process of drafting
Uttarakhand
Uttar Pradesh
Madhya Pradesh
Telangana*
Andhra Pradesh
Kerala
Karnataka
Maharashtra
Tamil Nadu
Delhi
Gujarat
Bihar
Assam
Haryana
Punjab
Odisha
Goa
Draft policy
Institutional mechanism
•Policy guidelines on institutional
mechanism for policy roll-out, roles
and responsibilities of key
departments –Discoms, Transport,
Industries etc.
Ecosystem support
•Features of policy for development of
peripheral ecosystem across EV value
chain –R&D support, skill
development, amendment in building
bye-laws, public awareness measures,
battery recycling, data sharing and
promotion of digital payment,
promotion of shared mobility etc.
EV Value chain support
•Promotional measures taken in policy
for EV value chain players –
Infrastructure support, fiscal and non-
fiscal incentives Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
94
3.1.1.2.1 Delhi
Key highlights of “Delhi Electric Vehicles Policy, 2020”
Policy notified: 07 August 2020
Table 16 Key policy guidelines of Delhi EV policy
Key Policy guidelines
Institutional setup
• Setting-up of EV Cell within the transport
department for monitoring of effective day-
to-day implementation of EV policy
• Creation of State EV Board, an apex body
to implement EV policy
Govt. departments
• Within 1 year all 4W fleet of government
departments will be transitioned to EV
Discoms
• Facilitate consumer to purchase and
install of a Private Charging Point
The EV policy of Delhi focuses primarily on creating demand for EVs. There are
no promotional measures taken to provide thrust to supply side actors.
Delhi announced additional incentives (over and
above FAME II incentives) on purchase of 2W, 3W and 4W EVs
Snapshot of promotional measures in Delhi’s EV policy for EV value chain players is given in Figure 106.
Figure 106 Snapshot of promotional measures for EV value chain players
Source: 75 Note: Non-fiscal incentive is provided to only 3W vehicles in the form of open permit
Key policy targets:
25% of new vehicles to
be EV by 2024
Induction of 1000 e-
buses by 2020
Delivery Service
provider to go 100%
electric by 2025
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
95
The EV policy of Delhi is offering purchase incentive to all E-rickshaw
or E-cart including models with lead acid batteries as well.
There are several other key promotional measures notified in Delhi’s EV policy such as incentives for
scrapping, skill development initiatives, battery recycling provisions etc. which is expected to enable creation
of the requisite ecosystem for larger uptake of electric mobility.
Figure 107 Other key measures taken by Delhi for uptake of electric mobility
Summary:
• Addressed the gaps of FAME-II, extended purchase
incentive support to private vehicle owners as
well
• Interest subvention on loan amount to individual
buyer
• Scrappage incentive
• Incentive for purchasing equipment for home/
workplace charging
• Extended incentives to e- Carriers
• Identified avenues to arrange funds for policy
implementation
• No definition of roles, responsibilities and
powers of institutions set-up under EV policy
• Discoms are not mandated to invest in
development of charging infrastructure
• No support provided to Charging Infrastructure
developer, in expediting administrative approval
process such as single window clearance
system/dedicated help desk
• No focus on power system upgradation and
augmentation to cater to EV load
• Purchase incentive to lead acid battery based 3W
vehicles
• Target to adopt EVs in one govt. department
• Very short policy tenure which may not be
sufficient to provide confidence of business
community / consumers
• Lack of clarity on reimbursement procedure and
time interval for installation of EV charging stations
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
96
3.1.1.2.2 Andhra Pradesh
Key highlights of Andhra Pradesh “Electric Mobility Policy 2018-23”
Policy notified: 08 June 2018
Table 17 Key policy guidelines of Andhra Pradesh EV policy
Key policy guidelines
Institutional setup
• Creation of Smart Mobility Corporation to
coordinate all necessary activities for
promoting futuristic needs of transportation
EV adoption for Model
cities
• Model Electric Mobility (EM) cities to
convert 100% of all commercial and logistics
fleets to electric fleet by 2024
Govt. departments
• All government departments’ vehicles to be
converted into EV by 2024
Discoms
• To release connection to Private Charging
Infrastructure (PCI) within 48 hours of
application
• To set-up 100 DC charging station each in 4
Model Electric Mobility (EM) cities -
Vijayawada, Vishakhapatnam, Amaravati and
Tirupati
Transport Department
• To develop charging stations at depots, bus
terminals and bus stops
The EV policy of Andhra Pradesh is highly focused in promoting supply (manufacturing) and EV charging
stations/ battery swapping stations. The policy does not envisage any subsidy or incentives to the EV buyers.
Figure 108 Snapshot of promotional measures for EV value chain players
Key policy targets:
State bus fleet all
electric by 2029
Phasing out of all ICE
based commercial
fleets and logistic
vehicles by 2030
Vijayawada
Vishakhapatnam
Amaravati
Tirupati
Model Electric Mobility (EM) cities
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
97
The state of Andhra Pradesh has also promoted V2G (Vehicle-to-
grid) for sale of power from EVs and battery swapping stations.
V2G will allow EV owners and battery swapping stations to realize additional revenue by selling power from
the batteries to the grid. The policy has directed Electricity Regulatory Commission (APERC) to issue
regulations on V2G.
To further promote uptake of electric mobility, Andhra Pradesh has provided for special tariffs for EV charging
and has introduced TOU tariffs.
Figure 109 Other key measures taken by Andhra Pradesh for uptake of electric mobility
Summary:
• Discoms are man dated to develop charging
stations. They are allowed cost recovery through
tariffs
• Allocation to the extent of Rs. 500 Cr. for R&D has
been done
• 4 cities to be developed as Model Electric mobility City
with provision to have “Green Zone”, “EV only
zone”
• Battery Swapping Stations can provide ancillary
service
• EV parks with plug and play facility to be developed
• Efforts taken to ease out administrative approval
procedures
• Stipend to employees for upskilling on EV related
issues
• No purchase incentive has been provided (except
road tax/registration fees reimbursement)
• No support provided to home charging/ workplace
charging
• Doesn’t identify avenues to arrange funds for policy
implementation
• No focus on public awareness
• No focus on power system upgradation and
augmentation to cater to EV load
• No provision of single window clearance system
• Lack of clarity on reimbursement procedure ,
installation timeline etc.
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
98
3.1.1.2.3 Uttar Pradesh
Key highlights of “Uttar Pradesh Electric Vehicle Manufacturing and Mobility Policy 2019”
Policy notified: 7 August 2019
Table 18 Key policy guidelines of Uttar Pradesh EV policy
Key policy guidelines
Institutional setup
• Provision of single window clearance
system and single sanction of reimbursement,
subsidies, etc. under the policy
Space for EV charging
• Public parking spaces mandated to have
charging stations
• New commercial complexes, housing societies
and residential townships will be mandated to
have EV charging
Govt. departments
• All forms of government vehicles to be
converted to electric vehicles by 2024
Discoms
• Discom to release supply to
charging/battery swapping stations within 15
days of application
• Discom to invest in setting up both slow
and fast charging networks in government
buildings and other public places (to setup
100 DC public charging stations)
Transport Department
• State bus depots, bus terminals and bus
stops will have charging stations
The State policy provides multiple supporting measures for manufacturing of EVs and other associated
components. For charging infrastructure, the policy offers capital subsidy of up to 25% which excludes the
cost of land.
Uttar Pradesh EV policy provides exemption from registration fees
and road tax for EV buyers, however it is only applicable to the
vehicles which are manufactured in the state itself
The state also aims to promote development and use of Hydrogen powered fuel cells . Under the policy,
the state aims at incentivising manufacturing of Hydrogen-powered fuel cells and would allow private
developers to setup hydrogen stations. Such developers will receive 50% capital subsidy (excluding land) to
setup refuelling infrastructure.
Key policy targets:
10 Lakh EVs by 2024
5 GWh storage
manufacturing in next 5
years
2 lakh EV charging and
swapping stations by
2024
Induction of 1000 e-
buses by 2030
Model Electric Mobility (EM) cities
Noida
Ghaziabad
Meerut
Agra
Mathura
Kanpur
Lucknow
Prayagraj
(Allahabad)
Gorakhpur
Varanasi Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
99
Figure 110 Snapshot of promotional measures for EV value chain players
In addition to the above measures, Uttar Pradesh has announced to introduce Special Power Tariff Policy to
facilitate low-cost EV charging along with TOU tariff for vehicle charging. The state also envisages to focus
on upskilling its manpower on EV technology and promote R&D on next generation battery chemistries, fuel
cell systems, powertrains, automotive electronics and electrical road systems (ERS).
Figure 111 Other key measures taken by Uttar Pradesh for uptake of electric mobility
Summary:
• 25% Capital subsidy on development of EV
charging infrastructure
• Vehicle registration and road tax exemption is only
provided to vehicles manufactured in the state of
Uttar Pradesh
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
100
• Parking spaces are mandated to install charging
stations
• Discom to release connection for supply to
charging/ battery swapping station within 15 days of
installation
• New EV enabling building codes for 10 EM cities
• Interest subvention to EV and associated
component manufacturers
• Incentives to battery recycling units
• No capital subsidy in addition to FAME II scheme for
buyers
• No policy incentive for scrapping or provision for
retrofitting
• No promotion of home/workplace charging
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
3.1.1.2.4 Maharashtra
Key highlights of “Maharashtra’s Electric Vehicle Policy - 2018”
Policy notified: 14 February 2018
Table 19 Key policy guidelines of Maharashtra EV policy
Key policy guidelines
Institutional setup
• High powered committee to be
constituted at the state level to monitor
the implementation of policy , and
develop procedures and modalities where
required (Committee composition is
provided)
Location of charging
infrastructure
• Common charging points in residential
areas, societies, bus depots, public parking
areas, and fuel pumps is allowed as per the
policy
Govt. departments
• Development Control Rules (DCR) of
local self-government and special planning
authorities to be suitably modified in order
to allow setting up of public charging
infrastructure
Discoms
• Discoms to grant permission to the
charging station within 15 days
The EV policy proposes to setup a high powered committee which will further decide the fiscal and non-fiscal
incentives applicable for EVs and associated component manufacturers.
Key policy targets:
5 Lakh EVs in the state
by the end of policy
period
Employment to 1 Lakh
people
INR 25,000 Cr
investment in electric
mobility space
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
101
Figure 112 Snapshot of promotional measures for EV value chain players
Note: The fiscal and non-fiscal incentives to the manufacturers will be on approval from High Power Committee
Maharashtra’s EV policy, however, lacks in addressing support towards scrappage activities, battery
recycling, home or workplace charging, etc. Also, no special tariff for EVs has been mentioned in the policy.
Figure 113 Other key measures taken by Maharashtra for uptake of electric mobility
Summary:
• Interest subsidy for EV and associated component
manufacturers
• Capital subsidy on purchase of EVs
• No provision of public awareness
• No policy incentive for scrapping or provision for
retrofitting
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
102
• 25% capital subsidy on development of charging
infrastructure
• Training-based certification and placement
programmes for skill development
• Establishment of center of excellence for R&D
• No promotion of home/workplace charging
• No focus on power system upgradation and
augmentation to cater EV load
• No provision of land allotment for charging
infrastructure business
• No provision of single window clearance system
• Lack of clarity on reimbursement procedure ,
installation timeline etc.
3.1.1.2.5 Uttarakhand
Key highlights of Uttarakhand EV Policy 2019
Policy notified: 02 December 2019
Table 20 Key policy guidelines of Uttarakhand EV policy
Key policy guidelines
Institutional setup
• Nodal agency for the policy will be Industries
Department, Uttarakhand and State
Infrastructure & Industrial Development
Corporation of Uttarakhand (SIIDCUL)
Uttarakhand state policy offers significant support to manufacturing of EV
components in the state. Along with this, buyers will also receive exemption from Motor Yan tax and
commercial vehicles will receive exemption from carriage permit.
Figure 114 Snapshot of promotional measures for EV value chain players
Note: Other fiscal incentive for manufacturers is EPF reimbursement; for buyers it is exemption from paying Motor Yan tax; Other non -
fiscal incentive for buyers is receiving priority is attaining route permit
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
103
Along with supporting manufacturing of EVs, the state would also provide financial support to the
organizations who wish to upskill their manpower on EV related aspects.
Figure 115 Other key measures taken by Uttarakhand for uptake of electric mobility
Summary:
• Land at concessional rate for EV or component
manufacturers
• Provision for interest subvention for manufacturers
• Stamp duty and electricity duty exemption for
manufacturers
• Training reimbursement for organizations involved
in upskilling workers
• 50% EPF reimbursement for 10 years for
employing 100+ skilled/semi-skilled workers
• No focus on power system upgradation and
augmentation to cater EV load
• No provision for incentivizing EV charging stations
or battery swapping stations
• No EV purchase subsidy
• No incentives for scrapping or provision for
retrofitting
• No provision for battery recycling
• No provision for R&D in electric mobility
3.1.1.2.6 Karnataka
Key highlights of “Karnataka Electric Vehicle & Energy Storage Policy 2017”
Policy notified: 25 September 2017
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
104
Table 21 Key policy guidelines of Karnataka EV policy
Key policy guidelines
Institutional setup
• Karnataka Udyog Mitra to facilitate
EV/Battery/Charging Equipment manufacturer
in taking clearances from environment, labour
and other departments
• Technical committee to be set-up to certify
the EV component manufacturer including EV
Li-ion battery supplier claiming incentive and
concession under the policy
Discoms
• To examine permitting use of renewable
energy at low connection cost and offer zero
wheeling charges by EV charging station
Transport Department
• Selected state transport corporations to
introduce 1,000 EV buses during the policy
period
The EV policy of Karnataka aims to offer fiscal support towards manufacturing of EV charging stations,
however, there are not adequate demand-side incentives to boost sales of EVs.
Figure 116 Snapshot of promotional measures for EV value chain players
The state policy also focuses on promoting shared mobility and mandates parking spaces under its building
by-laws. It also envisages focus on upskilling its manpower and promoting R&D in electric mobility space.
Key policy targets:
100% fleet and
commercial electric
mobility in Bangalore
by 2030
To set Fast charging
station/Battery
swapping station at
every 50 km on
highways
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
105
Figure 117 Other key measures taken by Karnataka for uptake of electric mobility
Summary:
• Zero wheeling charges for EV charging station
procuring renewable power
• EV parks with plug and play facility
• Setting-up Udyog Mitra to ease out administrative
approval procedures
• Provides clarity on incentive disbursement
mechanism to manufacturer through Technical
Committee
• SPV of municipal corporation, discom, transport
company, industrial board and renewable energy
company to develop charging infrastructure
(improved coordination process)
• Plan to deploy used EV batteries for solar application
(clarity on battery lifecycle management)
• Stipend and in-plant training for upskilling
• No purchase incentive has been provided for EV
purchase (except reimbursement of vehicle taxes)
• No support provided to home charging/ workplace
charging
• Doesn’t identify avenues to arrange funds for policy
implementation
• No focus on public awareness
• No mandate for inducting EVs in government
offices/departments
• No focus to develop slow charging stations
• No focus on power system upgradation and
augmentation to cater to EV load
3.1.1.2.7 Madhya Pradesh
Key highlights of “Madhya Pradesh Electric Vehicle (EV) Policy 2019”
Policy notified: 01 November 2019
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
106
Table 22 Key policy guidelines of Madhya Pradesh EV policy
Key policy guidelines
Institutional setup
• Madhya Pradesh Urban Development &
Housing Department (UDHD) will be the
nodal department for the implementation
of the policy
• Government of Madhya Pradesh (GoMP) will
setup a high level committee consisting of
stakeholders from all concerned departments
• State Electric Mobility Board (Madhya
Pradesh Electric Mobility Board “MPEMB”)
shall be constituted as the apex body for
effective implementation of the policy
Govt. department
• All forms of Government vehicles ,
including vehicles under Government
Corporations, Boards and Government
Ambulances etc. will be converted to
electric vehicles by 2028
Electricity regulator
• MPERC to issue regulations, defining tariff
and related terms and conditions, for
Vehicle-to-Grid (V2G) sale of power to
meet the requirements of real time and
ancillary services for DISCOM
• Sale of power from battery swapping
stations to the grid will also be considered
as V2G sale of power
Discoms
• Discoms to invest in setting up both slow
and fast charging networks in
government buildings and other public places
• Discoms allowed to recover expenses done
in setting-up of charging infrastructure as
part of ARR
• Discoms shall release supply to
charging/battery swapping stations within 48
hours of application
Transport Department
• Inter State Bus Terminals (ISBT), bus
terminals and bus stops will have charging
stations
Space for EV charging
• Municipal Corporations Public parking spaces
will be mandated to have charging stations.
• All new permits for commercial
complexes, housing societies and
residential townships with a built-up area
5,000 sq.mt and above will mandatorily
have a charging stations
MP’s EV policy does not provide adequate push at the supply as well as demand side of EVs. However, it
provides for land at concessional rates to manufacturing facilities along with providing grants for R&D. EV
buyers are not provided with any subsidy.
Key policy targets:
25% of all new public
transport vehicles
registrations by 2026
Convert 100% of all
commercial and
logistics fleets to
electric fleet by 2028
Convert 100% of public
transport bus fleet into
electric buses
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
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Figure 118 Snapshot of promotional measures for EV value chain players
Madhya Pradesh included the provision of Electric Mobility Bonds by ULBs to ensure sufficient funding in the
electric mobility sector. The state is also promoting recycling of batteries and provides incentives for vehicle
scrappage.
Figure 119 Other key measures taken by Madhya Pradesh for uptake of electric mobility
Summary:
• Online portal for applying for EV related incentives
• Battery Swapping Station can provide real time and
ancillary service to have additional revenue stream
• No purchase incentive has been provided for EV
purchase (except road tax/registration fees
reimbursement/parking fees waiver)
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
108
• Net Metering for Energy Operators (EOs) and
Battery Swapping Operators (BSOs) who set up
captive renewable energy facilities
• State Electric Mobility Board having cross-
department representations for effective
implementation of policy
• Mandate for govt. department for EV adoption
• Discoms are mandated to develop charging stations
and are allowed to recover expenses through tariff
• Allowed to establish and run public amenities
like cafeteria, public toilets and outdoor media devices
at charging station
• Identified avenues to arrange funds for policy
implementation (Electric Mobility Bonds)
• “E-Zones” with entry only to non-fossil fuel based
vehicles in Smart Cities
• Plan to stop registering new Auto (ICE vehicles) in
a phased manner
• Re-skilling of ICE vehicle mechanics/ Job fairs at
skilling center
• No support provided to home charging/ workplace
charging
• Vehicle scrappage incentive limited to buses
• No plan to provide plug and facility to attract EV
manufacturer and component manufacturer
• No focus on power system upgradation and
augmentation to cater EV load
3.1.1.2.8 Kerala
Key highlights of “Policy on Electric Vehicles for the State of Kerala ”
Policy notified: 10 March 2019
Table 23 Key policy guidelines of Kerala EV policy
Key policy guidelines
Institutional setup
• Technical Advisory committee - Mobility
State Level Task Force (e-MobSLTF) will be
set up by Government. Committee shall
define and strategize the policy for
development of sector. Committee shall
scrutinize the technology adoption and
manufacturing proposal and recommend
the Government for its adoption
Discoms
• Discom to set-up fast charging station
and battery swapping station in PPP mode
• Discom to set-up slow AC charging
station on street and parking lots with
Standard 15A outlet for slow charging
(Charging station 20 each in Trivandrum,
Ernakulum and Kozhikode)
• Discom to set-up Battery Swapping
Station, swapping operation to be done by
independent player selected through
transparent bidding process (150 battery
Key policy targets:
1 million EVs on road
by 2022
Replacing existing
6000+ buses with e-
buses by 2025
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swapping station in Trivandrum, Ernakulum
and Kozhikode)
The policy extends support to EV manufacturers and buyers, however no fiscal or non -fiscal support is
provided to the EV charging or battery swapping operators.
Figure 120 Snapshot of promotional measures for EV value chain players
Note: Capital subsidy is only given to 3W only
The state policy includes provision for special tariff for EVs including promotion of home or workplace
charging. The state is also promoting skill development and R&D in EV space. Along with these, Kerala
announced no new registration of ICE vehicles in certain cities of the state.
Figure 121 Other key measures taken by Kerala for uptake of electric mobility
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Summary:
• Plan for mandating certain cities to convert all 4W as
EV by enforcing them as ‘Pollution free Zone’
• Mandate for Discom to set-up charging station and
battery swapping station in PPP mode
• Plan to set-up fund for technology acquisition
• EV parks with plug and facility
• ‘electric mobility zone’ in certain pilot region such
as tourist villages/spots, technology hubs
• Plan to stop registering new Au to (ICE vehicles) in
certain cities
• No clarity on recovery of expense made by
Discoms in developing of charging infrastructure
• Purchase incentive is limited to only 3W
• Interest subvention on loan is limited to
Government employees only
• No support provided to home charging/ workplace
charging
• Doesn’t identified avenues to arrange funds for
policy implementation
• No focus on public awareness
• No mandate for inducting EVs in government
offices/departments
• No vehicle scrappage policy
• No provision to have single window clearance
system/dedicated help desk to expedite
Administrative approval
• No plan to amend building bye -laws to enable
home/workplace charging
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
3.1.1.2.9 Tamil Nadu
Key highlights of “Tamil Nadu Electric Vehicle Policy 2019”
Policy notified: 16 September 2019
Table 24 Key policy guidelines of Tamil Nadu EV policy
Key policy guidelines
Institutional setup
• Tamil Nadu Industrial Guidance and
Export Promotion Bureau will be set-up
for sanctioning of incentives provided by
Government to Industries
• All investment proposals under the EV
sector will be provided the necessary
facilitation through the Single Window
Clearance facility
• Created a high-level Steering
Committee formed to monitor the
implementation of the policy
Industries Department
• The Industries Department will be the
nodal department for the implementation
of all manufacturing related incentives
Key policy targets:
Commercial fleets are
encouraged to convert
into EV
Introduce 1000 new e-
buses every year
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Energy department
• The Energy Department will ensure that
public and private charging station are
provided with all necessary facilitation
and incentive
Discoms
• State Discom to invest in setting up both
Slow and fast charging networks in
Government buildings and other public
places
Transport Department
• Shall act as nodal department for
issuing guidelines to achieve the other
objective of EV policy
Tamil Nadu’s EV policy greatly supports EVs and component manufacturers and provides various incentives
to EV buyers. The EV charging station owners would receive capital subsidy on setting up of charging
stations.
Figure 122 Snapshot of promotional measures for EV value chain players
Note: Capital subsidy is given only on purchase of e-buses
Tamil Nadu is also promoting shared mobility in the state. The policy has provided for special tariff for
charging of EVs and its building by-laws have made it mandatory to allow adequate space for EV chargers.
The state also aims to focus on R&D and skill development in electric mobility space.
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 123 Other key measures taken by Tamil Nadu for uptake of electric mobility
Summary:
• Single Window Clearance facility for all investment
proposals under the EV sector
• Discoms are mandated to develop charging stations
• High-level Steering Committee having cross-
department representations for effective
implementation of policy
• Responsibility division among department
(separate nodal Department for charging infra
development, manufacturing facilitation and EV policy
implementation)
• Plan to provide capital subsidy for development of
Public Charging Stations
• Interest subvention on loan for Medium Industries.
Additional capital subsidy for MSME
• Reimbursement of employer's contribution to
the EPF for all new jobs created till 2025
• One-time Re-skilling allowance for existing
employees
• Logistic Parks and Free Trade/Warehousing Zones
for better inventory management
• EV parks with plug and facility
• EV Venture Capital Fund to offer financial support
to EV start-ups
• Long policy tenure (10 years), help in providing
long term stability of policy terms and building
confidence among investors
• No clarity on recovery of expense made by
Discoms in developing of charging infrastructure
• Purchase incentive is limited to only buses
• Commercial tariff applicability for EV charging
• No vehicle scrappage incentive
• No support provided to home charging/ workplace
charging
• Doesn’t identify avenues to arrange funds for policy
implementation
• No focus on public awareness
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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3.1.1.2.10 Bihar
Key highlights of “Draft Bihar Electric Vehicle Policy 2019”
Draft policy issued: 08 March 2019
Bihar has issued a draft EV policy on March 2019
with a tenure of five years. The policy does not have
any guidelines for institutional setup or any mandate
for any government department to promote electric
mobility.
However, the state policy provides several fiscal and
non-fiscal incentives to EV OEMs, component manufacturers, EV buyers and charging station oper ators.
Figure 124 Snapshot of promotional measures for EV value chain players
Key policy targets:
100% electric mobility
by 2030
100% e-rickshaw by
2022
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 125 Other key measures taken by Bihar for uptake of electric mobility
Summary:
• Addressed the gaps of FAME-II, extended purchase
incentive support to private vehicle owners as
well
• Private investors are encouraged to set-up
Industrial park/EV Parks
• Interest subvention on loan for development of
Charging Infrastructure and setting-up of EV parks by
private investors
• Plan to set-up EV Park by government with plug and
play facilities
• Special incentive package for women/ differently
abled persons/ SC/ ST etc. for setting up of
manufacturing unit or development of charging
infrastructure
• Primary focus on replacing of ‘Paddled rickshaw’
with EV
• No institutional mechanism proposed for
implementation of EV Policy
• No support provided to home charging/ workplace
charging
• Plan for setting public charging infra is limited to
cater Rickshaw-pullers only
• Doesn’t identify avenues to arrange funds for policy
implementation
• No focus on public awareness
• No mandate for inducting EVs in government
offices/departments
• No vehicle scrappage policy
• No provision to have single window clearance
system/dedicated help desk to expedite
Administrative approval
• No separate EV tariff, industrial tariff for EV
charging station
• No focus on power system upgradation and
augmentation to cater EV load
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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3.1.1.2.11 Punjab
Key highlights of Draft “Punjab Electric Vehicle Policy (PEVP) 2019”
Draft policy issued: 15 November 2019
Table 25 Key policy guidelines of Punjab draft EV policy
Key policy guidelines
Institutional setup
• EV Cell to be established within the
Transport Department for effective day-to-
day implementation of the EV Policy
• State EV Committee to act as the apex
body for effective implementation of the
State EV Policy.
• Discom has been designated as the
State Nodal Agency for development of EV
Charging Infra
• District Level Implementation
Committee (DLIC) shall be responsible for
creation/approval of charging infrastructure.
Govt. departments
• 100% transition of public vehicle fleet to
electric in a phased manner (used in offices)
Discoms
• Discom is the State Level Nodal Agency
(SLNA) for implementation of Charging
Infra. It would be responsible for setting
up charging infra on State Highways in co-
ordination with PWD and also aggregate
procurement at the State Level
• Discom and District Level
Implementation Committee (DLIC)
responsible for providing permit and
inspection of charging infra (would develop
detailed guidelines for the same to simplify
the approval, renewal and inspection process
to be completed in a time bound manner.)
• Discom is designated as SLNA for
implementation of EV Charging Infra
Transport Department
• Policy interpretation and coordination
with state EV Cell. Enable implementation of
incentives related to the department
The state policy provides several fiscal and non-fiscal support to EV value chain players such as concessional
allotment of land, capital subsidy, tax rebate etc.
Key policy targets:
100% transition
towards electric in
“target cities” in a
phased manner
Replace 25% of bus
fleet under Department
of Transport to e-
buses
2W/3W sales to reach
25% penetration during
the policy period
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Figure 126 Snapshot of promotional measures for EV value chain players
The state promotes shared mobility in the state along with R&D and skill development. The policy also
supports battery recycling and vehicle scrapping.
Figure 127 Other key measures taken by Punjab for uptake of electric mobility
Summary:
• District Level Implementation Committee (DLIC)
chaired by District Collector responsible for monitoring
of policy implementation and easing out
administrative approval process.
• No purchase incentive has been provided for EV
purchase (except waiver of Motor Vehicle Tax)
• No support provided to home charging/ workplace
charging
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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• Well established institutional mechanism . DLIC
to report State EV Committee, apex body for
implementation of EV policy
• Cross-department representation in EV Committee for
policy implementation
• e-marketplace for resale of used batteries
• Discom is mandated to develop charging stations
across highways and to aggregate demand at State
level
• Dedicated inspection and approval desk to be
set-up by discom for quick and easy approval for
charging infra development
• Vehicle Scrappage incentive
• Special vehicle tax waiver for EVs manufactured in
Punjab State
• 5 cities to have “Special Green Zone” and “Green
Transportation Corridor”
• EV parks with plug and facility
• Efforts taken to ease out administrative approval
procedures
• Stipend to employees for upskilling
• Employment generation subsidy to EV/ component
manufacturer
• 100% Electricity Duty Exemption on using
electricity for EV charging purpose
• Plan to stop registering new Auto (ICE vehicles) in
certain cities
• Doesn’t identify avenues to arrange funds for policy
implementation
• No clarity on recovery of expense made by
Discoms in developing of charging infrastructure
• Interest subvention on loan for EV owner or
manufacturer is not considered
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
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3.1.1.2.12 Telangana
Key highlights of “Telangana Electric Vehicle Policy – Draft”
Draft policy issued: 27 September 2017
Note: Final EV policy of Telangana has been approved by state cabinet on 5
th
August 2020; policy not
available in public domain
Table 26 Key policy guidelines of Telangana draft EV policy
Key policy guidelines
Institutional setup
• Steering Committee for EV Charging
Infrastructure: Responsible for time bound
implementation of charging station network
• Telangana State EV Advisory council: To
advise the Government on remedial
measures required to address any concern as
well as course corrections at policy level.
Council will have representatives from
Industry, Academia and Research
• Single-Window System - An escort officer
will be appointed at Commissioner of
Industries and TSIIC office to ensure fast
track clearance and grievance redressal for
applications received from EV
vehicle/component manufacturers
• Change in Labour laws - permission to the
Electric Vehicle and components industry for
24x7, employment of women in night shifts,
flexibility in employment conditions,
• EV industry will be declared a ‘Public
Utility’
Govt. departments
• Government vehicles (owned and
contractual) to switch to all electric by
2025, in phased manner
Discoms
• Encourage to set-up charging
infrastructure
Transport Department
• Target for phased adoption of e-buses
(25% by 2022, 50% by 2025 and 100% by
2030)
Telangana EV policy provides balanced support to all EV value chain players. It encourages EV manufacturers
to setup plants in the state by providing them land and plug and play facility. The EV buyers in the state are
exempt from giving road tax, and the charging infrastructure receives land, capital subsidy and SGST rebate
from the state.
Key policy targets:
100% EV migration by
2030
Intra-city goods
delivery services to
switch to EVs by 2030
2W/3W sales to reach
25% penetration during
the policy period
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Figure 128 Snapshot of promotional measures for EV value chain players
Telangana focuses on promoting R&D and skill development in the state. It includes provision for special
tariff for EV charging. The state also promotes adoption of EV charging station by providing capital subsidy
to home chargers and mandates commercial complexes, housing soci eties etc. to have an EV charging
station.
Figure 129 Other key measures taken by Telangana for uptake of electric mobility
Summary:
• Single-Window System - An escort officer be
appointed at Commissioner of Industries and TSIIC
• No purchase incentive has been provided for EV
purchase (except road tax exemption)
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
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office to ensure fast tracked clearance and grievance
redressal
• Mandate for EV adoption
• Mandate for govt. department for EV adoption
• Electricity Duty Exemption on using electricity for
EV charging purpose
• EV parks with plug and facility
• Plan to have mandatory provision for having
Charging points in all commercial buildings
• Mandate for Transport Department to have 100%
fleet of e-buses by 2030
• Interest subvention on loan for purchase of EV is
limited to Government employees only
• No support provided to home charging/ workplace
charging
• No mandate for Discom to set-up charging
infrastructure
• Plan to set-up charging infra for Government
employees only
• No vehicle scrappage incentive
• Doesn’t identified avenues to arrange funds for
policy implementation
• No focus on public awareness
• No plan for battery recycling
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
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3.1.1.3 Summary of state policies
Tabular summary of state policies briefed in Section 3.1.1.2:
Table 27 Tabular comparison of state EV policies
Parameter DL AP UP MH UK KA MP KL TN BR* PB* TS*
Institutional Mechanism and
Target
EV target ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Institutional setup ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Model EM cities ✓ ✓
Policy Mandates
EV adoption mandate to institutions ✓ ✓
Plan for induction of EVs in
government department
✓ ✓ ✓ ✓ ✓
Mandate for Discoms ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Mandate for Transport Department ✓ ✓ ✓
Demand Incentives
Fiscal Incentives -2 W ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Fiscal Incentives -3 W (e-auto, e-
rickshaw and e-cart)
✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Fiscal Incentives -4 W ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Fiscal Incentives -2W fleet/ 4 W
(Fleets)
✓ ✓ ✓ ✓
Fiscal Incentives - Bus ✓ ✓ ✓ ✓ ✓
Fiscal Incentives - Goods carrier ✓ ✓ ✓ ✓ ✓
EV Charging infrastructure
Incentive for public charging
deployment
✓ ✓ ✓ ✓ ✓ ✓ ✓
Incentive for Energy Operator/Battery
Swapping station
✓ ✓ ✓ ✓ ✓ ✓ ✓ Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy, regulation and technical standards for electric mobility and LCPRT
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Parameter DL AP UP MH UK KA MP KL TN BR* PB* TS*
Incentive for Home/Workplace
charging
✓ ✓ ✓ ✓
Manufacturing
Incentive to manufacturer ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Focus on promotion of auto-ancillary
manufacturer
✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Provision for Industrial Parks and
Clusters for EV/Ancillary
manufacturing
✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Battery OEM ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Scrapping and recycling
Vehicle scrappage incentive ✓ ✓ ✓
Battery recycling related provision ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Miscellaneous
Payment system and information
exchange
✓ ✓ ✓ ✓
Identification of source of funding for
various incentives declared in policy
✓ ✓
Skill Development/Job creation ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
R&D ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Public awareness ✓ ✓ ✓
Changes in building bye-laws ✓ ✓ ✓ ✓ ✓ ✓
Note: *Draft; DL: Delhi; AP: Andhra Pradesh; UP: Uttar Pradesh; MH: Maharashtra; UK: Uttara khand; KA: Karnataka; MP: Madhya Pradesh; KL: Kerala; TN: Tamil Nadu; BR: Bihar; PB: Punjab; TS:
Telangana
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Promotion of electric mobility by California (USA) and China
California and China have set an example in promoting electric mobility, in their respective regions. While
California has the maximum penetration of electric vehicles across United States, China is the global leader
in EV sales. One common aspect of such successful adoption of electric mobility in these regions is favourable
policy and regulatory support to encourage use of EVs.
Below tables list some of the key supporting measures adopted by California and China:
CALIFORNIA
EV OEMs
✓ Manufacturers with annual sales greater than
60,000 vehicles must sell 14% sales from
zero emission vehicle
EVSE and
battery
swapping
✓ Utilities are mandated to file transportation electrification proposals (plan to set-
up charging Stations) with commission
✓ California Energy Commission (CEC) provides funding (loan) to the EV charging
stations
✓ Institutional set-up for assessment of EVSE requirement to support on road EVs
✓ Mandatory Electric Vehicle Supply Equipment (EVSE) Building Standards for EVSE
installation in parking spaces
✓ State agencies are directed to actively identify and pursue opportunities to install
EVSE, and accommodate future EVSE demand, at state employee parking
facilities in new and existing agency buildings
✓ Commission allows investor-owned utilities to own and operate charging stations
Consumers
✓ EV owners earn Low Carbon Fuel Standard (LCFS) credit which is used to receive
rebate in energy charges
✓ Electricity used to charge PEVs at a state-owned parking facility is exempt
✓ EV purchase incentive up to $7,000 under Clean Vehicle Rebate Project (CVRP)
✓ EV owner receive exemption for High Occupancy Vehicle (HOV) and High
Occupancy Toll (HOT) late
✓ Incentive Programs for Alternative Fuel Vehicle (AFV) parking
Legend: Measures that can be adopted by India
CHINA
EV OEMs
✓ Vehicle manufacturers to meet 10% and 12%
new energy vehicle credit targets in 2019 and
2020
123
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EVSE and
battery
swapping
Consumers
Central level initiatives
✓ Purchase incentives are provided based on electric drive range and other technical
parameters
✓ Plan to develop huge network of Charging Infrastructure; Incentives for charging
infrastructure development
✓ Support for electric car-sharing pilots
State level initiatives
✓ Cities are providing subsidy over and above the central government subsidies
✓ EVs are exempted from the annual Vehicle and Vessel Tax in China
✓ Reduction in parking fees for EVs
✓ License plate fee waived for EVs
✓ Maximum cap on EV charging fees
✓ Capital subsidy on home chargers
✓ Exemption on road toll
✓ Dedicated parking space for EV owners
✓ Road access privilege – In congested cities EVs are exempted from odd-even
restriction
Legend: Measures that can be adopted by India
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and technical standards for electric mobility and LCPRT
124 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Key recommendations for state policies
Best policy practices for promotion of electric mobility value-chain:
Key policy recommendations
Institutional setup
✓ Formulate a cross-department apex committee constituting members
from at least the Transport Department, Energy Department, Industrial
Development, and Housing and Urban Development for better co -
ordination, policy implementation and effective monitoring.
✓ Set-up a District Level Implementation Committee headed by District
Collector for field level monitoring and implementation of EV policy; and
to smooth out administrative approval processes
OEMs
✓ Online portal and single window clearance system for availing clearances
and subsidies/rebate in transparent manner
✓ Provision for interest subvention on loan
✓ Provision for State Guarantee on loan for Micro and Small Industries
✓ State support in knowledge and technology transfer (Technology transfer
fund could be created as proposed in Kerala policy)
✓ Longer policy tenure to develop confidence among industrialist in
sustainability of rebates and subsidies for longer horizon
✓ Employment generation subsidy to be included as part of state policy
(Punjab is providing employment generation subs idy to industrialist in
EV domain, Rs. 36,000 per male employee and Rs. 48,000/ per employee
per year in case of females and SC/ST/OBC employee )
✓ Reimbursement of employer's contribution to the E PF for all new jobs
created in EV industry (Tamil Nadu have similar policy provision)
✓ Stipend to individual taking in-plant training in manufacturing units
Network operators
✓ Discoms to mandatorily file transportation electrification proposal (plan
to set-up charging stations)
✓ Targets to discoms on installation of EV charging infrastructure
✓ Policy should encourage conducting network flow study to assess the
need of power system upgradation and augmentation due to EV charging
and provide capital subsidy for development of infrastructure
✓ Allow recovery of network investment cost through regulatory provisions
of ARR and Tariff Determination
EVSE and battery
swapping
✓ Online portal and single window clearance system for availing clearances
and subsidies/rebate in transparent manner
✓ Allow Charging Infra Developer to use certain percentage of allotted land
to open public amenities such as cafeteria/food zone etc. to have
additional revenue stream to ensure sustainability of business (Madhya
Pradesh EV policy has made similar provision)
✓ Provide opportunity to Battery Swapping Stations to participate in real
time market and ancillary service market
✓ Discoms to be mandated to provide connectivity within a limited time
frame under State Guaranteed Delivery of Service Act
125
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Key policy recommendations
✓ Electrical Inspectorate Department/ Discoms to be mandate d to set-up
express helpdesk for expediting inspection and clearance in respect of
CEA Regulations for electrical safety and grid interconnection
Consumers
✓ EV Purchase subsidy over and above FAME II subsidy
✓ Interest subvention on loan amount taken for EV purchase
✓ Creation of non-financial incentives such as priority lanes, reserved
parking for EV only vehicle in commercial/shopping complexes etc.
✓ Incentives for vehicle scrapping
Financing
✓ Include EVs and associated business in priority lending sector
✓ State backed loan guarantee s for EV and associated component
manufacturers
✓ Electric Mobility Bonds (Madhya Pradesh have similar provision)
✓ Use of fee-bate concept for funding of policy provisions (Delhi policy have
similar provision), whereby additional taxes to be levied on conventional
fuel vehicle
Miscellaneous
✓ Green Zone to be demarcated within cities that permit only EVs and
charge heavy taxes on conventional fuel vehicle
✓ Green Corridors to be earmarked on which only e-buses are provided
permit to operate
✓ Provision for providing training in electric mobility, upskilling of existing
ICE mechanics needs to be focused in State policies
✓ Disseminate public awareness through launching test driv es,
competitions, celebrating Electric mobility day etc.
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3.1.2 Clean fuel
3.1.2.1 Initiatives for monitoring and control of air pollution in India
From the early 1970s, factors such as rapid industrialization and urbanization led to increased pollution
levels. This led to rising concerns among environmentalists and government authorities which drove the
need for creation of an institution for overseeing efforts on curbing such pollution levels. This led to the
establishment of Central Pollution Control Board (CPCB) on 22
nd
September 1974 under the Water
(Prevention and Control of Pollution) Act, 1974. CPCB along with SPCBs act as the key machinery of the
Government for planning and execution of nation-wide programme for the prevention, control, or abatement
of water and air pollution.
Post the formation of CPCB, several initiatives have been taken for curbing pollution. Some of the key
initiatives taken by the government in area of monitoring and control of air pollution are provided below:
Figure 130 India's initiatives for monitoring and control of air pollution – Timeline
Source: 76 Deloitte analysis
The Air (Prevention and Control) Act 1981 introduced the concept of Air Quality Management (AQM) to
safeguard the environment. MoEF&CC (previously MoEF), constituted in 1985, is the nodal agency in the
administrative structure of the Central Government responsible for AQM. Along with MoEF&CC, there are
several other ministries, departments and institutions who play important role in effective operation of AQM
mechanism. The overall institutional mechanism of AQM in India is provided in Figure 131.
Central Pollution Control
Board (CPCB) was
established Under the
Water (Prevention and
Control of Pollution) Act,
1974
1974
To improve the quality of air
and to control air pollution,
CPCB was conferred with
powers under Air (Prevention
and Control of Pollution) Act,
1981
1981
CPCB launched
National Air Quality
Monitoring
Programme (NAMP)
to measure four air
pollutants –SO
2, NO
2,
PM2.5 and PM10
1984
National Ambient
Air Quality
Standards
(NAAQS)were
introduced. Notifying
permissible level of
12 types of air
pollutants
1994
NAQQS are revised to
lower down the maximum
permissible limits for
pollutants
2009
National Air Quality Index (AQI)
was launched, under the Swachh
Bharat Abhiyan
CPCB and IIT Kanpur developed
methodology to Calculate Air
Quality Index (AQI) on October
2014
2015
National Clean Air
Programme (NCAP)
launched. Set national level
target to achieve 20%–30%
reduction of PM2.5 and
PM10
concentration by 2024 with
2017 as base year
2019 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 131 Institutional mechanism of AQM
Source: 77 Strategies to reduce air pollution in India (access here)
3.1.2.1.1 National Air Quality Monitoring Progr amme (NAMP)
NAMP embarked the journey for air quality monitoring in India with establishment of air quality monitoring
stations. In 1984, the programme was originally called as the National Ambient Air Quality Monitoring
(NAAQM) and started at Agra and Anpara with 7 stations, the programme has since been substantially
expanded.
Major objectives of NAMP are to:
1. Determine the status and trends of ambient air quality
2. Ascertain whether the prescribed ambient air quality standards are violated;
3. Identify non-attainment cities;
4. Obtain the knowledge and understanding necessary for developing preventive and corrective
measures
5. Understand the natural cleansing process undergoing in the environment through pollution
dilution, dispersion, wind-based movement, dry deposition, precipitation, and chemical
transformation of the pollutants generated
At present, there are 793 manual operating stations across India
40
in 344 cities and towns, monitoring air pollutants such as SO2, NO2,
PM10, and PM2.5
41
The monitoring of pollutants at manual station is carried out by taking 4-hourly sampling for gaseous
pollutants and 8-hourly sampling for particulate matter (during 24 hours) with a frequency of twice a week,
to have one hundred and four (104) observations in a year.
40
CPCB Monitoring Network (access here)
41
PM10: Suspended particulate matter; PM2.5: Fine particulate matter
State
Level
Central
Level
Ministry of Environment, Forest and Climate
Change
Central Pollution Control Board
Environment Pollution Control Authority
Ministry of Petroleum & Natural Gas
Ministry of Road Transport & Highways
Other Central Ministries/Agencies
R&D Centers & other Institutions
Department of Environment
Pollution Control Board/Committees
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Figure 132 Snapshot of air pollution monitoring and institutional mechanism
In addition to above, there are 231 Continuous Ambient Air Quality Monitoring Stations (CAAQMS) established to monitor live air quality data on
8 parameters - PM10, PM2.5, SO2, NO2, ammonia (NH3), CO, ozone (O3), and benzene.
CPCB: Central Pollution Control Board; SPCBs: State Pollution Control Boards; PCCs: Pollution Control Committees; NEERI: National
Environmental Engineering Research Institute
The monitoring is carried out with the help of Central Pollution Control Board; State Pollution Control Boards;
Pollution Control Committees; National Environmental Engineering Research Institute (NEERI), Nagpur. The
monitoring of meteorological parameters, such as wind speed and wind direction, r elative humidity (RH),
and temperature are also integrated with the monitoring of the air quality.
3.1.2.1.2 National Ambient Air Quality Standards (NAAQS)
India’s first ever ambient air quality standard was adopted by CPCB on November 11, 1982. The CPCB later
notified National Ambient Air Quality Standards in April 1994 by exercising its powers conferred to it by Sub-
section (2) (h) of section 16 of the Air (Prevention and Control of Pollution) Act, 1981 (Act No. 14 of 1981).
The standard was further revised in October 1998.
Major objectives of NAAQS are to:
1. Indicate necessary air quality levels and appropriate margins required to ensure the protection
of vegetation, health, and property
2. Provide a uniform yardstick for the assessment of air quality at the national level
3. Indicate the extent and need of the monitoring programme
In November 2009, CPCB suppressed all its previous notifications issued in relation to NAAQS and issued
stringent norms for air quality standards. Further, it has recognized and specified permissible norms for new
set of pollutants that includes – PM2.5, Benzene, Benzo (a) Pyrene, Arsenic and Nickle.
CPCB
SPCBs
PCCs
NEERI
Monitoring Institutions
29 States
6 UTs
Coverage
793 Manual
231 Continuous
Monitoring Stations
Parameters Monitored
1
2
PM2.5
PM10
3
4
SO
2
NO
2
5
6
CO
O
3
7
8
Ammonia
Benzene
Manual Stations
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Figure 133 Timeline of air quality standards adopted by India
Source: 78 CPCB
Although the NAAQS specified in 2009 are stringent than norms specified in 1998, but these are still higher
than the norms specified by World Health Organization (WHO) in 2005. The comparison of norms specified
under NAAQS and WHO guidelines is provided in Annexure – 6.3 (Table 70).
3.1.2.1.3 National Air Quality Index (AQI)
On 6th of April 2015, Prime Minister of India has launched the National Air Quality Index, for monitoring the
quality of air in major cities across the country on a real-time basis and enhancing public awareness for
taking appropriate action to reduce air pollution. The AQI is promoted as ‘one number, one colour and one
description
42
' to inform the public about air quality in a simple and easily understandable format. There were
14 cities covered under AQI monitoring at the time of launch, however it has been expanded to 224 cities
43
till date. CPCB and IIT Kanpur jointly developed the methodology
44
for calculation of AQI. The AQI
categorization is provided in Table 28.
Table 28 AQI categorization and associated health impacts
AQI Associated Health Impacts
Good (0-50) Minimal Impact
Satisfactory (51-100) May cause minor breathing discomfort to sensitive people
Moderate (101-200) May cause breathing discomfort to the people with lung disease such as asthma and
discomfort to people with heart disease, children and older adults.
Poor (201-300) May cause breathing discomfort to people on prolonged exposure and discomfort to
people with heart disease with short exposure.
Very Poor (301-400) May cause respiratory illness to the people on prolonged exposure. Effect may be
more pronounced in people with lung and heart diseases.
Severe (401-500) May cause respiratory effects even on healthy people and serious health impacts on
people with lung/heart diseases. The health impacts may be experienced even during
light physical activity.
Source: 79 CPCB – National Air Quality Index portal (access here)
42
Launch of National AQI (access here)
43
National Air Quality Index portal (access here)
44
AQI Methodology (access here)
First ambient air
quality standards were
adopted November
11, 1982by the
Central Pollution
Control Board (CPCB)
Central Pollution
Control Board (CPCB)
notified National
Ambient Air Quality
Standards, 1994 on
11
th
April, 1994
Central Pollution
Control Board (CPCB)
notified Revised
National Ambient Air
Quality Standards,
2009 on 18
th
November, 2009
1982 1994 2009
124
Revision in National
Ambient Air Quality
Standards, 1994 on
14
th
October, 1998
1998
3 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Source: 80 Image: CNN; CPCB - Graded Response Action Plan for Delhi and NCR (access here)
3.1.2.1.4 National Clean Air Programme
The reference standards for various pollutants contributing towards air pollution and mechanism for
monitoring of such pollutants were established through various initiatives taken by CPCB and
Central/State Government before the launch of National Clean Air Programme. However, in the absence
of any nation-wide effort to curb the level of pollutants, the quality of air continued to deteriorate over
the years. In 2019, India was ranked 5
th
in world’s most polluted countries and 6 of the world’s 10 most
polluted cities were from India.
Box 16: Graded Response Action Plan for Delhi & NCR
In 2016, Central Pollution Control Board (CPCB)
enforced “Graded Response Action Plan for Delhi &
NCR” to tackle degrading air quality in the region of
Delhi & NCR. The Graded Response Action Plan was
prepared for implementation under different Air Quality
Index (AQI) categories as per National Air Quality
Index. Also, a new category of “Severe+ or
Emergency” has been added in the Action Plan.
Some of key action plans is provided below:
✓
Stopping entry of truck traffic into Delhi
(except essential commodities)
✓ Stopping construction activities
✓
Introducing odd and even scheme for
private vehicles based on license plate
numbers and minimize exemptions
✓
Shutting down brick kilns, Hot Mix plants,
Stone Crushers
✓
Shutting down Badarpur power plant and
maximize generation of power from existing
natural gas based plants to reduce operation
of coal based power plants in the NCR
✓
Intensifying public transport services;
introducing differential rates to encourage
off-peak travel
✓
Increasing frequency of mechanized
cleaning of road and sprinkling of water on
roads; identifying road stretches with high
dust generation
✓ Stopping the use of diesel generator sets
✓ Enhancing parking fee by 3-4 times ✓
Increasing bus and metro services by
augmenting contract buses and increasing
frequency of service
✓
Stopping the use of coal/firewood in hotels
and open eateries
✓
Alerting in newspapers/TV/radio to advise
people with respiratory and cardiac patients to
avoid polluted areas and restrict outdoor
movement
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Figure 134 India: Problems with pollution
Source: 81 IQ Air
Air pollution led to 1.24 million or 12.5% of the total deaths recorded in the country during 2017 alone. With
the alarming air pollution levels across India the urgency of a national level action plan was therefore
inevitable.
In response to the same, the National Clean Air Programme (NCAP) was launched in January 2019, by
MoEF&CC, with the primary objective of implementing mitigation measures for prevention, control and
abatement of air pollution, expanding the national air quality monitoring network, building capacity for air
pollution management, and strengthening public awareness about the dangers of air pollution.
Figure 135 Snapshot of National Clean Air Programme
With the launch of NCAP, the Central Government aims to cut the concentration of coarse (particulate matter
of diameter 10 micro meter or less, or PM10) and fine particles (particulate matter of diameter 2.5 micro
meter or less, or PM2.5) by at least 20% in the next five years, with 2017 as the base year for comparison.
Goal
To meet the prescribed annual average
ambient air quality standards at all
locations in the country in a stipulated
timeframe (long-term)
Target
To achieve 20%–30% reduction
of PM2.5 and PM10
concentration by 2024 at
national level, with 2017 as the
base year for the comparison of
concentration.
Approach
•Multi-sectoral & Collaborative
•Integrating it with other
ongoing initiatives of GOI
towards pollution control
•Identification of 102 non-
attainment cities based on
NAAQS data (2011-2015)
•SPCB/State Government
commitment to prepare city-
wise customized action plan
to curb air pollution
102 Cities covered
(Including 43 Smart Cities)
Integrated with NAPCC, and other
ongoing policies and programme in
reference to climate changes
Five-year action plan starting from
2019, extended to 20–25 years in the
long-term after a mid-term review of the
outcomes
CPCB is Nodal Institution for
execution of NCAP
Nodal agency for the implementation
of various provisions on control of air
pollution from vehicles
Comprehensive component -wise documents detailing objectives, strategies, plan of action, timelines and monitoring, and
evaluation criteria for control of air pollution are already submitted by 102 cities under NCAP Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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The key components of NCAP are segregated across three broad
categories – Knowledge and Database Augmentation, M itigation
Actions and Institutional Strengthening.
Figure 137 provides the snapshot of NCAP key components as outlined under the policy document. The list
of action-points/ steps suggested for Knowledge and Databa se Augmentation, Mitigation Actions and
Institutional Strengthening are placed at Annexure 6.3.
Figure 136 Key components of NCAP
Under NCAP eight sectoral interventions have been identified around which the identified cities (102 non-
attainment cities) have been directed, under Section 31A of the Air (Prevention and Control of Pollution)
Act, 1981, to develop action plan for maintaining air quality within the prescribed norms. The various
interventions as identified under NCAP, cover the pollution caused due to re-suspended road dust control,
construction and demolition related dust, power sector and industrial emissions, transport sector emissions,
agricultural emissions and emissions from unsustainable waste management practices.
Figure 137 Key sectoral interventions under NCAP
Action-points for each of the above, as shown in the figure, are detailed in the NCAP. For the purpose and
coverage of this report, the Actions-Points pertaining to Transportation sector and Power sector are
reproduced as below:
Key
components
of NCAP
Institutional Strengthening
Mitigation Actions
Knowledge & Database
Augmentation
•Air Information Centre
•Air Quality Forecasting System
•Certification system for monitoring
instruments
•Intensive training & Awareness
•Capacity Building
•Network of technical Institutions
•Technology Assessment Cell•Air Quality Monitoring Network
•National Emission Inventory
•Health Impact Studies
•International Cooperation
•Source apportionmentfor non-
attainmentcities
•Review of Standards
•Extensive Plantation Drive
•State, City and Regional Action Plan for
Non-attainment Cities
•Technology Support
Electric mobility
Industrial
Emission
Indoor Air
Pollution
Integrated Waste
Management
Transport
Emission
Agriculture
Emission
Power Sector
Emission
Clean construction and
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Figure 138 Action points for transport and power sector under NCAP
Note: Action-points for each sector are placed at Annexure 6.3
Stringent implementation of BS VI norms all over India by April 202001
Action points for Transport Sector
In-use vehicles
Green Mobility
01
Stringent implementation of National Biofuel Policy
with respect to ethanol and biodiesel blending target of
20% and 5%, respectively by 2030
02
City action plans to review the extension of MRT in
cities/towns
03
Improvement and strengthening of inspection and
maintenance system for vehicles through extension of
I&C centers
04
Stringent implementation of PUC certificate through
regular inspection and monitoring.
05
Fleet modernization and retro-fitment programmes
with control devices
06
Reducing real-world emissions by congestion
management
07
Review the Green Corridor Project and feasibility of its
extension with reference to 102 cities
08
To review the scaling up of Pilot project of MoPNGfor
introducing CNG in 2W and ensure timely
implementation
09Scaling up of R&D on use of Hydrogen as transport fuel
E-Mobility
01
Formulation of a national-, state-, and city-specific
action plan for e-mobility
02
Rapid augmentation of charging infrastructure in the
country focusing on 102 cities
03
Central government offices fleets older than 15 years
to be shifted to electric vehicles
04
Government-run buses for public transport, private
buses, and 3-wheelers to be converted to EVs
05Gradual transition to e-mobility in the 2-wheeler sector 06Specific allocations for creating a venture capital fund
07
Investment in R&D and pilots focusing on the indigenization of battery manufacturing, cheap alternate resource to lithium
and cobalt, resource efficiency associated with a circular economy, re-use and recycling for lithium batteries, etc. 01
Stringent compliance by all TPPs with respect to the
emission norms according to the timelines up to
December 2022 and as per the action plan prescribed
in the direction dated December 2017 issued under
EPA 1986
02
There is need for optimizing the use of the existing
power plants by prioritizing capacity utilization of
natural gas/ clean fuel-based thermal power
plants
03CGD network distribution shall be taken up on priority
within the country, emphasizing on 102 non-
attainment cities
04Phasing out older coal-based power plants and
converting specific coal-based power plants to natural
gas
05Emphasis on improved power reliability in urban areas
to eliminate the operation of DG sets
06Need to explore the possibility of Fly-ash utilization in
extensive way in 102 non-attainment cities
07
Emphasizing the expansion of renewable power initiatives prioritizing the use of existing framework of NAPCC in non-
attainment cities
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The state-wise break-up of
non-attainment cities is
provided at Annexure 6.3.
Nearly, one-third of total
cities lie in only two states –
Maharashtra and Uttar
Pradesh, having 17 and 15
non-attainment cities
respectively. As per CPCB,
all 102 attainment cities
have submitted their action
plan to control air pollution.
The sector-wise break-up of
action-plan for each State is
provided at Annexure 6.3.
Transport emission has been
considered as one of the
major contributor toward air
pollution and therefore
nearly 38% of the total
action plan submitted by all
States are focused on this
sector alone.
Although, the transport sector has been kept at the centre stage of the action plan, limited focus has been
provided for transition to and adoption of electric mobility. However, there has been increasing focus on
measures such as fuel-quality checks, monitoring of vehicle fitness, widening of roads to avoid traffic
congestions, retro-fitment of particulate filter in diesel vehicles, increased amount of penalization on vehicle
emitting visible smoke, increase in public transportation system, phasing out of diesel vehicles which are 15
years old, programs for public awareness on air pollution control etc. The State-wise comparison of extent
of focus on electric mobility /alternate fuel based mobility is provided below:
Table 29 State-wise focus area on electric mobility and alternate fuel
State
Focus Area
Electric mobility CNG/LPG/Biofuel
Charging Infra
development
Andhra Pradesh
Assam
Chandigarh
Chhattisgarh
Delhi
Gujarat
Himachal Pradesh
Jammu and Kashmir
Jharkhand
Karnataka
Madhya Pradesh
Figure 139 Segregation of action plans across identified sectors under NCAP
Source: 82 Deloitte Analysis, Central Pollution Control Board
Note: Action Plan for few sectors are combined to have better representability of data in chart. For
detailed break-up please refer to Annexure 6.3
38%
14%
23%
11%
2%
13%
Transport
Industry including Power
Clean Construction and Road
dust management
Agriculture burning and waste
management
Domestic fuel burning
Other measures for monitoring
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State
Focus Area
Electric mobility CNG/LPG/Biofuel
Charging Infra
development
Maharashtra
Meghalaya
Nagaland
Orissa
Punjab
Rajasthan
Tamil Nadu
Telangana
Uttar Pradesh
Uttarakhand
West Bengal
Bihar
Sufficient focus – Coverage across vehicle category such as 2W, 3W, 4W and Buses with time bound action plans
Limited focus – Coverage mainly across e-rickshaw category with limited time bound actions plans
No focus – Not covered in action plan
Source: 83 Deloitte analysis and Central Pollution Control Board
The action plan submitted under NCAP shows that most of the states have limited focus on EV adoptability,
and wherever the same is focused on, the same is confined to vehicle segments such as E-rickshaw, E-Auto,
and/or E-buses. States such as Andhra Pradesh, Maharashtra, Telangana have, however, set ambitious plans
for EV/CNG/LPG adoption but have not adequately planned for development of the refuelling infrastructure.
In terms of planning adequacy, states such as Delhi, Orissa, Bihar, West Bengal and Assam have taken a
balanced EV/Clean Fuel technology transition strategy. These states have taken a prudent approach by
focusing on developing peripheral and supporting infrastructure as well as complementary policy support
(such as phasing of diesel vehicles), for smoother transition towards EV/Clean Fuel mobility alternatives.
3.1.2.1.5 National Biofuel Mission (NBM)
The National Biofuel Mission (NBM), launched in 2003 under the aeg is of the Planning Commission, GOI,
was a pioneering effort towards the adoption of 1G biofuels. It envisaged the phased expansion of area
under biofuel feedstock crops (Jatropha and Pongamia) and several missions aimed at promoting large-scale
plantation of feedstock crops in forests and wastelands, procurement of seeds, oil extraction,
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Figure 140 Timeline for promotion of use of biofuels in India
Source: 84 Deloitte analysis
In 2003, the Indian Ministry of Petroleum and Natural Gas (MoPNG), in a bid to make biofuel blending a
binding obligation on the states, made 5 percent ethanol blending in petrol mandatory in 9 states and across
5 union territories. Unavailability of ethanol (attributable to low sugarcane yield), however, was a huge
impediment to the adoption of this mandate. The blending mandate was further extended to cover 21 states
and 4 union territories in 2006. However, the mandate could not be fulfilled on account of insufficient
availability of ethanol at the prevailing market prices.
In 2007, along with the mandated 5 perce nt ethanol blending across the country and 10 percent where
feasible, the “National Biofuel Policy” was formulated by the Ministry of New and Renewable Energy (MNRE)
in September 2008. Biofuels as a potential means to rural development and employment gener ation was
envisioned as part of this policy. The NBP laid out R&D, capacity building, purchase policy, and registration
for enabling biofuel use, including second-generation biofuels. While the policy was not feedstock specific, it
maintained the government’s position that energy crops should not have any adverse impact on the food
sector.
Government of India in 2014, took multiple interventions including, reintroduction of administered price
mechanism, opening of alternate route for ethanol production, exclusive control of denatured ethanol by the
Central Government, reduction in Goods and Service Tax (GST) on ethanol from 18% to 5%.
The Ethanol Blended Petrol Pr ogram (EBPP) and Biodiesel
Blending Program (BDBP) both of which were integral parts of the
NBM were aimed at initiating the blending of biofuels with
transport fuels such as petrol and high -speed diesel on a
commercial scale.
However, there were several issues that created hurdles in
attaining the desired level of production of ethanol and biodiesel
fuel.
India had faced severe sourcing issues
with Ethanol and Biodiesel which has
contained their growth in blending.
Issues with production/ sourcing of ethanol and biodiesel:
1. Poor grade of domestic sugarcanes
India produces “C grade” canes which yields very low amount of biofuel (1 litre of biofuel from about
0.004 tonnes of molasses).
2. Better price markets for sugarcanes
Figure 141 Blending rate of ethanol has been
low in recent year
Mandate for OMC’s to sell 5% EBP
to promote use of alternative and
environment friendly fuels
Targets 20% blending of ethanol
with gasoline and 5% blending of
biodiesel with diesel by 2030
2003
Ethanol Blended
Petrol
Programme
2014
Notified
administered
price of ethanol
2018
National Policy
on Bio-fuels
(Revised)
2019
JI-VAN Yojana-
Financial
Support for 2G
Ethanol
2009
National Policy
on Bio-fuels
Targets 20% blending of
biofuels-bio-diesel and
bioethanol by 2017
Cabinet Committee on
Economic Affairs fixed
pricing policy for ethanol
Ministry of Petroleum and
Natural Gas directs OMC’s to
sell 10% EBP from April 2019
2016
3.5%
2.07%
4.0%
6.20%
2017
2018
2019
Blending Rate of Ethanol
target @2030: 20% Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Farmers receive better prices for sugarcanes from alcohol and pharmaceutical industries. This leads
them away from producing biofuel.
3. High cost of biofuel
Most of India’s agricultural residue is repurposed as manure. If the residue is purchased for biofuel then
the price will be paid for the residue as well as for the pesticides (as the farmer is not producing
manure). This increase the overall cost of production of biofuel
4. Low food security
India is a net importer of edible oil. Therefore, with limited available land for agriculture, production of
non-edible oil seeds based biodiesel would lead to lower food security of the country.
Later in 2018, government of India notified the Bio Fuel Policy 2018. The policy addressed some of the key
sourcing issues as it expanded the scope of raw material for ethanol production by allowing use of various
agro-waste products. Below are few key measures undertaking by the policy to increase the production of
biofuel fuels in total blending:
➢ reinforcing ethanol/biodiesel supplies through increasing domestic production
➢ setting up Second Generation (2G) bio refineries
➢ development of new feedstock for biofuels
➢ development of new technologies for conversion to biofuels
➢ creating suitable environment for biofuels and its integration with the main fuels
On February 2019, the Government of India launched "Pradhan Mantri JI-VAN (Jaiv Indhan- Vatavaran
Anukool fasal awashesh Nivaran) Yojana" for providing financial support to Integrated Bioethanol Projects
using lignocellulosic biomass and other renewable feedstock. The scheme was designed as a tool to create
2G Ethanol capacity in the country and attract investments in this new sector.
Under the scheme, 12 Commercial Scale and 10 demonstration scale Second Generation (2G) ethanol
projects will be provided a Viability Gap Funding (VGF) support in two phases. The ethanol produced under
the scheme will be mandatorily supplied to Oil Marketing Companies (OMCs) to improve the blending
percentage under EBP Programme.
Although there have been numerous efforts from the government to boost the production of biofuels,
shortage of supply and high cost of fuel are still the biggest bottlenecks in adoption of biofuels.
3.1.2.1.6 Auto Fuel Vision and Policy 2025
The Ministry of Petroleum and Natural Gas, Government of India notified first Auto Fuel Policy in October
2003. It addressed measures to cover various areas in which action was required viz. vehicular emission
norms, fuel quality and standard of CNG/LPG kits, me asures to reduce emissions from in-use vehicles,
vehicle technology, air quality data and Research and Development. It also covered air quality data and
health effects of air pollution.
The Auto Fuel Policy 2003 had envisaged that due to technological and other changes which take place over
time, the Policy needs to have periodic revisions. In this backdrop, Ministry of Petroleum and Natural Gas,
in 2012, felt necessary to initiate a process to develop an Auto Fuel Vision and Policy for the country which
would lay a clear roadmap for the future, till 2025.
Auto Fuel Vision Committee was set up in 2013 to recommend the future roadmap on advancement of fuel
quality and vehicular emission standards up to 2025. The committee published its report in May 2014. It
had more stringent fuel and emissions standards requirement as compared with the provisions of the
National Auto Fuel Policy 2003. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 142 Key observation of the Auto Fuel Vision Committee
Key recommendations of the Auto Fuel Vision and Policy 2025:
✓ Implementation of next stage of Bharat emission norms (BS norms):
2017 2020 2024
BS IV BS V BS VI
✓ To levy a “special fuel upgradation cess” of 75 paise per litre on all gasoline and diesel sold in the
country for seven years up to 2021
✓ To rationalize the rates of Central Excise Duty for gasoline and diesel
✓ To establish an Empowered Monitoring and Evaluation Committee with the Secretariat being provided
by CPCB and with members drawn from all the stakeholders as well as independent experts
knowledgeable in the various aspects (including technical, financial, health, social, environmental and
institutional), to define the studies and analyses that would be undertaken for effective implementation
of the Auto Fuel Vision and Policy 2025
✓ Creation of a Centralized I&M (Inspection and Maintenance) system where inspection and maintenance
are carried out independently
✓ Creation of a policy for the phasing out of older commercial vehicles
✓ To set mandate for commercial vehicles to get the retro-fitting of catalytic converters and particulate
filters done within a period of two years for the extension of their operating licence under the Motor
Vehicles rules.
✓ OMCs to implement vapour recovery system for gasoline to minimise benzene emission in larger cities
Shortcomings of the Auto Fuel Vision and Policy 2025:
BS VI implementation was
proposed from 2024 which was
almost 10 years later than its
equivalent EURO VI
BS VI standards were not fully
defined
Durability requirement for
emission under BS V (120,000
Kms) was less than Euro V
(160,000 Kms)
Key observation of the committee
There were differential norms on emission standards were made applicable in metros and in the rest of the country
because of limited domestic availability of higher quality automotive fuel in the country
India was consuming proportionately more diesel relative to gasoline that could be normally derived from crude oil. This
results in a need to maximize diesel production
It was expected that about half of gasoline and one third of diesel will be equivalent to Euro V by 2020
There was different tax treatment on imports of crude petroleum (import duty -NIL) & LNG (import duty –5%)
1
2
3
4
There is need to deregulate the retail prices of diesel such that the refineries are able tofully recover their costs and
service the huge capital investments
5 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Regulations and technical standards
3.2.1 Electric mobility
3.2.1.1 CEA regulation on grid interconnection and electrical safety standards
CEA introduced two amendments related to connectivity and safety of EV charging stations:
CEA notified Technical Standards for Connectivity of the Distributed Generation Resources, Amendment
Regulations in February 2019 that laid down guidelines for connectivity of EV charging station with the
electricity system below 33 kV voltage level. Key provisions under the regulation are summarized below:
Table 30 Key provisions of grid connectivity of DER regulation by CEA for EV charging operators
Sr. No. Particulars Key provisions
1 Standard • EV charging station operator needs to provide a reliable protection
system to detect various faults and abnormal conditions and provide an
appropriate means to isolate the faulty equipment or system
automatically.
• It would be the responsibility of the charging operator that fault in the EV
charging infrastructure equipment or system does not affect the grid
adversely.
• Discom (distribution licensee) should carry out adequacy and stability
study of the network before permitting connection with its electricity
system.
• Discom to continuously measure and meter the harmonics with power
quality meters complying with the provisions of IEC 61000-4-30 Class A.
• Charging operator needs to install power quality meters and share the
recorded data with the Discom
• Discom should periodically measure the voltage sag, swell, flicker,
disruptions as per relevant IEC standard
In order to safeguard the Charging Infrastructure from electrical accidents, CEA amended the “Measures
relating to Safety and Electric Supply) (Amendment) Regulations” in June 2019. It laid down several safety
provisions for EV charging infrastructure connected with the grid. Some of the key provisions under the
regulation are summarized in below table:
Table 31 Safety Provisions for Electric Vehicle Charging Stations as per Safety and Electric Supply Regulations, 2019
Sr. No. Particulars Key provisions
1 General safety
requirements
• All electric vehicle charging stations are required to provide protection against
the overload of input supply and output supply fittings
• All electric vehicle charging points should have socket-outlet of supply at least
800 millimeter above the finished ground level
• Suitable lightning protection system needs to be provided as per Indian
Standards Code IS/ IEC 62305
Technical Standards for Connectivity of the Distributed Generation Resources Amendment Regulations, 2019
Measures relating to Safety and Electric Supply Regulations, 2019
01
02 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Sr. No. Particulars Key provisions
2 Earth protection
system
• All residual current devices used for the protection of supplies to electric
vehicle needs to be permanently marked to identify their function and the
location of the charging station or socket outlet they protect.
• Each electric vehicle charging points needs to be supplied individually by a
dedicated final sub-circuit protected by an overcurrent protective device
complying with IEC 60947-2, IEC 60947-6-2 or the IEC 60269 series and the
overcurrent protective device should be part of a switchboard.
3 Fire hazard
prevention
• Enclosure of charging stations should be made of fire retardant material with
self-extinguishing property and free from Halogen
• Power supply cables used in charging station or charging points should
conform to IEC 62893-1 and its relevant parts
4 Charging station
testing
• All apparatus of charging stations should have the insulation resistance value
as stipulated in the relevant IEC 61851-1
5 Inspection and
assessment
• The owner of the charging station needs to establish and implement a safety
assessment programme for regular periodic assessment of the electrical safety
of charging station. Electrical inspectors and/or Chartered Electrical Safety
Engineers are entrusted with the responsibility of testing and inspection of
charging infrastructure
6 Record
maintenance
• The owner of the charging station needs to keep records of the results of
every inspection, testing and periodic assessment and details of any issues
observed during the assessment and any actions required to be taken in
relation to those issues
7 International
standards
• The safety provisions of all Alternating Current charging stations should be in
accordance with IEC 61851-1, IEC 61851-21 and IEC 61851-22.
• The safety provisions of all Direct Current charging stations should be in
accordance with IEC 61851-1, IEC 61851-21, IEC 61851-23 and IEC 61851-
24.
3.2.1.1.1 Analysis and recommendations
The CEA safety and interconnection regulations were evaluated and compared with similar regulations and
standards prevalent globally. It was identified that there are three key considerations that are taken care of
while drafting safety and interconnection regulation (shown in Figure 143).
Key
considerations for
Safety and
Interconnection
Regulation
Figure 143 Key safety considerations
A literature review of parameters which are considered critical for safety of charging infrastructures was
carried out and have been mapped in the schematic below. The assessment showed that although CEA
standards have adequately covered safety requirements, however the same could be improved further by
(i) specifying the reference standard (IS/IEC/IEEE/Other) for few parameter s specified in the existing
regulation and; (ii) including additional parameters from the view point of enhancing electrical safety.
Grid Safety
Equipment
Safety
Life Safety Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 144 Key parameters for grid, equipment and life safety in EV charging, and mapping with CEA specified
guidelines
Legend:
included in CEA regulations for interconnection and electrical safety; and CEA specified the reference standards
included in CEA regulations for interconnection and electrical safety; and CEA doesn’t specify the reference standards
not included in CEA regulation
legends with diamond shape indicates parameters from CEA’s Connectivity of the Distributed Generation Regulation
Source: 85 Deloitte analysis
The mapping of key parameters is carried out under three categories viz.
• parameters included in CEA regulations and for which CEA has specified the reference standards
• parameters included in CEA regulations but for which CEA has not specified the reference standards
and
• parameters which are not covered in CEA regulation.
Following additional provisions can be included in the safety regulation by CEA.
Table 32 Additional provisions for EV charging station adopted globally
Sr. No. Provision Country Description
1 Provision for Labelling and
signage
USA, Abu Dhabi, Hong
Kong, Netherlands
• Signage posted in EV station helps drivers to
understand appropriate use of charging
infrastructure
2 Provision for site lighting China, USA • The charging station should have adequate
lighting facility especially during night time.
Adequate lighting avoids instances of accident.
3 Requirement of monitoring
system (Power supply and
safety protection)
China • Monitoring of power supply will include switch
status, protection signal, voltage, current,
active power, reactive power, power factor etc.
Supply from
grid
Vehicle
charging
Fault Protection
Harmonic current & measurement
DC injection
Voltage Sag, Voltage Swell,
Disruptions etc.
Overload
Installation height
Maximum Cable
Length
Periodical
Maintenance
Portable socket-
outlets
Cable
Lightning
Protective device
Disconnection of EV
Locking of the
coupler
Overvoltage at
the battery
Vehicle connection
voltage
Firefighting system
Insulation resistance
Record
maintenance
Ingress
protection
Earthing
Earth Continuity
Monitoring system
Detection of the
electrical continuity
Enclosure
Residual Current Devices
(RCDs)
Alarm & control
system
Overcurrent
protection
Voltage independent
(RCD)
Voltage flicker
Network
study
Electrical Surge
Current protection
Power
supply and
safety
monitoring
Lighting
Labelling and
signage
Protection against
electric shock
GridEV Charging stationEV/ Individual
Communication
protocols (OCPP,
OPENDAR, OCPI etc.) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Sr. No. Provision Country Description
and safety protection such as alarm, entrance,
exit control etc.
4 Provision for protection
against electric shock
China, Abu Dhabi • Charging stations to have anti-electric shock
protection in order to ensure risk to life during
any hazard
Source: 86 Deloitte analysis
Along with the provisions, there are several international standards on EV charging station that CEA could
adopt to strengthen the safety and interconnection regulations and make it future ready. Some of these key
standards are listed in below table:
Table 33 Key international standards on EV charging safety and grid interconnection
Sr. No. Standard Description
1. IEC 61980 • The standard provides a standard for Wireless Power Transfer (WPT) system
and is applicable for a supply voltage up to 1000 V AC and 1500 V DC
2. IEC62196 • The standard provides a standard for plugs, socket outlets, vehicle connectors,
and vehicle inlets that are used for conductive charging of EVs
3. IEEE1547 • Standards for interconnecting distributed resources with electric power systems.
The standard covers requirements relevant to the performance, operation,
testing, safety and maintenance for interconnection of DER with grid. It is
applicable for DERs with a collective capacity of 10MVA or less.
4. GB/T 36278-
2018
• Technical code for electric vehicle charging/battery swap infrastructure
interconnecting to distribution network
5. SAEJ2293 • The standard establishes the requirement of on and off-board charging
equipment. It has two sections: J2293-1 discusses the power requirements and
system architecture for three operating conditions (conductive AC, conductive
DC and inductive charging), and J2293-2 discusses the communication
requirement and network architecture for EV charging
6. SAEJ1772 • The standard discusses all the equipment ratings for EV charging including
circuit breaker current rating, charging voltage rating and so on
7. SAEJ1773 • This standard specifies the minimum requirements of inductively coupled
charging scheme for EVs. It also establishes explicitly the requirement for
manually connected inductive charging systems and elaborates the
requirements of software interface for inductive charging
8. SAEJ2847 and
SAEJ2836
• Both the standards along with SAEJ1772 specify the communication
requirements between an EV and the charging infrastructure. SAEJ2847
specifies the communication requirements and SAEJ2836 defines the use cases
and provides the testing infrastructure.
9. SAEJ2931 • This standard establishes the requirements for digital communication between
EVs, EVSE, utility, energy service interface, advanced metering infrastructure,
and home area network Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Sr. No. Standard Description
10. NFPA3 • Standard for Commissioning of Fire Protection and Life Safety Systems (National
Fire Protection Association (NFPA))
11. NFPA 551 • Guide for the Evaluation of Fire Risk Assessments (National Fire Protection
Association (NFPA))
12. IS 1646:1997 • Code for practice for fire safety of Building (general) Electrical installation
13. IS 2189 • Selection, installation and maintenance of automatic fire detection and alarm
system
14. IEC 61439-
7:2018
• Low-voltage switchgear and control gear assemblies - Part 7: Assemblies for
specific applications such as marinas, camping sites, market squares, electric
vehicle charging stations
15. IEC 61140:2016 • Protection against electric shock - Common aspects for installation and
equipment
16. IEC 60364-7-
722:2018
• Low-voltage electrical installations - Part 7-722. Requirements for special
installations or locations - Supplies for electric vehicles
Source: 87 Deloitte analysis
Along with the above mentioned interconnection and safety standards, CEA may also provide direction on
communication protocol followed between the charging station/ network service provider and the utility.
Some of such protocols are mentioned below:
Table 34 Standards on communication between Utility and EV charging station
Sr. No. Standard Description
1 OSCP 1.0,
OCPP 1.5,
OCPP 1.6,
OCPP 2.0
• The Open Charge Point Protocol (OCPP) and the Open Smart Charging Protocol
(OSCP) were developed by the members of the Open Charge Alliance and are
an open protocol for communications between charging points and the EV
charging network administrator. These protocols provide charging station
owners the option of changing EV charging network administrators without
stranding equipment assets. The OSCP acts between the charging station and
the energy management system, can provide 24 -hour prediction for local
available capacity, and fits charging profiles to grid capacity. OCPP 1.6 includes
smart charging support for load balancing. The most recent version, OCPP 2.0,
includes support for ISO/IEC 15118 (among other things). Although not yet
formalized as a standard and managed by a recognized SDO, there is significant
adoption of the OCPP protocol and efforts are underway to develop it into a full
standard within the IEC.
2 OpenADR 2.0 • The Open Automated Demand Response (OpenADR 2.0b is the most updated
version) standard is currently managed by the OpenADR Alliance and provides
an open and standardized way for Virtual Top Nodes (e.g., electricity providers
and system operators) to communicate with various Virtual End Nodes (e.g.,
aggregators, EV charging network operators, etc.) using a common language
over any existing IP-based communications network. Originally developed as a
peak load management tool, it has since expanded to include other DERs.
Messaging protocols such as OpenADR can also be used in combination with
other protocols, such as those used to communicate between a charging station
and a network operator (e.g., OCPP76, IEEE 2030.5, etc.). Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Source: 88 Deloitte analysis
3.2.2 Clean fuel
India took its first big step towards climate change in the year 2008 when it released its National Action Plan
on Climate Change (NAPCC) . The plan outlined existing and future policies and programs aimed at
addressing climate change and adapting to the same. The action plan identified several measures that would
support the development objectives along with ensuring that climate change risks are mitigated. The action
plan identified eight core “national missions” running through 2017 which represents a multi-pronged, long-
term and integrated approach for achieving key goals in the context of climate change.
Figure 145 Eight missions identified under National Action Plan on Climate Change (NAPCC)
Source: 89 India: National action plan on climate change (NAPCC) (access here)
Thereafter, in the year 2015, ahead of COP 21, India submitted its Intended Nationally Determined
Contribution (INDC) to United Nations Framework Convention on Climate Change (UNFCCC). Limiting the
global warming levels was at the center stage of India’s INDC commitments with an increasing focus on
containing emission levels, increasing renewable power generation, and undertaking afforestation measures.
Figure 146 India's key Intended Nationally Determined Contribution (INDC) targets for the period 2021 to 2030
Under the core missions identified by NAPCC and to achieve the INDC target, India took several major
initiatives in order to curb its overall emission level and promote adoption of clean technologies. Some of
the major initiative towards clean fuel promotion are provided below:
NAPCC
Missions
Eight mission to help India
tackle the climate change and
leapfrog to a low carbon
economy
National Mission for Enhanced
Energy Efficiency
National Mission on Sustainable
Habitat
National Water Mission
National Mission for Sustainable
Agriculture
National Mission for Sustaining
the Himalayan Ecosystem
National Solar Mission
Green India Mission
National Mission on Strategic
Knowledge for Climate Change
Promote the development and use
of solar energy for power
generation
Reduce energy consumption through
demand-side management programs
Promoting energy efficiency as a core component of
urban planning by Energy Conservation Building
Code, fuel economy standards, and using pricing
measures
20% improvement in water use
efficiency through pricing and other
measures
Prevent melting of the Himalayan glaciers and to
protect biodiversity in the Himalayan region
Afforestation of 6 million hectares of degraded
forest lands and expanding forest cover from 23 to
33% of India's territory
Development of climate-resilient crops, expansion
of weather insurance mechanisms, and agricultural
practices
Understanding of climate science, impacts, and
challenges etc.
Reduce the emission intensity
of its GDP by 33-35%by
2030from 2005 level
Achieve 40%cumulative
power installed capacity from
non-fossil based energy
sourcesby 2030
Create additional carbon sink
of 2.5 to 3 billion tonnesof
CO
2equivalent through
additional forest and tree
cover by 2030 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Table 35 Measures adopted by India to curb emission level
Promotion of renewable
energy generation
• In 2015, India set an ambitious target to install 175
GW of renewable energy by year 2022. The target
was in line with its COP21 target to achieve 40%
power generation from non-fossil fuel based sources
by 2030. Further to 175 GW target by 2022, India
announced its intention to reach a target of 450 GW
of renewables by 2030 at the Secretary General’s
summit in New York
45
.
Stringent emission norms
for thermal power plants
and shutting of inefficient
power plants
• In Union Budget 2020, India proposed to shut down
inefficient thermal power plants that have exceeded
their useful life
46
• On December 2015, Ministry of Environment, Forest
and Climate Change brought out new norms for
coal-based power stations to cut down emissions of
particulate matter (PM10), sulphur dioxide (SO2)
and oxides of nitrogen (NOx) to improve the air
quality around power plants.
47
• The Central Pollution Control Board (CPCB) had
directed inefficient thermal power plants to install
flue-gas desulfurisation (FGD) in order to reduce
SO2 emission, failing which, they would be shut
down.
48
Replacing polluting means
of cooking with clean LPG
(Pradhan Mantri Ujjwala
Yojana (PMUY))
• India launched Pradhan Mantri Ujjwala Yojana
(PMUY) on 01 May 2016 with the aim to safeguard
the health of women and children. The primary goal
was to replace carbon emitting cooking methods
such as firewood, coal, dung – cakes etc. with
cleaner LPG. Under the scheme, deposit-free LPG
connection is provided to the woman member of a
Below Poverty Line (BPL) family.
49
Improving the fuel quality
in transportation
• India announced migration from Bharat Stage IV
norms to more stringent Bharat Stage VI norms by
skipping Bharat Stage V norms. While European
countries experienced this transition in almost 10
years, India envisioned it to accomplish in three
years.
• India is also expanding its bio-fuel mixing program
to reduce the share of crude oil used in India. The
country targets 20% blend of bioethanol and 5% of
biodiesel into diesel and petrol mix by 2030
Decarbonising the
transport sector
• In January 2014, India set CO2 emission targets for
Light Duty Vehicles (LDVs) at the equivalent of 130
gm of CO2 per kilometre (gCO2/km) in 2017 and
113 gCO2/km in 2022
• ln August 2017, India published fuel efficiency
standards for commercial heavy-duty vehicles and
45
Report of the Secretary-General on the 2019 Climate Action Summit (access here)
46
India Union Budget 2020-2021 (access here)
47
CEA -Brief review of the new MOEF&CC Environmental Rule (access here)
48
CPCB threatens to shut down 14 coal-fired power plants which failed to limit emissions (access here)
49
About PMUY (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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became one of the first countries in the world to do
so.
Promoting adoption of
electric mobility
• India launched FAME India Scheme (Faster Adoption
and Manufacturing of (Hybrid and) Electric Vehicles
in India) in 2015 to promote demand for electric
vehicles in the country. It subsequently launched
FAME II scheme in 2019 which aimed at continuing
the incentives offered to electric vehicles.
Curbing CO2 emission
through energy efficiency
• The Perform, Achieve and Trade (PAT) scheme was
one of the four initiatives launched under National
Mission for Enhanced Energy Efficiency (NMEEE).
The scheme focused on improving the efficiency of
energy intensive sectors. Till date, the PAT scheme
has helped in avoiding more 62 million tonnes of
CO2
50
.
Reducing emission in
agriculture
• Under National Mission for Sustainable Agriculture
(NMSA), India took several initiatives including
promotion of lower methane emission rice
production, crop diversification, chemical-free
farming and soil health pilot projects.
• In 2005, government made neem coating
mandatory for urea in order reduce nitrous oxide
emissions.
51
Odd-even transportation
policy
• The Government of NCT of Delhi implemented odd -
even scheme with the objective of reducing air
pollution in Delhi. The policy was first introduced for
five days in November 2015.
• Under the policy, odd numbered vehicles were
allowed to move on odd numbered days, while even
numbered vehicles would move on eve n numbered
days.
3.2.2.1 Emission standards in India
India’s journey of adopting emission standards started in the year 1991
52
when India notified the first stage
of mass emission norms for petrol vehicles followed by mass emission norms for diesel vehicles in 1992.
However, it was only in 2000 when India notified its first emission standard i.e. BS I, in line with European
standards. The BS I (India 2000) norm was implemented pan India in year 2000. During this p eriod, BS II
norm was implemented in the National Ca pital Region (NCR). In 2005, the BS II was finally adopted
nationwide, and BS III norm was introduced in thirteen major cities of the country. Similarly BS IV,
implemented in 2010, was initially rolled out in select cities until 2017, post which it was adopted nationwide.
The latest BS standard prevalent nationwide is BS VI which has been made effective w.e.f. April 2020. The
overall timeline for adoption of BS norms in India is provided in Figure 147:
50
PAT (access here)
51
Neem Coated Urea(access here)
52
SIAM - Emission norms (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 147 Adoption of emission norms by India - Timeline
Since the beginning of
Bharat Stage (BS),
India always
implemented BS in
major cities first before
implementing it
nationwide. BS VI
norm, however,
implemented
nationwide directly.
Source: 90 ARAI; BS: Bharat Stage, OBD: On-Board Diagnostic, N: Nationwide, C: Major Cities
Note: From April 2023, phase II of BS VI standards is proposed
The BS VI norms are the sixth stage for vehicular emissions in India and are equivalent to Euro VI standard
with slightly relaxed limits.
Table 36 Similarity in fuel specification for gaoline and diesel in BS VI and Euro 6
Sr.
No.
Fuel Parameter
(Gasoline)
BS VI Euro 6 Fuel Parameter
(Diesel)
BS VI Euro 6
1 Sulfur, ppm, max. 10 10 Sulfur, ppm, max. 10 10
2 Research Octane (RON),
min.
91/95 95 Cetane Number (CN),
min
51 51
3 Olefins, vol%, max. 21/18 18 PAH, mass %, max 11 8
Source: 91 Technical Background on India BS VI Fuel Specifications (access here); PAH: Polycylic Aromatic Hydrocarbon
Although BS VI is adopted from EURO 6, it is still almost five years delayed, as the EURO 6 norm was
enforced in year 2015. Figure 148 showcases the adoption timeline of fuel emission norms in India, EU and
China.
20172010200520002020 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 148 Timeline adoption of emission standards by India, EU and China
Source: 92 SIAM, ARAI, ACEA, DieselNet; For EURO registration date is considered
It can be observed from the above figure that EU was the first adopter of the latest EURO 6 norms, which
was implemented in year 2015. India, by skipping BS V and implementing BS VI from 2020 is now at part
with the EURO 6 norms. China on the other hand has planned the implementation of its CHINA 6 norm
(equivalent to EURO 6) from year 2021 onwards.
From the above timeline, it can be observed that India migrated to BS VI directly from BS IV in only three
years, whereas, EU and China adopted stage 5 norms and took almost ten years in this migration.
Although India had to skip BS V and implement BS VI in very short timeline, this leapfrog from BS IV to BS
VI was vital for India due to following reasons:
✓ First, it aligned Indian emission standards with Euro 6/VI regulations applicable in the European
Union; and,
✓ Second, the fuel emission had direct impact on health of general public; delaying in adoption of BS
VI would put lives of many citizens at risk. For a diesel engine, Particulate matter (PM) limit in BS
VI is 82 to 93 per cent lower than the BS IV level
53
.
In the next section, we will analyse the emission norms under BS VI its comparison with BS IV.
3.2.2.1.1 Emission limits in BS VI
The main pollutants emitted from conventional vehicles are: PM (Particulate Matter), CO (Carbon Monoxide),
HC (Hydrocarbon), NOx (Nitrogen Oxides), and HC along with NOx. In the figures provided below, we would
illustrate as to how the implementation of BS VI has effectively led to tightening of emission standards.
The initial comparison was conducted for 2W and 3W vehicles. These vehicle s are further categorized into
spark ignition and compression ignition.
53
Bharat Stage VI: India leapfrogs today and it is no Fool’s day (access here)
19911992199620002001200520062007 201020112015 2017 20202021
INDIA
BS Major Cities
BS NationwideBS IBS IIBS IIIBS IV BS VI
BS IIBS IIIBS IV
EURO I EURO II EURO III EURO IV EURO VEURO VI
EU
CHINA 1 CHINA 2CHINA 4CHINA 5 CHINA 6
CHINA
NATIONWIDE
CHINA 3
Mass emission norm
Petrol
Diesel Revision
Stage IV to VI –3 years
Stage IV to VI –~10 years
Stage IV to VI –~10 years Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 149 Comparision in emission norms for 2W and 3W under BS IV and BS VI
Spark ignition Compression ignition
Two
wheeler
(Class 1
and
Subclass
2-1)
Three-
wheeler
Source: 93 Indian Emission Regulation Booklet – ARAI (access here)
Note: Class 1- 50cc<D<150cc and Vmax≤50km/h, or D<150cc and 50<Vmax<100km/h Subclass 2-1-D<150cc and
/100≤Vmax<115km/h, or D≥150cc and Vx<115 km/h
BS VI has tightened the acceptable limit for Particulate Matter,
Carbon Monoxide, Nitrogen Oxides (for 2W) and Hydrocarbon-
Nitrogen Oxide
For assessing the changes in emission limits for a light-duty vehicle with gross vehicle weight (GVW) ≤ 3,500
kg, it is further categorized into vehicle categories of M and N where, category M are motor vehicles having
at least four wheels and are meant for the passenger transport, whereas category N are the Power-driven
vehicles having at least four wheels and are meant for goods carriage.
0
1.403
0
0.39
0.79
0.0045
1
0.1
0.06
0
0
0.2
0.4
0.6
0.8
1
1.2
1.4
1.6
PM CO HC NOx HC+NOx
g/km
BS IVBS VI 1.403
1.97
0
0.39
0.79
0.0045
0.5
0.1 0.09
0
0
0.5
1
1.5
2
2.5
PM CO HC NOx HC+NOx
g/km
BS IVBS VI
0
0.94
0 0
0.94
0
0.44
0.35
0.08
0
-0.1
0.1
0.3
0.5
0.7
0.9
1.1
1.3
PM CO HC NOx HC+NOx
g/km
BS IVBS VI 0.0425
0.38
0 0
0.38
0.025
0.22
0.1 0.1
0
-0.1
0.1
0.3
0.5
0.7
0.9
1.1
1.3
PM CO HC NOx HC+NOx
g/km
BS IVBS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
151
Figure 150 Comparision in emission norms for light duty vehicles under BS IV and BS VI
Positive ignition
(Gasoline equivalent in BS IV norms)
Compression ignition
(Diesel equivalent in BS IV norms)
Category
M and N1
Class I
Category
N1 Class
II
Category
N1 Class
III
Source: 94 Indian Emission Regulation Booklet – ARAI (access here)
Note: N1- Vehicles for the carriage of goods and having a maximum mass not exceeding 3.5 tonnes ; Class I- RW ≤ 1305 kg; Class II-
1305 kg < RW ≤ 1760 kg ; Class III- 1760 kg < RW
There aren’t considerable changes in the emission limit for light duty
vehicles as compared to 2W and 3W vehicles in BS VI
For vehicles with Gross Vehicle Weight (GVW) > 3,500 kg which includes commercial trucks, buses, and on-
road vocational vehicles such as refuse haulers and cement mixers, comparison is given in below figure
NA
1
0.1 0.08
0.0045
1
0.1 0.06
0
0.2
0.4
0.6
0.8
1
1.2
PM CO HC NOx
g/km
BS IVBS VI 0.025
0.5
0.25
0.3
0.0045
0.5
0.08
0.17
0
0.1
0.2
0.3
0.4
0.5
0.6
PM CO NOx HC+NOx
g/km
BS IVBS VI
NA
1.81
0.13 0.1
0.0045
1.81
0.13
0.075
0
0.5
1
1.5
2
2.5
PM CO HC NOx
g/km
BS IVBS VI 0.04
0.63
0.33
0.39
0.0045
0.63
0.105
0.195
-0.1
0.1
0.3
0.5
0.7
0.9
1.1
1.3
PM CO NOx HC+NOx
g/km
BS IVBS VI
NA
2.27
0.16
0.11
0.0045
2.27
0.16
0.082
0
0.5
1
1.5
2
2.5
PM CO HC NOx
g/km
BS IVBS VI 0.06
0.74
0.39
0.46
0.0045
0.74
0.125
0.215
-0.1
0.1
0.3
0.5
0.7
0.9
1.1
1.3
PM CO NOx HC+NOx
g/km
BS IVBS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
152
Figure 151 Comparision in emission norms for heavy duty vehicles under BS IV and BS VI
Heavy
duty
vehicle
There has been significant
reduction in Nitrogen Oxide
emission limit in BS VI as
compared with BS IV for
heavy duty vehicles
Source: 95 Indian Emission Regulation Booklet – ARAI (access here)
3.2.2.2 Fuel quality standard
The BS VI also regulates the quality of fuel used for transportation i.e. Gasoline (Petrol) and Diesel:
Gasoline
For gasoline, the fuel quality is primarily identified by below four contents:
Benzene Content
Benzene is highly dangerous for human health. It is a substance capable of causing cancer. In
early 2000s, acceptable benzene content was 5% volume max. This limit has now been
reduced to 1% volume max under BS VI .
Sulphur Content
Sulphur is a form of impurity present in gasoline. The BS VI standard has limited sulphur
content to 10 ppm in the gasoline fuel.
Octane Number
The Octane number of gasoline fuel provides a measure of the fuel’s ability to resist the process
of auto-ignition, which can mainly cause engine damage.
Olefin Content
High olefin content in the fuel helps to improve the combustion efficiency, that leads to
reduction in the hydrocarbon emissions (HC) but increase the nitrogen oxide emissions (NOx).
0.02
1.5
0.46
3.5
0.01
1.5
0.13
0.4
0
0.5
1
1.5
2
2.5
3
3.5
PM CO HC NOx
g/km
BS IVBS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
153
Figure 152 Trend in permissible limit for gasoline contents in different BS standards
Source: 96 Centre for High Technology (CHT) (MoP&NG)
There is significant reduction in acceptable sulphur content in
Gasoline under BS VI
Diesel
For diesel the quality is primarily identified by below three contents:
Sulphur Content
Sulphur is a form of impurity present in gasoline. The BS VI standard has limited sulphur
content to 10 ppm in the gasoline fuel.
Cetane Number
The Cetane number is a measure of compression ignition quality of diesel fuel and influences
cold start-ability, exhaust emissions and combustion noise.
Polycyclic Aromatic
Hydrocarbon (PAH)
Content
Polycyclic aromatic hydrocarbons (PAHs) are a group of more than 100 chemicals that are also
called polynuclear aromatic hydrocarbons. Exposure to PAH can lead to irritation of the eyes
and breathing passages and also can be a cause for cancer.
5%
3%
1% 1% 1%
0%
1%
2%
3%
4%
5%
6%
2000 2005 2010 2017 2020
% vol. Benzene
Benzene in Gasoline
BS IBS IIBS IIIBS IV BS VI
1000
500
150
50
10
0
200
400
600
800
1000
1200
2000 2005 2010 2017 2020
ppm
Sulphur in Gasoline
BS IBS IIBS IIIBS IV BS VI
88 88
91 91 91
85
86
87
88
89
90
91
92
93
2000 2005 2010 2017 2020
Research Octane Number (RON)
RON of Regular Gasoline
BS IBS IIBS IIIBS IV BS VI
No limit
21 21 21 21
-7
3
13
23
33
43
53
63
73
83
93
2000 2005 2010 2017 2020
% vol
Olefin in Regular Gasoline
BS IBS IIBS IIIBS IV BS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
154
Figure 153 Trend in permissible limit for diesel contents in different BS standards
Source: 97 Centre for High Technology (CHT) (MoP&NG)
Similar to gasoline, BS VI reduced the limit of sulphur content in
diesel. Sulphur content quantity is now at the same level for both
gasoline and diesel.
3.2.2.2.1 Technology upgrade in BS VI
The BS VI standard is applicable for vehicles such as two-wheelers, three-wheelers; Light-duty vehicles
(category M and N vehicles with gross vehicle weight (GVW) ≤ 3,500 kg)
54
and Heavy-duty vehicles
(category M and N vehicles with gross vehicle weight (GVW) > 3,500 kg). It is expected that adequate
technological upgrades will be required in such vehicles to ensure that the vehicle emissions remain within
the limits as specified in BS VI.
It is expected that the following upgrades would have to be carried out to the engine of an ICE vehicle:-
54
Category M: A Motor vehicle with at least four wheels used for carrying passengers; Category N: A motor vehicle with at least four
wheels used for carrying goods. These vehicles can carry persons in addition to the goods. Please Refer Annexure 6.3 for details on
vehicle categories
2500
500
350
50 10
0
500
1000
1500
2000
2500
3000
2000 2005 2010 2017 2020
ppm
Sulphur in Diesel
BS IBS IIBS IIIBS IV BS VI
48 48
51 51 51
45
46
47
48
49
50
51
52
53
2000 2005 2010 2017 2020
Cetane No.
Cetane No. of Diesel
BS IBS IIBS IIIBS IV BS VI
11% 11% 11%
8%
0
0.02
0.04
0.06
0.08
0.1
0.12
0.14
0.16
2000 2005 2010 2017 2020
Cetane No.
PAH in Diesel
BS IBS IIBS IIIBS IV BS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
155
Table 37 Engine technological upgrades from BS IV to BS VI
Petrol Engine
Diesel Engine
Port and exhaust system redesign
Re-design of ports and improvement in the exhaust
system to achieve more effective scavenging and reduce
mixture short-circuiting
Additional devices to include in the engine
In BS IV, a catalytic convertor was part of the engine.
However, with migration to BS VI, two additional devices
i.e. Diesel Particulate Filter (DPF) and Selective Catalytic
Reduction (SCR) are required to be fit in series (in case
of four wheeler)
Redesigning combustion chamber
Redesigning of combustion chamber and sparkplug re-
location in order to reduce knocking with higher
compression ratios
Improved Piston-design
Improving the piston-design to minimize crevice
volumes and friction losses. Also, adopting
microprocessor based electronic control, and enhancing
the don-board diagnostic system
Use of controlled auto ignition
Charge stratification having controlled auto ignition
along with variable ignition timing. This will help in
improved combustion of fuel.
Source: 98 Technical Challenges in Shifting from BS IV to BS-VI Automotive Emissions Norms by 2020 in India (access here)
In case of two and three-wheeler vehicles under the BS VI norms, conventional carburettor was to be
replaced with fuel injection, under BS VI. Now, Air Assisted Direct Injection (AADI), and High Pressure Direct
Injection (HPDI) are used in spark ignition (SI) vehicles for fuel injection.
3.2.2.2.2 Challenges and opportunity from BS IV to BS VI transition
The transition from BS IV to BS VI required introduction of advanced technologies to limit pollutants emitted
by the vehicles. This transition required changes in the existing engine system and incorporation of diesel
particulate filter (DPF), selective catalytic reduction (SCR) and exhaust gas re-circulation (EGR) technologies.
BS IV required the use of either DPF or SCR. However, BS VI now requires both the technologies to be
present. To develop DPF, the equipment needs 5,000 hours on the test bed and at least 700 tests on the
chassis dynamometer
55
, whereas SCR requires 4,000 hours on the test bed. With such short timeline for
migration (3 years), testing of DPF and SCR itself required close to six months.
Some of the major challenges and opportunities arising from BS IV to BS VI transition are given in below
figure:
55
Chassis dynamometer is a device for measurement and testing to simulate the road on a roller in a controlled environment Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
156
Figure 154 BS IV to BS VI transition – Challenges and opportunities
3.2.2.3 Average fuel consumption standard
In April 2015, MoP issued the fuel consumption standards for cars. The standard was applicable for petrol,
diesel, LPG or CNG based passenger vehicles with gross vehicle weight of up to 3,500 kilograms. The formula
for calculation of average fuel consumption standard is provided below:
??????����??????� ??????��� ??????�������??????�� ??????�������=� ×(�−�)+�
Where: a is the Constant Multiplier
b = Fixed Constant;
c = Fixed Constant;
W = Weighted average of unladen mass in kilogram (kg) of all new said
motor vehicle, manufactured or imported for sale by the manufacture
Values of constants a, b and c along with calculation
formula is provided in below table:
Table 38 Formula for calculation of Average Fuel Consumption
Standard for Manufacturer
Parameter FY18-FY22 FY23 Onwards
a 0.0024 0.002
b 1037 1145
c 5.4922 4.7694
Average Fuel
Consumption
Standard for
Manufacturer
= 0.0024 x (W –
1037) + 5.4922
= 0.002 x (W –
1145) + 4.7694
As shown in Table 38, the average weight of all cars is expected to be 1037 kg for FY18-FY22 with Average
Fuel Consumption Standard of less than 5.49 km/100 liters. From FY23 onward, the standard assumes
an average car weight of 1145 kg, and requires the average fuel consumption to be less than 4.77
l/100km.
Average Fuel Consumption Standard is the
fuel consumption in petrol equivalent liter per
100 kilometer by the manufacturer
Figure 155 Conversion factor of different fuel types
to petrol equivalent
CHALLENGESOPPORTUNITIES
•Developing solution for Indian market focusing on
economy of scale for low-cost emission control
systems and technologies
•Partnering with technology leaders and building
capabilities through joint ventures, domestic OMCs can
move up the value chain
•Lack of competent/ skilled manpower on the new
technology
•Packing DPF, SCR & EGR efficiently in the limited
space without compromising on fuel efficiency
•To integrate and optimize engine/ engine
technology as per Indian driving cycle and calibrate/
validate in given short time frame
•To design cost effective and robust system for
Indian conditions in three years
•Lack of BS VI fuel to test the engine system
Driving cycle -speed of a vehicle versus time
1
2
3
4
5 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
157
Table 39 Average fuel consumption standard for passenger cars in India
Standard 2017-18 to 2021-22 2022-23 Onwards
Expected weight (Kg) 1037 kg 1145 kg
Average fuel consumption (l/100
km)
5.49 l/100km 4.77 l/100km
As per GoI estimates, there is a scope of reduction in fuel consumption to the extent of 22.97 million tons
by 2025 through this standard
56
.
3.2.2.4 Fuel Efficiency
To ensure efficient consumption of fuel, India has notified fuel efficiency standards for passenger vehicles,
heavy duty vehicles (HDV) and light and commercial vehicles (LCV).
Figure 156 Fuel efficiency for vehicles in India
In the below sections, fuel efficiency details on various vehicle categories is elaborated:
3.2.2.4.1 CAFE (Corporate Average Fuel Efficiency) regulations for passenger vehicles
Implemented first in 1970s by USA
57
, the purpose of CAFÉ regulations was to enhance the fuel efficiency of
passenger vehicles in the country. The CAFE regulations require each car manufacturer to meet a standard
for the sales-weighted fuel economy (mpg)
58
for the entire fleet of vehicles sold in each model year.
The CAFE standard prescribes the minimum average mileage per
gallon (mpg) a vehicle class must meet.
In USA, CAFE standards are regulated by US Department of Transportation’s (DOT) National Highway Traffic
and Safety Administration (NHTSA). NHTSA sets and enforces the CAFE standards, while the Environmental
Protection Agency (EPA) calculates average fuel economy levels for manufacturers, and also sets related
GHG standards
59
. Some of the salient features of CAFÉ norms are given below:
▪ Reduces the overall fuel consumption of the economy;
▪ Increase the availability of alternate fuel vehicles;
▪ Promotes advancements in innovative technologies;
▪ Reduces in overall GHG emission of the country and improve air quality;
▪ Provides credit to the auto manufacturers for exceeding the standard requirement;
▪ Penalize the manufacturers for not meeting the minimum standard requirement
In India, the CAFÉ norms were proposed by Minis try of Power in collaboration with Bureau of Energy
Efficiency (BEE) which set the fuel consumption targets for every automaker in the country and aims to
56
Corporate Average Fuel Economy Norms for Passenger Cars (access here)
57
The New CAFE Standards: Are They Enough on Their Own? (access here)
58
Fuel economy is the average mileage a vehicle can travel per gallon of fuel (mpg)
59
Corporate Average Fuel Economy (CAFE) Standards (access here)
Fuel Efficiency
Passenger vehiclesHeavy Duty Vehicles
Light & commercial
vehicles Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
158
improve the overall fuel efficiency of automobiles. The timeline for notification of CAFÉ norms for different
vehicle categories is provided below:
Table 40 Timeline for notification of CAFÉ norms for different vehicle category
2015 2017 2019
CAFC
^
Norms
established for
passenger cars
CAFÉ Norms
established for Heavy
Duty Vehicles (HDV)
CAFÉ Norms
established for light
commercial vehicles
Source: 99 CAFC: Corporate Average Fuel Consumption
The CAFÉ norm was established with two-phase targets for FY
2017–2018 and for FY 2022–2023.
In CAFÉ norms, vehicle manufacturer receives a target in gasoline-equivalent liters per 100 kilometers
(L/100 km) based on vehicle curb weight. However, the actual fuel consumption for compliance is measured
as grams of CO2 emissions per kilometer (g/km) during vehicle type approval. The calculation of CO2 savings
along with India’s target is provided in below figure:
Figure 157 Methodology to calculate CO2 savings under CAFE norms and India’s emission target for passenger cars
Source: 100 BEE - Impact of energy efficiency measures FY19
The regulation also provides super credits to manufacturers producing electric vehicles thereby encouraging
the shift towards electric mobility. India targets cars to be become 30% or more fuel-efficient from 2022,
while 10% or more by 2021.
India has set the target for 113 gm/km of CO2 emissions from passenger cars. An overview of the target
of CO2 emissions from passenger cars, as set by select countries, is provided in Figure 158. It can be
observed that India, China and Japan have CO2 emission targets for year 2020/22, whereas, European Union
and United States of America has emission target for year 2021 and 2025 respectively.
Collecting and freezing the sales data for M1 category
vehicles in India
Calculation of annual CO
2 emission performance, comparing
with the target annual CO2 emission performance and
calculation of fuel savings in petrol equivalent and Mtoe
Calculation of CO2 savings
Step 1
Step 2
Step 3
130g/km
113g/km
20172022
-13%
India’s CO
2emission target for passenger cars Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
159
Figure 158 Global emission targets from passenger vehicles by leading countries
Source: 101 ICCT - Global Comparison of Passenger Car and Light-commercial Vehicle Fuel Economy/GHG Emissions Standards ( access
here)
3.2.2.4.2 Fuel Economy Norms for Heavy Duty Ve hicles (Constant Speed Fuel Consum ption
(CSFC) standard)
60
In August 2017, India published the fuel efficiency standards for commercial heavy-duty vehicles (HDVs).
By doing so, India became one of the first countries in the world to publish a fuel efficiency standard for
HDVs.
Standard applicability: This standards are applicable for Heavy duty commercial vehicles of category M3
and N3 with gross vehicle weight exceeding twelve tonnes.
Category M3: A vehicle used for the carriage of passengers, comprising nine or more seats in addition to
the driver’s seat and having a GVW exceeding 5 ton
Category N2: A vehicle used for the carriage of goods and having a GVW exceeding 3.5 ton but not exceeding
12 ton
As per this standard, manufacturers need to demonstrate compliance by testing their vehicles over the
constant speed fuel consumption (CSFC) test procedure. Under this procedure, trucks are tested at constant
speed on a test track at 40 and 60 kmph, whereas, buses are tested at 50 kmph.
The first phase of the standard (Phase 1) came in effect in April 2018, while Phase 2 is scheduled to be
effective from April 2021. Under the standard, the fuel consumption of each vehicle of a given category must
be less than the fuel consumption value derived from the equation provided in the standard.
The standard, however, is applicable for vehicles complying with BS-
IV standards.
60
Fuel Economy Norms for Heavy Duty Vehicles (access here)
CHINA
Fuel consumption reduction
target: 5L/100km
Target year: 2020
USA
Fuel economy target: 56.2
mpg
Target year: 2025
European Union
CO
2reduction target: 95
gCO2/km
Target year: 2021
INDIA
CO
2reduction target: 113
g/km
Target year: 2022
JAPAN
Fuel economy target: 20.3
km/L
Target year: 2020 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
160
The target fuel consumption is calculated from the formula:
�=� �+�
Where: Y: Normalized value (fuel consumption) in litres/100kms
a and b = Fixed Constants;
X: Gross vehicle weight in tonnes
The standard has provided target fuel consumption formula for M3 and N3 categories at constant speed of
40 kmph and 60 kmph. Target fuel consumption for N3 vehicle at 40 Km/h is provided in below tables:
Table 41 Phase I - Category N3- Rigid vehicles at 40 km/h
N3 Rigid vehicles at 40 km/h
Gross vehicle weight range Axle configuration Equation for deriving target fuel consumption (1/100km)
12.0-16.2 4x2 Y=0.362X+10.327
16.2-25.0 6x2 Y=0.603X+6.415
16.2-25.0 6x4 Y=0.723X+4.482
25.0-31.0 8x2 Y=0.527X+8.333
25.0-31.0 8x4 Y=0.928X-0.658
31.0-37.0 10x2 Y=0.960X-5.100
Table 42 Phase II - Category N3– Rigid vehicles at 40 km/h
N3 Rigid vehicles at 40 km/h
Gross vehicle weight range Axle configuration Equation for deriving target fuel consumption (l/100km)
12.0-16.2 4x2 Y=0.329X+9.607
16.2-25.0 6x2 Y=0.523X+6.462
16.2-25.0 6x4 Y=0.673X+4.032
25.0-31.0 8x2 Y=0.430X+8.780
25.0-31.0 8x4 Y=0.732X+2.558
31.0-37.0 10x2 Y=0.963X-7.753
Similarly, equations for each vehicle category at different speed for calculating target fuel consumption is
provided in Annexure 6.3 section.
3.2.2.4.3 Fuel Economy Norms for Light and Commercial Vehicles (Constant Speed Fuel
Consumption (CSFC) standard)
61
In July 2019, India published its fuel efficiency standards for light and commercial vehicles.
Standard applicability: This standard is applicable for Light and Medium commercial vehicles of category
M2, M3 and N2 with gross vehicle weight between three and a half tonnes to twelve tonnes.
Category M2: A vehicle used for carriage of passengers, comprising nine or more seats in addition to the
driver’s seat, and having a maximum Gross Vehicle Weight (GVW) not exceeding 5 ton
Category M3: A vehicle used for the carriage of passengers, comprising nine or more seats in addition to
the driver’s seat and having a GVW exceeding 5 ton
Category N2: A vehicle used for the carriage of goods and having a GVW exceeding 3.5 ton but not exceeding
12 ton
61
Fuel Economy Norms for Light & Commercial Vehicles (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
161
Unlike FE norm for HDVs, fuel economy norm for light and
commercial vehicles are applicable to both, BS-IV and BS-VI
compliant vehicles.
The target fuel consumption is calculated from the formula:
??????��� ??????�������??????��=� +��
Where: Fuel Consumption is the normalized value (fuel consumption) in litres/100kms;
a and b = Fixed Constants;
W: Gross vehicle weight in tonnes
The fuel consumption of each vehicle of a particular category must be less than the fuel consumption value
derived from the equation.
For each category and different vehicle weight and testing speed, values of a and b have been provided.
Below table represents the formula for fuel consumption for different vehicle categories and testing speed.
Table 43 Fuel consumption calculation for N2 category vehicles
Gross Vehicle Weight
Range Testing Speed
(Kilometres per Hour)
Equation for Deriving Target Fuel
Consumption (litre per 100km.)
3.5 T to 7.5 T 50 Fuel Consumption = 1.038*W+3.372
7.5 T to 12.0 T 40 Fuel Consumption = 1.080*W+1.708
7.5 T to 12.0 T 60 Fuel Consumption = 1.038*W+6.008
Table 44 Fuel consumption calculation for M2 and M3 category vehicles
Gross Vehicle Weight
Range Testing Speed
(Kilometres per Hour)
Equation for Deriving Target Fuel
Consumption (litre per 100km.)
3.5 T to 7.5 T 50 Fuel Consumption = 1.293*W+ 2.806
7.5 T to 12.0 T 40 Fuel Consumption = 1.399*W+0.381
7.5 T to 12.0 T 60 Fuel Consumption = 1.768*W+0.509
Other than the fuel efficiency norms, Govt. of India has also planned for star labelling of the vehicles. However,
the same is currently under review and pending formal approval. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
162
4. Review of Services and Business Models
in electric mobility
Multiple business models for uptake of EVs have evolved in past few years and several are also in the process
of evolving to respond to the emerging needs at the EV marketplace. An optimal and sound business model
would play a vital role in ensuring long-term sustainability and growth of EVs in the country.
Framework for assessment of
business models
To assess the electric mobility business model,
a framework is prov ided in Figure 159.
Parameters selected in the framework are
adopted from Osterwalder’s business model
canvas
62
.
A business model describes
how the company
communicates, creates,
delivers, and captures value
out of a value proposition.
Value proposition denotes an overall view of
company’s offerings (products and services)
that are of value to the customer. Value
creation signifies transforming resources into
products and services. Value communication
denotes delivery of the value proposition as a
message to the target groups. Value capture
describes the ability of the value proposition to
transform into revenue stream. Value delivery
defines the means by which enterprises establish interactions with the customer in or der to provide the
value.
The report will assess existing business models in electric mobility space using the above -mentioned
framework.
Key business models promoting uptake of electric mobility
An overview of potential areas for business, within electric mobility value chain is provided in Figure 218.
However, for the purpose of this report, primarily, only those business models have been assessed that can
potentially promote uptake of EVs among end-consumer (B2C businesses).
62
Business model canvas (access here)
Figure 159 Business model framework
Source: 102 Adopted from Osterwalder business m odel canvas and
business ecosystem approaches; N. Abdelkafi, S. Makhotin & T. Posselt,
2013, “Business Model Innovations for Electric Mobility”
Value
communication
Value
creation
Value
delivery
Value
capture
Value
proposition
With whom:
Key partnerships
How:
Distribution
channels
Whom:
Customer
segments and
relationships
How:
Key resources
and processes
What:
Story for
communicating
value
How:
Channels for
communicating
value
How:
Cost structure
How:
Revenue stream Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
163
Katja Laurisc hkat, Arne
Viertelhausen, and Daniel Jandt,
in their paper “Business Models
for Electric Mobility”, identified
essential business areas where
substantial value can be delivered
to the customer, within the
electric mobility space. These
business areas are considered as
essential for large scale uptake of
EVs Such areas are provided in
Figure 160.
Businesses need to
invest and build
offerings around:
mobility;
infrastructure; and,
energy
The value-wheel consist of three
major areas – Mobility, Infrastructure, and Energy. Mobility segment includes electric vehicle and traction
battery; infrastructure segment includes charging infrastructure and battery swapping stations; and energy
segment includes electricity used for charging vehicles and storing in EV batteries.
Information and Communications Technolog y (ICT) will remain at the core of the value proposition of any
business concept and will act as an enabler for any business model.
In the sections provided below, we will assess global and Indian business models around the identified areas
for each segment of the value-wheel.
4.2.1 Mobility
Mobility is essentially the most significant area where actual uptake of electric vehicles will take place. This
value area focuses on business models that use EVs or batteries to provide a set of service to the customers.
It focuses on how introduction of EVs or battery services will add value to the customers, and eventually
encourage businesses and customers to adopt EVs. In line with this, the mobility segment is divided into
two categories: electric vehicles, and traction battery. Each section will evaluate how business models under
both the categories would creating value for customers.
4.2.1.1 Electric vehicles
Public perception on shared economy (such as goods, mobility, properties etc.) has changed substantially in
past few years. Customers are increasingly preferring shared/ on-demand vehicles that are highly cost
effective as against personal ownership of vehicles. Customers have shown interest towards business models
and services that offers them an alternative for owning a vehicle along with providing all the facilities/ luxury
of vehicle ownership.
New mobility business models is effectively changing the way people
move.
Overview of this shift from traditional business models to new mobility models and services is presented in
Figure 161.
Figure 160 Value-wheel for businesses to promote uptake of electric mobility
among customers
Source: 103 Katja Laurischkat, Arne Viertelhausen, Daniel Jandt, 2016, “Business Models for
Electric Mobility” (access here); Deloitte analysis; ICT: Information and Communications
Technology
PRODUCTS
SERVICES
Electricity
ICT
Charging
infrastructure
Electric Vehicle
Traction
battery
Battery
swapping
Products & services in
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Figure 161 Evolution of models and services in mobility
Source: 104 Marsh & McLennan Advantage Insights; Marsh; Oliver Wyman; Center for Automoti ve Research (CAR); Deloitte analysis
Sections provided below discuss the new mobility business models in detail, along with its footprint in India.
4.2.1.1.1 Micro-mobility
Micro-mobility provides travelling solutions for short distances to one or two passengers at a time, usually
to cover the first or last mile of a journey. Micro-mobility includes vehicles such as bicycles, skateboards,
electric bicycles, electric scooters, Segway
63
etc. However, worldwide, electric scooters have emerged as a
preferred choice among all vehicle types that facilitate micro-mobility. Characteristics of electric scooters
which enable it to be a preferred choice includes its ease of use, acting as a faster alternative to public
transportation, and easier to use than conventional bicycles
64
.
In micro-mobility, bike sharing has evolved as a prominent business model that has been widely adopted
across many countries. Bike sharing provides affordable access to users for short-distance trips, mostly in
urban areas. Some bike sharing services uses docking stations for drop-off and pickup (e-bike can be picked-
up from and returned to any station or kiosk), while others use smartphone apps to provide a dock -less
option (e-bike can be picked up and left to any location).
There are various companies operating in bike sharing model with different ownership structure such as:
Zypp (India), owned and maintained privately; Capital Bikeshare (Washington), owned and maintained
publicly; CitiBike (New York), publicly owned but privately maintained by the company called Motivate.
Some of the emerging micro-mobility companies in India are:
Business model review of few of the above mentioned bike sharing companies is provided below:
a) ZYPP
Started as Mobycy, Zypp was India’s first e-bike / e-scooter sharing platform that does not utilize a docking
station. The company allows users to book an e-bike with upfront fare estimate based on origin and
destination coordinates.
63
A Segway is a two-wheeled, self-balancing personal transporter (more details)
64
Mobility Revolution: Challenges and Potentials (access here)
Car Ownership Mass transit
TrainCar leasing taxi
Micro-mobility Ride HailingCar Sharing
Car
Subscription
TRADITIONAL MODELSNEW MOBILITY MODELS & SERVICES
E-Roaming Digital Payment
service
Ride Sharing/
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Zypp is a dockless platform and it requires customer to park the bike anywhere after use
65
. The company
provides services such as bike rentals to end-users, delivery of grocery by commercial users as well as
delivery of food items, etc. The company currently operates in Gurugram, Delhi and Noida.
Zypp offers e-scooter renting at Rs. 109 per day and offers battery
swapping at Rs. 10
66
• Station less e-bikes; Fully electric fleet; owns battery
swapping station; low speed vehicles (top speed 25
kmph) exempted from license requirement;
customized plans for customer; maintenance support
Key partnerships: • Spencer’s Retail for last mile delivery
• Partnered with Zomato and Swiggy
• DMRC and local authorities for parking of e-scooters
Key resources: • E-bikes
• Battery swapping station
• Technology
Key processes: • Fleet management
• Battery swapping station management
• Mobile application management
Story/ Channel for
communicating value:
• Social media
• Mobile application based booking and payment
Cost structure: • Bike and battery cost
• Bike maintenance cost
• Maintenance of battery swapping station
Revenue stream: • Rental fees from every ride
• Revenue from last mile delivery
• Revenue from battery swapping
Distribution channels: • Customers to locate nearest pickup point of the ride
Customer segments: • Short distance, on-the-go customers
• Food and grocery delivery business
b) Yulu
Yulu is a Bengaluru-based electric bike sharing platform having partnership with Uber. The company has
over 3,000 electric bikes on its platform that operates through clusters. The company has demarcated “Yulu
zones” from where the customers can pick up and drop their vehicles. It has partnered with the government
bodies and other infrastructure units like Bruhat Bengaluru Mahanagara Palike (BBMP), Directorate of Urban
Land Transport (DULT) and Bengaluru Metro, to access parking space for their vehicles. Yulu offers their
electric vehicle under the name “Yulu Miracle”
67
.
65
Mobycy (access here)
66
Zypp eyes Rs 100 cr in next round (access here)
67
India’s electric bike rental start-up Yulu inks strategic partnership with Bajaj Auto, raises $8M (access here)
Value
proposition
Value creation
Value
communication
Value capture
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Yulu Miracle pricing: Rs. 10 to unlock the vehicle; Rs. 10 for every
10 minutes; Rs. 5 as pause charges for every 10 minutes
• Fully electric; affordable; convenient commuting; free
battery swapping; no license required
Key partnerships: • With Bajaj Auto for micro-mobility revolution
• With Uber for eBike trial
Key resources: • E-bikes
• Technology
Key processes: • Management of rental zones
• Bike maintenance
• Online support to customers
Story/ Channel for
communicating value:
• Social media
• Company website
• Yulu mobile app
Cost structure: • Bike and battery cost
• Maintenance of e-bikes
• Maintenance of battery swapping station
Revenue stream: • Per booking revenue
• Revenue from long term rentals
Distribution channels: • Bikes kept unattended at Yulu zone; Customer to locate
and start the ride
Customer segments: • Daily short-distance riders
Micro-mobility offers economical solution to cover the distances that are neither walkable nor long enough
to hire expensive taxi ride. This mode of transportation will thus prove to be highly effective in areas where
public transport is either expensive or distance to be traversed is substantial. Moreover, in a country like
India where traffic density is very high, EV enabled micro-mobility has the potential to become the preferred
choice for last mile connectivity as it has the potential to save substantial commuting time.
To provide the adequate boost for increased uptake of EVs in the micro-mobility space, India needs to
provide special infrastructure such as, dedicated EV lanes, common parking lots to the micro -mobility
vehicles, etc. Existing Smart-city missions could embrace the micro-mobility concept and provide the
requisite infrastructure by earmarking dedicated lanes, EV zones etc.
EVs would be key in growth of micro-mobility, as it provides cheaper
and faster alternative for transportation. However, focus on building
complementing infrastructure is equally important for this business
segment to grow.
4.2.1.1.2 Ride Hailing
Similar to Uber or AirBnb, ride hailing business model revolves around creating a two-sided market that
connects the end user with the service provider over a technology enabled platform. On the one hand, it
Value
proposition
Value creation
Value
communication
Value capture
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facilitates a customer to book a cab at his / her own convenience, and on the other hand, it provides a
source of earning to drivers of private 4Ws. Such business models would also discourage private car
ownership and provide an additional source of income for drivers of private vehicles.
These services rely on smartphone apps to connect willing passengers with drivers who provide rides (for a
fee) in their private vehicles. Transportation Network Companies (TNCs) design and operate these online
platforms. Most TNCs function as digital marketplaces linking self-employed drivers with customers, while
collecting a fee for making the connection. Key examples of the same are Ola, Uber, Lyft, Didi, Get etc.
a) OLA
Ola’s business model revolves around facilitating cab-booking services to the customers through their app.
It integrates city transportation for customers and driver-partners onto the mobile technology platform,
thus, ensuring convenient, transparent, and quick fulfilment of services.
• Affordable pricing scheme; Minimum waiting time; Eco-
friendly mode of transportation; certified drivers
Key partnerships: Financing of e-rickshaws in NCR: Bhartiya Micro Credit
(BMC)
Key resources: • Technology
• Driver partners
• Engaged community
Key processes: • Establishing charging infrastructure
• Fleet management
Story/ Channel for
communicating value:
• Partner channel
• Social media
• Mobile application based booking and payment
Cost structure: • Platform cost
• Sales & Marketing
• Operational cost
• Assets cost
Revenue stream: • Commission based model
• OLA money
• In-cab promotion and advertisement
• Cab leasing
• OLA credit card
• Corporate accounts
• OLA prime play
Distribution channels: • Online booking
Customer segments: • Fixed point to point commute on fixed routes
• Corporates
Value
proposition
Value creation
Value
communication
Value capture
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b) SmartE
SmartE is a 3W—all electric—mobility service provider, which offers services to commuters to meet their
requirement of first & last mile connectivity. Currently, SmartE is providing its commuting services in major
urban cities of India.
• Affordable pricing scheme; Minimum waiting time; Eco-
friendly mode of transportation
Key partnerships: Charging infrastructure: Exicom; Power Grid; NTPC
Battery swapping infrastructure: SUN mobility
Land for parking: Delhi Metro; Rapid Metro Gurgaon
Key resources: • Vehicle (3W) fleet size of 600 in Delhi NCR region
• Pilot of battery swapping model
Key processes: • Fleet management
Story/ Channel for
communicating value:
• Social media
• Mobile application based booking and payment
Cost structure: • Fleet management
• Maintenance of charging infrastructure
• Vehicle parking
Revenue stream: • Rs. 10 for its first pit stop (fixed cost for first 2 km) and
Rs. 5 per km thereafter
• Initially started on a commission based model where it
was charging operating commission from drivers. Now, it
owns and manages vehicles.
• Smart ads: Revenue generation from hyperlocal
advertising on vehicles
Distribution channels: • Online booking; operates on route within range of 5 km
Customer segments: • Fixed point to point commute: Service to and from
metro, bus stations, residential colonies, corporate hubs,
shopping areas
Ride hailing business reduces the cost of owning a vehicle and at the same time ensures convenience to
customers. Inclusion of options for hassle free online payment also increases its adoption by customers.
However, due to the unprecedented COVID -19 outbreak, ride hailing businesses have been severely
impacted, as consumers have been wary of resorting to such services on the backdrop of increased risks of
infection. This has led to disruption in the operations of ride hailing businesses in several cities of India
68
.
During April and May 2020, OLA’s revenue declined by almost 95%
69
. Customers have now shifted to the
traditional method of using own vehicles for commuting.
68
Covid-19 impact: Indian consumers may m ove away from ride-hailing services (access here)
69
How the pandemic has hit Ola, Uber hard in India (access here)
Value
proposition
Value creation
Value
communication
Value capture
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Deloitte study has shown that more than 70% customers wish to
limit their usage of ride-hailing service post COVID outbreak
70
However, it is too early to comment on the future prospects of the ride hailing business in the wake of
COVID. It is expected that with the gradual decrease in infection rate and arrival of immunization /
vaccination, the risk perception of ride hailing services would gradually reduce . This puts additional
consideration for service providers to take into account increased safety precautions in their operations.
71
4.2.1.1.3 Car Sharing
Car sharing follows similar concept as bike sharing, however it is preferred for longer distances. It is a short-
term car rental, hired on either hourly basis or per kilometre basis or hybrid of both. In this type of service,
an electronic systems allow unattended access to the vehicles with fuel and insurance charges bundled into
the rental charges. Car sharing can be round-trip, one-way, free-floating or station-based.
In round trip, user is required return the vehicles to their original pick-up stations after use, whereas, in
one-way system, user can pick-up and park the vehicle at any authorized parking spot. In station-based car
sharing model, user could pick up and return the vehicle at designated rental stations only. Whereas, in
free-floating, user locates the nearest available car using the mobile app, uses it, and then drop-off it at any
location.
Car sharing is enabled through three types of common business models based on the relationship of the
service provider and consumer. These business models include: 1) business to consumer (B2C); 2) business
to business (B2B); and 3) peer-to-peer (P2P).
Figure 162 Car sharing business models based on service provider and consumer relationship
Source: 105 eMaaS – electric Mobility as a Service - eMaaS Consortium – June 2020, Deloitte analysis
Business-to-Consumer (B2C): In a B2C model, the service operator offers individual consumer an access
to a fleet of vehicles through memberships, subscriptions, user fees, or combination of pricing models.
Examples of B2C include Zipcar and Enterprise CarShare (roundtrip); and SHARE NOW (free-floating one-
way).
Business-to-Business (B2B): In a B2B model, the service operators offers access to their vehicles to
employees of a company with which it has entered into a contract for a fixed period of time. The service
operator bills the company through a fee-for-service or usage fees,. Such business models serve the need
of offering convenience to employees in completing work-related trips. Owing to similarity in services
between B2B and B2C models, it is found that the same service operators exist in both B2B and B2C market
70
Deloitte - Global State of the Consumer Tracker - Global Automotive Industry (access here)
71
Deloitte - Last mile delivery after COVID-19: A world of things to solve (access here)
Station basedFree floating
Corporate sharing
(B2B)
Private sharing
(B2C)
Peer-to-Peer sharing
(P2P)
Off-premise
fleet
On-premise
fleet
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segment. However, companies such as Lithium Urban operate only in B2B segmen t by positioning itself as
premier service operator for businesses.
Peer-to-Peer (P2P): The P2P model (sometimes referred to as personal vehicle sharing) is similar to round
trip car sharing. In this model, the vehicle usually consists of private car owners who are willing to rent out
their vehicles when they are not using it. This model offers an additional revenue stream for the vehicle
owners. Drivezy is an example of a car sharing company which offers P2P sharing facility in India.
Some of the major players in car sharing are:
Lithium
Zipcar
Car2go
Enterprise CarShare
a) Lithium Urban Technology
Lithium Urban Technologies owns fleet of Electric Vehicles (EVs) and associated charging infrastructure,
backed by strong technology platform for telemetry, GIS, employee transport management, scheduling,
rostering and analytics based optimisation. The company positioned itself as a premier B2B service operator.
The company operates its fleet through trained and certified drivers.
Eco-friendly mode of transportation; Safe, secure and hassle-free
option for corporate commutation; 24X7 service
Key partnerships: • Collaboration with Mahindra & Mahindra for procurement
of EVs
• Fourth Partner Energy and Lithium Urban Technologies
entered into a partnership to build solar-powered
charging infrastructure
Key resources: • Over 100 charging stations
• Fleet of 500 cabs
Key processes: • Establishing charging infrastructure at corporate office
complexes
• Fleet management
Story/Channel for
communicating value:
• Social media
• Mobile application based booking
Cost structure: • Cost of vehicle
• Fleet management
• Charging infrastructure maintenance
Revenue stream: • Corporates invoiced on monthly basis for the numbers of
cars contracted, irrespective of the miles driven.
Corporates are separately charged for electricity bills of
charging stations
Distribution channels: • Mobile application based booking
Value
proposition
Value creation
Value
communication
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Customer segments: • Fixed point to point commute: B2B with Tesco, Unisys,
Accenture, Adobe Systems, VMware
b) Zipcar
Zipcar focuses on urban areas and college campuses across Europe and North America. The company strives
to offers a wide selection of cars that serve multiple purposes, including moving apartments or hauling office
supplies.
The company has several partners with which it works, to enhance its value proposition. For example, Zipcar
works with local authorities to secure free parking on public streets for its members; it works with city
councils to set up electrification bays for the EV portion of its fleet; it provides its members with discounts
to local businesses that it partners with and it integrates its network with public transport.
Depending on the subscribed package, members pay a monthly subscription fee. In addition, subscriber s
pay for trip fees based on the car usage (time duration for total trips in a month) and overcharge fees, if
any. The company does not require subscriber to pay any upfront security deposits.
Discounts to local business partners; Free street parking; Offers
electric cars; Fuel, city congestion chargers, insurance & 60 miles/
day included in membership; No deposit required
Key partnerships: • Local authorities; city council; local businesses;
academic researchers
Key resources: • Vehicle
• Chip card technology
• Strategic parking on public streets
Key processes: • Maintaining fleet
• Service provision (unlocking cars remotely)
• Platform management
Story/ Channel for
communicating value:
• Social media
• Website
• Smartphone app
Cost structure: • Purchase & maintenance of fleet
• Fuel (as customers don’t pay for the fuel)/ Electricity
charges
Revenue stream: • Monthly subscription fee
• High-risk driver & rule-breaking charges
• Usage fees (minute, hourly & daily rates; per km if over
60 km)
Distribution channels: • Online booking
Customer segm ents: • Services can be availed by anyone having smartphone
and valid licence
• Businesses
• University students
• On-the-go customers (last minute booking)
Value Delivery
Value
proposition
Value creation
Value
communication
Value capture
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c) Car2Go
Launched in Germany in 2009, Car2Go is the world’s first free-floating car sharing service operating across
26 locations in eight countries.
The free-floating business model allows Car2Go members to take one -way trips and park the cars within
specified zones. The company aims at attracting customers who want to drive premium car models including
Businesses/corporates. The organisation has some electric cars available in its fleet as well.
Car2Go’s real-time reservation system allows customer to book cars just 20 minutes in advance. Its value
proposition also provides drivers with free parking in public car lots and awards them with free minutes for
refuelling or recharging cars. Customers pay a small subscription fee plus rates based on both the time and
kilometres driven. The company does not require subscriber to pay any upfront security deposits.
Free parking in public car lots; no deposit required; no insurance,
fuel, electricity cost; 24x7 availability; credit given for refuelling or
recharging the car
Key partnerships: • Public transport operators for digital integration
• Local governments
• Social services for cleaning & maintenance
• Businesses
• Universities
• Car manufacturers
Key resources: • IT platform
• Premium vehicles
• Free parking spaces
Key processes: • Fleet maintenance
• Platform management
• Customer service
Story/ Channel for
communicating val ue:
• Social media
• Website
• Mobile app
• Customer service shop
Cost structure: • Vehicle purchase cost
• Fleet maintenance
Revenue stream: • Subscription fees
• Pick-up & drop charges
• Usage fees (minute, hourly, and daily rates, plus per
km)
Distribution channels: • Online booking
Customer segments: • People on the go with last-minute reservations
• One-way travellers, including drivers headed to/from the
airport
• Businesses
• Eco-conscious individuals
Value
proposition
Value creation
Value
communication
Value capture
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4.2.1.1.4 Ride sharing
Rides sharing is a type of carpooling that allows private non-commercial vehicle owners to pool their ride
with travellers having their destination in the same route. The online platform provided by the service
providers merely acts as a tool to match demand and supply on a particular travel route. However, absence
of any check and balances for safety and security of travellers using such platform is a concern. Instead of
such issues, this business model has been gaining traction among price sensitive travellers.
Some of the companies in ride sharing business are:
a) BlaBlaCar
BlaBlaCar claims to be the world’s leading long-distance carpooling platform provider. Its platform connects
people looking to travel long distances.
• Connects drivers and passengers who travel to the
same destination; economical means of transport;
revenue for drivers/ vehicle owners
Key partnerships: • Vehicle drivers
• Car insurance players
• Hosting/ architecture providers
Key resources: • Driver community and their cars
• Web based platform and apps
Key processes: • Product development
• Marketing and promotion
Story/ Channel for
communicating value:
• Website
• Social Media platforms
Cost structure: • Cost of hosting (servers)
• Marketing
Revenue stream: • Fixed commission from drivers
• Monetizing through implementing Internet payment
system
Distribution channels: • Online apps
Customer segments: • Drivers; Vendors; Passenger
Ride sharing promotes the concept of increased asset utilization, mostly among private vehicle owners. It
is an attractive business model that leverage shared mobility to reduce the cost of travel for both, the vehicle
owner/driver and the co-traveller. As ride sharing is offered by non-corporate entity (vehicle owner), it has
minimum overheads involved compared to car sharing or ride hailing, which is managed an d operated by
corporate firms.
Value
proposition
Value creation
Value
communication
Value capture
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Typical cost of using BlaBla from Delhi to Jaipur (~280 kms) cost INR 450-650, however it cost more than
INR 2500 (Uber/Ola multi-city travel rate) in using ride hailing service.
4.2.1.1.5 Car subscription
Car subscription has gained a lot of traction in last few years, as the behavioural shift has been observed in
personal mobility (consumers are shifting away from owning a vehicle). Traditional subscription models
included personal contracts and long-term leasing arrangement. Now, cu stomers are preferring flexible
monthly contracts inclusive of bundling insurance, maintenance and other costs. Car subscription model
provides customers with an experience of a private vehicle but saves them from paying the heavy upfront
cost for owning the vehicle.
Businesses in car subscription are offering customers wide range of vehicle option s suitable to their
requirement with the flexibility of selecting desired period.
Many OEMs such as Volvo, Porsche and BMW
72
, and other independent platform providers are introducing
new subscription schemes to attract and encourage the customers to experience the personal mobility under
car subscription.
Some of the businesses operating in car subscription are:
a) Zoomcar
Founded in 2013, Zoomcar is India's first 100% self-drive car rental company. It allows the user to rent cars
on hourly, daily, weekly or monthly basis. Zoomcar uses Zap app to help customers to list their car on the
company platform. As per Zoomcar’s business model, the vehicle owner is resp onsible for service,
maintenance and related expenses of the car. For monitoring, Zoomcar uses its proprietary IOT devices to
determine the health of a car on real-time basis.
• Fuel cost covered by ZoomCar; Flexi pricing packages;
24x7 roadside assistance; damage insurance
Key partnerships: • Partnership with Mahindra Electric and Ford
Key resources: • Private car fleet offered
• Data and inventory
• Online platform
Key processes: • Procurement
• Vehicle maintenance
• IT operation/ platform development
• Marketing
Story/ Channel for
communicating value:
• Website
• Social Media platforms
Cost structure: • Fleet maintenance
• Park location rental
• Fuel cost
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OEMs’ Subscription Plans Could Revolutionize Auto Industry (access here)
Value
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Value creation
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• Insurance
Revenue stream: • Subscription fees (6, 12, 24 months)
• Rental fees per hour
Distribution channels: • Pickup service
Customer segments: • Drivers, travellers
Car subscription offers economical alternative to long-term car leasing. The car subscription offerings are
highly flexible and economical for the customer. Customers now have the option of accessing the cars even
for their hourly need. This business model will be benefitted from the adoption of EVs, as the reduced
operating cost (vehicle charging cost) would enhance the value proposition of this business model.
Following the COVID outbreak, car subscription business is expected
to increase as it allows customer to lease the vehicle for personal
use without the need of paying hefty amount for the purchase of
vehicle, at the same time it minimizes the risk of sharing vehicles
with anyone (during the contract period).
4.2.1.1.6 E-Roaming
In an EV charging process, the EV
user have direct contact with the
Electro Mobility Service Provider
(EMSP) and Electric Vehicle Supply
Equipment Operators (EVSEO).
Each individual EMSP has an “EVSE
usage contract” with one dedicated
EVSEO. The EVSEO enables the use
of its charging infrastructure by the
EMSP’s client (i.e. EV user) while
the EMSP ensures the payment of
charging service fee to the EVSEO
(illustrated in Figure 163 (ii)).
In some cases, role of EMSP and
EVSEO is played by a single entity;
termed as Charging Service
Provider (CSP) (illustrated in Figure
163 (i)).
Entire charging infrastructure
managed by the CSP/ EMSP with
which EV user has entered into
contract, is considered as “home
network” for the contracted EV
user.
As illustrated in Figure 163, EV users generally sign a contract with the different CSP/EMSP. Under this
arrangement, EV user is allowed to charge his/her vehicles from those ch arging station only that are
managed by CSP/EMSP they have contracted with.
Figure 163 Home network illustration for an EV user
Source: 106 Jure Ratej, Borut Mehle, Miha Kocbek, 2 013, “Global Service Provider for
Electric Vehicle Roaming” (access here)
Value capture
Value Delivery
EMSP
EVSEO
CSP
EVSE
EVSE
Management
Services for
EV user
Charging service
contract
EV user
EVSE
EMSP
EVSEO
EVSE
EVSE
Management
Services for
EV user
Charging service
contract
EVSE Usage Contract
EV user
EVSE
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However, the challenge arises when the customer (EV user) needs to charge vehicle in area where
infrastructure of contracted CSP does not exist. In such cases, the customer needs to sign additional charging
service contracts with multiple CSPs, leading to customer receiving multiple monthly bills. This also requires
the customer to maintain multiple RFID cards for each geographical location/area.
Interoperability appears as an ideal solution for such challenges. In interoperability, service providers engage
in B2B contract with each other, eliminating the need for customer to enter into contract with each service
provider. Such arrangement allows customers to charge their vehicles with any CSP/EMSP (network partner),
eliminating constraints in charging across different geographies. This approach of providing seamless
charging experience to users in their “home network” as well as in “visited networks” (location where
contracted CSP does not own charging infrastructure) is known as e-roaming.
As presented in Figure 7 (i & ii), e-roaming enabled EV users to charge their vehicle from charging stations
that does not belong to their home network. In case the EMSP does not have any usage contract with EVSEO,
all the charging session will be done via roaming (Figure 164 (iii)).
Figure 164 Roaming in EV charging
Source: 107 Jure Ratej, Borut Mehle, Miha Kocbek, 2013, “Global Service Provider for Electric Vehicle Roaming” (access here)
Some of the companies working in e-roaming space are:
a) E-clearing
E-clearing is one of the largest e-roaming platform in Europe, with more than 1,06,000 connected charge
points and 8,80,000 active drivers. The company was setup in October 2014 as a joint venture of Dutch
foundation ElaadNL and smartlab Innovationsgesellschaft mbH from Germany. E -clearing offers an open
B2B-platform to all market players in electric mobility. It enables cross-network interoperability in charging
of electric vehicles and related value added services. Through the offered platform, electric mobility players
can share the data necessary for user authentication, billing, real-time information and other continually
expanding use cases.
EMSP
EVSEO
CSP
EVSE
EMSP
EVSEO
EVSE
EVSE Usage Contract
EV user 1EV user 2
EMSP
EVSEO
EVSE
EV user 3
ROAMINGROAMINGROAMING
No Contract
i)ii)iii) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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• Full autonomy to connect; open business
model (no third parties); open protocol
Key partnerships: • JV of ElaadNL and smartlab nnovationsgesellschaft mbH
• Financial support by the Federal Ministry for Economic
Affairs and Energy (BMWi) and the Dutch Ministry of
Economics (EZ)
Key resources: • Open B2B-platform
Key processes: • Enable communication between parties
Story/ Channel for
communicating value:
• Website
• Social Media platforms
Cost structure: • Platform maintenance
Revenue stream: • Fixed, yearly membership fee
Distribution channels: • Online apps
Customer segments: • Charge Point Operators, Parking spot operators, Electric
Mobility Providers, Navigation Service Providers
E-roaming makes electric mobility convenient as the EV user do not
have to worry about finding home network stations for EV charging.
4.2.1.1.7 Payments services
Cash has been the traditional mode of payment for many decades. However, growth in e -commerce and
widespread use of mobile devices have opened up new avenues for payments via digital means. Mobility
service providers in general, are tying up with payment gateways to offer hassle-free cashless services.
Mobility service providers such as OLA have their own mobile wallet – OLA Money, that allow deduction of
ride charges directly from OLA Money account on availing OLA services. With the increase in shared-mobility,
payment gateways are finding increased significance and usage. With respect to EVs, the payment s ervices
will be used predominantly for two purposes: for utilizing EV mobility service from an operator, and for
charging EV. Potential payment methods used in these two purposes are illustrated in Figure 165.
Value
proposition
Value creation
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Figure 165 Payment methods for enabling electric mobility services
Source: 108 Cashless India, Deloitte analysis; Note: PoS: Point of Sale; UPI: Unified Payment Interface; USSD: Unstructured
Supplementary Service Data
Overview of all the payment methods mentioned in Figure 165 is provided in Annexure 6.4.
4.2.1.2 Traction battery
Batteries contribute to ~40% in overall cost of EV (Chapter 1), therefore, businesses providing service in
battery segment, and delivering value in terms of reducing overall cost of EV, can play huge role in promoting
uptake of EVs. In this section, we will discuss potential services/ processes related to battery that a business
can take up and help in reducing the overall cost of ownership for EV buyers.
4.2.1.2.1 Battery recycling
Technology such as lithium ion, is predominantly
used in EV batteries worldwide. The lithium ion
batteries mainly comprise of rare elements such
as Lithium, Nickel, and Cobalt. With growth in EV
industry, use of these rare elements are expected
to increase, and therefore could lead to supply
chain issues in future as availability of these rare
elements is concentrated in few countries only.
Battery recycling is an effective way to ensure
optimal utilization of such rare elements along
with meeting the rising demand.
Recycling of batteries reduces negative
environmental impact as well as has the potential
to reduce the overall cost of a battery (and
therefore EVs’). Battery recycling provides
strategic benefit to the manufacturer as it uses
materials that are readily available. It is also
understood that, at times, the raw material from
the recycled battery is of higher quality than
original raw materials as they already have gone
through refining processes, and, therefore need
Figure 166 Overview of a battery life-cycle with recycling
Source: 109 Sourcing resources: How efficient battery recycling helps
reduce costs and emissions (access here)
Raw material production
Electrode
production
Battery cell
production
Battery module
production
Battery
recycling
Battery pack
production
PoSCredit/ Debit
card
Mobile
Wallet
QR Code
*99#
USSDMobile
Banking
UPI
Payment
Payment for using EV mobility servicePayment for charging EV Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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less pre-processing.
73
This in-turn helps the manufacturer to produce a cheaper battery and consequentially
increase affordability of EVs.
World Economic Forum (WEF), in their report suggests that battery recycling holds the potential to provide
13% of the global battery demand for cobalt, 5% of nickel and 9% of lithium in 2030.
74
However, the major challenge faced in battery recycling is the “high cost of recycling”. The economic viability
of battery recycling process depends upon factors such as costs of collecting, handling and disassembling
the batteries. Once the recycling process is completed, the viability also depends upon scale of reliability
and material value of batteries recycled.
Policy makers may consider providing financial assistance/
incentives to the high-quality recycling processes, and promote
creation of battery recycling industry in the country
Promotion of battery recycling will encourage evolution of new business models such as, trading of recycled
raw materials in the exchange market, or physical reuse of aged batteries in other applications (e.g., as
energy storage systems).
India, acknowledging the importance of battery recycling, released a draft “Battery Waste Management
Rules, 2020” which laid guidelines on effective recycling of batteries along with responsibility of all value
chain players.
Source: 110 Battery Waste Management Rules, 2020 ( access here)
4.2.1.2.1.1 Battery subscription
Battery Subscription is key to reduce the upfront cost of the electric vehicles (especially e-buses). In Battery
Subscription, batteries are provided to vehicle operators on subscription basis, charging for use on daily or
per kilometre rates.
73
Sourcing resources: How efficient battery recycling helps reduce costs and emissions (access here)
74
A Vision for a Sustainable Battery Value Chain in 2030 (access here)
Box 17: Battery Waste Management Rules, 2020 (Draft)
On February 2020, Ministry of Environment, Forest and Climate Change issued a draft rule on Battery Waste
Management, superseding Batteries (Management and Handling) Rule s, 2001. The draft rule aimed to create an
ecosystem for handling and disposal of batteries in India and ensure safety of the public as well as of the environment.
It covers all types of batteries (rechargeable and non-rechargeable) along with the appliances where batteries are
used.
The rule laid guidelines on recycling of batteries through formal channels in safe manner and seek accountability from
every value chain player including central/ state pollution control boards. The amendment mentioned develop ment
of a computerized system for keeping track of all the activities such as sale, distribution, collection auction, processing
etc. of batteries in the country. The rule also mandated manufacturer, importer, assembler and re -conditioner to
setup collection centers (either individually or jointly) at various places for collection of used batteries from consumers
or dealers.
The rule has directed State Pollution Control Boards (SPCBs) to periodically monitor battery recycling facilities. It also
directed Central Pollution Control Boards (CPCB) to prepare guidelines/ SOPs for bat tery recycling facilities,
standardization of technologies for all types of battery recycling, and establishment of R&D cell for battery recycling. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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A business model concept on battery subscription is prepared by Climate Finance Lab (“T he Lab”) where
barriers such as high upfront costs of electric buses and lack of access to suitable financing were tried to
address.
75
E-buses are 1.5 to 2 times more expensive than conventional diesel
buses
In the proposed subscription based business mode l, the battery subscription facility will setup as a third
party battery service provider, which purchases the battery, and provides them to the bus owners while
charging on a daily or per kilometer basis.
To lease the battery, the subscription facility and the bus operator will jointly purchase the battery and e-
bus from the manufacturer. The ownership of the battery will re main with the subscription facility, and
ownership for the bus will be with the bus operator.
The agreement between the subscription facility and the bus
operator was custom designed to ensure viability to both the
parties.
Figure 167 Sample design of a battery subscription service arrangement
Source: 111 Battery Subscription Facility - Lab Instrument Analysis (access here)
From this business model, the subscription facility will obtain ensured revenue, whereas the bus operator
will enjoy low cost of operation against fluctuating diesel/CNG prices.
The battery subscription model supports the adoption of EV by reducing the upfront cost of EV acquisition.
On 12
th
August 2020, the Ministry of Road and Transport Highways allowed the sale and registration of
electric vehicles without batteries in an effort to delink the cost of battery with the EVs.
75
Battery Subscription Facility - Lab Instrument Analysis (access here)
EQUITY
DEVELOPMENT
FINANCIAL
INSTITUTION
LOCAL FINANCIAL
INSTITUTION
EV owners/ E-bus
operators
SOURCES OF
FINANCE
BATTERY
SUBSCRIPTION
FACILITY
(Battery purchase
and leasing)
Returns
Equity
Debt service
payment for
battery loan
Debt for
battery
Debt service
payments
Long tenor
credit line
Debt for EV
owners/ E-
bus operators
Debt service
payment for
EV/ E-bus
Battery on
subscription
Battery
subscription
charge Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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4.2.1.2.1.2 Battery-as-a-Service (BaaS)
Battery-as-a-Service (BaaS) is an effective business model to maximize the value of a battery. As per report
by Ronald Berger
76
, Battery-as-a-Service (BaaS) make use of circular economy model in order to maximiz e
asset utilization, and at the same time connects the transport and energy sector.
Manufactured batteries (new) are leased to end-users such as vehicle owners, energy storage project etc.
for usage. Once the battery reaches to near its end-of-life (EoL), the BaaS service provider either refurbishes
the batteries and make them suitable to be used in applications such as energy storage or behind the meter
usage; or, recycles the batteries by extracting the raw material from them to manufacture new batteries.
The process is provided in Table 45.
Table 45 Integrated value chain - BaaS
Battery leasing Refurbishment Energy storage systems Recycling
✓ Battery leasing option
on a monthly fees
✓ Battery returns to OEM
after leasing
✓ Refurbish used batteries
by replacing modules
with insufficient capacity
✓ Integrate used batteries
in industrial and
residential energy
storage systems
✓ Recycle batteries to
extract raw materials as
well as precursor
material
Source: 112 Ronald Berger
Source: 113 Nio launches Battery-as-a-Service (BaaS) with CATL (access here)
4.2.2 Infrastructure
Lack of public charging infrastructure has been one of the key barriers in large scale adoption of electric
mobility in India. Therefore, it is important for India to have a robust backbone of charging infrastructure,
across the length and breadth of the country with due consideration to traffic and population density. In the
following sections, we will assess players responsible for setting up charging stations and business models
adopted by them.
4.2.2.1 EV charging infrastructure
With growth in adoption of EVs, the charging business have also evolved, globally. International experience
suggests that various stakeholders / institutions have engaged themselves in planning and development of
EV charging infrastructure. The various stakeholder / participants are provided below:
76
E-mobility index 2019 (access here)
Box 18: Nio—Battery-as-a-Service (BaaS) with CATL
In 2020, Nio, a Chinese car manufacturer partnered with CATL, a leading battery manufacturer, targets to separate
the costs of battery from the purchase price of its vehicles through “Battery as a Service (BaaS)” business model.
The Baas enabled Nio to reduce its vehicle prices by 70,000 yuan (~ 8,530 euros).
To implement the Battery-as-a-Service, Nio, CATL and two other partners, founded a Battery Asset Company. Each
partner had invested 200 million yuan (~ 25 million euros) in the company. The Battery Asset Company is proposed
to purchase the batteries, and lease those using concepts of BaaS business model, with CATL supplying the cells.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Figure 168 Players involved in charging infrastructure business
Source: 114 Deloitte analysis
Among all players listed in Figure 168, charging infrastructure manufacturer and charging station operators
have and the most important role in developing and operating EV charging stations. The following section
provides details on these two players only. For other players, brief note is provided in Annexure 6.4.
a) Charging infrastructure manufacturers
The major revenue of a charging infrastructure manufacturer is generated from manufacturing and selling
EV charging equipment. These players provides EV infra hardware solutions in two ways: first, standalone
delivery – to install at home, workplace or for public charging; and, second, in partnership with vehicle
manufacturers, offering the hardware as a part of vehicle
The charging infrastructure manufacturer provides complete charging points solution for public and private
charging and including the hardware and software installation. These players also provides services such as
maintenance of the hardware as well as additional support services. Some of the major charging
infrastructure manufacturers are:
i. Alfen
Alfen is an Electrical & Electronic Manufacturing company which offers a range of 3.7-22KW smart charge
points for home, work and public areas. Along with the product, the company also provides services around
your charging points, ranging from smart charging to back-end management and remote control of c harge
points.
• EV charging with renewable energy; intelligent
charging solutions
Key partnerships: • Innovators: supplying smart charging equipment to
Vandebron, a company who is working on an EV
blockchain project.
• Governments & municipalities: delivering equipment
to the European Commission in Brussels and hundreds of
municipalities.
Value
proposition
Value creation
Public
authorities
Power Utility Charging Infra
Manufacturers
Charging station
Operator
Location owners/
Real estate
Vehicle
Manufacturers/
Fleet operators
EV charging station owners
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Key resources: • Skilled employees: retention and attraction to keep up
with growth.
• In house production: resulting in maximum flexibility
and rapid adaption to a highly innovative and potentially
disruptive EV market.
Key processes: • Charging station management
• R&D: Grid system and EV charging equipment
development are key to maintain the strong market
position Alfen has in the EV market.
Story/ Channel for
communicating value:
• Social media
• Company website
Cost structure: • Scalable factories: as rapid growth is anticipated,
investments to keep up with future demand are made.
• Material cost: cost of c.a. 68% of revenues in 2017,
material cost have a large impact on profits.
Revenue stream: • Individual charging equipment sale: offering smart
and connected EV chargers for use at home, office and
public locations.
• Projects: Offering turnkey solutions. Example: The
Hague stadium; Alfen delivered a fully integrated energy
solution for the stadium consisting of an EV charging
hub, energy storage system and local smart grid.
Distribution channels: • Alfen has authorized dealers; customer can find the
nearest dealer to install the charging station
b) Charging station operators
Charging station operators (CSO) generate revenue by operating a network of chargers. They provide variety
of services such as EV charging, customer support, network solution (standalone or in partnership with a
Network Service Provider) etc.
The CSO adopts pricing mechanism such as Time-based fees, Energy-based fees, fixed fees, Membership
fees etc. to charge EV users. The CSO sometimes partner with NSPs that provides services such as software
solution, user interface, user solution etc. The CSO offers different solution for home charging, workplace
charging, and public charging.
Some of the companies working as CSO are:
i. Fastned
Founded in 2012, Fastned is a Dutch company that owns and operates EV charging stations in Netherlands,
Germany, and the United Kingdom.
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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• Payment software; Country presence
(Netherlands); Tesla compatibility
Key partnerships: • Albert Heijn: a large supermarket chain who agreed to
cooperate with Fastned to place chargers in front of their
stores.
• Governments & Municipalities: in an attempt to bring
down air pollution in cities and to decrease CO2
emission, they have granted subsidies and “cheap” land
to promote EV’s.
Key resources: • Scalable high traffic locations: to be able to scale up
when EV sales increase, without having to reinvest in
property in the same area.
• Property: strategic plots of land are key to further
expand the charging network.
Key processes: • Creating a European network that allows for fast
charging for both commercial and professional usage,
like truck and taxi.
Story/ Channel for
communicating value:
• Social media
• Mobile App
• Company website
Cost structure: • Acquiring new plots of land: mostly near cities and
busy highways making it costly.
• Developing software: new charging and payment
software development requires substantial investments.
Revenue stream: • Guests: individual payments, no additional services
(€0.59 per kWh).
• Members: with registration, plus extra service, like auto
charge and charge history (€0.59 per kWh)
• Gold members: with registration and subscription
(€0.35 per kWh & €11.99 per month).
Distribution channels: • Drivers to navigate and reach to the nearest Fastned
charging station to charge their vehicles
Customer segments: • Households; Real estates; EV owners; Fleet operators
In India, EESL is the one of the prominent players in EV charging development. The company acts as an
aggregator and partners with multiple value chain players to develop EV charging infrastructure. Business
model review of EESL is provided below.
Value
proposition
Value creation
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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a) EESL (Energy Efficiency Services Limited)
EESL is the largest EV charging station aggregator in India. Till date, the company has installed 92 public
charging stations along with 488 captive chargers across India
77
. The company also deployed India’s first
public charging plaza at Chelmsford Club, New Delhi.
EESL works on demand aggregation model where it purchases EV chargers in bulk through open competitive
bidding. The selected contractor/vendor is responsible for providing end-to-end support (from planning, to
commissioning) for the charging station. The vendor is also responsible for operation and maintenance of
the charging station for a definite period of time.
Figure 169 EESL business model
Source: 115 Deloitte analysis
• Large network, low system cost
Key partnerships: • In partnership multiple municipalities, DISCOMs, Metro
Corporations, Government departments
Key resources: • EV charging stations
Key processes: • Demand aggregation
• Floating tenders for public procurement
Story/ Channel for
communicating value:
• Public procurement
• Advertisements
Cost structure: • Purchase of EVSE through public procurement
• Operation & Maintenance
77
EESL – EV Charging (access here)
Value
proposition
Value creation
Value
communication
Public EV charging demand
aggregation
Partneringwith value chain
players in catering the
demand
EVSE
manufacturing
EVSE
installation
EVSE
O&M
Payment & energy
platform provider
Network service
provider
EESL purchase
EV chargers in
bulk using open
competitive
bidding
EESL selects
implementing
partner for
installation of
chargers through
open competitive
bidding
The implementing
partner will be
responsible for
operating the
charging station
EESL selects
partner for
enabling payment
mechanism
EESL selects Network
service provider for
providing cloud/data
service for day-to-day
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Revenue stream: • Fixed payment in case of ESCo model
• Payment from EV charging service
Distribution channels: • Customer needs to locate EESL public charging station to
charge their vehicle
Customer segments: • Government organizations, EV users
Note: To understand the feasibility of charging infrastructure business in India, financial analysis on a single
charger project is done for 10 year project life. Project assumptions, outputs and sensitivity is provided in
Annexure 6.4
Based on the route of deployment of EV charging station, business models in EV infrastructure business can
be classified into four categories:
Figure 170 Business models in deployment and operation of EV infrastructure
Source: 116 Deloitte analysis
Independent model ▪ Private players set up EVSE by taking licenses from governments or municipalities.
They may appoint EV service providers for charging operations and payment
settlements who ensure certain level of interoperability amongst different NSE
network owners. Major countries which are using this model are UK and Netherlands.
Utility Installations -
Own & through PPP
▪ In China, the State Grid Corporation of China and China Southern Power Grid in
partnership with many OEMS have opened charging stations, largely limiting their
role to power supply only.
▪ In Germany, power companies, including RWE, Vattenfall, EON and EnBW, account
for of all public charging Stations (Hall and 2017)
Integrated Model ▪ Utility owns the EV Charging infrastructure, operate it either Own or through their
third party Contractors.
▪ EVSE assets forms part of the assets of utility, who are responsible for distribution of
as well as operation and maintenance of the EVSE. Major country that run this model
is Canada.
▪ Advantage of model is that utility need not to worry about the low volume of
business in Starting phase, as assets are created under regulated capex route.
Charging
infrastructure as
secondary business
▪ By own installations , Tesla has built a network of fast-charging Superchargers along
highways throughout North America, Europe, and Asia, which Roadster, Model S and
Model X owners for free. In addition, the company has built over 9,000 destination
charging connectors similar to Tesla Wall Connectors. 400 kWh supercharger credits
are awarded annually to the car owners, after which they are charged based on
either per kWh or per minute.
Value capture
Value Delivery
Independent modelUtility installations Integrated model EV charging as secondary
business
e.g. Solely by either of the value
chain player
e.g. In partnership with
power utility
e.g. Collaboration between any of
the parties: EV charging
manufacturers, EVSE operators,
Location players, Public authority
e.g. Automakers, Location
players
1234 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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▪ The leading automobile companies’ viz. BMW, Daimler, Ford, Volkswagen have
created a JV to develop ultra-fast, high-power charging stations in Europe. The JV
sets an initial target of ~400 charging stations by partnering with service providers,
for e.g. BMW partnered with ChargePoint, to allow its users to access the
ChargePoint’s network through a smart card. Similarly, Nissan partnered with EVGo
to provide two years of complimentary access to its vehicle to participating stations
of EVGo for public DC fast and Level 2 charging.
Business models in EV charging infrastructure segments are limited. However, with growth in the industry,
more business models in EV charging space are expected to evolve. Details about potential future business
models in electric mobility are provided in the section below.
4.2.2.2 Future EV charging business models
The commercial development phase of EV charging industry can be segregated into three phases:
introductory phase, growth phase and maturity phase
Figure 171 Business innovation in EV charging vis-à-vis market development stages
Source: 117 FSR - charging up India’s Electric vehicles (access here); Deloitte analysis
Introductory stage is the initial stage of the product (here “charging infrastructure”) when it is deployed
in the market. The product during the introduc tory stage is under continuous R&D while the market/
customers are still gaining awareness/ knowledge about it. During this stage, the sales/ deployment of the
charging infrastructure is slow, and the players invest significant capital to bring the product to the market
(particularly with the interest to take first-mover advantage).
The next stage is the growth stage when the market is fully aware and is adopting the product rapidly.
During this stage, the market share of the products starts to grow, and several new players start entering
into the market. Profits/ margins of the product in this stage is very high as compared to the introductory
phase. Players with strong market share in the introductory phase enjoys early entrant advantage and earns
high profits.
At maturity stage, the rate of adoption of technology starts becomes either stagnant or declining. The
market share of the company stabilizes. There are very few innovations took place d uring this stage and
companies target to earn constant revenue from the product.
India’s EV charging market is currently at introductory phase where limited players with limited business
models are serving the market. In the above sections, we have reviewed existing state of India’s EV industry,
business models, players etc. However, as the electric mobility industry grow, there will be change in existing
business processes to adapt concurrent changes in EV landscape.
Table 46 lists expected changes in electric mobility industry and it’s probable impact on EV charging
businesses when it transit from introductory phase to growth or maturity stage.
Introductory stageGrowth stageMature stage
Adoption rate
of technology
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Table 46 Shape of EV charging industry - Present and future
Present Future (2025 & beyond) Business impact
Low EV Penetration High EV penetration More charging stations; need for fast
charging
Less competition High competition Innovative business model to retain
customer, cost competitive business
model, bundled model – product with
services
Focus on urban areas EV charging expanding to Tier 2 & Tier 3
cities
Suitable business model for price
sensitive customers in semi-urban
and local areas, high volume and low
prices based business models, e-
roaming
More focus on product Service will be key in attracting
customer
Need for innovative services, co-
located charging, bundled services
Short range vehicle/ less distance
travel
Long range vehicle/ long distance
capable batteries
Need for fast charging facility;
charging zone
Conventional vehicles Smart, autonomous, connected vehicles Need for smart charging
“Charging” is the only service Energy feed back to the grid during from
vehicle during unused hours
Need for Vehicle-to-Grid (V2G)
facility, participation in demand
response, Virtual power plants
No managed charging facility Active and passive managed charging in
place
Increased role of DISCOMs and third
party service providers in managing
the grid, smart charging
Less cyber threat High cyber threat More investment in data security,
secure data communication
Single business-led Partnership-led Win-win partnership collaboration,
co-located charging stations,
charging zones with public amenities
such as food zone, recreational
activities
With the change in the market dynamics, business model s will transform when we proceed to the growth-
stage. For the purpose of this report, business models that may evolve at maturity stage are not covered as
it would be too early to predict the market forces that may shape up the business models as maturity stage.
The likely business models that may evolve in growth-stage in a response to change in operating business
environment are highlighted below:
Figure 172 Business innovation in EV charging in the growth stages
Source: 118 FSR - charging up India’s Electric vehicles (access here); Deloitte analysis
Details about business innovations in the growth stage is mentioned below:
Introductory stageGrowth stageMature stage
Adoption rate
of technology
Time
Innovative
subscription offering
Service innovation to gain
new customers
Customer centric Business
innovations
Win-win partnership
with value chain
players
Adoption of technologies
supporting Smart Charging
Innovative business models
to utilize V2G charging
New business models with
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Smart charging
• Smart charging is considered as a charging technology that along with charging the vehicle,
communicates with external entities such as utility, charging operator etc. This technology will
help in active managed charging by utilities.
V2G charging
• V2G charging will allow feeding power back to the grid from EV battery. This will help in
providing power to the grid in case of shortage and also allow EV owner to earn revenue by
selling the EV power.
Business model
with increased
access
• As the electric mobility industry is growing, charging infrastructure will expand to Tier-2 &
Tier-3 cities. Operators will need to ensure that EV users have access to charging even in
places outside their home-network. Business models around e-roaming system will be key for
providing access to the EV user.
New partnership
with value chain
players
• As electric mobility grows, it will not be possible for a single business to maintain a
competitive edge. Partnership with other players in the value chain will help offering a
complete solution to the consumer.
Innovative
subscription
offering
• To overcome acquisition cost hurdle, new form of subscription models may evolve, offering
electrical vehicle ownership by paying monthly rental. Tata Motor for its Nexon model have
already launched such offer to generate volume for business by reducing price barriers.
Similarly, battery subscription models would also be evolved with standardization of technical
standards and battery parameters compatible with wide range of electric vehicle.
Service
innovations
• During the growth stage, as the competition will increase, profit margin would shrink. Focus
would shift from product offering to service offering as a bundle of product and service. It
could be lifetime free maintenance, unlimited/limited battery changes, free access to range of
charging station etc. Revolt a Gurugram based start-up has already launched such scheme at
nominal additional prices for limited time period.
Business
innovation
• With the increase in electric vehicles on road, new business concepts would evolve as a
response to problems that may emerge with increase in vehicle volume. For example, to avoid
waiting time at charging stations concept of anywhere-charging may evolve. Ubitricity in UK
are offering smart cable and smart meter to enable consumer to charge from electricity poles
of any DSO and send monthly bill as energy charge with nominal subscription fee (Please
refer to Box – 14 for detailed case study on Ubitricity business model).
4.2.3 Energy
A private vehicle stands idle for an estimated 95% of its lifetime
78
The premise for energy as a value area comes from the above stated fact on level of underutilization of
private vehicles for transportation purpose. Battery in EVs stores electricity, and when not in use for
commuting, EV owners can trade/ sell/ utilize the stored power and can earn additional revenues. In the
sections provided below we will understand how energy stored in the EV batteries can provide value to its
owner, and areas where business can evolve in utilizing power from EV batteries.
Interconnection of EVs with grid is conducted using two main technologies: V1G and V2G.
Vehicle-to-Grid (V1G) is also known as smart charging or managed charging technology. This type of
charging provides feature such as dynamic modification of the charge rate or the charge time of the vehicle.
V1G is highly effective with grids that follow Time-of-use (ToU) tariffs. Modification in charging rate and time
allows power utilities to decrease peak loads or smooth frequency deviations.
Other than V1G, there are other advanced interconnection technologies for transfer of power. Some of these
technologies are given in Figure 173.
78
Moving Forward Together – Enabling Shared Mobility in India (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Figure 173 Electric vehicle connection technologies to end-user
Source: 119 Deloitte analysis
A step further than V1G, in a Vehicle-to-Grid (V2G) system, additional power in the vehicle can be fed
back to the grid (bidirectional). With V2G technology, it is possible to control the time, magnitude and
direction of charging/ discharging power. Using this technology, an electric vehicle can feed power to the
home (V2H) or building (V2B) as well. V2G technology helps in applications such as short-term storage for
renewables, higher capacity for frequency regulation, and for off-grid applications.
Vehicle-to-home (V2H) and Vehicle-to-building (V2B) are the subsets of V2G and operates in a similar
manner. However, it is to note that V2H caters to a home power need, whereas V2B operates at a much
larger scale such as for buildings or commercial places. In both the technologies, home owner or building
owner uses the bi-directional power flow capability in order to optimize energy consumption in the home or
building, provide emergency backup power or supplement grid electricity supply in extreme cases. The key
difference between V2G and V2H or V2B technologies is that utility may not be directly involved in the bi-
directional electricity flow in case of V2H/ V2B.
Vehicle-to-Load (V2L) is used to provide emergency backup in event of electricity outage or power to
rural areas with limited energy availability. V2L is also used in providing energy to critical equipment in
hospitals, research centers etc.
4.2.3.1 Virtual Power Plant (VPP)
A virtual power plant is a cloud-based distributed power plant that aggregate s the capacities of
heterogeneous distributed energy resources (DER) such as solar power equipment, batteries, EVs etc.,
Figure 174 illustrates basic outline of a virtual power plant aggregating powers of electric vehicles.
Figure 174 Virtual power plant for aggregating power from EVs
Source: 120 Virtual Power Plant (TOPMOST) - Durham University (access here)
Virtual power plant provides an efficient way of utilizing power from electric vehicles in grid balancing or
trading in the electricity market (at peak time for energy arbitrage). This concept has opened up a new
avenue for revenue generation for fleet operators, bus operators etc. that can play a role in VPP architecture.
Vehicle-to-Everything (V2X)
Vehicle-to-Grid (V2G)
Vehicle-to-Home (V2H)Vehicle-to-Building (V2B)
Vehicle-to-Load (V2L)
VPP Platform
Energy MarketSystem operationConsumer services
Communication networks Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
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Virtual power plant, however, will require a power network integrated with secured communication network,
protocols for data sharing and cyber security etc. to operate, which, with reference to India, could be possible
in a medium to long term horizon.
Source: 121 Promoting Virtual Power Plants (VPPs) Using Electric Vehicles (EVs) While Adding Value to EV Ownership
(access here)
4.2.4 E-Buses
4.2.4.1 Procurement model for E -buses
Procurement and operation of buses in India is largely done through PPP (Public Private Partnership)
framework. There are multiple models available under PPP framework that differs in terms of degree of
operational control, allocation of risk and investment contribution.
For procurement of conventional buses, Gross Cost Contract (GCC) and Net Cost Contract (NCC) have been
commonly adopted by several Indian cities. Ahmedabad (AMTS and BRTS bus services), Surat (BRTS bus
services) Delhi (DIMTS bus services)
79
have adopted GCC contracting, whereas Rajkot, Vadodara, Indore
and Delhi Metro Feeder Buses
80
operate their buses on NCC basis.
For e-buses also, the similar approach of GCC and NCC has been widely adopted. In addition to these models,
hybrid GCC and hybrid NCC contracts are also used in several countries to address the shortcomings of
conventional GCC & NCC contracts.
Figure 175 PPP models in city bus private operations
79
Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here)
80
Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here)
Box 19: Toyota Tsusho – Nuvve – Virtual Power Plant partnership
In 2017, Toyota appointed Nuvve to support in expansion of the virtual power plant (VPP). Nuvve operates a V2G
system that controls the charge and discharge of the batteries in EVs connected to charging stations based on the
electrical supply-and-demand balance of electrical grids.
“The V2G technology that Nuvve offers allows parked EVs to become part of an electric grid while connected to the
charger. Depending on the supply-demand balance in the grid, the company's platform can control the charge and
discharge of multiple parked EVs - becoming a virtual power plant.”
Gross Cost
Contract (GCC)
Hybrid Gross
Cost Contract
Hybrid Net
Cost Contract
Net Cost
Contract (NCC)
PPP Models
12
34
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4.2.4.1.1 Gross Cost Contract (GCC)
In GCC contractual structure, the authority takes a major role in managing the network whereas the
operations & maintenance is carried out by the private player (bus operator). The authority makes payments
to the bus operator on kilometerage
81
cost, minimum cost or cost per passenger cost.
In GCC, authority carries the revenue risk, plans overall services, manages the contract for level of service
and quality, and is responsible for customer service, whereas, the operator only carries the operational risk.
The operator, however, holds the responsibility for service frequency (no missed trips) and compliance with
quality and safety standards (bus quality, cleanliness, driver behaviour, safety etc.).
Figure 176 Snapshot of Gross Cost Contract (GCC) PPP model
Source: 122 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
This contract is suitable if the authority wishes to take a dominant role, undertake service planning and
assume the revenue risk. A city which has low ridership / routes and where the operator may perceive higher
revenue risk would be suitable for adoption of such a model.
In GCC, authority holds greater control as it sets overall Minimum Service Levels (MSL)/Key Performance
Indicators (KPIs) for the operator and also conducts close monitoring of these parameters.
The GCC model has several advantages and disadvantages for the authority and bus operators, as mentioned
in Figure 177.
81
Kilometerage: Distance travelled between two points
Payment as per quoted cost of operation (per bus
kilometers/ per bus/ per service hour etc.)
Bus operatorAuthority
Collection from
commuters
PlanningImplementationO&M
Monitoring
Demand assessment
Route planning
Setting service standards
Operation planning
Tariff fixation/ structuring/ revision
Investment planning and funding
Deciding length of contract
Procurement of fleet and permits
Setup control room
Marketing and branding
Service quality monitoring
Operation of buses
Revenue collection
Operation of control room
Bus fleet maintenance
A C T I V I T Y
Authority Operator Either entity
LEGENDS Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
193
Figure 177 Advantages and disadvantages of GCC for authority and bus operators
Source: 123 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? ( access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
Though widely adopted in Indian cities, GCC holds several disadvantages for both, authority as well as bus
operator. To overcome this, a hybrid mode l was introduced in several cities across the globe including
London, Santiago (Chile) etc.
4.2.4.1.2 Hybrid GCC
In GCC, whilst the authority has full control on the services, the bus operator tends to maximise operational
distance with least focus on improving the consumer services, causing revenue loss to the authority. In
order to provide safeguard against such losses, Hybrid GCC model has been innovated.
Under a hybrid contract, the agency still carries the responsibility for passenger service outcomes and sets
overall Minimum Service Levels (MSL)/Key Perfo rmance Indicators (KPIs) but incentivises the operator
through additional payment for ridership growth. This model, thus, enables risk sharing between the agency
and the operator. The model also incentivises the operator for garnering additional ridership through
improvement in service levels.
The authority provides fixed payments (per km fee) along with bonuses, which are linked with growth in
ridership. The operator needs to quote its cost of operation (fixed per-km fee) and the variable fee per
passenger for additional ridership over base figures.
Figure 178 Snapshot of Hybrid Gross Cost Contract (GCC) PPP model
Bus operatorAuthority
•Full control on route and bus frequency
•Controls the levers of supply, price, and service quality and
system performance.
•Retention of surplus revenue
•Exposure to revenue risk
•Requires close monitoring; higher administration and
monitoring cost
•No revenue risk; receives agreed payment even when
demand reduces
•Easy access to finance due to no revenue risk
•Exposure to O&M cost risk
•No incentive on providing quality service
Payment as per quoted cost of operation along with
performance based incentives for ridership growth
Bus operatorAuthority
Collection from
commuters
PlanningImplementationO&M
Monitoring
Demand assessment
Route planning
Setting service standards
Operation planning
Tariff fixation/ structuring/ revision
Investment planning and funding
Deciding length of contract
Procurement of fleet and permits
Setup control room
Marketing and branding
Service quality monitoring
Operation of buses
Revenue collection
Operation of control room
Bus fleet maintenance
A C T I V I T Y
Authority Operator Either entity
LEGENDS Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
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Source: 124 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
In Hybrid GCC, the bonus payment acts an additional revenue for the operator, and does not hurt its target
revenue, which is assured by the authority. This increases the chances of improved customer services.
This contracting model finds its suitability for cities that require the characteristics of GCC (Authority/STU in
a dominant role) as well as where the city authority would want to share the revenue risk with Operator
(with intention to improve customer services). However, t he model still holds some advantages and
disadvantages for both authority and operator.
Figure 179 Advantages and disadvantages of Hybrid GCC for authority and bus operators
Source: 125 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems (access here); Deloitte analysis
A Hybrid GCC suits situations where the operators are more skilled and experienced in the bus service
business.
4.2.4.1.3 Net Cost Contract (NCC)
Under NCC, the authority permits the private operator to carry out business through designated routes or
service areas in return for a monthly fee or payment of grant (VGF). In this case, the authority performs a
more regulatory role, and the operator carries the entire revenue risk.
In NCC, service planning is mostly done by the operator, although an MSL and Quality KPIs are set as
conditions for awarding the NCC. The operator cross-subsidises non-profitable routes with profitable ones.
However, this business model has an inherent risk of reduced control by the authority on the operator which
may lead to drop in the quality of customer service provided by the bus operator.
Bus operatorAuthority
•Lower revenue risk than GCC
•Full control on route and bus frequency
•Controls the levers of supply, price, and service quality and
system performance.
•Requires close monitoring; higher administration and
monitoring cost
•Avenue to increase revenue
•Share in revenue risk
•Exposure to O&M cost risk Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
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Figure 180 Snapshot of Net Cost Contract (NCC) PPP model
Source: 126 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
In India, one of the major impediment to NCC is that the operator provides services within the framework
of a regulated fare scale established by the city, which is rarely revised upwards due to socio-political factors.
This hampers the operator’s ability to recover its operational cost. Other advantages and disadvantages of
NCC model is given in Figure 181
Figure 181 Advantages and disadvantages of NCC for authority and bus operators
Source: 127 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? ( access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
The NCC option is more preferable where the authority wishes to be involved minimally and relies more on
the private bus operator to deliver services. In cities such as Surat and Delhi that had earlier adopted NCC
model, the quality of services provided by the bus operator significantly deteriorated
82
. This decline in service
quality included lack of adherence to schedule, minimal or no attention on maintenance of buses, etc.
In India, it is difficult to project revenues under NCC as the public buses, sometimes, tend to operate at
socially relevant but uneconomical routes, causing revenue and opportunity loss for the bus operators. It is
in this context that private bus operators have shown less interest in responding to NCC contracts.
82
Gross cost contract v/s net cost contract: What should Indian cities opt for? (access here)
PlanningImplementationO&M
Monitoring
Demand assessment
Route planning
Setting service standards
Operation planning
Tariff fixation/ structuring/ revision
Investment planning and funding
Deciding length of contract
Procurement of fleet and permits
Setup control room
Marketing and branding
Service quality monitoring
Operation of buses
Revenue collection
Operation of control room
Bus fleet maintenance
A C T I V I T Y
Authority Operator Either entity
LEGENDS
Payment as per quoted VGF (per route/ per bus etc.)
Bus operatorAuthority
Collection from
commuters
OR, Payment as per quoted premium
Bus operatorAuthority
•Limited financial commitment and steady income
•Limited administrative cost
•High risk of safety; operator may compromise with safety
in order to transport more passengers
•Incentive to operate efficiently
•Flexibility to modify/ change/ close routes and frequency
•High revenue & operation risk
•High dependency on fare revision to earn revenue Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
196
4.2.4.1.4 Hybrid NCC
As observed in NCC, bus operators may need to provide service in uneconomical but socially relevant routes
resulting in loss of revenue and opportunity cost. To support bus operators in such situations, Hybrid NCC
model has been developed.
In Hybrid Net Cost Contract, the authority supports non-commercial and unprofitable routes where service
on the routes needs to be provided as a public service obligation (PSO). The Hybrid NCC requires a higher
level of involvement by the authority (as against NCC model) in service planning as the model involves
financial support on selected non-commercial routes.
The authority sets the overall Minimum Service Levels (MSL)/Key Performance Indicators (KPIs) along-with
being involved in the continuous monitoring of these parameters. The level of control by the Authority, in
this model, is still less than GCC contracts.
Figure 182 Snapshot of Hybrid Net Cost Contract PPP model
Source: 128 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? ( access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
Figure 183 Advantages and disadvantages of Hybrid NCC for authority and bus operators
Source: 129 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
PlanningImplementationO&M
Monitoring
Demand assessment*
Route planning
Setting service standards
Operation planning
Tariff fixation/ structuring/ revision
Investment planning and funding
Deciding length of contract
Procurement of fleet and permits
Setup control room
Marketing and branding
Service quality monitoring
Operation of buses
Revenue collection
Operation of control room
Bus fleet maintenance
A C T I V I T Y
Authority Operator Either entity
LEGENDS
Payment as per quoted VGF (per route/ per bus etc.)
including lost revenue from uneconomical routes
Bus operatorAuthority
Collection from
commuters
OR, Payment as per quoted premium
* Includes demand on socially relevant but uneconomical routes
Bus operatorAuthority
•Limited financial commitment and steady income
•High risk of safety; operator may compromise with safety
in order to transport more passengers
•High monitoring cost
•Reduced revenue risk as compared to NCC
•Incentive to operate efficiently
•Additional compensation for operation in unprofitable
routes
•Exposure to operation risk
•High dependency on fare revision to earn revenue
•Less access to finance Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
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Hybrid NCC ensures payment for unprofitable routes to the operator and therefore elicits better participation
than the pure NCC model.
4.2.4.1.5 Selection of right PPP mode l
Above sections discussed about PPP models for e-buses city operation. Summary of key parameters for each
model is provided in Table 47:
Table 47 Features of PPP city bus operation models
Parameter GCC Hybrid GCC NCC Hybrid NCC
Suitability
Authority wants to
retain control and is
financially strong to
assume revenue risk,
has strong
monitoring capacity
Authority wants to
retain operational
control and intends
that operator shares
some revenue risk
Competent operators
willing to assume
revenue risk exist
and demand is
relatively certain
Authority is willing to
reduce control over
operations, while
financially
compensating for
unviable routes
Revenue risk
Authority Shared: Base cost by
authority; Ridership
increase by
operators
Operator Operator: Subsidy by
authority on unviable
routes
Degree of
operator’s
incentive to
increase ridership
Low
Fixed payment
irrespective of
ridership
High
Bonus on increase in
ridership
High
Revenue directly
linked to ridership
High
Revenue directly
linked to ridership
Monitoring and
penalty regime
Requires strong and
consistent
monitoring with
penalty for service
below benchmark
performance
Higher level of
monitoring than
GCC because of
greater economic
incentive for
performance
Less monitoring
Only service quality
parameters
monitored
Level of
monitoring is
higher than NCC
In addition to service
level parameters,
monitoring of
movement of bus on
un-viable routes
Access to finance
(Bankability of
project)
High
Guaranteed income
reduces credit risk
High
Part of income
assured; decreases
risk
Low
Revenue risk borne
by operator.
Increases credit risk
especially if no track
record or demand is
uncertain.
Medium
Since credit
worthiness is
increased as non-
commercial routes
are supported.
Operational
efficiency
Medium
Since operators are
assured of revenue
and can focus only
on operational
efficiency
High
Since operators
revenue is
guaranteed, while
incentives exist for
increased ridership
Low
Since operators bear
the revenue risk and
may skip
trips/reduce
frequency in case of
low ridership
High
Since operators’ gets
revenue from un-
viable routes also
High on viability
from the bus
High on viability
from the bus
High on viability
from the authority’s
perspective
High on viability
from the authority’s
perspective Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Parameter GCC Hybrid GCC NCC Hybrid NCC
Project viability operator’s
perspective
operator’s
perspective
As also stated in above sections, the hybrid models resolves some of the issues of the base PPP models and
are expected to bring more participation, if adopted. However, selection of best model for adoption of e-
buses will vary from city to city. Figure 184 mentions key parameters that will help in selection of best PPP
model for city bus operation.
Figure 184 Contract selection framework parameters
1 Load factor on routes 2 Overlap of routes 3
Authority's control over service
and network plan
4 Integration of different modes 5 Competing Modes 6
Fund Allocation for the entire
term of contract
7 Provision of dedicated funding 8 Credit Rating 9 Creation of SPV
10
Adequacy of Staff for Bus
Transport
Source: 130 Guidelines for participation by private operators in the provision of city bus transport services (access here)
Note: Details about each parameter is provided in Annexure 6.4
4.2.4.2 Financing mechanism for e -bus
It has been established that adoption of electric buses have positive impacts on health and environment and
therefore, efforts have been made globally to induct e-buses in shared mobility fleet by respective city
administration. However, e-buses offers a significantly higher cost of adoption when compared with its ICE
counterpart. Acquiring e-buses as a standalone physical asset is not possible as it requires a complementary
infrastructure supportive of its usage. Such an infrastructure comprises of batteries, land for charging
stations, adequate power supply, possible upgrades to transformers or distribution lines, retrofitments to
existing bus depots, etc.
Nonetheless, there are emerging financing mechanism s to enable the adoption of e-buses.
Figure 185: Financing options for e-buses
However, in practice, these individual approaches suit a particular business model. For instance, operators
may purchase buses from grants and enter into legal arrangement to lease batteries. Although most public
electric buses are still paid for by government grants, there is a growing need for affordable finance to help
tackle the up-front investment gap and achieve scale.
Grant received from
State/Central
Government0201 03
Debt financing
By way of entering
into legal arrangement
that share finances as
well as commercial
risk
Three options of financing E-buses Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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4.2.4.2.1 Grant received from State/Central Government
This has been the traditional and predominant approach for financing of e-buses or any capital intensive
asset that is intended to be used by the public. The
grant may be offered as capital expenditure grant or
operational expenditure grant or combination of
both. Globally, there are multiple ways to arrange
fund for the grant. This includes provisioning for
dedicated funds in annual public budget or creating a
pool that collects taxes and penalties being levied on
using conventional fuel vehicle, termed as fee-bate
concept and funding the grant mechanism from such
pool.
The mechanism of provision of grants as per the
FAME scheme is a similar example. Similarly, State
EV Fund provisioned under Delhi EV policy is an
example of a pool created on a fee-bate concept that
would be funded through levy of additional taxes,
cess, fee etc. on inefficient or polluting vehicles.
Source: 131 United States Department of Transportation
Further, there are multiple ways in which the grants could be utilized. For example Shenzhen Bus Company
in China has converted its entire fleet into e-bus from the grant and subsidy support of National and local
government. Below provided box (Case Study – Shenzhen Bus Company, World’s first fully electric bus fleet
company) presents the case study of Shenzhen Bus Company highlighting extent of grant and subsidy
support provided by Chinese Government. The subsidy provided by Chinese Central Government is provided
in the table provided below. The precise amount of subsidy offered by Local Government is though not
available, but literature review suggests that the Local Governments match the subsidy amount received
from Central Government
83
.
Table 48 Subsidy provided by China for e-buses
Year Subsidy Amount
2009-2012 Pure battery electric bus and fuel cell bus with a length of more than 10 meters - 64,000 euros and
77,000 euros respectively per vehicle.
Hybrid bus - 54,000 euros to 64,100 euros per vehicle determined by fuel saving ratio, battery
type and maximum electric power rate.
2013-2015 Pure battery electric bus - 38,000 euros to 64,000 euros depending on the size of the bus.
Plug-in hybrid busses with a length of more than 10 meters - 32,000 euros
Fuel cell bus - 64,000 euros
2016-2020 Standard electric buses with a length of 10 to 12 meters - 120,000 rmb (15156 euros
84
) to 500,000
rmb (63153 euros) depending on the electric driving range and energy consumption rate.
Fuel cell bus - 64,000 euros
83
Trends and challenges in electric-bus development in China (access here)
84
Converted at the rate of 1 RMB = 0.13 Euro, as on 9
th
October 2020
Allocation from Public
Budget
Taxes and levies on
conventional fuel
vehicles
Fund
Grant
Box 20: Case Study – LoNo Program in USA
The U.S. Federal Transit Administration (FTA) established the Low or No Emission Vehicle (LoNo) Program. The
Program provides funding for transit agencies for capital acquisitions and leases of zero emission and low-emission
transit buses, including acquisition, construction, and leasing of required supporting facilities such as recharging,
refuelling, and maintenance facilities In Philadelphia, United States, the transit agency received $2.6 million through
this program for electric buses in 2016 to purchase 25 Proterra buses. Under the FAST Act, for LoNO program $55
million per year is available until fiscal year 2020.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Another approach of utilizing government grant and subsidy support is by way of permitting Private
Operators to purchase buses and operate service on behalf of the STU. GCC model unde r FAME scheme
utilize the same principle in India.
Source: 132 Shenzhen's silent revolution: world's first fully electric bus fleet quietens Chinese megacity (access here); Financing electric
and hybrid-electric buses: 10 questions city decision-makers should ask, WRI
Under the JnNURM scheme (2009) of Government of India, Ministry of Urban Department (MoUD),
Government of India, announced detailed guidelines for funding purchase of buses for urban transport
systems. The guidelines for funding for purchase of buses, under the scheme, was linked with reform
conditions to be fulfilled by States. MoUD recommended the creation of a dedicated Urban Transport Fund
(UTF) at both the state and the city level for utilizing the same for funding urban transport initiatives. Similar
such innovative initiatives could also be explored to make the purchase of e-buses viable for the state
authorities. A case study on Rajasthan Transport Infrastructure Development Fund (RTIDF) is provided below
to highlighting its feature and area of support in developing urban transport in Rajasthan.
Source: 133 Final Operations Document for Urban Transport Fund in Jaipur (access here); Rajasthan Transport Infrastructure Development
Fund (RTIDF) (access here); Scheme for Utilization of Urban Transport Fund (access here)
The State and Central Government may extend the utilization of such funds created under JnNURM to provide
support through either grant or concessional loan for procurement of e-buses by the State or City transport
Authorities.
Box 21: Case Study – Shenzhen Bus Company, World’s first fully electric bus fle et company
The Shenzhen Bus Company, in China, is a state owned bus operator. The company receive financial support from
the public budget for converting its fleet to e-buses. The company has transformed its entire fleet of 16,000 buses
in Shenzhen as e-buses. More than half of the cost of the bus is subsidised by government as capital subsidy. In
terms of operation there is another subsidy: if the company runs buses for a distance of more than 60,000 km they
receive approximately 500,000 yuan [£58,000] from local government. This subsidy is put towards reducing the
cost of the bus fares. To keep Shenzhen’s electric vehicle fleet running, the city has built around 40,000 charging
piles. Shenzhen Bus Company has 180 depots with their own charging facilities i nstalled. Most of the buses we
charge overnight for two hours and then they can run their entire service, as the range of the bus is 200km per
charge.
Box 22: Case Study - Rajasthan Transport Infrastructure Development Fund (RTIDF)
Government of Rajasthan created RTIDF in 2012, with the objective of providing organized, safe public transport.
Its main aim was to fund viability gap in operations and to provide loan to assist local bodies for creation of better
transport system in the urban cities, among multiple other objectives. The main sources funding for RTIDF include
a cess on motorized vehicles, green tax and cess on stamp duty, funds received from industries to carry out social
Responsibilities, apart from funds from the Central and State Government. RTIDF is managed by a fund management
committee under the chairmanship of Chief Secretary of the State.
The funds have been utilized in following initiatives to improve urban transportation:
• Jaipur City Transport Services Limited (JCTSL) and Ajmer City Transport Services Limited (ACTSL) are
provided with capital subsidy support towards purchase cost of buses (30% to JCTSL and 10% to ACTSL)
• The funds for construction of 100 Bus-Que-Shelters in Jaipur city worth Rs. 9 Crore have been provided to
JCTSL.
• The funds of Rs. 12 Crore have been provided for creation of two Depots for maintenance and parking of
buses of JCTSL
• Fund of Rs. 20cr. provided from RTIDF for purchase of 79 Buses to improve public transport system in Kota
and Jodhpur
• Funding for setting up new traffic signals and Area Traffic Control System (ATCS) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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4.2.4.2.2 Debt Financing
Debt financing can be utilized by State Transport Utility or bus operators to pay for the high up-front costs
of e-buses. However, purchase entirely on debt financing basis is still not widely used for electric buses.
However, other mechanism such as concessional loans, municipal bonds and green bonds do exist for such
purposes. With the growing maturity of EV technology in the future, debt-financing may, however, become
common.
4.2.4.2.2.1 Soft loan or Concessional loans
Soft loan or Concessional loans are provided by a financial institution at favourable lending conditions,
including lower interest rates and/ or longer repayment schedules. International development funds or
multilateral development banks under their development mission can potentially offer such financial
instruments to lower down the financing cost of e-buses. Two case studies have been presented below
showcasing the role of such banks in extending support through concessional loan towards acquiring clean
mobility solutions.
Source: 134 CTF Proposal (access here), Deloitte Analysis
In September 2020, KfW granted loan of Rs. 1,5 80 Crore to Government of Tamil Nadu State to acquire
2,213 new BS- VI buses and 500 electric buses. The State Government has plan to take total loan of Rs. 5,
890 Crore from KfW to purchase 12,000 new BS -VI buses and another 2,000 electric bus
85
85
Tamil Nadu – KfW: State to get 500 more electric buses (access here)
Box 23: Case Study – Technological transformation program for Bogota’s Integrated Public
Transport System (SITP)
In 2010 Colombia presented its investment plan to the Clean Technology Fund (CTF) to obtain support for
transformational projects that will lower carbon emissions. In this plan, US$40 million were assigned to the
Integrated Public Transportation System (SITP) of Bogotá, to be implemented by the IADB
The main objective of SITP was to improve public transportation in Bogotá. To fund purchase of clean technology
buses (hybrid and e-bus) under SITP, the Inter-American Development Bank (IADB) had offered $40 million
concessional loan to Banco de Comercio Exterior de Colombia S.A. (Bancóldex – The Colombia’s National
Development Bank) at interest rate of 0.25% with grace period of 10 years and amortization period of 30 years.
The Republic of Columbia was guarantor for the loan amount.
Under this concessional loan program, Bancóldex have extended the loan provided by IADB to the local financial
institutions (IFL), which in turn had directly finance SITP concessionaires firms through credit lines. Under this
program, Bancóldex and the IFLs had co -finance each one of the vehicles in equal parts. This means that the
US$40 million of this program had leverage an equal amount, for a total of US$80 million. Loan were offered with
attractive financial conditions and contributed to compensate the price difference regarding the starting cost of
clean technologies. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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4.2.4.2.2.2 Green bonds
Green bonds are often identical in structure, risk, and return to
traditional bonds, except that the capital raised from a green bond
funds clean energy, energy efficiency, low carbon transport, smart
grid, agriculture & forestry, natural resource mitigation or similar
projects/ initiatives/ programs. Green bonds are marketed as
“green” at the time of issuance. Green bonds share all the same
financial features as other bonds, however as an internationally
accepted practice, at least 95% of green bond proceeds are linked
to green assets or projects86. (Climate Bonds Initiative 2018).
Nobina, the Nordic region’s largest operator of public bus transport
services have issued green bond of SEK 500 million (~ $ 57 million)
in February 2019 to arrange funds fo r procurement of electric
buses, bio-fuel buses and development of charging infrastructure.
Below provided box (Case Study – Nobina Green Bond (SEK 500
Million, Feb 2019)) presents case study of Nobina’s Green Bonds.
Similarly, the city of Umea, in northern Sweden, has invested in a development of a sustainable system for
local transport, based on ultra rapidly-charged electric buses (10 min. charging – 30 min. driving). The city
has issued SEK 77 million (~ $ 8.8 million) green bonds in January 2012 to pur chase electrical buses. In
April 2016, the city had 9 electric buses and two fast charging stations built from the proceeds of green
bond
87
.
Source: 135 Nobina AB Green Bond 2019 - Impact report (access here); Nobina Green Bond Framework January 2019 ( access here)
4.2.4.2.2.3 Municipal bonds
Similar to green bonds, globally Municipal bonds are also being used by municipalities and transit agencies
to fund large capital cost involved in purchase of electric buses. Dallas Area Rapid Transit (DART) in Texas
had issued a bond for the purchase of electric buses in 2016. The bond was issued at interest rate of 5.0%
86
China green bond market 2018 (access here)
87
Supporting local government climate action through Green Loans & Green Bonds ( access here)
Box 24: Case Study – Nobina Green Bond (SEK 500 Million, Feb 2019)
Nobina is the largest and most experienced public transport company in Nordic region. Every day, Nobina ensures
that almost one million people get to work, school or other activities by delivering contracted public transport in
Sweden, Norway, Finland and Denmark. Yearly revenue of Nobina is about S EK 9 billion, and it currently employ
around 11,000 people.
Nobina AB (publ) issued a green bond of SEK 500 million on February 13, 2019, with a tenor of 5 years and a floating
rate coupon of STIBOR 3 months plus 155 basis points, which corresponded to an initial coupon of 1.47 percent.
The bond was listed on the Nasdaq Stockholm Sustainable Bonds List on March 12, 2019. Nobina’s issuance of a
green bond framework is a natural part of the Company’s sustainability profile and the green bond framework
strengthens Nobina’s focus on achieving positive environmental impacts.
Proceeds from Nobina’s Green Bonds are intended to be used to finance or re-finance the Eligible Green Assets (in
part or in full), providing distinct environmental benefits in accordance with the below defined main categories for
Clean Transportation:
• Fossil free vehicles such as electric or vehicles powered by biofuels
• Charging infrastructure for buses
As of 2020-02-29, SEK 456 million has been invested in 140 new fossil-free buses and another four fossil-free buses
are on order. Also, 45% of the Green Bonds proceeds are invested in Bio-Fuel vehicle and 55% are invest in Electric
Buses. Green Bond
At least 95% of
green bond proceeds
should be linked to
green assets or
projects Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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and maturity period of 20 years. As on July 2018, the bond ha d raised the required capital, enabling the
agency to unveil seven new electric buses. The purchase of the buses was also supplemented by a grant
from the Federal Transportation Administration. The funds raised covered the cost of the buses as well as
two overhead charging stations for on-route charging
88
.
4.2.4.2.3 Legal arrangements as financing option
Legal arrangements, although not a pure financing mechanism for e -bus procurement, offer legal solution,
through contracting, to reduce the upfront cost of the electric bus and associated infrastructure. It apportions
the financial obligation on multiple interested parties thereby reducing the risk associated with the adoption
of new technology. Leasing is the most prominent legal arrangement to arrange financing for the electric
buses, batteries and charging infrastructure.
Leasing arrangements have multiple variants such as component leasing (e.g., batteries), operation leasing
etc. Under leasing arrangement, typically a third party (who is not the operator) owns som e or all of the
legal rights over the assets and assumes some of the risks associated with the investment. The third party
could be a bus manufacturer, a service provider or a specialized financial services company. Globally, leasing
has emerged as an important model for managing the investment costs and risks involved with electric and
hybrid-electric bus investments for both public and private operators. This is because leasing reduces the
financial burden for the operator and transfers technology and/or credit risk onto the third party.
4.2.4.2.3.1 Component leases (battery leases)
Under component leasing, the e-buses are sold without batteries in order to reduce the upfront cost of the
bus. The batteries are owned by the manufacturer (or third party) during the lease term and replaces them
as and when required in accordance with the contractual obligation. Proterra, a bus company, entered into
the battery leasing contract with Park City Transit Company in USA. The contract, typically called an electric
bus battery service agreement, is based on the fact that the transit agency/transport utility can use the
operational savings that accrue over the life of the electric bus (compared to a diesel bus) to cover the
battery lease. Box provided below presents a case study of Park City Transit and Proterra company battery
leasing arrangement.
Source: 136 Park City Transit Department (2017); Federal Transit Administration (2018) - Fiscal Year 2017 Low or No-Emission (Low-No)
Bus Program Projects (access here); The U.S. Electric Bus Transition: An Analysis of Funding and Financing Mechanisms, Dexter Liu
88
Paying for electric Bus, 2018 U.S. PIRG Education Fund
Box 25: Case Study – Battery Leasing (Park City Transit and Proterra)
In 2017, Park City Transit obtained FTA Low-No grants worth $4.4 million (across two years) to deploy
Proterra buses. In order to maximize the value of these funds, Park City Transit agreed to enter a battery lease
agreement with Proterra, where Park City Transit would own the electric buses, charging infrastructure, depot, and
storage sites. On the other hand, Proterra will own and service the batteries on the bus. The Proterra electric bus
price with battery typically cost around $750,000. However, the bus prices determined under battery leasing
arrangement were established at maximum price of $614,679 pe r bus ($460,350 for the bus, $147,054 for
configuration options, and $7,275 for spare parts).
The battery were leased for twelve (12) years, with the option to sign a 12-year agreement or an initial duration of
four years plus two renewal periods of four years each. The renewal of the contract is legally expected as long as
Park City Transit is able to reasonably source funds to continue the lease arrangement. Proterra guaranteed that its
batteries would operate at above 70% of their original nameplate capacities. Proterra is responsible for maintenance
of the batteries to ensure this level of performance and is allowed to replace or service its batteries at any point
after coordination with the customer. However, the Proterra provided the guarantee of the battery performance on
subjective usage condition of battery i.e., the bus batteries needs to be maintained between 20% and 90% state
of charge at all times, with ten exceptions provided for falling to the 10-20% range across any five-year period. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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4.2.4.2.3.2 Operating leases - Third Party Owns (Manufactures or Purchases) Buses and Leases
Them to Operators (Public or Private)
Under operating lease, the contract allows manufacturers and other asset owners to provide options to
Transport Utility (Public or Private) to lease buses rather than buying them. The contract does not allow
transfer of ownership of the vehicle. The leasing of assets is based on the third party’s ability and willingness
to take on some of the risks related to new technologies. Manufacturers or specialized companies offer the
option to retain legal ownership of the asset, while conferring the rights to the Transport Utility for the use
of the bus against payment on monthly or quarterly basis or as per the agreed terms and condition of the
contract. Under such arrangement responsibility of paying for taxes and insurance is either taken by the
Manufacturer or the Transport Utility as per the agreed deal or negotiation.
Operation and Maintenance is often covered separately in a different service contract with the manufacturer
or another provider. Operating leases are sometimes offered as lease-to-buy schemes in which the operator
has the option to purchase the assets at the end of the lease period to benefit from their residual value.
The GCC model adopted in India for procurement of e-bus is a close example of an operating lease. Multiple
variants are possible with regards to transfer of asset after end of contract period, operation of bus,
development of charging infrastructure, maintenance of the bus/ charging facility etc. The typical model
adopted in India is shown below:
Figure 186: Operating lease arrangement in GCC model in India under FAME scheme
4.2.4.3 Review and analysis of Model Concession Agreement for procurement of e -Buses
FAME – II scheme earmarked Rs. 3545 Cr. (~USD 486 Million) to provide demand incentive to a maximum
of 7090 e-Buses during the scheme period i.e., up to FY 2021-22. Department of Heavy Industry had invited
the Expression of Interest (EoI) from million plus cities, smart cities, State/ UT capitals and cities from
special category states for submission of proposal for deployment of Electric Buses on operational cost basis.
In response thereof, 86 proposals from 26 States/ UTs for the deployment of 14988 e-Buses were received.
On the advice of Project Implementation and Sanctioning Committee (PISC) the Government sanctioned
total 5,595 e-buses which included 5095 electric buses to 64 Cities / State Transport Corporations for intra-
city operation; 400 electric buses for intercity operation and 100 electric buses for last mile connectivity to
Delhi Metro Rail Corporation (DMRC)
89
.
Under Fame-I, e-buses were allowed to be procured under two models – Outright Purchase (Capex model)
and Gross Cost Contract (Opex model). Five cities (Bangalore, Mumbai, Hyderabad, Ahmedabad, and Jaipur)
89
DHI - Sanction of electric buses under Phase-II of Faster Adoption and Manufacturing of Electric Vehicles in India Scheme (access
here)
Electric Bus
Charging
Infrastructure
STU
Third Party
Procure,
Operate and
maintain
Ownership at end
of contract*
Ownership at end of
contract
Develop and
maintain
Banks
*Not clearly specified in MCA/ RFP Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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have adopted Gross Cost Contract (GCC) model and rest 5 cities (Indore, Lucknow, Kolkata, Jammu and
Guwahati) have adopted Outright Purchase model fo r procurement of e-buses. However, under FAME – II,
the government mandated the purchase of e -buses on GCC model to avail subsidy.
Subsequently, NITI Aayog issued a Model Concession Agreement (MCA)
90
in January 2019 to support electric
bus procurement under FAME II. The MCA outlines the OPEX model (or GCC) o f procurement of e-buses.
The focus of the document is to assist cities with the contract award under Gross Cost Contract (GCC) mode
of procurement. The snapshot of key features of MCA are outlined below:
Contract Period:
– 16 Years
Asset transfer: Operator to transfer the Maintenance Depots to the
Authority upon Termination of the Agreement
Key scope covered:
• Supply of buses conforming to the
Specifications and Standards
• Operation and Maintenance of
Buses
• Setting up and Operation and
Maintenance of Maintenance Depots
Bus charging methodology:
Operator is free to choose any charging methodology
Route and Schedule:
Authority have the exclusive right to determine routes,
frequency and schedule of the Buses as part of
Deployment Plan through the Contract Period
Key obligations of Authority (STU):
• provide the routes to be undertaken by the Operator
• provide land, free from Encumbrances, on license for
setting up and operating Maintenance Depots
• provide road connectivity at any location on the
boundary of the Maintenance Depots
• provide reasonable support to the Operator in procuring
electric transmission lines and sub-station, at any
location situated within 500 m of the boundary of the
Maintenance Depots
• upon written request from the Operator, assist the
Operator in obtaining access to all necessary
infrastructure facilities and utilities, permits etc. for
construction and operation of Maintenance Depot
• upon written request from the Operator, provide the
Operator with competent and trained employees to
assist the Operator in carrying out its duties under the
Agreement
Key obligations of Operator:
• Procure, operate and maintain
buses for contract period
• Design, engineering,
procurement, construction and
operation of the Maintenance
Depots for the maintenance of
Buses
• Procure/ arrange all permits,
rights, license, permission,
agreements etc. for discharging
duties under the contract
• Develop Charging Infrastructure
at the Maintenance Depots
including adequate
infrastructure for metering of
consumption of electricity at
each of the individual charging
stations.
Performance security:
Operator to provide an irrevocable
and unconditional guarantee from a
Bank within 30 days from date of
Agreement. Amount of performance
security is kept as 3% of total project
cost.
Development of road connection with
Maintenance Depot by Authority : within 1 year
from Appointment Date
Completion of construction of Maintenance Depot
by Operator: within 180 days from Appointment Date
Procurement of Buses:
Procure 1st prototype Bus within 180
days from Appointment Date. Upon
approval of prototype bus, Operator
to procure bus as per Procurement
Schedule provided by Authority in
RFP.
Invoicing of fees:
The Operator shall be paid for Bus Kilometre plied by
the total number of Buses operational for that
particular day, at Per KM Fee quoted by the Operator
in its Bid.
Annual Assured
Kilometer:
Bus Kilometer Comprises of:
• Total distance travel on operational route
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Model Concession Agreement for Operation and Maintenance of Electric Buses in Cities (OPEX Model) (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Authority shall Commit
to provide Annual
Assured Kilometer for
payment of fees
• Total distance travel from Maintenance Depot to First point of
loading and from last point of loading to Maintenance Depot
• Any other distance travelled which have prior approval from
Authority
Revision of fees:
Operator is entitled for fees revision on every six months if price
of electricity increased by 10% and CPIIW and WPI varies by
more than 4% within six months
For 1st revision:
Indexed Fee = Fee * [1 + (0.2 * CPI IW) + (0.6 * 0.4 * WPI) +
(0.2 * (price per kWh of electricity on the date of submission of
the statement - price per kWh of electricity on the Base Index
Date)/ price per kWh of electricity on the Base Index Date) /
100)]
For subsequent revision:
Indexed Fee = Fee * [1 + (0.2 * CPI IW) + (0.6 * 0.4 * WPI) +
(0.2 * (price per kWh of electricity on the date of submission of
the statement - price per kWh of electricity on the preceding Fee
Revision Date)/ price per kWh of electricity on the preceding Fee
Revision Date) / 100)]
Payment of fees:
The Authority shall within a
period of 15 days from
receipt of the invoice,
subject to verification of the
invoice against the records
that it has in relation to the
Bus Service, make the
payments.
Delay in payment of fees:
The Authority shall pay
Damages at the rate of 3%
(above the Bank Rate) per
annum calculated for each
day’s delay in making the
payment subject to
maximum of one month of
period from the date they
become payable to the
Operator.
Key performance indicators:
• Reliability– Reliability to be calculated on quarterly basis for entire fleet as quotient of the cumulative
distance travelled by all Buses divided by the aggregate number of Breakdown of all such Buses
multiplied by 10,000. Reliability should be more than 1
• Operation of bus – lighting arrangement inside bus, temperature, cleanliness, operability of seats,
windows, doors and all fixtures in the Buses (no objective KPI has been defined except lighting system
that needs to be available for minimum 98% in a month
• Punctuality – Start Punctuality (90%) and Arrival Punctuality (80%). Punctuality measured on a
quarterly basis in terms of the percentage of on-time start of trips/on-time arrival to the total number
of trips operated on a daily basis
• Frequency: Trip Frequency (94%) and Bus Km Frequency (94%). frequency of operati on of Buses
shall be measured on a quarterly basis in terms of percentage of the cumulative trips travelled by all
Buses to the aggregate number of scheduled trips (“Trip Frequency”) and a percentage of the
cumulative Bus Kilometres operated to the aggregate scheduled Bus Kilometres (“Bus Kms
Frequency”), respectively
• Safety of Operations: General Safety and Severe safety (equal to or more than 1). The General
Safety and Severe Safety shall be calculated in terms of cumulative Bus Kms operated divided by
number of accidents multiplied by One lakh and cumulative Bus Kms operated divided by number of
fatalities multiplied by Ten lakh, respectively.
• Certification: Operator to obtain and maintain ISO 9000:2005, ISO 14000:2004, ISO 18000:2007
and ISO 50000:2011 during entire Contract period
Penalty for failure to
achieve Key Performance
Indicators: 0.1% of the
Performance Security for
such shortfall in any such
performance indicator. No
maximum limit has been
defined. No cumulativeness
of KPIs for penalty
calculation has been defined.
Incentive for over
achievement of Key
Performance Indicators:
0.05% of the Performance
Security for exceeding any
such performance indicator.
No maximum limit has been
defined. No cumulativeness of
KPIs for incentive calculation
has been defined.
Reporting of KPI:
The Operator shall,
no later than 7
days after the end
of each month,
furnish to the
Authority a report
stating the KPI of
each Bus as
measured on a
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Deposit by Authority in Escrow account:
• balance of at least an amount equivalent to two
months’ estimated Fee payable to the Operator
• all grants, payments and financial support
received by the Authority from the State
Government and/or GoI
• all payments by the Authority including
insurance claims, if any, received;
• dues towards Termination Payment to the
Operator; and
• any other revenues or capital receipts from or in
respect of the Project
Deposit by Operator in Escro w
account:
• all funds constituting the Financial
Package;
• all the revenues generated and all the
income accruing from the Project
including but not limited to the,
advertising revenue [and proceeds
from the Real Estate Development],
rentals, deposits, capital receipts or
insurance claims; and
• all payments to the Authority towards
Damages
Termination for Operator default (key events):
• Operator fails to replenish or provide fresh
Performance Security (in case it has been
encashed by Authority), within a Cure Period of
30 days
• the Operator fails to supply the Prototypes buses
within the period
• Operator is in material breach of the
Maintenance Requirements or the Safety
Requirement
• a material breach of any of the Project
Agreements
• Change in Ownership has occurred
• occurrence of any Insolvency/Bankruptcy Event
• False representation of any information
Termination for Authority default (key
events):
• the Authority commits a material
default in complying with any of the
provisions of this Agreement and such
default has a Material Adverse Effect
on the Operator;
• the Authority has failed to make any
payment to the Operator within the
period specified in this Agreement; or
• the Authority repudiates this
Agreement or otherwise takes any
action that amounts to or manifests
an irrevocable intention not to be
bound by this Agreement
Payment upon termination (Opera tor default):
• 90% of the Debt Due less Insurance Cover; and
• 70% of the amount representing the Additional
Termination Payment
Provided that if any insurance claims forming
part of the Insurance Cover are not admitted
and paid, then 80% (eighty per cent) of such
unpaid claims shall be included in the
computation of Debt Due.
Authority shall deduct any subsidy received by
the Operator pursuant to Applicable Laws for
implementation of the Project, for computation
of Termination Payment
Payment upon terminatio n (Authority
default):
• Debt Due;
• 150% of the Adjusted Equity; and
• 115% of the amount representing the
Additional Termination Payment.
Authority shall deduct any subsidy
received by the Operator pursuant to
Applicable Laws for implementation of
the Project, for computation of
Termination Payment
4.2.4.3.1 Gaps in Model Concession Agreement (MCA)
Below are the gaps identified in the Model Concession Agreement:
Contract tenure is more
than asset useful life
The Model Concession Agreement recommends a contract duratio n
of 16 years which is longer than the life of a typical e-bus. This
poses risk to both Operator and Authority (STUs) alike.
(i) Risk to Operator – Since the contract period is more than useful
life of the asset, the Operator may either needs to replace the asset
or have to invest huge amount in maintenance, after using the e-
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bus for its maximum useful life, in order to oblige the SLAs specified
in MCA
This would also lead to higher quotation in response to the bid.
(ii) Risk to STUs –The e-bus technology is at evolving stage and
such a long commitment to the current technology may restrict
STUs from taking advantage of upcoming/better technologies.
Transfer of asset(e-
buses) is not specified
MCA clearly specifies that the maintenance Depot along with its
entire infrastructure needs to be transferred to STUs by Operator
upon termination of the Contract.
However, it doesn’t provide clarity on transfer of e-buses to STU
upon termination of the Contract.
Technical Specifications
suitable for ICE buses are
specified
As per MCA, the e-buses would need to conform to the Urban Bus
Specification (UBS)-II issued by the Ministry of Housing and Urban
Affairs (MoHUA) in April 2013. While UBS II covers many relevant
aspects, it was developed for Internal Combustion Engine (ICE)
based buses and does not capture many of the e-bus related
specifications like batteries and charging infrastructure.
MCA could have specified the common bus specification for
procurement. This would be helpful for OEMs to standardize their
assembly lines. City wise variants would cause issues in
standardization of assembly line, obtaining approvals etc. leading to
lost opportunity of cost saving in manufacturing.
Charging technology Operator can choose any charging technology as per the
requirement. However, MCA does not put any obligation on STU to
facilitate the Operator in case he wish to put Pantograph Charging
or wireless charging methods. MCA confined the premises of
assistance up to Depot charging.
This has limited the convenience of Operator to trade-off with
respect to battery size, capacity and cost that becomes available
with different charging methodologies for e-bus.
Development of Charging
Infrastructure at each
Maintenance Depot
Development of Charging Infrastructure is a capital intensive
exercise. MCA makes its mandatory for Operator to develop
Charging Infrastructure at each Maintenance Depot, irrespective of
number of buses plying from the Depot (i.e., even for Depot that
would have low capacity utilization of charging infrastructure,
Operator are still mandated to develop charging station).
Instead MCA could have provided the flexibility to Operator to
develop optimal Charging Infrastructure at suitable Depots to
optimize the overall CAPEX requirement.
Inappropriate division of
responsibility among
Operator and STU
MCA requires the Operator to complete construction of Maintenance
Depot within 180 days from Appointment Date. However, it
provisioned 1 year for Authority from Appointment Date for
completion of road up to the Maintenance Depot.
Availability of road up to Depot is an enabler for timely completion
of the construction work at Depot. Therefore, instead of
Appointment Date, MCA should have to link the due date of
completion of construction work at Maintenance Depot with date of
availability of road connectivity up to Depot.
Gap 2
Gap 3
Gap 4
Gap 5
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Inefficient way of
provisioning for
Performance Security
MCA requires Operator to provide Performance Security (based on
value of Contract) for the entire duration of the Contract.
However, to reduce the cost of financing of Operator, provision for
yearly reducing Performance Security could be made, whereby the
amount of Performance Security decreases (in same ratio of amount
for which services were successfully rendered) with each completed
year of satisfactory performance of Contract Obligation by the
Operator.
Damage liability for delay
in meeting Conditions
Precedent to Agreement,
among Operator and STU
is unjustified
Upon not meeting the Conditions Precedent to Agreement, the STU
is liable to pay an amount calculated at the rate of 0.1% of the
Performance Security for each day’s delay, whereas it is calculated
at the rate of 0.25% of the Performance Security for each day’s
delay for Operator
Escrow Mechanism could
be a financial burden for
some STUs
MCA provides for maintaining ESCROW account wherein the
Authority shall always, throughout the Contract Period, maintain a
balance of at least an amount equivalent to 2 months’ estimated fee
payable to the Operator. Given the financial condition of STU, this
provision could offer significant financial burden on STUs that have
poor financial health.
Instead of it, two-month revolving letter of credit from state
Government could be provisioned.
No provision to have
system generated SLA s
Manual calculation of SLAs are susceptible to human error and
misrepresentation at times. Therefore, an IT enabled system could
be warranted in the MCA to create system generated SLAs. Further,
MCA has not specified any process for verification of SLAs calculated
and provided by the Operator.
Ambiguity in penalty and
incentive provisions
w.r.t. SLAs
MCA specified Six SLAs, however, it is not clear in the document
whether incentive/penalty is to be provided separately for each SLA
or on achievement/non-achievement of any of single SLA. Further,
maximum ceiling of incentive and penalty is not provided in MCA
Bankability of Project is
not considered
The operation of fleet depends on the availability of adequate
charging infrastructure. However, the risk of arranging for upstream
power network up to Maintenance Depot is provided with Operator
and role of STU is kept limited to providing assistance to Operator in
arranging for such connectivity.
Inappropriate risk sharing that has an impact on entire business
model and revenue stream of the Operator may lead to reduce d
bankability of the Project.
Further, to fund the project, operator would borrow form
commercial banks that may offer loan at high interest rate owing to
factors discussed above. Such high cost of financing will be passed
on to city authorities. Alternative approach of profitable transport
utilities (e.g. PMPML
91
) raising money, possibly at lower interest
rate, has not been explored.
Termination payment is
not covering the entire
debt due, which is
MCA provides termination of Contract under Force Majeure which
encompasses non-Political events, Indirect Political events and
Political event.
91
PMPML – P&L Statement (access here)
Gap 7
Gap 8
Gap 9
Gap 10
Gap 11
Gap 12
Gap 13 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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further reducing the
bankability of the Project
In case of non-Political event, the payment upon termination covers
only 90% of the Debt-due less insurance cover.
Restricting innovation in
e-bus procurement
FAME –II guidelines provides for transfer of demand incentive to
OEM/ Operator. Further, MCA specifies the modus operandi for e-
bus procurement using Opex based GCC model. Defining of
boundary conditions have put restrictions on cities to innovate any
new procurement/operation methodology that could be better than
GCC model or any other model prevalent today.
Other issues i. MCA provide that an open bidding process with RfQ followed by
RfP. However, it doesn’t provide any guidance on
• Minimum technical and financial qualification criteria for
bidders
• Clarity on allowing International Competitive Bidding
ii. Doesn’t provide guidance on minimum technical specification
requirement for e-buses
iii. Guidance on timeline for completion of bidding process
iv. MCA does not provide the guidance on the clauses that cannot
be changed by States. This leads to inconsistent modification of
MCA across States (Review of RFP covering wide variation of
MCA clauses is provide
v. STU to pay Termination payment to operator even if termination
is on account of Operator’s default
4.2.4.3.2 Review of state RFPs for e-buses procurement
Under FAME-II many STUs have floated RFPs for procurement of e-buses. The Model Concession Agreements
(MCA) for these RFPs are broadly based on the standards issued by NITI Aayog with certain modifications
according to the city’s local needs. The variability in RFPs and MCAs combined with changes in of some key
clauses like escrow mechanism and compensation in lieu of delay in payment of fees has increased the risk
perception of the projects thereby reducing their bankability and increasing in cost of financing. The review
of three major RFPs (under FAME – II) with procurement size of more than 300 e-buses is provided below:
Table 49 Review of Uttar Pradesh, Gujarat & Maharashtra e-bus procurement RfP
Particular
Uttar Pradesh
(600 e-Buses)
Gujarat
(300 e-Buses)
Maharashtra
(340 e-Buses)
Contract Duration 10 years 10 years, subjected to
condition assessment of
buses after Eight years (8
years) from COD
10 years
Performance
Security
3% of estimated project cost
(i.e. ~ 27 Crores)
3% of estimated project cost
(i.e. ~ 3.75 Crores)
Rs. 50,000 per e-bus
Charging
Technology
Operator is free to choose
any charging methodology
Operator is free to choose
any charging methodology
Operator is free to choose
any charging methodology
Minimum Daily Run 180 - 200 km on actual
conditions with AC (with
passengers and considering
the traffic).
190 – 220 km No such provision in RFP
Assured Annual
Kilometre
63,000 km 70,000 km Monthly assured Kilometre of
4750 kms for SD AC and
Gap 14
Gap 15 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Particular
Uttar Pradesh
(600 e-Buses)
Gujarat
(300 e-Buses)
Maharashtra
(340 e-Buses)
4200 kms for Midi AC
Electric buses
Payment basis Per kilometre basis (termed
as Per Kilometre O&M Fee,
PKOMF)
Per kilometre basis (termed
as Per Kilometre Fee, PK
Fee)
Per kilometre basis
Payment of
unutilised
kilometre (i.e.,
short of Assured
Annual Kilometre)
Annual Assured Payment
Amount = 25% x (Tm –
Ta) x PKOMF
Annual Assured Payment
Amount = 50% x (Tm –
Ta) x PK Fee
Annual Assured Payment
Amount = 50% x (Tm –
Ta) x Per KM fee
Payment of excess
Bus kilometre
Annual Assured Payment
Amount for Excess Kms =
75% x (Ta – Tm) x
PKOMF
Annual Assured Payment
Amount for Excess Kms =
50% x (Ta – Tm) x PK
Fee
Annual Assured Payment
Amount for Excess Kms =
70% x (Ta – Tm) x Per
KM fee
Payment condition Authority shall pay within 15
days of receipt of invoice.
Authority shall pay within 15
days of receipt of invoice.
70% of payment within 7th
of the month in which
invoice is raised.
30% of payment within 7th
of the next month in which
invoice is raised.
Delay in payment
of fees
The Authority shall pay
Damages at the rate of 2%
(above the Bank Rate) per
annum calculated for each
day’s delay in making the
payment subject to
maximum of one month of
period from the date they
become payable to the
Operator.
No such provision in RFP No such provision in RFP
Revision of fees Yes Yes Yes
Formula for fees
revision
Same as provided in Niti
Aayog’s MCA
Indexed Fee = PK Fee * {1
+ [(10% * (Ref.ET –Base
ET/ Base ET)) + (10% *
(Ref.CPI-IW –Base CPI-IW /
Base CPI-IW)) + (30%
*(40% *(Ref.WPI –Base WPI
/ Base WPI )))]}
For SD AC Bus:
Revised Rate/km.(R) =
Quoted Rate + Change in
electricity rate per
unit/0.90* + Quoted base
rate (R) x {(CPI Month – CPI
Base)/ CPI Base} x 0.05 +
Quoted base rate x {(MW
month – MW base)/ MW base} x
0.15
*1.06 for Midi AC Bus
Minimum duration
for revision
Same as provided in Niti
Aayog’s MCA
12 months 2 months Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Particular
Uttar Pradesh
(600 e-Buses)
Gujarat
(300 e-Buses)
Maharashtra
(340 e-Buses)
Escrow mechanism Yes
Authority to keep a balance
of at least an amount
equivalent to 3 (three)
month’s estimated Fee
payable to the Operator as a
revolving fund
No such provision in RFP Yes.
Same as provided in Niti
Aayog’s MCA
SLA Same as provided in Niti
Aayog’s MCA
Same as provided in Niti
Aayog’s MCA
Breakdowns - Below 0.5 per
10,000 km
Accidents - Below 0.01 per
10,000 km
Availability of buses – 100%
Passenger complaints/
Report by BEST officials
against drivers - Below 0.02
per bus per month
Serious nature of
breakdowns – Nil
No. of late turn out of buses
- 5 instances of more than
15 minutes per 100 buses
per month
No. of not out of buses – 1
per 100 buses per month
Incentive/Penalties
w.r.t. SLA
0.1% of the Performance
Security for such
shortfall/over achievement
in any such performance
indicator
Same as provided in Niti
Aayog’s MCA
No incentive/penalties
mentioned.
Where the Successful Bidder
has failed to cure the breach
within the Cure Period of 30
days, STU shall, without
prejudice to any of its other
rights and/or remedies
under this Agreement, be
entitled to issue the
Termination Notice for The
Successful Bidder’s Event of
Default.
Damages for delay
or non-fulfilment of
Conditions
Precedent
0.05% of the
Performance Security for
each day’s delay subject to a
maximum of 3% of the
Performance Security
Same as provided in Niti
Aayog’s MCA
Non-fulfilment by
Operator – STU is entitled
to encash Security Deposit
cum Performance Guarantee
Non-fulfilment by STU –
No penalty provision in RFP
Responsibility of
setting-up
upstream charging
infrastructure
STU Not clearly specified in the
bid document
Discom/ STU Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Particular
Uttar Pradesh
(600 e-Buses)
Gujarat
(300 e-Buses)
Maharashtra
(340 e-Buses)
Selection criteria L1 or Lowest Bidder L1 or Lowest Bidder L1 or Lowest Bidder
Tm = Annual Assured Bus Kilometres x Available Fleet
Ta = Actual Bus Kilometres Operated by all Contracted Buses
PK Fee: Per km rate provided in the Letter of Award;
Base ET: Base Electricity Rate is the Electricity Tariff applicable for Charging of Electric Buses of 7 days prior to last date of Bid submission;
Ref. ET: Reference Electricity Rate is the Electricity Tariff applicable for Charging of Electric Buses as on the date of submission of the
statement
Base CPI-IW: Base Consumer Price Index for Industrial Worker which is last monthly index available 15 days prior to the Bid Due Date;
Ref. CPI-IW: Reference Consumer Price Index for Industrial Worker which is last monthly index available 15 days prior to revision date
as per the provisions of the Agreement;
Base WPI: Base Wholesale Price Index for All Commodities which is last monthly index available 15 days prior to the Bid Due Date;
Ref. WPI: Reference Wholesale Price Index for All Commodities which is last monthly index available 15 days prior to revision date as per
the provisions of the Agreement.
CPI Base = Index value issued by Government o f India’s Labour Bureau’s Consumer Price Index for Industrial Workers ( CPI- IW ) in
Mumbai of bid end date
CPI Month = Index value issued by Government of India’s Labour Bureau’s Consumer Price Index for Industrial Workers ( CPI - IW ) in
Mumbai for particular month when the price variation is applicable.
MW Base= Minimum wages applicable at the time of bid end date for skilled category (applicable for drivers)
MW month = Minimum wages for skilled category (applicable for drivers) for particular month, noti fied by the Labour department,
Maharashtra state.
Source: 137 Deloitte analysis
4.2.4.3.2.1 Gaps in States’ e-bus procurement RfPs
The table above illustrates the wide variations in the RFP clauses across States. While it is desirable to
amend the NITI Aayog’s MCA to suit the local requirement, however it should not be done at the cost of
overall bankability of the contract. The key gaps in the RFPs are provided below.
L1 or lowest bidder basis
for selection
While NITI Aayog’s MCA does not specify the basis for selection of
successful bidder, the states have invariably resorted to selection
based on L1 method.
Since progress and success of these projects would lay down the
foundation for future uptake of e-buses demand in India, therefore
selection of bidders should be carried out based on Quality-cum-
Cost Basis Selection (QCBS). EV technology is emerging, and bidder
who has demonstrated its capacity to successfully deliver these
projects could have been given more weightage in the selection.
While L1 basis is the economical way of executing such projects but
the same may not be suitable for undertaking projects involving
emerging technologies such as EV and associated e-bus charging
methodologies.
No safeguard for
Operator against delay in
payment
Assurance of time-bound payment against the services rendered is
one of the vital factors considered for bankability of a contract. The
RFPs issued under FAME-II have not provisioned for damages
caused to Operator in case of delayed payment. This has increased
the risk perception from the operator point of view.
No Escrow Mechanism or
alternative mechanism to
ensure timely payment
Escrow mechanism was provisioned in NITI Aayog’s MCA, with an
objective to ensure timely payment to Operator. Cities like
Ahmedabad have not only removed such provision but also haven’t
provided any alternative mechanism such as Letter of Credit etc. to
ensure timely payment to Operator and to increase bankability of
the Contract.
Unequal sharing of risk In RFPs issues by cities such as Mumbai, the risk sharing between
STU and Operator is as the same. For example, in case of default in
meeting conditions precedent to Contract within prescribed timeline,
Gap 1
Gap 2
Gap 3
Gap 4 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Operator is liable to pay damages/penalty however STU has not
provisioned to compensate Operator in case of default from their
end.
Such terms and condition increases the project risk and resultant
cost of financing.
Wide variation in payment
against assured kilometre
While in all RFPs, STUs are willing to assure minimum kilometres,
they have however shown wide variations in payment conditions.
Whereas UP is paying only 25% of bid rate for any kilometre short
of assured kilometres specified in RFP, Ahmedabad and Mumbai
have provisioned to pay 50% of bid rate. The same variation is
observed in payment against each kilometre above the assured
kilometre level.
Such variation have sensitivities on determination of fare bid prices
because of variability in perceived risk by bidders and financiers.
Charging Methodolog y These RFPs have also not envisaged for opportunity charging,
pantograph charging, wireless charging etc. The RFPs have no
clause that favours Operator to explore and provide other charging
methods apart from overnight depot charging.
High performance
security amount
The high amount of performance security as a percentage of
Contract value has been retained by these RFPs. None of the RFP
has adopted favourable mechanism for Operator for providing
performance security that could reduce their financial cost.
Provision for yearly reducing Performance Security could be made,
whereby the amount of Performance Security decreases with each
completed year of satisfactory performance of Contract Obligation
by the Operator.
Review of charging infrastructure lan dscape in India
Availability of adequate charging
infrastructure is a key to faster adoption of
electric vehicle. To accelerate the adoption
of electric vehicles in India, the Ministry of
Power has taken various measure. There
was lot of apprehension about licence
requirement for setting-up of charging
station. EV charging industry considered the
same as a major roadblock in development
of charging infrastructure. Therefore, MOP
vide letter no. 23/08/2018-R&R
92
dated 13th
April 2018 provided clarification on charging
infrastructure or electric vehicles with
reference to the provisions of the Electricity
Act, 2003.
Further, MoP vide letter no. 12/2/2018-EV
dated 1st October 2019 has establis hed
standards for charging infrastructure
development with the objective of enabling
faster adoption of electric vehicles. This is to
ensure a safe, reliable, accessible and
92
Clarification on charging infrastructure for electric vehicles with reference to provision of the Electricity Act 2003 (access here)
Gap 5
Gap 6
Gap 7
It is clarified that during the activity of
charging of battery for use in electric
vehicle, the charging station does not
perform any of the activities namely,
transmission, distribution or trading of
electricity, which require license under the
provision of the Act, hence the charging
of batteries of electric vehicles
through charging station does not
require any license under the provision
of the Electricity Act, 2003.
– Ministry of Power (letter no. 23/08/2018-R&R dated
13th April 2018 amended vide letter no. 12/2/2018-EV
dated 1st October 2019 and 12/2/2018-EV dated 8th
June 2020 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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215
affordable charging network, promoting affordable tariff for EV owners and chargin g station owners and
operators. The guidelines envisaged development of public charging infrastructure in two phases. In phase
1 (1-3 years), public charging stations will be set up in all mega cities with population of 4 million plus as
per census 2011, including all expressways connected to mega cities and important highways connected to
these mega cities. In phase 2, (3-5 years), public charging infrastructure in state capitals, UT headquarters
and highways connected with these cities will be set up. Vide letter no. 12/2/2018-EV
93
dated 8th June 2020,
MoP has further introduced amendments to specify maximum capping on tariff for supply of electricity to EV
Public Charging Station. By this amendment, MoP also included the definitions of Battery Swapping Station,
Captive Charging Station, Battery Charging Station, Public Charging Station and Electric Vehicle Supply
Equipment.
The Government of India has also earmarked Rs. 1,000 crore (~ USD 137 Million) for subsidizing
development of public charging infrastructure. Further, with view to ease out implementation, the
government also provisioned to have State Nodal Agency in each State, nominated by State Government to
facilitate rolling out of charging infrastructure in respective State, with the help of Implementing Agency.
The Implementing Agency selected by Nodal Agencies are entrusted with responsibility of installation,
operation and maintenance of public charging infrastructure. As on 15th August 2020, total 26 States and
UTs have appointed SNAs
94
. Few of the SNAs have appointed REIL, EESL, Exicom, Delta Electronics etc. as
the Implementing Agencies, however, limited traction has been witnessed in the development of public
charging infrastructure. The Central government has approved setting up 2,636 electri c vehicle (EV)
charging stations across 62 cities in 24 states and Union Territories of India under Phase-II of FAME India
scheme, the roll-out of the same is under process.
In India, the existing charging infrastructure is being developed under following routes:
Figure 187 Routes for development of EV charging infrastructure
Source: 138 Deloitte analysis
4.3.1 Development of public charging infrastructure through competitive bidding basis
The entities such as EESL, REIL, and NTPC etc.
are developing public charging infrastructure
through competitive bidding basis. These
entities are collaborating with the urban local
bodies to have access to land
95
at suitable
location within the cities and floating tender to
select agencies such as Fortum, Exicom etc. to
deploy charging infrastructure. The ownership
and responsibility of operation of charging
stations rests with the employer (e.g. EESL,
REIL etc.). There are a few variations in the
tender conditions though. For instance, REIL
has mandated that bidders should open an
authorized service centre equipped with
93
Amendment in the revised Guidelines and Standards for Charging Infrastructure for Electric Vehicles (access here)
94
State Nodal Agencies under the provisions of “Charging Infrastructure for Electric Vehicles – Guidelines and Standards” (access here)
95
Economic Times (access here)
Public Charging
Infrastructure
through competitive
bidding basis
e.g. EESL, REIL at various
cities
Charging
Infrastructure by
collaboration or JV
e.g. IOCL in collaboration
with Fortum at Hyderabad
Captive development
by fleet operators and
OEMs
e.g. Ola Electric, Ather
Energy
Home and Workplace
Charging
e.g. Magenta Power,
Exicom
Battery Swapping
Station
e.g. Ola Electric, E-charge-
up, Sun mobility
12345
Competitive bidding basis is opted by
entities for development of charging
stations on turnkey basis with scope
covering location survey, planning,
engineering, manufacturing, supply,
erection and commissioning.
Ownership and the liability of operation
of the charging station lies with the
employer floating the tender. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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required spares and technicians before the installation of charging stations. NTPC require the selected bidder
to provide ten years of maintenance service of the charging infrastructure
96
.
This mode of development of public charging infrastructure has emerged as a suitable mechanism for mass
deployment of charging infrastructure.
Allotment of land and availability of electrical
infrastructure are prime consideration s in
setting-up of charging infrastructure. Entities
like EESL, REIL and NTPC etc. being owned by
government, find it relatively easier in getting
access to land and requisite power
infrastructure as compared to any private
entity. This model acts on the strength of each
party suitably in development of charging
infrastructure wherein the tendering entities
bring in infrastructure support and the
contractor brings-in technical expertise and
know-how of development.
4.3.2 Development of charging infrastructure th rough collaboration or MoUs
Recently lot of traction has been witnessed in
development of charging infrastructure through
collaboration and MoU. Several players having
unique strengths are joining hands to
collaborate with each other to leverage their
core competencies or access to infrastructure to
develop charging infrastructure. Key examples
includes:
i. Tata Power has signed MoUs for setting
up commercial EV charging stations at
fuel outlets owned by Hindustan
Petroleum Corporation Limited, Indian
Oil Corporation Limited, and
Indraprastha Gas Limited
97
. Tata power
has also signed MoU with MG Motors to
set up fast-charging stations at its
select dealerships across India.
ii. NTPC is associated with IOCL, HPCL, DMRC and vehicle aggregators - Ola, Lithium, Shuttl, Bikxie,
Bounce, Electrie and Zoom Car for development and utilization of public charg ing infrastructure.
IOCL and NTPC are developing charging station in Greater Noida21
98
.
iii. EESL has tied-up with private and public companies such as Apollo Hospitals, BSNL, Jaipur Metro,
Chennai Metro, Maharashtra Rail Corporation Limited, BHEL and HPCL, amon g others, to set up
public charging infrastructure
99
.
iv. Indian Oil Corporation and Fortum partnered to launch Electric Vehicle public charging stations. The
duo have opened their first charging station in Hyderabad. They have plan to open 50 such stations
at IOCL retail outlets in upcoming years
100
.
v. Exicom and BHEL sign MoU on EV charging infrastructure. Under the partnership, projects will be
sought on nomination as well as through competitive bidding. Exicom shall also help state-owned
96
Auto Economics Times (access here)
97
Tata Power (access here), Tata Power (access here), Hindustan times (access here)
98
NTPC (access here) and Mercom Communications India (Access here)
99
EESL (access here)
100
Fortum (access here)
Figure 188 EESL Exicom's AC-DC charging stations for EVs
Source: 139 TERI (access here)
Primarily Oil Marketing Companies
(OMCs) are taking this route to leverage
availability of land at suitable location
and manpower to operate the charging
station. This model has enabled OMCs
to add additional revenue stream in
their business portfolio by capitalizing
existing assets.
Metro Rail Corporations are among
other major players that are leveraging
their parking space for developing
charging infrastructure. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Bharat Heavy Electricals Limited (BHEL) to set up electric vehicle (EV) charger manufacturing facility
for electric mobility business
101
.
vi. Tata Power partners with Tata Motors to develop charging stations in Maharashtra
102
.
vii. Tata power is also partnering with Hotels, Malls, Shopping outlets of Tata Group to set-up charging
stations that would provide convenience to their customer of charging vehicles.
viii. IOCL has joined hands with Sun Mobility to set up battery swapping facility at Chandigarh
103
.
ix. BSES and Ola Electric signed MoU to install battery charging stations in Delhi. As part of the
agreement, Ola Electric will manage and operate these stations through a cloud -based software
system. BSES will facilitate in identification of strategic locations for battery swapping (and charging)
stations
104
.
Although MoUs are not legal commitment but
fructification of them in future needs to be closely
observed. Since these MoUs are not available in
public domain, the ownership structure and
operational mechanism (BOO, BOOT etc.) is not
known. The charging station set-up by IOCL and
Fortum is on BOOT basis, details of the tie-up is provided in the box below:
Source: 140 Fortum (access here)
4.3.3 Captive development by fleet operator and OEMs
Captive development of charging station to provide exclusive access to vehicles of own fleet is also emerged
as another approach in developing charging infrastructure. OLA is said to be the pioneer of this concept in
India. OLA partnered with carmaker Mahindra & Mahindra to launch an “electric mass transport project” in
Nagpur to build charging infrastructure and bring 200 electric vehicles—including cars and auto-rickshaws—
on to its app. OLA under its co-creating infrastructure strategy, broke the chicken and egg problem
associated with development of charging infrastructure and adoption of EV. It has inducted EVs in its fleet
and also created the charging infrastructure to provide exclusive access for charging to its fleet. On a pilot
basis, it has developed charging station and battery swapping stations in Nagpur and Gurugram and has
101
Exicom and BHEL sign MoU on EV charging infrastructure (access here)
102
Tata Power – Media releases (access here)
103
IOC launches battery swapping facility for quick recharge of electric vehicles (access here)
104
BSES, Ola Electric to jointly install battery charging stations in Delhi (access here)
Box 26: Case Study – Indian Oil’s first electric vehicle charging station for general public, in
collaboration with Fortum India Pvt ltd
Indian Oil Corporation Limited envisions exploring newer avenues that are presented by alternative and renewable
energy sectors and be part of the evolving energy landscape. Taking this forward, Retail Team -TAPSO successfully
negotiated with Fortum India for setting up of first public charging stations at retail outlets in the city of Hyderabad
on exclusive basis. Fortum has developed a Charging Station at Goldstrike Fuel and Services fuel station of IOCL,
Rajbhavan Road, Hyderabad.
Details on the Tie-Up between Indian Oil and Fortum India:
• Initially, the charging stations are being set up at 2 Retail Outlets on pilot basis and thereafter it would be
expanded to 50 Retail Outlets in subsequent years.
• Established on BOOT basis for 7 years, the charging stations will have two DC charge points each of 10 KW
or 15 KW charging capacity.
• The smart charger can be accessed by EV user using either Fortum Charge & Drive Mobile App or RFID.
Payment shall be processed electronically through Credit card or debit card initially.
• Based on the efficacy of the proposed model, it will be taken up by other Service Outlets.
Easy availability of land at strategic and
convenient locations is driving the MoU
route of developing charging
infrastructure. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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plan to expand in other cities as well. It has taken multiple strategy to develop charging infrastructure in
Nagpur (the pilot city) which includes:
i. Partnered with ACME Group to develop charging station and battery swapping station across Nagpur
city
ii. Developed and owned charging stations at Airport, dedicated zone for OLA
iii. Developed charging station in partnership with IOCL
In Gurugram, OLA owns and operate battery swapping unit
for e-rickshaws. The station has around 14 battery -
swapping units with 20 battery packs per unit powering
100+ e-rickshaws
105
.
Similarly, B2B mobility service provider company, Lithium
Urban has developed its own charging infrastructure.
Lithium has developed charging station under following
three ways:
i. Developed charging stations on client premises;
ii. Partnered with commercial real estate developers
such as Brookfield Properties and RMZ to set up
charging stations on their properties;
iii. Developing “Charging hub” completely powered by solar energy that is run by Lithium and Fourth
Partner Energy, a 100% rooftop solar company based in Hyderabad, as a joint venture.
Lithium has developed the first charging hub in Gurugram. The Fourth Partner Energy are responsible for
delivering clean and cheap power to Lithium Urban and Lithium ensures that fleet will be charged at the hub.
The company has 25-30 charging stations at the hub where 30 cars can be charged simultaneously. The
company has also plan to open a charging hub in Pune in short-term with medium to long term aim to have
20-25 such hubs across the country
106
.
OEMs are also actively playing role in development of charging station to promote their vehicle sales and
increase brand presence.
MG Motors
107
• MG Motors in partnership with Fortum developing 4 fast-charging stations in Delhi-NCR. First
50 kW DC charging station is unveiled at MG’s showroom at Gurugram on November 2019.
• AC fast charger are provided and installed by MG India at home or office, free of cost on
purchase of EV
• MG owner can access DC super-fast chargers available at MG Dealerships
• MG owner can AC fast chargers available at MG Dealerships, along key routes in satellite cities
• MG Motors provide road side assistance for mobile charging support, available 24x7 in case of
an emergency
• To promote adoption of EVs, Ather is developing its own charging station across selected cities
(Chennai, Bangalore and Delhi). The company call the
charging stations as Ather Grid that offers fast charging
capabilities. Any non-Ather vehicle can also be charged
at Ather Grid using compatible connectors.
• In addition to the access to the Ather Grid, the Ather’s
vehicle also gets AtherDot home charger that can be
installed at apartments, bungalows and shared parking
spaces. A portable charger that uses a standard 5V plug
point is also provided with the vehicle.
105
Battery Swapping: The Way Forward for Early Adoption of Electric Vehicles (EVs) in India (access here)
106
India’s Lithium Urban shows the way in running a profitable all-electric taxi fleet (access here)
107
MG Motors (access here), MG Motor India and Fortum announce installation of the first public 50 kW DC fast charging station in
Gurugram (access here)
Source: 141 IndianWeb2 (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
219
Ather Energy
108
• During the launch offer, charging facility through Arther Grid was offered free of charge. They
have partnered with restaurants, cafes, shopping malls, tech parks, gyms etc. to install the
charging points and according to the company, the charging points will be made available no
more than the 4km driving distance from each other.
4.3.4 Home and workplace charging – collaboration with real estate developers
Although limited traction has been seen in this front, there are players who are providing solutions towards
developing charging stations at residential complexes, commercial spaces, malls and hotel, etc.
Real estate developers are tying up with charging infrastructure developers to make their property EV ready.
Magenta Charge Grid – Lodha Group collaboration and PlugNgo – DLF case studies provided in the box
below.
Source: 142 ChargeGrid (access here), Economics Times (access here); Economic Times (access here), Car and Bike (access here)
108
Ather Energy (access here), Indian Auto Blogs (access here), Fonearena (access here)
Box 27: Case Study I – Magenta Power developing Lodha Group properties as EV ready
Magenta Power under their brand name ‘ChargeGrid’ offers solutions home charging and commercial charging.
ChargeGrid provides services under four category, Destination Charging – Housing societies, offices; Opportunity
Charging – Parking lots, Malls; Enroute Charging – Solution to develop station at highways; Commercial charging –
Fleet charging, bus charging.
Lodha Group, a prime property developer has tied-up with ChargeGrid to install end to end electric mobility charging
solutions in their upcoming realty projects at Dombivli and Thane. Under the partnership, ChargeGrid will install its
EV charging solution - ChargeGrid Pro Chargers. The company will provide installation to charging support, round the
clock service, maintenance support and remote vehicle charging monitoring & e -payments through the ChargeGrid
Mobile application based on iOS & Android platforms.
Case Study II – PlugNgo joins hand with DLF, Delta electron ic and ABB to develop charging
stations in DLF cyber city
PlugNgo (an EV Motors Company), is developing DLF cyber city
complexes and commercial spaces as EV ready. It is under their long
term plan to 6500 EV charging station across India in next five years.
In DLF area, The chargers will be assembled at malls and commercial
complexes which will be networked and connected to PlugNgo cloud
based integrated software program.
DLF Cyber City buildings are LEED Platinum certified, and therefore
company has tied up with PlugNgo to make their buildings EV ready as
well. The PlugNgo platform will also deliver customized installation
support, round clock service, maintenance support and remote vehicle
charging monitoring and e -payments through PlugNgo mobile
application which is available on the iOS and Android platforms.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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220
4.3.5 Battery Swapping Stations
With the increased value proposition of electric vehicles in commercial segment, the country has recognized
the need for battery swapping stations in order to minimize the downtime of commercial vehicles.
Battery swapping stations are useful for 2W, 3W, 4W
– fleets and e-buses. In addition to providing services
to the electric vehicle, battery swapping stations also
provides an opportunity for enabling batteries to
participate in demand response services
109
in the
wholesale power market.
Many established players as well as start-up firms are
venturing into the arena. Sun Mobility has partnered
with Uber and Pune-based Piaggio Vehicles to provide
swapping solutions for their EVs fleet. Sun-mobility has also assisted IOCL in setting-up of battery swapping
station for 3W in Chandigarh.
The company is also pioneering in using information technology to provide user an ease to access the battery
swapping station. It has developed an IOT enabled keychain to access the dock to place the drained
battery, pay for energy consumed and pick up a charged battery . Further, to overcome the problem
of battery standardization, the company is manufacturing its own modular Sma rt Batteries
TM
that are
adaptable to different vehicle platforms.
E-Chargeup, a Noida based start-up, is also providing IoT enabled solutions for battery swapping to e-
rickshaw. The company is providing battery swapping facility for only Li-ion batteries manufactured by
Gurugram based Greenfuel Energy Solutions. Amara Raja has established battery swapping stations for fleet
of e- Autos in Tirupati city
110
.
Panasonic is conducting pilot programmes on battery swapping in Delhi NCR. Similarly, Ola Electric is
planning to develop battery swapping station in Delhi NCR in collaboration with BYPL and BRPL
111
.
Given the huge requirement of up-front capital in setting-up of battery swapping station this business model
are observed to be concentrated in limited geographies (areas with high EV penetration) and players are not
scaling up to other places, at least until capacity utilization is increased with increased EV adoption.
Together with the growth in EV charging, there have been several challenges as well in the industry. List of
key challenges around development of EV charging infrastructure is provided in Annexure 6.4.
109
A new method to plan the capacity and location of battery swapping station for electric vehicles considering demand side management
(access here)
110
E-Chargeup (access here), Amara Raja (access here)
111
Ola Electric (access here), Panasonic (access here)
Sun mobility has installed an
automated battery swap station
equipped with a robotic arm to
swap the 600 Kg battery within 3
minutes to cater 18 Ashok Leyland
electric buses in Ahmedabad. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
221
5. EV ecosystem enablers and barriers
5.1. Electric mobility stakeholder consultation
To understand the enablers and challenges in uptake of electric mobility in the country, Deloitte conducted
stakeholder survey as a part of this study, where 42 individual experts across electric mobility industry,
responded with their inputs. Summary of the survey output is provided below:
EV mandate could provide confidence in manufacturer/charging infra developer/
investors in long-term prospects of EV and payback certainty
Figure 189 Priority for policy measures to fast track EV adoption in India
Public awareness is key in providing thrust to EV uptake
Figure 190 Ranking major challenges for EV adoption in India
23%
26%
29%
3%3%
16%
26%
13%
3%
26%
13%
16%
3%
6%
23%
16%
16%
16%
13%
10%
13%
3%
23%
13%
26%
10%
13%
3%
23%10%
19%19%
6%
19%
23%
3%
10%
13%13%
13%
26%
6%
10%10%10%10%
26%
29%
Launch of Charge ready
infrastructure
programme
National/ State level
policy for incentivizing
Distribution Utility
investments in EV
charging infrastructure
Policy and clear
mandate on target EVs
on road by 2030 for
each vehicle type
Policy & clear mandate
on GHG emission
reduction for country
and states
Amendments in Tariff
Policy to accommodate
rate basing of EV
Charging infrastructure
Dis-incentivize
conventional vehicle
purchase
Promote battery
recycling and reuse
Priority 1 Priority 2 Priority 3 Priority 4 Priority 5 Priority 6 Priority 7
44%
22%22%
4%
7%
19%
19%
30%
22%
4%
7%
4%
33%11%
22%
22%
7%
15%
11%
22%
26%
15%
11%
11%
15%
11%
15%
30%
19%
7%
4%
11%
22%
56%
Perception of public about EV
(Anxiety around range,
mileage, power, service,
charging infrastructure etc.)
Inadequate charging
infrastructure
Insufficient government
support in providing financial
incentives for demand
creation
Insufficient government
support in providing financial
incentives for reduction in
manufacturing cost
Lack of R&D support in
reducing battery prices
leading to higher TCO for EVs
(Capex + Opex)
Concern around safety
standards of EV and
Charging Infrastructure
Rank 1 Rank 2 Rank 3 Rank 4 Rank 5 Rank 6 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
222
Raising public awareness is essential to educate people to make them to adopt
EV. Their impactful role in making the environment clean, needs to be
communicated to have wider participation
Figure 191 Priority areas for policy makers to catalyze EV adoption
62% respondents believes that creating facilities such as zero
emission zones will help in uptake of electric mobility.
Feebate concept is largely missing in the existing policies/ schemes. Such
innovative promotional mechanism needs to be adopted in India to have
increased EV uptake.
97% respondents suggested that government should sponsor
more system modelling/ EV charging -grid integration related pilot
demonstration project.
High uptake of EVs would certainly have huge impact on electricity grid. It is
prudent to be prepare for extremities by developing sufficient knowledge of grid
behaviour in all possible scenarios of EV integration to enable smoother
transition towards EV.
23%23%
19%
6%
29%
19%
32%
35%
6%
6%
10%
16%
23%
32%
19%
32%
19%
10%
26%
13%
16%
10%
13%
29%
32%
Expand EV model availability Improve EV cost competitiveness Develop charging infrastructure
network
Accelerate EV deployment across
different fleets
Raise public awareness (Education
and skills training, Mass
communication etc.)
Priority 1Priority 2Priority 3Priority 4Priority 5 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
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Understanding of grid behaviour should be a prime concern while making effort
for high EV adoption. Grid resilience would be crucial for EV transition
Figure 192 Priority technical interventions to promote uptake of electric mobility
Identification of suitable location and allotment of land are two major issues
causing delay in development of charging infrastructure. Administrative
mechanism or institutional solution needs to be developed to avoid such delays
Figure 193 Ranking challenges faced in setting up EV charging station
Minimizing
administrative hurdles
by providing single
window clearance
facility could act
favourably for EV
adoption
Figure 194 Pan India single window clearance facility
37%
19%
30%
7%7%
7%
22%
33%
4%
19%
15%
15%
15%
11%
41%
11%
7%
7%15%
19%
19%
22%
19%
15%
15%
4%
33%
30%
4%
19%
15%
4%4%
11%
48%
Undertaking modelling and
simulation studies
Enabling communication
between EV charging
Stations (EVCS)
Enabling interoperability in
EV charging stations
Database management and
notifications to utilities
Enabling communication
system between EVCS and
distribution utility
Enabling Vehicle to grid
integration
Priority 1 Priority 2 Priority 3 Priority 4 Priority 5 Priority 6
41%
19%
15%
11%
4%
7%
4%
11%
37%
15%
7%
15%7%
7%
15%
15%
26%
19%
11%
15%
22%
4%
19%
33%
19%
0%
4%
19%
4%
4%
33%
30%
11%
4%
19%
7%
15%
30%
26%
11%
4%4%
19%
4%
11%
48%
Choosing appropriate
locations for placement
of EVSE
Allotment of land Receiving clearances
and approvals for
manufacturing facility
Technical issues in
integration with
Distribution network
(Voltage Stability and
Harmonics)
Administrative issues in
taking electricity
connection
Bureaucratic
interference
Supply of raw material
Rank 1 Rank 2 Rank 3 Rank 4 Rank 5 Rank 6 Rank 7
59%
13%
28%
0%
Extremely
important
Good to have Important Not required Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
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Discoms to play a major role in development of charging infrastructure. PPP is
the best mechanism to leverage technical capabilities of Discom and financial
capabilities of private developer. Suitable Modus-operandi for PPP needs to be
developed on priority to have high penetration of charging infrastructure in
India
Figure 195 Policymaker's priority for developing charging infrastructure
Enabling Discoms
through regulatory
measures to develop
charging infrastructure
is need of the hour
Figure 196 Regulatory measures for promoting charging infrastructure
development in the country
75% of respondents suggested that complimentary grant for
open access or rebate in cross-subsidy surcharges/ wheeling charge should
be provided to the charging station which is availing power from RE sources.
Availability of adequate greener power would be the key to attain the envisaged
benefit of EV in pollution control. Suitable regulatory measures to be studied
and adopted to embed RE with EV charging.
38%
19%
12%12%
4%
15%
35%
19%
8%
15%
8%
15%
4%
8%
15%
27%
23%
23%
8%
31%
15%
8%
19%
19%
12%
15%
23%
23%
12%
15%
4%
8%
27%
15%
35%
12%
Developing framework for
public private partnerships/
franchisee agreements for
developing EV Charging
stations
Develop a framework for
Managed/ coordinated
charging to mitigate
distribution network impacts
and facilitate RE integration
Provision to include
investments in EV charging
infrastructure in the retail
tariff
Identify the tariff structure
for EV charging (e.g., ToD
tariff, special EV charging
tariffs for EV users)
Adoption of smart grid
capabilities, such as smart
metering, “smart” charging
Specifying connectivity
standards and technical
standards for EVSE
equipment
Prioirity 1 Prioirity 2 Prioirity 3 Prioirity 4 Prioirity 5 Prioirity 6
52%
12%
26%
10%
Extremely
important
Good to have Important Not required Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
225
There is need to have
state coordination
forum to have
orchestrated
development in EV
front across Country
State Coordination Forum can
act as a common platform for
state representatives to frame
unified policies, regulatory
measures, specification,
standardization, data sharing
protocols, incentives,
mechanism for single-window
etc.
Figure 197 Need for a state coordinated forum as a common platform for
state representatives to promote electric mobility
90% of respondents consider formulation of a National IT
Committee important for creating an ecosystem for electric mobility.
The National IT committee will create national data standards,
formulate rules for data sharing, monitoring etc.
52%
12%
26%
10%
Extremely
important
Good to have Important Not required Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
226
5.2. Key barriers in EV charging infrastructure
Uncertainty around EV penetration in India
Central and State Governments are equally promoting EVs.
However, none of the governments have provided mandate for EV
adoption. The capacity utilization and hence revenue assessment is
largely dependent on number of EVs being served by the charging
infrastructure. In case of uncertainty around rate of EV penetration
in India, the business risk overshoots manifolds, causing developer
to shy away from putting resources in development of charging
infrastructure.
To bolster the confidence
of charging infra
developer to be able
recover cost of finance,
government must
portray certainty around
EV adoption
Lower capacity utilization
For early payback of capital invested in the business, it is required
to have high utilization of assets. However, in India, since EV on
road are not significant, the asset utilization remains critically low
leading to multiple issues such as delay in payback, non-recovery of
operating expenses, default in bank loan etc. Thus, under-utilization
of the charging assets does not substantiate the business case for
development of charging infrastructure and acting as a major
barrier
Only higher rate of EV
adoption can offer a
plausible business case
for charging infra
development. It will
remain as a chicken-egg
problem, unless
government mandate
Discoms to take
responsibility of
development of charging
infrastructure
EV charging
barriers
Uncertainty around EV penetration
in India
Lower capacity utilization
No mandate for Discom to develop
charging infrastructure
Fixed demand charges in EV
tariff
No mechanism for socializing the cost
of power infrastructure development
Lack of Managed Charging Framework
and functions
No regulatory framework for charging
service provider to participate in power
market for demand response
High cost of finance
Land identification and allocation
Issues related to administrative
clearances
02
01
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02 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
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High cost of finance
This issue is interrelated with issues presented in above points. The
cost of finance has direct relationship with the perceived business
risk by the financial institution. EV is an evolving technology and
charging business model is not matured enough in India therefore,
financial institutions are shying away from providing loans to the
developer or even if it has been provided the cost of finance is high
considering the risk factors involved. This is leading to insufficient
scaling-up of EV charging business in India.
Policy measures to make
available concessional
loan or government
guarantee backed loan
should be taken to
ensure viability of
business and sufficient
scaling-up of charging
infrastructure in India
No mandate for Discom to develop charging
infrastructure
Globally Discoms are playing key role in development of charging
infrastructure. In China, State Owned Grid Utilities are investing
hugely in development of charging infrastructure. Similarly, in USA
electric utilities have to mandatorily file transportation electrification
proposal. However, in India, Discoms are not obligated with the
responsibility of development of charging infrastructure.
EV adoption and development of sufficient charging infrastructure is
a classic example of chicken-egg problem. However, the existing
policies have not adequately addressed this issue. In absence of any
established business model, lower charging infrastructure
utilization, and uncertainty around EV adoption (due to no EV
adoption mandate), the private players perceiving huge risk in
entering into charging business. Therefore, particularly in Indian
context, it becomes important to delegate responsibility of
developing charging infrastructure to Discoms.
Discoms to be mandated
to develop charging
infrastructure, at least in
initial years, to provide
sufficient confidence in
EV adopters related to
refuelling
Fixed demand charges in EV tariff
15 states and UTs (out of 22) such as Gujarat, Haryana, Karnataka,
Maharashtra etc. have announced demand cha rges for EV charging
stations. Electricity demand charges are fixed charges levied on
charging station operator based on connected load irrespective of
usage of the charging station facility.
In case of low asset utilization, levy of the electricity demand
charges makes it difficult for charging station operator to achieve
break-even.
There is need to design a
suitable tariff that
increases feasibility of
operation of charging
infrastructure facilities at
even low asset utilization
level
No mechanism for socializing the cost of
power infrastructure development
Regulators in US allow utilities to undertake investment in “make-
ready” infrastructure for EVSE integration as well as EVSE
infrastructure and recover the cost through rate-basing. Rate basing
is a mechanism to allow recovery of expenses incurred by utilities in
developing of grid network suitable to provide make-ready
Regulators should
encourage utilities to
carry out such
investments and provide
pathway to cost recovery
through rate basing.
Forum for Regulators
03
04
05
06
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and barriers
228
infrastructure for EV charging stations, through regulatory means of
tariff determination. This allows utilities to undertake costly
investment and socialize the cost of setting up “make-ready”
infrastructure for EVs. Such a proactive approach creates an eco-
system for setting up EV charging infrastructure.
While several states in India have introduced EV policies, state
utilities and regulators are yet to facilitate large-scale investments
in “make-ready” infrastructure for EVs. In the absence of regulatory
clarity on allowing expenses incurred in development of upstream
network in tariff, utilities are demanding cost of development of
requisite grid infrastructure from the charging infrastructure
developer. Such a huge investment impacting the overall business
proposition.
may draft a mechanism
for rate basing in India
Lack of Managed Charging Framework and
functions
Utilities in western countries with significant levels of EVSE
penetration have focused on developing a managed charging
framework so as to efficiently manage the additional stress on
distribution system network on account of EV charging. This entails
setting up various communication and hardware protocols to
implement a managed charging framework as well as creating
various incentives for consumers to participate in managed charging
initiatives.
In the Indian context, absence of standardized protocols for EV
managed charging limits the discoms ability to control the charging
of EVs. Therefore, in such a scenario, utilities have to upgrade and
design the network for peak system demand, which is a capital-
intensive affair and is posing as a major barrier in rapid scaling up
of EV charging infrastructure
While EV growth is still at
a nascent stage in India,
utilities and regulators
will need to plan for
implementing a managed
charging framework with
a long-term perspective.
No regulatory framework for charging
service provider to participate in power
market for demand response
To take advantage of flexibility from managed operation of EV
charging, ancillary markets in developed countries have provisions
for demand response providers to participate in the ancillary
market. This provides additional revenue stream to demand
response sources and allows utilities to better manage its demand-
supply position.
This is particularly important in the scenario where capacity
utilization of existing charging infrastructure is critically low,
additional revenue stream by participating in power market would
increase feasibility of the business.
Regulator should
establish a mechanism
for demand response
products in the ancillary
market wherein charging
service provider could
participate
07
08
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However, in India there is no mechanism exist that allow charging
service provider to participate in power market for demand
response
Land identification and allocation
Identification and allocation of the suitable land is critical in the
entire value proposition of EV charging business. Some State EV
policy have although recognized this as an issue and offered
assistance in identification and allocation of land, however, our
interaction from industry participants suggest that there are
administrative challenges involved in land acquisition and in case of
lease, uncertainty involves around the lease rental on long-term
basis.
In a survey conducted by Deloitte as a part of this study reveals
that identification of suitable location for setting-up of charging
station and allotment of land are among key barriers in the
development of charging infrastructure.
Government should
develop an online portal
to provide transparent
information on
availability of suitable
land for development of
charging infrastructure
Further, government
should mandate Oil
Marketing Company to
offer land available at
their retail outlets for
development of charging
infrastructure as most of
the retail outlets are
suitably placed within the
city provided approval is
granted by Petroleum
and Explosives Safety
Organization (PESO) for
change in layout plan for
setting up PCI
Issues related to administrative clearances
In a survey conducted by Deloitte as a part of this study reveals
that there is requirement for establishment of Single Window
Clearance System for providing time-bound technical and
administrative approval, for matters related to land allocation,
electricity connection and other issues.
Availing administrative clearances are posing significant delays in
development of charging infrastructure.
Government should
develop a District Level
Implementation
Committee chaired by
District Collector to
review the status of
time-bound clearance
provided to charging
infrastructure developer
under single window
system
09
10
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5.3. Key challenges and barriers in adoption of EV
No mandate for EV adoption
ICE vehicle have served all the stakeholders for many decades
therefore there is inherent inertia for any change. Without mandate
it would be very difficult to provide thrust for EV adoption as nearly
all stakeholders are comfortable with the current state of using ICE
vehicles and do not see a need for change to meet their travel
needs. As for end user’s perspective, any change means a learning
curve and changing current ways of transportation, refuelling,
servicing and maintenance. Manufacturers are heavily invested in
current set of manufacturing facilities for ICE vehicles and any
change in technology will need significant additional investments.
Oil companies are also invested up to neck in upstream and
downstream oil infrastructure. Retail outlet/fuelling stations will
also have to lose their investments or will have to invest in
charging/swapping facilities as a new line of business. There is a
large auto repair industry that stands to lose business as electric
vehicles have fewer parts. As a result, there is resistance to change
and unwillingness to get out of the current comfort zone. Therefore,
unless there shall be mandate for EV adoption or huge taxes on
conventional vehicle, the inertia of owning and using ICE vehicles
would be difficult to stop.
Globally, EV mandate
and heavy taxes on ICE
vehicles have played an
important role in rapid
EV adoption
Insufficient charging infrastructure
EV adoption and development of sufficient charging infrastructure is
a classic example of chicken-egg problem. However, the existing
policies have not adequately addressed this issue.
Wider availability of
adequate charging
infrastructure is vital for
EV uptake in India
High cost of EVs and dependence on imported batteries
Absence of adequate financing
support
Lack of public awareness
Inadequate availability of suitable
models for EVs
Stringent conditions for
availing subsidies
Insufficient charging infrastructure
No mandate for EV adoption
Barriers & Challenges
in e-mobility
02
02
01
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The range anxiety and limited availability of on-route charging
infrastructure are the main concern of people shying away from
purchasing EVs. Further, policies have not provided sufficient focus
on promotion of development of home charging/ workplace charging
infrastructure that could potentially offer a convenient alternative to
on-route charging infrastructure for vehicle owner. Further, concept
such as e-roaming are still not evolved in India that could provide
flexibility and interoperability in charging across multiple location.
Stringent conditions for availing subsidies
The subsidies on EV purchase were announced to bridge the gap
between the prices of EV and ICE vehicles. However, various riders
placed around eligibility conditions for availing subsidies have
largely defeated the purpose of extending subsidy support. For end-
users riders were put on minimum range per charge and minimum
top speed. Similarly, OEM are mandated to undergo re-certification
process for conformity check to obtain certificate of ‘FAME II India
Phase II eligibility fulfilment’ from approved testing agencies in
India.
Such riders are posing significant barriers in utilization of subsidy
utilization and EV adoption.
Purpose of the subsidies
should be to have more
and more EVs on road.
Riders and other
conditions may be
postponed till EV
ecosystem become
sustainable in medium to
long term horizon
High cost of EVs and dependence on
imported batteries
One of the major barriers for switching to EVs is its cost. Although,
there have been significant reduction in battery prices over last few
years; still EVs are not able to achieve cost parity with their ICE
vehicle equivalent.
Further, due to unavailability of raw material in India for battery
manufacturing, there is continuous overarching risk of price change
and availability of batteries owing to geo-political conditions. This is
also imposing sense of uncertainty in assessing long-term operating
cost of EVs that is the main proponent for its adoption.
Boosting of local
manufacturing
capabilities for battery
and EV auto-component
would help EVs in
achieving cost parity with
their ICE equivalents
Absence of adequate financing support
Particularly for e-bus there is no suitable financing support exist,
except FAME –II subsidy that too available for limited no. of e-
buses. Facility such as concessional loan, government guarantee
backed loan, funding through green bonds, municipality bonds etc.
are not available for procurement of e-buses leading to inadequate
uptake of the same in shared-mobility space.
Innovative financing
mechanism should be
explored to arrange
finance for e-bus
procurement
Lack of public awareness
Electric vehicles technology is still evolving and details about its
performance, ease of use and maintenance are relatively unknown
Many State EV policies
have provisioned to have
campaign and drive to
raise awareness on EV
03
04
05
06
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to the public at large. People do not know what its benefits and
challenges are. They are not aware of why it is important to make
the transition. There are myths and concern about availability of
spare parts and ease of availability of mechanics for repair works.
Further, the vehicle owner does not know the concept of Total Cost
of Ownership (TCO), therefore, purchase decisions are largely
governed by upfront purchase cost only. Further, availability of
subsidy scheme on purchase of EV is known to limited segment of
society.
among public. EV
adoption largely depends
on meticulous
implementation of such
policy measures
Inadequate availability of suitable models
for EVs
OEMs of ICE vehicles have invested hugely over the years in R&D
and developed variety of models with varying performance
parameters to cater almost all consumer segment in a society.
However, this is not true with EVs. There are limited models
available for consumer to choose from, that restrict their ability to
select suitable model of their choice. This issue is particularly more
prominent among 2W and 4W consumer segment.
Unless there exist
mandate for EV adoption,
OEMs would not
significantly invest in EVs
development. With
limited choices, EVs are
less likely to be adopted.
07
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in Ind ia | EV ecosystem
enablers and barriers
232 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
233
6. Annexure
Chapter 1 As-is state of passenger road transport system in India
1. Automobile export
Figure 198 Category-wise vehicle export trend in India from FY15 to FY20
2. Import dependency of India
Figure 199 India's crude oil production, import, consumption
and import dependency (FY13-FY19(P))
Source: 143 Indian Petroleum and Natural Gas Statistics 2018-19
Figure 200 India's natural gas production, import,
consumption and import dependency (FY13 -FY19(P))
Source: 144 Indian Petroleum and Natural Gas Statistics 2018-19
3. Public v/s Private buses
Figure 201 Total no. of buses - public and private (FY11-FY17)
Source: 145 Road Transport Year Book (2016-17)
“Private buses have
significantly dominated
Indian bus market. They
account for more than
90% share in the overall
market, and have grown
at a CAGR of 2.57% from
FY11 to FY17”
India has high import dependency for crude oil
consumption. This puts India at high exposure for
geo-political risk.
India is well placed to cater more than half
of its natural gas requirement from domestic
production Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
234
Figure 202 Fuel-wise share in sales of buses in India
Source: 146 Vahan dashboard
“Sales trend for last
three year suggests that
diesel is most preferred
fuel technology for
buses in India”
4. State-wise deployment of EVs as on July 2020
Table 50 State-wise total number of EVs (as on Jul'20)
# State/UT 2W 3W 4W Other Total
1.
Andaman and Nicobar Islands 0
0 0 0 0
2. Andhra Pradesh 0 0 0 0 0
3. Arunachal Pradesh 9 1 6 0 16
4. Assam 176 24,605 8 27 24,816
5. Bihar 1,447 24,988 19 15 26,469
6. Chandigarh 74 646 33 0 753
7. Chhattisgarh 2,624 3,136 117 92 5,969
8. Dadra and Nagar Haveli &
Daman and Diu
32 36 13 1 82
9. Delhi 4,792 89,493 2,082 42 96,409
10. Goa 320 39 88 3 450
11. Gujarat 3,224 1,056 555 260 5,095
12. Haryana 3,197 10,282 217 116 13,812
13. Himachal Pradesh 22 120 78 59 279
14. Jammu and Kashmir 152 34 16 44 246
15. Jharkhand 868 6,225 137 73 7,303
16. Karnataka 14,021 754 1,348 101 16,224
17. Kerala 369 441 60 -21 849
18. Lakshadweep 0 0 0 0 0
19. Madhya Pradesh 0 0 0 0 0
20. Maharashtra 19,905 3,706 1,674 231 25,516
21. Manipur 61 331 3 0 395
22. Meghalaya 15 3 6 4 28
23. Mizoram 9 1 7 0 17
24. Nagaland 39 0 2 0 41
25. Odisha 3,681 893 63 194 4,831
26. Puducherry 885 23 87 10 1,005
27. Punjab 1,708 957 112 43 2,820
28. Rajasthan 5,374 18,906 141 10 24,431
29.
Sikkim
1 0 20 0 21 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
235
# State/UT 2W 3W 4W Other Total
30. Tamil Nadu 13,223 351 4,049 1,600 19,223
31. Telangana 0 0 0 0 0
32. Tripura 58 3,687 10 0 3,755
33. Uttar Pradesh 9,997 1,74,063 359 42 1,84,461
34. Uttarakhand 1,109 16,599 14 1 17,723
35. West Bengal 1,218 29,192 4,118 543 35,071
India 88,610 4,10,568 15,442 3,490 5,18,110
Source: 147 Vahan dashboard (accessed on 25
th
July 2020)
5. Category-wise vehicle sales growth
Figure 203 Trend in sales of 2W, 3W and 4W segments from FY12 to FY20
Source: 148 Vahan dashboard
6. Fuel categorization
Figure 204 Fuel wise break of annual vehicle sales
Source: 149 Vahan dashboard
“2-wheelers have been the preferred mode of
transportation among Indians, as confirmed
from 2011 Census of India. Growth in the
two-wheeler segment in the last decade
corroborates the findings of the survey” Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
236
Figure 205 YoY sales trend in key vehicle fuel technologies
Source: 150 Vahan dashboard
“Looking at the
last three
years, EVs and
CNG vehicles
have started
gaining
momentum in
the Indian
market”
7. Adoption of e-buses
Figure 206 Trend of e-bus adoption and its share in overall bus sales
Source: 151 Vahan dashboard
8. Growth in OEM sales
Figure 207 Total vehicles sold by key electric mobility OEMs (Cumulative)
Source: 152 Vahan dashboard
9. Key initiatives by automobile players in EV space
In the last two years, OEMs have
experienced substantial increased
in sale of EVs; industry expects the
growth to continue Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
237
Table 51 Key actions by auto players in India
S.No. Operator Vehicle
category
(4w,3w,2w,
buses)
Key models Key Initiatives
1 Mahindra
Electric
4w eSupro (2)
e20 Plus
eVerito
• Zoomcar partners with Mahindra Electric to offer
self-drive
• EV cars in Mumbai, Hyderabad, Mysore.
• Mahindra Electric has joined hands with Meru
Cabs to deploy electric vehicles.
• LG Chem is Mahindra Electric’s Lithium battery
technology partner.
• Signs MoU with Government of Maharashtra for
EV manufacture and deployment.
• Partnered with Ola for Nagpur pilot.
• New EV SUV models are under design stage and
to be launched soon.
2 Tata Motors
4W Nexon EV,
Tigor EV
• Lithium Urban Technologies has given an order
of 500 EVs to Tata Motors
• Tata Motors announced to separate its
passenger vehicles arm from the commercial
vehicle wings, and merges Electric and
Passenger Car Entities
3 Maruti Suzuki
4W WagonR EV • In September 2017, Suzuki announced
partnership with Denso and Toshiba for Lithium
battery technology.
• In November 2017, partnered with Toyota Motor
Corp to benefit from its electric car technology
for Indian market.
• Plans to invest US$14.5 billion for the
development of EV technology.
• Maruti Suzuki deferred launch of Wagon R EV in
2020 due to lack of charging infrastructure in
India
4 Honda
4W Honda EV
Plus
• Honda enters in a partnership with GM to build
its two new electric vehicles using GM’s flexible
EV platform with its Ultium-branded improved
battery packs
5 Hyundai
4W Kona EV • Hyundai Motor India Limited (HMIL) plans to
launch its electric SUV in 2020
• Hyundai plans to launch its first India-made
electric SUV by 2022
6 MG Motors
4W ZS EV • MG Motors launched their first electric car in
India in January 2020
7 Ashok
Leyland
Buses/ Trucks - • Ashok Leyland is looking to enter into a
partnership with multinationals to start a joint
venture in the electric mobility space Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
238
S.No. Operator Vehicle
category
(4w,3w,2w,
buses)
Key models Key Initiatives
• Ashok Leyland setup its electric vehicle (EV)
facility in its Ennore plant.
8 Eicher
motors
Buses - • VE Commercial Vehicles (VECV), a joint venture
of Volvo Group India Pvt. Ltd and Eicher Motors
Ltd, is developing a new line of products,
including a complete range of electric vehicles
for public transportation
9 Olectra-BYD
Buses K9 • Olectra – BYD launches electric buses in
Hyderabad
10 Bajaj
2W, 3W Chetak • Bajaj launched its first EV, Chetak, in January
2020
11 TVS
2W iQube • TVS plans to expand its electric vehicle portfolio
in the coming years in a phased manner
12 Hero Electric
2W ES series, E5
series, E2
series
• Hero Electric has aggressive investment plans to
ramp its electric scooter production capacity up
the 5 lakh units annually in the next three years
• Hero Electric targeting 1,000 dealer touchpoints
across India by 2020 end
13 Toyota
4W Camry
(Hybrid)
• Toyota is in collaboration with Suzuki Motor
Corporation (SMC) to develop electric vehicles in
India
10. Vehicle technology
1. Conventional technology
As mentioned above, the Indian vehicle industry is heavily dominated by conventional fuel technologies such
as petrol and diesel vehicles. These technologies have contributed to ~97% of passenger vehicle sales in
last five years. In the forthcoming sections, we will discuss the conventional technologies in brief.
a. Petrol vehicles
Petrol based vehicles are one of the oldest fuel
technologies and is also the most preferred fuel
technology in the Indian market.
In its propulsion system, the petrol vehicle has a
fuel tank for petrol storage and a spark-ignited
internal combustion engine (IEC) that provides
mechanical power to the transmission enabling the
vehicle to move.
Figure 208 Propulsion system of a petrol vehicle
Fuel tank
Internal combustion
engine Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
239
In petrol vehicles, fuel is injected into the combustion chamber and combined with air. Using the spark plug,
a spark is generated by the air and fuel mixture. The gases that are generated from the combustion pushes
the piston, which in turn rotates the crankshaft. This ultimately provides mechanical power to the
transmission enabling the vehicle to move.
Petrol contains carbon and hydrogen atoms. During combustion, the carbon (C) from the fuel combines with
oxygen (O2) from the air to produce carbon dioxide (CO2). The CO2 impacts the environment which is one
of the reasons why the world is now looking beyond petrol vehicles for transportation.
b. Diesel vehicles
Diesel is second most preferred fuel type in India
after petrol. Similar to petrol, diesel vehicles also
use an internal combustion engine (ICE). However,
unlike petrol, they have compression -ignited
injection based ICE rather than spark-ignited ICE.
In the compression-ignited injection, diesel fuel is
injected into the combustion chamber of the
engine and is ignited by the high temperatures
achieved when the gas is compressed by the
engine piston. Once there is ignition, mechanical
power is transferred to the transmission and the
vehicle moves.
Similar to petrol vehicles, diesel vehicles also contribute to the CO2 emission in the environment and warrant
exploration of low-carbon fuels for transportation.
2. Non-conventional technology
a. CNG vehicles
Compressed Natural Gas, also known as CNG, is
methane stored at a high pressure. Italy was the
first country to use Natural gas as vehicle fuel in
the 1920s. GAIL (India) Limited initiated the pilot
program in 1992 to use CNG as vehicle fuel in India
in collaboration with Indian Institute of Petroleum
in 3 cities namely Delhi, Mumbai and Baroda.
Since then, 1730 CNG stations
112
have been set-
up with a total of 33.47 lakh CNG vehicles
113
on
road (as on 31
st
March 2019). A simple
Hydrocarbon structure (CH4) with less C atoms,
makes CNG a cleaner fuel. Higher Octane allows
use of higher Compression Ratio in spark ignition engines that provides better fuel efficiency. Likewise,
lighter density with respect to air and high self -ignition temperature contribute to its cleanliness
characteristic
114
.
There are are three types of CNG vehicle technologies available in India:
i. Dedicated CNG eng ine - Dedicated CNG vehicles have Spark Ignition (SI) engines that are
operated only on CNG.
ii. Bi-fuel retrofitted gasoline engine - Bi-fuel vehicle can run on either CNG or gasoline. Such
vehicles have regular Internal Combustion Engine. The vehicle can be operated on any fuel type by
flipping a switch on the dashboard. Any existing gasoline vehicle can be converted to a bi -fuel
vehicle.
112
Indian PNG Statistics 2018-19 (access here)
113
Indian PNG Statistics 2018-19 (access here)
114
Gaseous Fuels for Transport Sector (access here)
Figure 209 Propulsion system of a diesel vehicle
Figure 210 Propulsion system of a CNG vehicle
CNG tank
Internal combustion
engine
Fuel tank
Internal combustion
engine Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
240
iii. Dual-fuel diesel engine - Dual-fuel vehicle are based on Compress ed Ignition (CI) engine
technology. They run either on diesel only or utilize a mixture of natural gas and diesel, with the
natural gas/air mixture ignited by a diesel pilot injection system.
i. Operating principle
The operation of Compressed Natural Gas (CNG ) vehicles are similar to gasoline-powered vehicles with
spark-ignited internal combustion engines. CNG is stored on-board the vehicle under pressure in the fuel
storage cylinder to a maximum pressure of approximately 200 bar115, typically at the back of the vehicle.
The CNG fuel system transfers high-pressure gas from the fuel tank through the fuel lines, where a pressure
regulator reduces the pressure to a level compatible with the engine fuel injection system. Finally, the fuel
is introduced into the intake manifold or combustion chamber, where it is mixed with air and then
compressed and ignited by a spark plug.
ii. Developments in India
Uniquely, the thrust for rollout of CNG in India wasn’t initiated by a policy push. Instead, it was a judiciary
initiative. Supreme Court in 1998 issued a directive calling for the conversion of all buses, taxis and three-
wheelers to CNG in Delhi in the wake of rising air pollution. Subsequently, Government of India announced
the National Auto Fuel Policy on 6
th
October 2003. The policy recommended the use of CNG/LPG in cities
that are affected by higher vehicular population. Additionally, it also recommended to have a planned
development of natural gas infrastructure. Government of India vide notification dated 31.3.2006 enacted
the Petroleum and Natural Gas Regulatory Board Act 2006 for establishment of Petroleum and Natural Gas
Regulatory Board (PNGRB). The PNGRB started functioning w.e.f. 1.10.2007 and its first regulations came
in March 2008 for City Gas Distribution and CNG infrastructure. So far, CNG stations, CNG sales and CNG
vehicles have grown a CAGR of 16.16%, 10.85% and 11.00% respectively during the last five years.
b. Hydrogen Fuel Cell Vehicles
i. Developments in India
Indian Oil Corporation limited (IOCL) and Society of Indian Automobile Manufacturer (SIAM) in Oct 2005
have collaborated to undertake a pilot project (funded by MNRE) to setup a Hydrogen and Compressed
Natural Gas (HCNG) dispensing station.
In the following year (2006), India notified National Hydrogen Energy Road Map (NHERM) in bid to make
itself a hydrogen based economy. The road map proposed 1 Mn Hydrogen based IC Engines and fuel cells
vehicles by 2020.
In September 2007, MNRE supported a project for demonstrating Hydrogen up to 30% with CNG in 7
automobiles (3 buses, 2 cars and 2 three-wheelers) to Society of Indian Automobile Manufacturers SIAM).
However, after that, there hasn’t been any significant progress recorded in Hydrogen mobility space.
It was only in June 2017, when Tata Motors, in association with ISRO (Indian Space Research Organisation),
announced the launch of India’s first hydrogen-powered automobile bus. Tata later flagged off the trial run
of the vehicle in partnership with IOC in 2018.
11. EV Charging technology
Technical aspects of EV charging
a. Classification of EVSE
Electric Vehicle Supply Equipment (EVSE) is an equipment or a combination of equipment which provides
dedicated functions of supplying electric energy from a fixed electrical installation or supply network to an
EV for the purpose of charging. There are different ways to classify an EVSE depending on power supply (AC
or DC), power rating levels, speed of charging and communication and connector type.
115
study and analysis of CNG/LPG conversion system (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
241
b. Classification by EVSE output – AC and DC
In AC charging, the vehicle has an on-board charger to convert AC from the grid into DC to charge the
vehicle. A DC charger, on the other hand, can be used to charge the vehicle directly using the Battery
Management System. An AC EVSE comes in different power ratings ranging from 3.3 kW to 43 kW. A DC
EVSE is able to supply higher power rating ranging from 10 kW to 240+ kW.
c. Classification by power rating and charging speed
There are three levels of charging stations available with each successively providing faster charging
capability and associated costs of charging. These are as follows:
Table 52 Various levels of charging and rated capacity (power)
Charging station Voltage (V) Power (kW) Type of Vehicle Type of compatible
charger
Level 1 (AC) 240 <= 3.5 kW 4W, 3W, 2W Type 1, Bharat AC-
001
Level 1 (DC) >= 48 <= 15 kW 4W, 3W, 2W Bharat DC-001
Level 2 (AC) 380-400 <= 22 kW 4W, 3W, 2W Type 1, Type 2,
GB/T, Bharat AC-001
Level 3 (AC) 200-1000 22 to 43.5 kW 4W Type 2
Level 3 (DC) 200-1000 Up to 400 kW 4W Type 2, CHAdeMO,
CCS1, CCS2
Further, an EV consumer will also need to decide on the type of charger available at a specific charging
station along with the level of charging station. The table showcases the type of chargers which are
compatible with each of the charging station type. Usually EV charging network services providers provide
apps on which consumers can easily figure out the type of charging station and chargers available in a
network. Level 1 charging stations are more suitable for 2W and 3W while Lev el 2 and Level 3 are more
suitable for 4W.
EV consumers can decide their choice of charging station level based on the time required and associated
cost of charging. An example of charging experience of a 2017 Chevy Bolt with an approximate range of 220
miles of range with a 60 kilowatt-hour (kWh) in US provides more insight. The table below provides the time
required to charge the Chevy bolt at each level of charging station:
Table 53 Charging time for a Chevy Bolt
Charging station Charging Time of Chevy Bolt
Level 1 40 hours
Level 2 9 hours
Level 3 1 hour, 20 mins
Source: NRDC – EV charging 101 (access here)
A level 1 charging station would take 40 hours to charge the battery, while a level 2 charging station fill up
the whole battery in 9 hours (25 miles/hour charge), and a level 3 charging station can charge the same in
1 hour and 20 mins (150 miles/hour charge). Correspondingly, the cost of using a level 3 charging station
is USD 30
116
. While the charging time in level 3 is low, the corresponding cost of charging is also high. In
current scenario, level 2 is a suitable for charging a 4W for most of the instances given a US car owner
116
NRDC - Electric Vehicle Charging 101 (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
242
drives about 31 miles a day. Level 3 charging station may be more suitable for quick top up or during long
range journey. With
awareness on how to optimize charging behaviour, EV consumers can benefit from cost savings and choosin g
right options which suit their need.
Key features and functions of a Charger:
Charging infrastructure standards provide a description of the physical conductive electrical interface
requirements between the Vehicle and EVSE. The description under the ASI138 (Part 1) standard for IEC
62196 is provided below:
Table 54 Various contacts in a charging gun
Contact
Number
IEC 62196 Function
1 Three Phase, 63 A L1
2 Three Phase, 63 A L2
3 Three Phase, 63 A L3
4 Three Phase, 63 A Neutral
5 Rated for Fault Protective Earth
6 - Control Pilot
7 - Proximity
While several functions are self-explanatory, the Control Pilot is the control conductor in the cable assembly
connecting the in-cable control box or the fixed part of the EVSE, and the EV earth through the control
circuitry on the Vehicle. It is a key part of the charger. It can be used for managed charging of the EV. For
example, Control Pilot signal can be used to command the battery management system in the EV to change
the rate of charge. A simplified circuit for control pilot is provided below:
All chargers do not have such functionality. Functions for IEC 60309 charger connection points are provided
below:
Table 55 IEC 60309 charging connector
Contact
Number
IEC 60309 Function
1 Single Phase, 15 A L Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
243
Contact
Number
IEC 60309 Function
2 Single Phase, 15 A Neutral
3 Rated for Fault Protective Earth
Charging functions
The AIS standards for DC charging list the following functions to be performed by a charging system:
- Verification that the vehicle is properly connected;
- Protective conductor continuity checking;
- Energization of the system;
- De-energization of the system;
- DC supply for EV;
- Measuring current and voltage;
- Retaining / releasing coupler;
- Locking of the coupler;
- Compatibility assessment;
- Insulation test before charging;
- Protection against overvoltage at the battery;
- Verification of vehicle connector voltage;
- Control circuit supply integrity;
- Short circuit test before charging;
- User initiated shutdown;
- Overload protection for parallel conductors (conditional function);
- Protection against temporary overvoltage
- Emergency shutdown.
The charging station is a specialised equipment with wide functionalities. Combined with a charging
management system, the EVSE can be operated without manual input. In addition to the above functions,
the EVSE is also capable of accepting payments and accessing the payment gateway to settle the financial
transactions.
d. Technical standards of EV charging equipment
Technical specifications for EV chargers vary across Level 1, Level 2, and Level 3 charging stations across
different countries. Table below showcases the mapping of different charger specification in different
countries.
Slow charging
In North America and Japan, most electric vehicles use the SAE J1772 connector, which contains five pins
and a mechanical lock. In Europe, Level 2 charging uses the Type 2 or Mennekes connector, which has seven
pins and takes advantage of the three-phase alternating current grid. China also requires a variant of the
Type 2 plug, although legacy vehicles and charging stations have not yet been converted.
The exception to this regional breakdown is Tesla, which uses a proprietary connector for its vehicles sold
in North America, although adapters to SAE J1772 are available. In Europe and Asia, Tesla vehicles have a
Type 2 plug. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
244
Source: International Council on Clean Transportation
Fast charging
For DC fast charging, connector types vary by automakers in addition to regional variations. For instance,
Nissan and Mitsubishi created and promoted the CHAdeMO (Charge de Move) fast charging standard
beginning in 2011. This type is majorly used by Nissan, Mitsubishi, Kia, Citroën, and Peugeot.
In contrast, several automakers from the United States and Europe focus on Combined Charging System
(CCS), which uses the SAE J1172 or Mennekes AC plugs along with two additional DC pins for fast charging.
This has now been adopted by BMW, Daimler, Ford, Fiat Chrysler, Ge neral Motors, Honda, Hyundai, and
Volkswagen.
As in the case of Level 2 charging, Tesla uses its proprietary plug for its DC Supercharger stations in the
United States, although the company also makes Tesla-to-CHAdeMO adapters. China has recently mandated
the use of a new standard (GB/T 20234.3-2015) for all new vehicles and fast charging infrastructure; Tesla
vehicles sold in China will also use this standard.
Source: International Council on Clean Transportation
Tables suggests that technical specifications of EV chargers for Level 1 AC charging stations vary widely
across countries. For Level 2 and Level 3 AC charging stations, IEC 62196 -2 Type 2 chargers are most
common. CCS and CHAdeMO are most common for Level 3 DC charging stations.
Table 56 Charger characteristics
Conventional
plugs
Slow chargers Fast chargers
Level Level 1 Level 2 Level 3
Current AC AC AC, Three-
phase
DC
Power <= 3.7 kW >3.7 kW and <= 22
kW
> 22 kW and
<= 43.5 kW
Currently < 400 kW Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
245
Conventional
plugs
Slow chargers Fast chargers
Australia Type 1 IEC 62196-2 Type 2 Accepts all IEC 62196-3
standards (CCS Combo
2, CHAdeMO). Tesla has
its own connector.
China Type 1 GB/T 20234 AC Requires GB/T 20234
DC.
European Economic
Area
Type C/F/G IEC 62196-2 Type 2 IEC 62196-2
Type 2
Requires CCS Combo 2,
(IEC 62196-3) and
accepts all IEC, 62196-3
standards (including
CHAdeMO).
Tesla has its own
connector.
India Type C/D/M IEC 62196-2 Type 2
and IEC 60309
(Bharat AC-001)
(<10 kW)
Bharat DC-001
(<15 kW)
IEC 62196-
2 Type 2
Requires CCS Combo 2
and
CHAdeMO (IEC 62196 -
3).
Japan Type B SAE J1772 Type 1
Tesla has its own
Connector.
Accepts all IEC 62196-3
standards
(CCS Combo 1,
CHAdeMO).
Tesla has its own
connector.
Korea Type A/C IEC 62196-2 Type 2 CCS Combo 1 (IEC
62196-3) and
accepts all IEC 62196-3
standards
(including CHAdeMO).
Tesla has its own
connector.
New Zealand Type 1 IEC 62196-2 Type 2 IEC 62196-
2 Type 2
Requires CCS Combo 2
and
CHAdeMO (IEC 62196 -
3).
North America Type B; SAE
J1772 Type 1
SAE J1772 Type 1,
Tesla has its own
connector.
SAE J3068 Accepts CCS Combo 1
(SAE J1772
and IEC 62196-3) and
CHAdeMO
(IEC 62196-3).
Tesla has its own
connector.
Singapore Type G IEC 62196-2 Type 2 IEC 62196-
2 Type 2
Requires CCS Combo 2
(IEC
62196-3).
Thailand Type A/B/C/F IEC 62196-2 Type 2 Accepts all IEC 62196-3
standards (CCS Combo
1, CCS
Combo 2, CHAdeMO).
Tesla has its own
connector.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
246
There have been notable recent developments in consolidating charging standards for ultra-fast charging
standards such as between the Japanese CHAdeMO Association signing a memorandum with China Electricity
Council (GB/T Standard). The new standard is called as Chaoji. The goal
is to design a new common plug and vehicle inlet that can support up to
600A at up to 1,500V for a total power of 900 kW. This compares to the
CHAdeMO 2.0 specification to support 400A at up to 1,000V or 400 kW.
China’s GB/T DC charging standard has supported 250A at up to 750V
for 188 kW. Following are the key aspects of the Chaoji specifications:-
• Control pilot circuit harmonized with new GB/T and CCS (and IEC
61851-23-1)
• Backward compatible with CHAdeMO GB/T and CCS
• Covers currents up to 600 A with liquid cooling
e. Key Technical specifications for Managed charging
Utilities can decide which managed charging control strategy to implement based on factors such as
customer preferences, level of EV penetration in network, and infrastructure available to implement passive
and active controls. While passive charging management can induce customers to shift their EV charging
loads, a sudden onset of EV charging loads during the off-peak period can lead to steep surge in load on the
distribution transformer at the onset of the off-peak period. Ideally, this concern can be addressed by
staggering charging times using an intelligent assessment of charge status of vehicles, obtaining desired
departure time of vehicles, the charge rate, and other factors, thus distributing the charging across a wider
time window. This is essentially referred to as managed charging. The following are the pre-requisites for
implementation of managed charging:
• Setting of User preferences: A vital input
to managed charging is driver preferences
for charging
• Signalling of utility DR events: The
signals which utility would send to EVs and
vehicle chargers combines messaging, or
application, protocols (e.g., OpenADR 2.0,
OCPP) and transport layer protocols, also
known as network communication
interfaces (e.g., Wi-Fi, cellular).
• Assessment of vehicle parameters:
Manage charging will work through an
intelligent assessment of charge status of the vehicle, incorporating customers’ desired “charge by”
times, the charge rate, and other grid factors. The charging time could be distributed across a large
time window
• Determining the charging levels: Different EV charging levels offer different potential for
managed charging. Long- duration of charging with Level 1 or Level 2 provide more time for
managed charging events and flexibility for deferring customer charging. Alternatively, the high
power demand of DC Fast Charging (DCFC) may be less attractive
• Communication Pathways: Communication between the EV user - EV / EVSE, utility-/grid-
operator, aggregator, EVSE provider, EVSE and the vehicle itself are critical factors for effective
managed charging.
The various communication protocols for managed charging are highlighted below: -
Table 57 Communication protocol for managed charging
Medium Details
Wi-Fi Wi-Fi signal can be sent directly to the EVSE via Control Pilot (CP) Smart Adapter or sent directly
to the car by using a telematics link or on-board diagnostic interface (OBD2).
Source: fleetcarma Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
247
Medium Details
AMI Utility AMI backhaul link to a smart meter, using Power Line Carrier (PLC) protocols (e.g., Green
PHY), and wireless networking protocols (e.g., Wi-Fi, ZigBee) which send signals directly through
power lines.
Cellular
network
Cellular broadband signal can be sent to the EVSE by using Global System for Mobile
communications (GSM), which sends data via code division multiple access (CDMA) low
bandwidth wireless connections (data speed requirements for EVSE can also vary, e.g., 2G, 3G,
4G, LTE) or general packet radio service (GPRS). Cellular signals can also be provided to the
vehicle through onboard integrated communications
Radio
network
FM radio broadcast through a Radio tower to embed digital information directly to the vehicle or
the EVSE.
Ethernet Ethernet also called as Local Area Network (LAN) connection to the EVSE
Messaging Protocol: In EV managed charging, messaging protocol signifies the rules, formats, and
functions for exchanging messages between EV, charging station, and charging station network.
Following are two types of messaging protocols widely used in managed charging
Table 58: Protocols and uses
Type of
protocol
Details
Open
source
• For managed charging, it is vital that uniform and non-proprietary communications /
messaging protocols are used between the EVSE and EV, for e.g. ISO/IEC 15118 that enables
the managed charging
functionality in an EV and can give
an improved EV consumer
participation.
• The Electric Power Research
Institute (EPRI) is synchronizing a
software application (Open Vehicle
Grid Integration Protocol) that
connects EVSE and EVs to various
nodes to allow utilities to more
dynamically manage charging
activity that could help with a
variety of grid applications.
• The standards followed by the
OVGIP are IEEE 2030.5,36
ISO/IEC 15118, and telematics with utility standard interface protocols (i.e., OpenADR 2.0b,
IEEE 2030.5) and EV charger application program interfaces (i.e., ISO/IEC 15118, OCPP, and
industry applied standard and proprietary APIs) through a common platform.
Proprietary GPS tagging
• Vehicles can be managed through an on-board diagnostic interface (OBD2) which has built-in
capabilities, like GPS location software, which can be managed according to the local grid
circuit
Programming capabilities
• Currently multiple EVs already have the ability to program their charging window that would
enable the user to align charging with TOU or other EV rates. A more advanced way to
strength, these vehicles would for the utility or aggregator to send price, emissions, or grid
stress signals directly to the vehicle, so that the EV’s charging program could use the
information to modify its schedule of charging the vehicle time.
• Some examples that are using Proprietary protocol are eMotorWerks JuiceNet, Siemen’s
VersiCharge platform, and Itron/ClipperCreek’s OpenWay network.
Source: Elaadnl, EV related protocol study
12. Total cost of ownership (TCO) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
248
Table 59 Total cost of ownership calculation of fuel technologies
Particulars Tata Tigor EV Tata Nexon EV Petrol Ford
Ecosport
Diesel Ford
Ecosport
CNG Maruti
Suzuki Ertiga
Vxi
BHP 40.2 127.0 120.7 99.0 91.0
Ex showroom
Price (in Rs.)*
9,85,000.00 15,99,000.00 11,56,000.00 11,71,000.00 8,95,000.00
Fuel consumed
in running 1
km
0.101 0.097 0.068 0.046 0.038
Fuel cost Rs. 8.5/unit Rs. 8.5/unit 80.43/litre 81.94/litre 46.60/Kg
Cost of fuelling
for per 1 km
run (Rs.)
0.86 0.82 5.47 3.78 1.78
Duration of
Ownership
(years)
5.00 5.00 5.00 5.00 5.00
Total running
in 5 year (km)
- 50 km per
day
91250.00 91250.00 91250.00 91250.00 91250.00
Cost of
refuelling
7902.59 7267.02 33963.80 15878.50 6194.64
Average
Maintenance
for 5 years
(Rs.)*
7500.00 7500.00 23670.00 30525.00 26955.00
Cost of running
for 5 year (Rs.)
10,00,402.59 16,13,767.02 12,13,633.80 12,17,403.50 9,28,149.64
Source: 153 Deloitte analysis
Chapter 2 Review and assessm ent of electric vehicle and charging infrastructure
stakeholder landscape
13. Review of central level initiatives in electric mobility space
a. Central level policies
Electric mobility initiatives in India, initially, were led by the Ministry of Heavy Industries and Public
Enterprises (MoHIPE) which launched National Electric Mobility Mission Plan (NEMMP) in 2013 and
Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles in India (FAME India) scheme in
2015.
a.1. National Mission on electric mobility
As a first step towards electric mobility, the Government of India approved the National Mission on Electric
Mobility in 2011. Primarily governed by Department of Heavy Industry (DHI), NMEM aims to resolve
challenges in EV adoptions due to high EV cost, battery technology etc. The primary objective of the mission Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
249
is to resolve barriers by government intervention and adopting mission mode approach f or fast decision-
making and ensuring collaboration among various stakeholders. This comprises of form ing empowered
bodies at apex level in form of National Council for Electric Mobility (NCEM) and National Board for Electric
Mobility (NBEM) for formation of policies and frameworks for increased EV adoption.
The mission focused on curbing depletion of petroleum resources and minimize the impact of vehicular
pollution on the environment by providing incentives and drawing a policy landscape. However, due to lack
of concrete framework and limited focus on pilot programs, NMEM got dissolved in 2013 and was su cceeded
by the National Electric Mobility Mission Plan (NEMMP) 2020.
a.2. NEMMP
The National Electric Mobility Mission Plan (NEMMP) was unveiled in 2013 and provides for the development
of mission plan and roadmap for promoting electric mobility solutions in India. NEMPP outlines incentives
along four priority areas for EVs viz. demand incentives, manufacturing of EVs, charging infrastructure
development and Research and Development. The Mission aims to achieve 6 to 7 million on road electric
vehicles by 2020.
In terms of the assessment made by the joint Government -Industry study, the total investment needed for
setting up the required infrastructure up to 2020 (both power and charging infrastructure), vehicle segment
wise, is summarized in following table:
Table 60 NEMMP Targets
Area 4W 2W 3W Buses LCV Total
Additional
generation
Capacity
(MW)
150-225 600 10-15 <5 10-20 775-865
Power
Infrastructure
(Rs Crore)
1,200-1,300 3,300-3,400 75-85 20-30 90-100 4,685-4,915
Charging
Infrastructure
(Rs Crore)
950-1000 - 70-80 10-20 115-125 1,145-1,225
Source: Department of Heavy Industries. 2013. “National Electric Mobility Mission Plan 2020”
It is expected that GoI will support the development of electric vehicle charging infrastructure in the initial
stages of development when the pilot projects will be rolled out for cities and during the phase when the
business model will be at a nascent stage. Subsequently, private sector participation will be required to set
up country wide charging infrastructure. Moreover, there will be a phased roll out of the EV charging
infrastructure as follows:-
• Phase I (first year): This will involve detailed and in-depth evaluation of various options, prioritization
and putting in place the required frameworks and models for EVSE adoption, enabling policies, charging
infrastructure standards, laws and undertaking detailed studies that will facilitate the roll out of the
optimum EV infrastructure.
• Phase II (Year 1 - 3): The activities in the medium time frame would build on the initial basic work
done and include deeper impact assessment studies and programs, pilot projects in vario us cities, EV
infrastructure consortium building activities, development of possible business models, etc.
• Phase III (Year 3 to 2020) : This will include the following activities:-
a) Ensuring availability of reliable and regular electricity supply,
b) Making available adequate recharging facilities with convenient access,
c) Development of EV charging as a viable business entity,
d) Well established and synergic linkage between EV charging infrastructure with renewable energy
generation infrastructure,
e) Development of public recharging infrastructure that includes opportunities for rapid recharging
through either setting up of optimal number of fast recharging centres or by use of batteries
swapping stations that allows quick replacement of discharged battery packs with charged ones. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
250
a.3. Department of Heavy Industries – FAME
Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles (FAME) programme was launched by
DHI in 2015. It is the flagship scheme under the NEMMP 2020 mission plan of Central government to enhance
hybrid and electric technologies in India. The overall scheme is proposed till FY 2022 to support market
development for EVs. Phase 1 of the scheme has been implemented over a two -year period starting from
FY 2015-16 to FY 2016-17 and was extended till FY 2018-19. Phase 2 of the scheme has been launched
from FY 2019-20 till FY 2021-22. In March 2019, the ministry notified FAME –II scheme with increased layout
of Rs 10,000/- crores, which includes a spill over from FAME-I of Rs 366 Cr.
Scheme phasing
Allocation of funds in Phase II
Government of India has released its policy document on “Transformative mobility for All” in 2017 with a
vision for the future of India’s mobility system. Spread over three phases (I 2017-19, II 2020-23, III 2024-
32), the plan entails taking near-term actions to build political and market confidence followed by phase two
which involves refining of regulatory incentives and policy measures along with continued expansion of
charging network and scaling up of domestic manufacturing. In phase three market forces are allowed to
drive full scale expansion along with the introduction of regulatory mechanisms to capture full grid value of
EVs.
a.4. National Mission on Transformative Mobility and Storage
The aim of the mission is to drive strategies for transformati ve mobility and Phased Manufacturing
Programmes for EVs, EV Components and Batteries. Following are the key roles: -
• Creating a Phased Manufacturing Program (to localize production across the entire EV value chain
• Details of localization will be finalized by the Mission with a clear Make in India strategy for the electric
vehicle components as well as battery
• The Mission will coordinate with key stakeholders in Ministries/ Departments/states to integrate various
initiatives to transform mobility in India
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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a.5. Ministry of Power’s notifications on Public Charging infrastructure
The Ministry of Power, Government of India on 14 December 2018 released the guidelines on EV charging
infrastructure which addresses the need for adequate availability of charging stations. These guidelines have
subsequently been revised and updated on 01 October 2019. The guidelines and standards aim to enable
faster adoption of EVs in India by ensuring safe, reliable, accessible, and affordable charging infrastructure
and ecosystem along with promoting affordable tariffs, creating standard guidelines for EV charging
business, and encouraging utilities and other parties to be prepared for adopting EV charging infrastructure.
Key aspects of the notification are highlighted below:
Other requirements are specified below:
• An exclusive transformer and related substation equipment, 33/11 kV lines, appropriate civil works,
space for charging and entry / exit of vehicles, etc.
• Charging stations are required to tie up with at least one online Network Service Provider (NSP) to
enable advance remote/online booking of charging slots by EV owners.
• EVSE shall be type tested by an agency/lab accredited by the National Accreditation Board for Testing
and Calibration Laboratories (NABL) periodically.
• Captive charging for 100% internal use of a company will not come under the purview of this.
The minimum technical requirements for fast and slow charging stations in the guidelines are shown below.
Table 61 Technical requirement of slow and fast chargers
Charger Type Charger
Connectors
Rated
Voltage(V)
No. of charging
Points/No of
connector guns
Charging vehicle
type (W=Wheeler)
Fast CCS (min 50kW) 200-1000 1/1 CG 4W
CHAdeMO (min
50kW)
200-1000 1/1 CG 4W
Type-2 AC (min
22kW)
380-480 1/1 CG 4W, 3W, 2W
Slow/Moderate Bharat DC-001
(15kW)
48 1/1 CG 4W, 3W, 2W •Setting up and operation
of Public Charging
Stations (PCS) was
made a deregulated
activity
•PCS to be provided
connections on a priority
basis by distribution
companies
•Charging stations/group
of charging stations can
procure electricity directly
from generators through
open access
Setting up a Charging
Station
Location of PCS
•A PCS is required in every
3 km X 3 km grid and
every 25 km on roads
•A fast charging station
every 100 km on both
sides of highways/roads
•Additional EV charging
stations to be set up only
after meeting initial
requirements
•Governments may give
priority to existing Retail
Outlet of Oil Marketing
Companies
Priority Rollout of
Charging Infra.
•Phase I (2019-2021):
Targeting all cities with
more than 4 million
population and major
roads connecting these
cities
•Phase II (2021-2024):
Big cities such as State
Capitals, Union Territory
headquarters and all
major road/highways
connecting these cities
•A Central Nodal Agency
will coordinate with all
governments and other
such stakeholders to roll
out charging infra
Other Key
Features
•e-Database:CEA will
maintain online database
of all PCS through
distribution companies
•Tariff for PCS:
Appropriate commissions
will determine tariffs not
more than 15% of
average supply cost
•Service Charges for
PCS: Service Charges for
PCS will be in accordance
to Ministry of Power
guidelines Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
252
Charger Type Charger
Connectors
Rated
Voltage(V)
No. of charging
Points/No of
connector guns
Charging vehicle
type (W=Wheeler)
Bharat DC-001
(15kW)
72 or higher 1/1 CG 4W
Bharat AC-
001(10kW)
230 3/3 CG of 3.3 kW
each
4W, 3W, 2W
In addition, any other fast / moderate /slow charger as per appro ved BIS standards whenever notified,
Note: Type-2 AC (min 22 kW) is capable of charging e -2W/3W with the provision of an adapter
Source: Ministry of Power, 2019, “Charging Infrastructure for Electric Vehicles – Revised Guidelines and Standards”
The Ministry of Power issued a clarification on EV charging in April 2019, namely that charging of an EV
battery by a charging station is a service consisting of electricity consumption and hence should earn a
revenue for this specific service. The value of the electricity is realized through a charging station operator,
and hence is distinct from a typical sale of electricity. As such, EV charging does not fall under the purview
of the Electricity Act of 2003 and is not subject to the other conditions of electricity retail distribution; this
clarification has paved the way for participation of private players.
a.6. Amendment in the revised Guidelines and Standards for Charging Infrastructure for
Electric Vehicles
In June 2020, Ministry of Power notified amendment in the revised guidelines and standards for charging
infrastructure for electric vehicles. Key notified amendments are provided below:
Figure 211 Key amendments in revised charging infrastructure guidelines and standards
Source: 154 Amendment in the revised Guidelines and Standards for Charging Infrastructure for Electric Vehicles – reg
(access here)
a.7. MoHUA guidelines
Ministry of Housing and Urban Affairs has notified Amendments in Model Building Bye-Laws (MBBL) - 2016
for EV charging infrastructure in February 2019. Key provisions of the same are highlighted below:
Table 62 MoHUA guidelines for public charging stations
Particulars Details
Parking bays for EV charging Residential and commercial buildings to allot about 20% of their
parking space for EV charging infrastructure.
Power load for EV charging Building premises should have additional power load equivalent to
the power required for all charging points to be operated
simultaneously with a safety factor of 1.25.
Key amendments in the revised guidelines and standards for charging infrastructure
Tariff for EV charging will be determined by the state electricity regulatory commission, and the tariff will not be higher than the
average cost of supply plus 15%
Recognition to “Battery Swapping Stations” as a station where any electric vehicle can get its discharged battery or partially
charged battery replaced by a charged battery
1
2 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
253
Particulars Details
No of slow and fast chargers
4W 3W 2W PV (Buses)
One slow charger for
3 EVs
One fast charger for
10 EVs
One slow
charger for 2
EVs
One slow
charger for 2
EVs
One fast
charger for 10
EVs
Source: Ministry of Housing and Urban Development(MoHUA), February 2019, “Amendments in Building Bye -Laws (MBBL-2016) for Electric
Vehicle Charging Infrastructure”
b. Rollout plan for EV charging infrastructure
It is expected that this procurement round shall ensure that most selected cities shall have an EV charging
station in a grid of 3 Km x 3 Km (MOP Guidelines). Similar incentives for large scale procurement of EV
charging stations shall enable the EV ecosystem and also help in building the back-bone of EV transition.
a. Charging Station Technology: This mandates the mix of fast and slow charging stations that will be
required and highlights any optional chargers that can be deployed at PCS.
Types of
Charging
Stations
Minimum number
of charging guns
Minimum number
of EVs to be
charged
simultaneously
Types of
charges-
Mandatory
Optional Charges
(Any number in
combination of one or
more type of chargers)
Slow Charging
Stations
10 10 Bharat AC 001
10KW (3 guns of
3.3 kW each)
• Bharat DC 001(15 KW) 1
Gun
• Type II AC Charger
Fast Charging
Stations
6 6 CCS II and
CHAdeMO 50 kW or
higher capacity
• Bharat DC 001 (15 KW) 1
Gun
• Type 2 AC 22 kW or
higher capacity
b. Charging Location: Charging location has been classified into three categories based on the nature of
the location where charging station will be set up. These are:
Category A Category B Category C
• Commercial Complexes
• Example: Municipal Parking lots,
Petrol stations, Malls, Market
Complexes, Airports, Railway
stops etc.
• Stations for Captive use
• Example: Charging station in
Udyog Bhawan, PSU office
complex etc.
• Aggregator based charging
stations
• Example: EV Charging Stations
for taxies, Co-operative societies.
c. Performance Monitoring: Selected agency for the development of charging stations has to tie up
with at least one real time EVSE Network Management Software Platform provider to enable
advance remote/ online booking of charging slots by EV owners.
c. Incentives for EV public charging infrastructure deployment
A range of pilot projects deploying EV charging infrastructure have been underway across India in the past
two to three years. National, state, and city level agencies as well as private EV charging service providers
have taken up initiatives to install a first set of EV charging stations on an experimental basis. A large-scale
deployment across a city or nationally, which can lead to consolidation and a sustainable network of EV Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
254
charging stations, is yet to take place. As national and state EV frameworks gradually take shape and as
corresponding incentives energize the EV landscape in India, achieving this objective is not far from reach.
Capital subsidies for setting up of EV charging stations is a key incentive provided under state and national
policy. Amongst various programs, FAME II scheme is playing a pivotal role in large scale deployment of EV
charging infrastructure. Department of Heavy Industries has recently approved setting up of 2,636 electric
vehicle charging stations across 62 cities in India. Public and Private entities shall avail financial incentives
under the FAMEII scheme for setting up charging stations. Commercial purpose EV charging stations shall
receive 50-70% of the cost of EVSE under the scheme. Distribution of the selected 2,363 approved projects
out of the received EOI of 7,000 EV charging stations is as follows:
d. Initiatives taken by various PSUs and other Govt bodies
Over the past few years, public and private entities have taken up pilot projects in installing EV charging
stations. While large scale EV charging infrastructure pilot projects are still under planning and
implementation stage, there has been a steady increase in standalone charging station pilot. Some of these
examples are shown below:
Table 63 City-wise developments
S No City/ State Implementing Agency Detail
1 Nagpur
(Maharashtra)
Nagpur Municipal
Corporation
200 electric cars, buses, e-rickshaws, and four public
charging stations launched as part of the ‘Multi-Model
Electric Vehicle Project’ in 2017.
2 Delhi NITI Aayog 55 locations shortlisted across Gurgaon-IGI-South Delhi-
Noida Corridor for installing 135 EV charging stations (46
– DC Fast, 89 – AC Slow). Project is still under planning
and implementation stage
3 Mumbai
(Maharashtra)
Magenta Power Installed DC Fast charging infrastructure in 2018 in
Turbhe Mumbai and also launched an APP wh ich provides
consumers with location of chargers, status, and type.
4 Jaipur
(Rajasthan)
MNIT Jaipur Five charging stations installed at different locations in
MNIT Jaipur under the FAME scheme in 2018.
5 Hyderabad
(Telangana)
Telangana Municipal
Corporation and Urban
Development
The Municipal Corporation and Urban Development
Corporation launched EV smart parking and charging
station on 18, March 2019
6 Kochi (Kerala) Bharat Petroleum Installed 3 charging stations in Kochi. Charging station
installed at least 6 meters away from fuel vending
machine due to safety reasons. Both direct charging and
battery swapping facilities are available.
7 Kolkata (West
Bengal)
New Town Kolkata
Development Authority
(NKDA)
New Town Kolkata Development Authority (NKDA) has
installed 10 public charging stations for e-scooters and e-
cars. These have been installed near the Kolkata gate,
Tata medical centre, and eco parking area gates in 2018.
8 Bengaluru
(Karnataka)
BESCOM BESCOM has installed a total of 5 no. of charging at
different locations across the city.
9 Vishakhapatnam
(Andhra
Pradesh)
NTPC NTPC has installed a charging station at Simhadri which is
capable of charging 3 numbers of EV simultaneously.
10 Jammu and
Kashmir
J&KSRTC J&K Road Transport Corporation is planning to
commission six charging stations for supporting its fleet
of 30 electric buses provided by TATA Motors.
11 Guwahati
(Assam)
Assam Power Distribution
Company Limited
(APDCL)
APDCL has set up charging infrastructure for 15 e-buses
procured under the FAME scheme
12 Hyderabad Hyderabad
Metro Rail
Fortum, a Finnish Government-owned company has
already installed EV charging points at 8 places at Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
255
S No City/ State Implementing Agency Detail
Limited (HRML) Begumpet, Kukatpally, KPHB, Moosapet, Stadium,
Tarnaka, Mettuguda, and Habsiguda Metro Stations.
Apart from Fortum, Power Grid Corporation of India, a
government of India has installed 3 charging stations at
Miyapur and Balanagar Metro stations.
Source: 155 GTG India EV White Paper (access here); Proposal for a Quick Pilot on EV Charging Infrastructure (access
here); NITI Aayog for deployment of charging stations (access here)
14. Home v/s Public Charging - Cost benefit analysis
To conduct the cost benefit analysis, Hyderabad was considered as the sample c ity. Other inputs and
assumptions for the analysis is provided in the below table:
Table 64 Inputs and assumptions for cost benefit analysis
Sr. No. Particular Unit Home Charging Public Charging Remarks
1 Cost of charger (L2) INR 55,000 NA
2 Cost of charging INR per unit 6.00 12.99 TSERC FY19 Tariff order
& Fortum charging rate
in Hyderabad
3 EV battery capacity kWh 39 39 Hyundai Kona EV
4 EV battery range Km 452 452 Hyundai Kona range
5 Average monthly run Km 2000 2000
6 Charging cost per
month
INR 1,035 2,242
It is further assumed that the charging rates for home and public charging will remain same in future years.
Also, any cost incurred towards maintenance of home charger is not considered.
Figure 212 Assessment of overall cost of charging through home and public chargers
0
20,000
40,000
60,000
80,000
1,00,000
1,20,000
1,40,000
1,60,000
Year 1 Year 2 Year3 Year 4 Year 5
Total cost (INR)
Home Charging Public Charging
Break-even achieved in Year 4
at 91,192 km Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
256
Initially, the cost of home charging will be higher as it includes
purchase of charger. However, with the assumed charging rates and
average monthly run, home charging turns out to be the profitable
option for the longer run.
15. EV charging stations in India by 2030
To determine the quantum of charging stations by 2030, firstly, the overall growth of automobile industry
is determined. It is expected that the EV sales will depend on the overall performance of automobile industry.
Therefore, to project the EV sales, we have assumed the following three scenarios of automobile industry
growth:
a) As-is growth (BAU- Business As Usual): It is assumed that the sales of vehicles will follow the
CAGR of the past five years.
b) High growth: In this scenario it is assumed that sales of vehicles will increase fuelled by availability
of cheaper (and economical EVs) and conducive environment by the policy makers.
c) Low growth: In this scenario it is assumed that the sale of vehicle would see a flattening effect
mostly due to non-availability of suitable infrastructure and change in consumer behaviour.
Impact of COVID 19: Due to the ongoing lockdown and economic slowdown, the auto industry will take 2-
3 years to recover. During this period, the growth will be subdued and minimal. It is assumed that till FY23,
the growth would remain subdued and from FY24 onwards only, the sector would witness normal growth
patterns. We have considered the above three scenarios post FY23.
Once the growth of the automobile industry is determined, sales of EVs were projected. For that, penetration
levels by 2030 were taken from NITI Aayog-RMI report
117
: 4 Wheelers – 50%, Buses – 40%, 3 Wheelers –
80%, 2 Wheelers – 80%. Based on the penetration levels, expected sale of EVs by 2030 is calculated and
provided in below figure:
Figure 213 Expected EV sales by 2030
To determine the quantum of charging stations, Vehicle-to-Charging Station ratio is assumed for 4-Wheelers
and E-buses. For 4-Wheelers, by FY 30, it is assumed that for every 10 4-wheeler EVs, there will be one
standalone public charging station. Whereas, for e-buses, by 2030, there would be one public charger for
50 e-buses.
For 2-Wheelers, only a portion of the owners is expected use a public charging station and charge their
vehicles at their respective residences as charging unit at home is cheaper. For 3-Wheelers, it is assumed
that the owners will use their own charging stations or shared charging stations at their depots. By 2030, it
is expected that there will be one charging station/ charger for every two 2 & 3-Wheelers, however, only
117
India’s Electric Mobility Transformation (access here) 22
28
0.38
35
-
5
10
15
20
25
30
35
40
FY 21 FY 22 FY 23 FY 24 FY 25 FY 26 FY 27 FY 28 FY 29 FY 30
No. of EVs (Mn)
Year-wise EV sales
Low Growth
BAU
High Growth
COVID Impact Phase
Expected cumulative EV sales by 2030
112 Mn –151 Mn
97 Mn –132 Mn
5 Mn –6 Mn
9 Mn –12 Mn
0.58 Mn –0.90 Mn Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
257
marginal of that will be public charging. To calculate public charging for 2 & 3-Wheelers, it is assumed that
0.5% of total chargers/ charging station will be public charging.
Based on the above assumptions, below are the expected number of public charging stations by 2030:
Table 65 Expected public charging stations in India by 2030
2 & 3-Wheelers
4-Wheelers
E-buses
TOTAL
0.22 Mn – 0.30 Mn 0.68 Mn - 0.90 Mn ~15,000 – ~24,000 0.92 Mn to 1.23 Mn
16. Setting up EV charging infrastructure in India
State Nodal Agencies for setting up EV charging infrastructure
BEE has appointed about 25 State Nodal agencies as per the directions of the MoP.
Table 66 BEE appointed State Nodal Agencies (SNA) for EV charging infrastructure
State State Nodal Agency Category of Organization
Andhra Pradesh New and Renewable Energy Development
Corporation of Andhra Pradesh (NREDACAP)
SNA for EE and RE
Gujarat Gujarat Energy Development Corporation
(GEDA)
SNA for RE and EE
Himachal Pradesh Himachal Pradesh State Electricity Board
Limited
Discom
Karnataka Bengaluru Electricity Supply Company
(BESCOM)
Discom
Meghalaya Meghalaya Power Distribution Corporation
Limited
Discom
Mizoram Power and Energy Department Discom
Punjab Punjab State Power Corporation Limited Discom + Genco
Rajasthan Jaipur Vidyut Vitaran Nigam Limited Discom
Uttarakhand Uttarakhand Power Corporation Limited Discom
Telangana Telangana State Renewable Energy
Development Corporation Limited
SNA for EE and RE
West Bengal West Bengal State Electricity Distribution
Company Limited
WBSEDCL
Delhi Delhi Transco Limited Transmission Company
Lakshadweep Lakshadweep Energy Development Agency SNA for RE and EE Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
258
State State Nodal Agency Category of Organization
Jammu EM and RE Wing Department (Discom)
Kashmir EM and RE Wing Department (Discom)
Ladakh EM and RE Wing Department
Kerala Kerala State Electricity Board Integrated Discom
Madhya Pradesh Madhya Pradesh Power Management
Company Limited
Power trader/Holding company
Haryana Uttar Haryana Bijli Vitaran Nigam Limited Discom
Andaman and
Nicobar
Directorate of Transport Transport Department
Sikkim Power Department Sikkim Integrated Discom
Arunachal Pradesh Central Electrical Zone, Department of
Power
Department in Discom
Bihar Transport Department Transport Department
Tamil Nadu Tamil Nadu Generation and Distribution
Company
Discom + Genco
Puducherry Electricity Department Discom
Source: BEE Website
In addition, the state nodal agencies listed by BEE, the Urban Local Bodies (ULB) and Municipalities are also
major stakeholders in installation of PCI.
17. Delay in installation of Charging infrastructure
A. Additional time required to provide electricity connection:
(i) Supply where distribution mains require extension:
Sl. Particular Line length Days
(i) LT Line 15days
(ii) 11 KV Line Up to first 5 Km 30days
Next 5 Km each 15days
(ii) Supply where augmentation of transformer sub-station capacity is required:
Sl. Particular Days
(i) 11/0.4 kV S/S 15 days
(ii) 33/11 kV S/S 60 days
(iii) 132/33/11 kV S/S 6 months
18. Key observations in the EV charging landscape
a. Standardization Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
259
EV standards and t echnical specifications have increasingly moved towards standardization and
encouraging interoperability in developed countries. Standardization of equipment, design and technical
standards promotes investor confidence and encourages investments in the sec tor. While, there have
been certain progress in issuing various guidelines on technical specifications, institutions such as CEA/
BIS/ARAI, etc. shall further have to play a coordinated role in standardization of the EVSE equipment
specifications. As the technology is still evolving, it is necessary that the standards prescribed are flexible
to accommodate innovations and improvements in technical standards and specifications.
b. Cost recovery through rate-basing “make-ready” infrastructure
Utilities in US are encouraged to invest in EV
infrastructure through a range of legislative
mandates such as for clean air and reducing
overall emissions from transportation sector.
Regulators allow utilities to undertake
investment in “make-ready” infrastructure for
EVSE integration as well as EVSE infrastructure
itself and recover the cost through rate-basing.
This allows utilities to undertake costly
investment and socialize the cost of setting up
“make-ready” infrastructure for EVs. Such a
proactive approach creates an eco-system for
setting up EV charging infrastructure. While
several states in India have introduced EV
policies, state utilities and regulators are yet to
facilitate large-scale investments in “make-ready” infrastructure for EVs. A first step would be for
regulators to encourage utilities to carry out such investments and provide pathway to cost recovery
through rate basing.
c. Managed Charging Framework and functions
Utilities in advanced power markets with significant levels of EVSE penetration have focused on developing
a managed charging framework. This has allowed them to efficiently manage the additional stress on
distribution system network on account of EV charging. It entails setting up various communication and
hardware protocols to implement a managed charging framework as well as creating various incentives
for consumers to participate in managed charging initiatives. While EV growth is still at a nascent stage
in India, utilities and regulators will need to plan for implementing a managed charging framework with a
long-term perspective.
Absence of standardized protocols for EV managed charging is a major barrier in the Indian context.
Managed charging will involve adequate coordination between various stakeholders viz. utility, grid
operator, aggregator, EV user, network operator, etc. and therefore there is need to formulate adequate
systems and infrastructure which would allow proper coordination. The concept of aggregators is still being
explored in India. Moreover, robust electricity grid and network infrastructure are vital for effective
functioning of managed charging in India.
d. Pilots on managed charging of EVs
From the international case studies, it can be observed that many of the new technology related to
managed charging of EV has been introduced first using a pilot platform. The results for these pilots are
then used to carry out large scale deployment of technology. While standards and guidelines introduced
in India do provide provisions for communication protocol between EVSE and oth er stakeholders, there
has been no pilot initiative on large-scale managed charging pilots. Utilities and regulators across India
need to take initiative on introducing pilot projects which can demonstrate the benefits of managed
charging of EVs.
e. EV tariffs and incentives Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
260
It has been observed that having dedicated tariffs and incentives for EV encourages adoption. While few
states in India have taken EV policy initiatives, a large number of states are yet to introduce EV specific
tariffs for public and home charging as well as incentives under state policies for purchasing EVs and
setting up home and public charging stations.
f. Scientific modelling studies of the network and investments by all distribution utilities
It is imperative for all the electricity distribution utilities to undertake scientific modelling studies to
understand potential growth of Electric vehicles in the long run and understand how it would lead to
changes in loading patterns of distribution network infrastructure (Distribution tra nsformer and
distribution lines), voltage and frequency fluctuations, etc. Significant business focus and priority should
be given to EVs as an additional load in the system along with consumer load growth and scenario
planning-/-prioritization strategy needs to be developed for the following:
• Peak load management
• Reducing technical losses in the distribution system by controlled EV charging
• Reducing system costs by enabling RE based generation sources to be utilized for EV charging
instead of resorting to costlier conventional sources
Distribution utilities should develop multiple system cost scenarios with/-without storage systems and
managed charging etc., to effectively design the network and address future load conditions. In certain
cases, it is possible that some areas of the distribution network can get overloaded during peak times,
however for rest of the time it could be lightly loaded. Hence, utilities need to analyse and model their
respective load profiles and simulate scenarios to determine the most cost-effective solutions (given
below) for managing EV load:
• Active managed charging
• Passive managed charging like TOU tariff structures-/-Demand Side Management incentives
• Charging through distributed RE sources
• De-congesting the network and-/-or charging through local Battery Energy Storage System
(BESS) installations in the grid, etc.
• Undertaking optimal investments to augment network infrastructure
Managed charging can present significant opportunity for load shifting of EVs and avoid / defer network
investments to cater to increased loading due to EVs. To enable a framework for managed charging,
utilities should initiate a dialogue and represent to concerned regulators for justification and subsequent
introduction of managed charging practices, TOU tariff pricing, etc.
• Managed charging can provide significant means to mitigate overloading of the distribution system
at times of peak demand by modulating the charging rate of EVs and delaying the charge over a
larger timeframe
• There could be certain pockets where managed charging may not be attractive due to variations
in EV charging profile by the users or absence of time periods for charging to be delayed and
staggered. Passive mechanisms like TOU tariffs can act as suitable incentive for users to shift their
EV charging to off-peak periods.
g. Demand Response Market
To take advantage of flexibility from managed operation of EV charging, ancillary markets in developed
countries have provisions for demand response providers to participate i n the ancillary market. This
provides additional revenue stream to demand response sources and allows utilities to better manage its
demand-supply position.
CERC has introduced a discussion paper on market -based procurement of tertiary services in India.
Currently there is no established mechanism for demand response products in the ancillary market
wherein aggregators can participate.
19. Development by power utilities in EV space Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
261
Table 67 Power utilities in the field of EV charging
Sr. No. Operator Notes
1 TATA Power
• Tata Power and Tata Motors have partnered to install 300 fast charging
stations by the end of the FY20, across key five cities namely Mumbai, Delhi,
Pune, Bangalore, and Hyderabad.
• Has already installed 100 fast charging stations in various cities, including
Delhi, Mumbai, Bengaluru, Pune and Hyderabad, which it plans to take to 300
by March 2020.
• Tata Power has also signed MoUs for setting up commercial EV charging
stations at HPCL, IOCL, and IGL retail outlets; plans for setting up of home
charging as well as public charging at metro stations, shopping malls,
theatres, and highway, among others
• May also look at installing charging stations that will adhere to 30-50 kW
standards as demand grows
• Tata Power will provide charging solutions to Jaguar Land Rover in India
2 Bangalore Electricity
Supply Company
Ltd. (BESCOM)
• Readied 80 EV charging stations which have 126 charging units
• Has drawn a plan for setting up 678 electric vehicles (EV) charging stations
across the state of Karnataka. The proposed plan has 100 charging stations
proposed for Bangalore.
• Charging stations at corporate office to be integrated with solar rooftop
3 BSES
• MoU with Indian Railways
• This will be a pilot project. Indian Railways will pay 8 cents/kWh as charging
tariff once approved by the regulator.
• MoU with EV Motors India Pvt ltd to set up EV charging stations in Delhi
• Plans to set up 150 charging stations, 50 by end of 2020
4 NTPC
• NTPC – IOCL commissioned first EV charging station at IOC petrol pump in
Greater Noida, Uttar Pradesh.
• NTPC has entered into agreements with fuel retailers, Delhi Metro Rail Corp
and state government entities for providing electric mobility solutions.
20. EV charging station inspection checklist
Table 68 Inspection checklist of an EV charging station
Criteria Reference Standard Verification Remarks
Overall
Condition of
Service
Delhi Electricity Supply Code and
Performance Standards Regulation,
2007
Connecting voltage: 415V, TP, LT or 11kV, TP, HT
Frequency : 50Hz
Protection CEA (Technical Standards for
Connectivity of the Distributed
Generation Resources) Regulations,
2013, as amended from time to
time.
Detection of various faults/ abnormal conditions
and provision of appropriate means to isolate the
faulty equipment or system automatically.
Ensure that fault of charging equipment or
charging system does not affect grid adversely.
Harmonic
Current
IEEE 519 – 2014
CEA (Technical Standards for
Connectivity of the Distributed
Generation Resources) Regulations,
2013, as amended from time to
time.
Harmonic Current Injections from the generating
system do not exceed the limit specified in IEEE
519.
DC Injection IEEE 519 – 2014
CEA (Technical Standards for
Connectivity of the Distributed
Generation Resources) Regulations,
2013, as amended from time to
time.
Prosumer shall not inject direct current greater
than 0.5% of rated output at the interconnection
point.
Voltage Sag,
Voltage Swell,
Flicker,
Disruptions,
etc.
Relevant BIS standards or as per
IEC / IEEE standards if BIS not
available.
Power Quality parameters
Overload CEA (Measures relating to Safety
and Electric Supply) Regulations,
2010, as amended from time to
time.
All EV charging stations shall be provided with
protection against the overload of input supply and
output supply fittings.
Installation
Height
CEA (Measures relating to
Safety and Electric Supply)
Regulations, 2010, as amended
from time to time.
All EV charging stations shall be installed so
that any socket-outlet of supply is at least 800 mm
above the finished ground level. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
262
Criteria Reference Standard Verification Remarks
Cord extension
set or second
cable assembly
CEA (Measures relating to Safety
and Electric Supply) Regulations,
2010, as amended from time to
time.
A cord extension set, or second cable assembly
shall not be used in addition to the cable assembly
for the connection of the EV to the Electric Vehicle
Charging Point. A cable assembly shall be so
constructed so that it cannot be used as a cord
extension set.
Adaptors CEA (Measures relating to Safety
and Electric Supply) Regulations,
2010, as amended from time to
time.
Adaptors shall not be used to connect a vehicle
connector to a vehicle inlet.
Maximum Cable
Length /
Parking Space
CEA (Measures relating to Safety
and Electric Supply) Regulations,
2010, as amended from time to
time.
Maximum length of the supply lead is 5m / Parking
Place shall be within five meter from the electric
vehicle charging point.
Portable socket-
outlets
CEA (Measures relating to Safety
and Electric Supply) Regulations
Portable socket-outlets are not permitted to be
used for EV charging.
Lightning
Protection
CEA (Measures relating to Safety
and Electric Supply) Regulations.
IS/IEC 62305
Suitable lightning protection system shall be
provided for the EVs charging stations as per
IS/IEC 62305.
Protective
device
CEA (Measures relating to Safety
and Electric Supply)
Regulations.
The EVs charging stations shall be equipped with a
protective device against the
uncontrolled reverse power flow from vehicle.
Disconnection
of EV from the
supply
CEA (Measures relating to Safety
and Electric Supply) Regulations.
IEC 60950
One second after having disconnected the EV from
the supply (mains), the voltage between accessible
conductive parts or any accessible conductive part
and earth shall be less than or equal to 42.4 V
peak (30 V rms) , or 60 V D.C., and the stored
energy available shall be less than 20 J (as per IEC
60950).
A warning label shall be attached in an appropriate
position on the charging stations in case voltage is
greater than 42.4 V peak (30 V rms), or 60 V D.C.,
or the stored
energy is 20 J or more.
Locking of the
coupler
CEA (Measures relating to Safety
and Electric Supply) Regulations.
A vehicle connector used for D.C. charging shall be
locked on a vehicle inlet if the voltage is higher
than 60 V D.C.
The vehicle connector shall not be unlocked (if the
locking mechanism is engaged) when hazardous
voltage is detected through charging process
including after the end of charging.
In case of charging system malfunction, a means
for safe disconnection may be provided.
Protection
against
overvoltage at
the battery
CEA (Measures relating to Safety
and Electric Supply) Regulations.
The D.C. EV charging point shall disconnect supply
of electricity to prevent overvoltage at the battery,
if output voltage exceeds maximum voltage limit
sent by the vehicle.
Verification of
Vehicle
Connector
Voltage
CEA (Measures relating to Safety
and Electric Supply) Regulations.
The EV Charging station shall not energize the
charging cable when the vehicle connector is
unlocked. The voltage at which the vehicle
connector unlocks shall be lower
than 60 V.
Residual
Current Devices
(RCDs)
CEA (Measures relating to Safety
and Electric Supply) Regulations.
All Residual Current Device (RCDs) for the
protection of supplies for EVs shall a) have a
residual operating current of not greater than 30
mA, b) shall operate to interrupt all live
conductors, including the neutral and c) have a
performance at least equal to Type A and be in
conformity with IS 732-2018
These shall be permanently marked to identify
their function and the location of the charging
station or socket outlet they protect.
Where required for service reasons, discrimination
(selectivity) shall be maintained between the
residual current device protecting a connecting
point and a residual current device installed
upstream.
The owner of the charging station shall ensure that
the tests as specified in the manufacturer’s Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
263
Criteria Reference Standard Verification Remarks
instructions for the residual
current device and the charging station have been
carried out
Overcurrent
Protection
device
CEA (Measures relating to Safety
and Electric Supply) Regulations.
Each EV charging station shall be supplied
individually by a dedicated final sub-circuit
protected by an overcurrent protective device
complying with IEC 60947-2, IEC 60947-6-2 or the
IEC 60269 series.
The overcurrent protective device shall be part of a
switchboard.
Co-ordination of various protective device shall be
required.
Voltage
independent
RCD
CEA (Measures relating to Safety
and Electric Supply) Regulations.
All EV charging stations shall be supplied from a
sub-circuit protected by a voltage independent RCD
and also providing personal protection that is
compatible with a charging supply for an electric
vehicle.
Earth Continuity
Monitoring
system
CEA (Measures relating to Safety
and Electric Supply) Regulations.
All EV charging stations shall be provided with an
earth continuity monitoring system that
disconnects the supply in the event that the
earthing connection to the vehicle becomes
ineffective.
Earthing IS – 732 Earthing of all EV charging stations shall be TN
system as per IS 732.
Cable CEA (Measures relating to Safety
and Electric Supply) Regulations.
The cable may be fitted with an earth-connected
metal shielding. The cable insulation shall be wear
resistant and maintain flexibility over the full
temperature range.
Power supply cables used in charging station
or charging points shall conform to IEC 62893-1
and its relevant parts
Detection of the
electrical
continuity by
the protective
conductor
CEA (Measures relating to Safety
and Electric Supply) Regulations.
A protective earth conductor shall be provided to
establish an equipotential connection between the
earth terminal of the supply and the conductive
parts of the vehicle.
The protective conductor shall be of sufficient
rating to satisfy the requirements of IEC 60364-5-
54.
Firefighting
System
CEA (Measures relating to Safety
and Electric Supply) Regulations.
Firefighting system for EVs Charging Stations shall
be as per relevant provisions of CEA (Measures
Relating to safety and Electric Supply) Regulations
2010.
Enclosure CEA (Measures relating to Safety
and Electric Supply) Regulations.
Enclosure of charging stations shall be made of fire
retardant material with self-extinguishing property
and free from
Halogen.
Alarm and
Control System
CEA (Measures relating to Safety
and Electric Supply) Regulations.
Fire detection, alarm and control system shall be
provided as per relevant IS.
Insulation
Resistance
IEC: 61851 – 1 All apparatus of EV Charging Station shall have the
insulation resistance value as stipulated in the
relevant IEC 61851-1.
Energisation of
Charging
stations
CEA (Measures relating to Safety
and Electric Supply) Regulations.
Every charging station shall be tested and
inspected by the owner or the Electrical Inspector
or Chartered Electrical Safety Engineer before
energisation of charging stations.
Periodical
Maintenance
CEA (Measures relating to Safety
and Electric Supply) Regulations.
An electric vehicle charging station operator shall
arrange periodic test/ inspection of an EV charging
station or EVSE should be carried out by electrical
inspector/CESE in every year in the initial period of
first three years after the energisation of charging
station and in every four years thereafter.
The owner/operator shall establish and implement
a safety assessment programme for regularly
assessing the electrical safety of EVSE, conductors
and fittings.
Ingress
Protection
IEC 60529 Where the connection point is installed outdoors, or
in a damp location, the equipment shall have a
degree of protection of at least IPX4 in accordance
with IEC 60529. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
264
Criteria Reference Standard Verification Remarks
Maintenance of
Records
CEA (Measures relating to Safety
and Electric Supply) Regulations
(1) The owner of the charging station shall keep
records in regard to design, construction and
labelling to be compatible with a supply of standard
voltage at a nominal frequency of 50 Hertz of the
charging station.
(2) The owner of the charging station shall keep
records of the relevant test certificate as indicated
in these regulations and as per IEC 61851.
(3) The owner of the charging station shall keep
records of the results of every inspection, testing
and periodic assessment and details of any issues
observed during the assessment and any actions
required to be taken in relation to those issues.
(4) The owner of the charging station shall retain a
copy of all records, as specified in sub regulation
(1), (2) and (3) of above, either in hard form or in
electronic form, for at least
seven years and shall provide a copy of the records
to the officials during the inspection.
International
Standards for
Charging
stations
CEA (Measures relating to Safety
and Electric Supply) Regulations
(1) The safety provisions of all Alternating Current
charging stations shall be in accordance with IEC
61851-1, IEC 61851-21 and IEC 61851-22.
(2) The safety provisions of all Direct Current
charging stations shall be in accordance with IEC
61851-1, IEC 61851-21, IEC 61851-23 and IEC
61851-24.
21. State-wise EV tariff
Figure 214 Energy charge tariff for EVs in Indian states (INR/kWh)
Source: 156 State tariff orders; * - kVAh
22. Development by key fleet operators in India
Table 69 Key fleet operators in India
Sr. No. Operator Notes
1 OLA
• Partnered with Mahindra Electric to pilot EV in Nagpur
• India’s first charging station was established by Ola in Nagpur.
• Plans to add 10,000 EV in one year, majority being e-2w and 3w.
• Has inked a partnership with India’s leading power distribution companies,
BSES Yamuna Power Limited (BYPL) and BSES Rajdhani Power Limited (BRPL)
to build a network of charging and swapping stations in Delhi NCR (mainly for
2w, 3w)
5.00 5.00
4.50
4.00
6.20
5.00 5.06
5.90
4.20
6.00 6.00
5.90 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
265
Sr. No. Operator Notes
2 TATA Power
• Tata Power and Tata Motors have partnered to install 300 fast charging
stations by the end of the FY20, across key five cities namely Mumbai, Delhi,
Pune, Bangalore and Hyderabad.
• Has already installed 100 fast charging stations in various cities, including
Delhi, Mumbai, Bengaluru, Pune and Hyderabad, which it plans to take to 300
by March 2020.
• Tata Power has also signed MoUs for setting up commercial EV charging
stations at HPCL, IOCL, and IGL retail outlets; plans for setting up of home
charging as well as public charging at metro stations, shopping malls, theatres
and highway, among others
• May also look at installing charging stations that will adhere to 30-50 kW
standards as demand grows
• Tata Power will provide charging solutions to Jaguar Land Rover in India
3 Ather
• Signed an agreement with Sanmina Corporation, a leading integrated
manufacturing solutions company headquartered in San Jose, California.
• Sanmina will exclusively manufacture Ather’s charging system, battery
management systems and dashboards at its state -of-the-art manufacturing
facility in Chennai, India.
• 6500 charging points across the country by 2022
4 Lithium Urban
cabs
• Lithium Urban has incorporated a joint venture to set up EV charging hubs
from early 2020
• 10 charging hubs with the facility to charge e-buses and electric cars to be
setup.
• Plans to expand to cities like Pune, Hyderabad, Chennai and Mumbai and put
close to 500 additional fast electric chargers in these cities.
5 SmartE cabs
• Partnership with Delhi Metro to rollout e-rickshaws.
• Signed partnership with more than 15 organizations.
• Served more than 20 million passengers in the first two years of operation
6 Hyderabad
Metro Rail
Limited (HRML)
• Partnered with L&T and PGCIL to establish fast charging stations
7 Fortum (Finnish
Clean Energy
Company)
• Fortum signed MoU with NBCC (India) for developing changing infrastructure
across India in an upcoming project.
• Plans to setup 150 charging stations in the next 12-18 months.
8 Sun Mobility
• Indian Oil Corporation Limited (IOCL) and SUN Mobility announced the launch
of a battery swapping facility for electric vehicles (EVs) at IOCL petrol pumps,
offering to replace discharged batteries with fully charged ones in a procedure
that would take only a few minutes.
23. Network Service Providers and charging infrastructure OEMs
The network service providers perform a gamut of functions. Some of them are shown in the diagram below: Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
266
Figure 215 Functions of a network service provider
Source: 157 Deloitte analysis
There are various other organizations in the country who have developed prototype products complying with
existing standards. Organization who are in the business of power electronics, solar plant components and
battery services have easy access to the technology of developing the hardware for EV charg ing stations.
Selected network service providers and OEMs operating in India in the business of EV charging stations are
listed below:
• Magenta Power (Charge Grid): They have developed solutions to remotely manage network of
charging stations. In addition, Charge grid has also developed few models of AC charging stations. Some
of their charging stations are installed in Mumbai and in Mumbai Pune Expressway.
• Fortum – Charge and Drive: Fortum has installed around 70 charging stations in India (Both Public
and Private). Most of the charging stations are located in Hyderabad (42 Nos)
118
the company has also
developed a web platform (SaaS) to commercially manage network of Charging station. Globally the
company has installed more than 3000 stations worldwide
119
.
• TecSo ChargeZone (P) Ltd – Charge+Zone: The company is into manufacturing of charging stations
along with network solutions for fleet operators. They have developed an open network for linking OCPP
compliant charging station to their network.
120
• Tvesas Electric Solutions (P) Ltd – Volttic: The company is into manufacturing of various types of
charging stations including CCS, CHAdeMo, Bharat chargers (Bharat AC 001 a nd Bharat DC 001). They
have also developed cloud based CMS and Mobile app for Electric Vehicle Charging stations.
121
• Ather Energy – Ather Grid: They have installed about 40 charging stations in Bangalore and Chennai.
The company started with manufacture of Electric 2 Wheelers and have now forayed into network of EV
chargers. They have also developed an app for managing the network of EV chargers.
Some global organizations have developed dedicated software for managing EV networks. Some of them
are listed below:
• Greenlots: They have developed SKY
TM
EV Charging network Software with various features like Grid
Balancing, Smart Charging and Optimization and Fleet Charging solutions
• Driivz: This software is also used for managing EV Charging network with feat ures like energy
optimization and chare management
118
Fortum Website (access here)
119
Top EV charging networks in India (access here)
120
Charge+Zone website (access here)
121
Volttic (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
267
• Kitu Systems: This software has site management, access control and is delivered as s SaaS model.
• Etrel: The website of this software shows that more than 25,000 active users are subscribed to this
Chapter 3 Review of policy, regulation and technical standards for electric mobility and
LCPRT
24. National Green Tribunal (NGT)
The National Green Tribunal (NGT) was established as a specialized body to address challenges related to
environmental protection, and conservation of forests and natural resources from a multidisciplinary
approach. It has the power to intervene on substantial questions related to environment and is also
responsible for the enforcement of legal rights. It comprises experts from legal, scientific and technical
backgrounds, and considers principles of sustainable development, precautionary principle and polluter pays
principle in decision-making. The tribunal has the powers of a civil court in executing a decision. It deals
with issues related to environment, and disputes arising from questions related to environmental and
pollution laws. The NGT interventions with respect to vehicle air pollution cases, including restriction of old
vehicles and restriction on the number of vehicles. In the eco-sensitive area of Rohtang Pass, Himachal
Pradesh, in an attempt to reduce the impact of air pollution, the NGT has ordered the banning of diesel
vehicles and has also restricted the number of vehicles to 1,000 per day for a period of 3 months. It has
also ordered an environment tax of INR 1,000 for petrol vehicles and INR 2,500 for diesel vehicles entering
the tourist area. As a pollution mitigation measure, the Tribunal suggested the state government to explore
CNG vehicles. In NCR, Delhi, the NGT ordered heavy diesel vehicles more than 10 years old off the road. In
an attempt to mitigate air pollution, the Tribunal also ordered the regional transport authorities to not
register diesel vehicles that were older than 10 years old and petrol vehicles older than 15 years old.
25. National Urban Transport Policy (NUTP)
The National Urban Transport Policy (NUTP) and the Jawaharlal Nehru National Urban Renewal Mission
(JNNURM), which can be considered as precursors to the Atal Mission for Rejuvenation and Urban
Transformation (AMRUT) and Faster Adoption and Manufacturing of Electric Vehicles (FAME) schemes, set
the trend for sustainable urban transport planning in India. The NUTP encouraged greater use of public
transport and non-motorized transport. It also called for the establishment of quality-focused integrated
multimodal public transport systems in urban areas. The fiscal incentives from the central government
through the JNNURM focused on the provision of inventory in terms of buses to urban areas to meet the
public transport demand. Although the JNNURM provided funding for fleet augmentation, it did no t provide
for operating costs, something that FAME/AMRUT might want to incorporate. Similarly, any initiative
regarding urban transport must address issues of sustainability (e.g., the ASI framework). This would require
a sustained policy intervention toward promoting public transport projects – and, specifically, non-polluting
technologies such as pure EV technology.
26. Atal Mission for Rejuvenation and Urban Transformation (AMRUT)
Yet another policy that can be a finance vehicle in the transition toward public transport through adoption
of EVs is the AMRUT scheme. Under this scheme, the central government proposed to spend INR 1 lakh
crores during its tenure (2014–2019). Projects selected under the scheme would have special focus on urban
infrastructure development. AMRUT adopts a project approach to ensure basic infrastructure services related
to water supply, sewerage, transport and development parks, to name a few sectors under the initiative.
The mission will be implemented in 500 cities and towns each with a population of 1 lakh and above. Under
this mission, states get the flexibility of designing schemes based on the needs of identified cities, and in
their execution and monitoring. States will only submit the State Annual Action Plans to the center for a
broad concurrence, based on which funds will be released. Special-Purpose Vehicles (SPVs) will be created
for each selected city and the respective states will be responsible to ensure that adequate resources are
made available to the SPVs. The center will extend funding to the extent of 50% for cities with a population
of up to 10 lakhs and a third of the project cost for cities with a population of above 10 lakhs. Given the fact
that each city and town is unique, and has its own priorities for development, the center proposes an “area-
based” approach to development that will cover retrofitting or redeveloping as per the local plan. Therefore, Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
268
all state planning committees could plan projects on a need basis across the transportation, sanitation,
housing and other sectors. Like its predecessor – the National Urban Renewal Mission – which financed the
purchase of buses by city transport corporations, which led to a rejuvenation of public transport in Indian
cities – AMRUT presents itself as an ideal platform for city bus transport corporations to leapfrog technologies
and contribute positively toward air quality, energy security and job creation through the adoption of EV
technology.
27. National Heritage City Development and Augmentation Yojana (HRIDAY)
Yet another scheme that has been launched in tandem with the initiatives mentioned above is HRIDAY. The
duration of the HRIDAY scheme was 4 years starting December 2014. The ob jective of this scheme was to
preserve the rich and diverse natural heritage areas. This scheme has been implemented by the center with
100% funding by the central government. Cities were required to prepare a Heritage Management Plan for
identified projects for availing assistance under this scheme. These schemes present a different approach to
bringing about holistic development of states and have a component of timely project reviews by the center,
which will ensure that projects are implemented efficiently.
28. Smart City Mission (SCM)
The intention of building smart cities in India has been pursued by previous governments at the center and
the states, although through seemingly disjointed initiatives such as smart townships along the Delhi –
Mumbai Industrial Corridor and the GIFT city in Gujarat. In early 2014, a budgetary allocation of INR 7,060
crores for the development of “100 Smart Cities” in India was introduced. Over the past years, various city
governments signed a Memorandum of Understanding with va rious external and foreign agencies to secure
both technical and financial assistance in making their cities smart. The Smart Cities Mission Statement and
Guidelines released by the Ministry of Urban Development (MoUD) identifies 10 core infrastructure elements,
where “sustainable development” and “public transport” are also listed. Thus, adoption and deployment of
EVs can become a significant strategy in potential smart cities. The guidelines also seek to ensure
convergence between SCM, AMRUT and HRIDAY. A dhering to a common reference framework becomes
particularly significant in drawing this convergence, which has remained one of the major challenges in
attaining India’s urban goals. For example, the goals of AMRUT and SCM cannot be treated as mutually
exclusive and the habitations under AMRUT shall need as much “smart solutions” as cities under the SCM.
29. Clean fuel initiatives
The concern for environment in India has gained momentum with 42
nd
amendment of the Indian constitution
in 1976. Among many additions and alterations made to the Indian constitution through this amendment,
inclusion of Article 48A and Sub-clause (g) of Article 51A is regarded as one of the landmark initiatives of
Government of India towards protection of environment, forest, and wildlife.
In India, CPCB is the apex body in country for pollution control and act as a technical wing of Ministry of
Environment, Forest, and Climate Change (MoEF&CC). As its primary function, CPCB advise the Central
Box 28: Provision made to protect environment, forest, and wildlife through 42
nd
nstitutional
Amendment
In the Chapter of Directive Principles of State Policy, a new Article 48A was inserted which state as follows:
“Article 48-A: Protection and Improvement of Environment and safeguarding of Forests and Wildlife. -
The State shall endeavour to protect and improve the environment and to safeguard the forests and
wildlife of the country.”
As Article 51A “Fundamental Duties” inserted in Indian Constitution, Sub-clause (g) of Article 51A is provides:
“Article 51A (g): It shall be the duty of every citizen of India to protect and improve the natural
environment including forests, lakes, rivers and wildlife, and to have compassion f or living creatures.” Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
269
Government on any matter concerning prevention a nd control of water and air pollution and improvement
of the quality of air.
30. Air Quality monitoring
✓ List of all AQI stations along with current AQI level can be accessed from here
✓ List of operating stations under National Air Quality Monitoring Programme (NAMP) can be
accessed from here
31. National Ambient Air Quality Standards (NAAQS)
Table 70 Comparison of norms specified under NAAQS and WHO guidelines
Sl. Pollutant
Time
Weighted
average
NAAQS as per CPCB notification of 2009
122
WHO
guidelines,
2005
123
Industrial, Residential,
Rural and Other Area
Ecologically
sensitive area
1
Sulphur Dioxide (SO2),
μg/m3
Annual* 50 20 -
24 hours** 80 80 20
2
Nitrogen Dioxide (NO2),
μg/m3
Annual* 40 30 40
24 hours** 80 80 -
3
Particulate Matter size less
than 10 μm) or
PM10μg/m3
Annual* 60 60 20
24 hours** 100 100 50
4
Particulate Matter size less
than 2.5 microns) or
PM2.5 μg/m3
Annual* 40 40 10
24 hours** 60 60 25
5 Ozone (O3) μg/m3
8 hours ** 100 100 100
1 hour ** 180 180 -
6 Lead (Pb) μg/m3
Annual* 0.5 0.5 -
24 hours** 1 1 -
7
Carbon Monoxide (CO)
mg/m3
8 hours** 2 2 -
1 hour** 4 4 -
8 Ammonia (NH3) μg/m3
Annual* 100 100 -
24 hours** 400 400 -
9 Benzene (C6H6) μg/m3 Annual* 5 5 -
10
Benzo (a) Pyrene (BaP) –
particulate phase only
ng/m3
Annual* 1 1 -
11 Arsenic (As) ng/m3 Annual* 6 6 -
12 Nickel (Ni) ng/m3 Annual* 20 20 -
Norms lesser stringent norms than WHO guidelines; Norms at par with or more stringent than WHO guidelines
* Annual arithmetic mean of minimum 104 measurements in a year at a particular site taken twice a week 24 hourly at uniform intervals
** 24 hourly or 8 hourly or 1 hourly monitored values, as applicable, shall be complied with 98% of the time in a year. 2% of the time,
they may exceed the limits but not on two consecutive days of monitoring.
32. City-wise break-up of attainment cities across States
122
National Ambient Air Quality Standards (access here)
123
WHO - Ambient (outdoor) air pollution (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
270
33. AQI
Below figure provided AQI data for 31st March 2020 is compared with data of 2019 for same day of month.
Figure 216 AQI data for 31st March 2020 and 2019
Source: 158 Note 1: Out of 221 Stations, data for 38 Stations in March 2020 and 84 stations in March 2019 was not available/recorded
5 5
1
3
1
2
7
2
1
4
6
17
1
2
6
9
5
1
3
15
2
1
3
State-wise non-attainment cities
13%
54%
16%
0%
17%
31st March 2020
0-50 51-100 101-200 201-300 Data NA
0% 9%
44%
10%
38%
31st March 2019
0-50 51-100 101-200 201-300 Data NA
Box 29: Brief overview of methodology for calculation of AQI
Primarily two steps are involved in formulating an AQI:
1. formation of sub-indices (for each pollutant); and
2. aggregation of sub-indices to get an overall AQI
The AQ sub-index and health breakpoints are evolved for eight pollutants (PM10, PM2.5, NO2, SO2, CO, O3, NH3,
and Lead (Pb)) for which short-term (up to 24-hours) National Ambient Air Quality Standards are prescribed.
Based on the measured ambient concentrations of a pollutant, a sub-index is calculated, which is a linear function of
concentration (e.g., the sub-index for PM2.5 will be 51 at concentration 31 μg/m3, 100 at concentration 60 μg/m3,
and 75 at concentration of 45 μg/m3)
Unlike other international AQI calculation methodology, which aggregates the sub-indices to get an overall AQI, (e.g.
weighted additive method or Root-Sum-Power Form or Root-Mean-Square Form), India adopted the worst sub-index
to determine the overall AQI. This means that the highest sub-index among each sub-indices for individual pollutant
forms the overall AQI. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
271
It can be inferred from above graphs that availability of data at monitoring stations have been improved
over the year. Whereas in March 2019 data was not available for 38% of the stations, it was only 17% in
March 2020.
Since data of significant number of stations are not available in March 2019, the comparison of trend of AQI
would not be prudent. With the strengthening of air quality monitoring system as envisaged under National
lean Air Programme, it is expected that availability of data would be improved that could enable drawing of
logical conclusions from AQI trends and able to help policymakers to take informed decisions.
34. State-wise details of action plan
State
No. of
Cities
Action plan identified
Total
Trans
port
Indu
stry
Po
wer
Clean Construction and Road
dust Management
Agric
ulture
Waste
Manageme
nt
Indoor
Other
measu
res
Andhra
Pradesh
5 290 40 45 105 45 15 15 35 590
Assam 5 36 10 0 55 0 10 15 35 161
Chandigarh 1 12 3 0 9 4 0 0 3 31
Chhattisgarh 3 26 11 0 30 0 6 3 16 92
Delhi 1 50 6 12 5 3 8 3 6 93
Gujarat 2 24 6 0 19 1 6 1 10 67
Himachal
Pradesh
7 98 56 0 63 0 49 0 28 294
Jammu and
Kashmir
2 30 10 0 22 0 4 4 22 92
Jharkhand 1 9 5 0 13 0 1 0 9 37
Karnataka 4 48 7 0 43 0 9 0 18 125
Madhya
Pradesh
6 67 30 0 54 0 18 6 36 211
Maharashtra 17 268 108 20 142 1 88 28 33 688
Meghalaya 1 11 4 0 10 0 5 0 6 36
Nagaland 2 22 10 0 18 0 8 0 12 70
Orissa 6 360 51 47 101 0 60 18 72 709
Punjab 9 116 42 0 92 0 29 0 50 329
Rajasthan 5 85 20 0 65 0 36 0 35 241
Tamil Nadu 1 18 5 5 18 0 5 0 6 57
Telangana 3 46 13 0 27 0 12 0 23 121
Uttar
Pradesh
15 261 115 0 232 0 105 0 151 864
Uttarakhand 2 16 6 0 16 2 8 0 18 66
West Bengal 1 23 3 3 5 0 5 3 6 48
Bihar 3 46 14 4 26 0 15 13 33 151
Total 102 1962 575
13
6
1170 56 502 109 663 5173
35. Action-points for each sector under NCAP
Action Points identified under NCAP for key components segregated
across – Mitigation Actions, Knowledge and Database Augmentation,
and Institutional Strengthening
I. Mitigation Actions
A. STRINGENT ENFORCEMENT THROUGH THREE TIER MECHANISM FOR REVIEW OF MONITORING, ASSESSMENT
AND INSPECTION Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
272
1. Web-based system on the above-mentioned lines to be evolved in association with the NIC and other relevant
national and international agencies.
2. Adequate manpower will be made available for strengthening, monitoring, and inspection.
3. Intensive training of all the stakeholders involved in implementation of this web based system.
4. Mandating use of this three tier mechanism in 102 cities.
B. EXTENSIVE PLANTATION DRIVE
1. Plantation initiatives under NCAP at pollution hot spots in the cities/towns to be undertaken under GIMs with
Compensatory Afforestation Fund (CAF) being managed by National Compensatory Afforestation Management
and Planning Authority (CAMPA).
2. Development of plantation plans for the non-attainment cities/towns.
3. Execution of city-specific plantation plans.
4. Institutes as Indian Institute of Forest Management (IIFM), Universities as Delhi University and other Research
Organizations and institutions with expertise in plantation to be involved for evolving these plans and for
implementation of these plans in these 102 cities.
5. Planation target to be indicated in city-specific plantation plans.
6. 6. Scheme on agroforestry to be prioritized and strengthened.
C. TECHNOLOGY SUPPORT
1. Clean Technologies with potential for air pollution prevention and mitigation will be supported for R&D, pilot scale
demonstration and field scale implementation.
2. The mechanism for such support will be formulated as an action plan.
D. REGIONAL AND TRANSBOUNDARY PLAN
Regional
1. Various measures specially implementation of pollution abatement policies as Transport - Auto fuel policy for
stringent norms for fuel and vehicles, road to rail/waterways, fleet modernization, electric vehicle policies, clean
fuels, bye-passes, taxation policies, etc.; Industries—stringent industrial standards, clean fuels, clean
technology, enforcement (continuous monitoring); and biomass– enhanced LPG penetration, agricultural burning
control and management need to emphasized through regional level inter-state coordination specifically for the
Indo-Gangetic plain. A comprehensive regional Plan to be formulated incorporating the inputs from the regional
source apportionment studies.
Transboundary
1. Linking NDC’s target of additional forest and tree cover of 2.5 to 3 billion tonnes of CO2 equivalent by 2030 to
NCAP. There needs to be more focus on the western regions of India (Rajasthan and Gujarat) for enhanced tree
cover, which will reduce wind-blown dust within the country and will also act as barriers for trans-boundary dust.
2. The initiatives under United Nations Convention to Combat Desertification (UNCCD) to be integrated for
addressing the issue of transboundary dust.
3. Air quality management at South-Asia regional level by activating the initiatives under ‘Male Declaration on
Control and Prevention of Air Pollution and its Likely Transboundary Effects for South Asia’ and South Asia
Cooperative Environment Programme (SACEP) to be explored.
4. 4. A comprehensive Transboundary Plan to be formulated.
E. SECTORAL INTERVENTIONS
POLLUTION FROM ROAD DUST AND C&D
1. Introducing mechanical sweepers on the basis of feasibility study in cities.
2. Evolve SOP for addressing the specific issue of disposal of collected dust from mechanical sweeping, taking into
consideration all the above cited factors.
3. Stringent implementation of C&D Rules, 2016, and Dust Mitigation notification, 2018, of Government of India.
4. Wall-to-wall paving of roads to be mandated. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
273
5. Stringent control of dust from construction activities using enclosures, fogging machines, and barriers.
6. Greening and landscaping of all the major arterial roads and national highways after identification of major
polluting stretches.
7. Maintenance and repair of roads on priority.
8. Sewage treatment plant-treated water sprinkling system along the roads and at intersecting road junctions and
spraying of water twice a day before peak traffic hours.
POWER SECTOR EMISSIONS
1. Stringent compliance by all TPPs with respect to the emission norms according to the timelines up to December
2022 and as per the action plan prescribed in the direction dated December 2017 issued under EPA 1986.
2. CGD network distribution shall be taken up on priority within the country, emphasizing on 102 non-attainment
cities.
3. There is need for optimizing the use of the existing power plants by prioritizing capacity utilization of natural
gas/ clean fuel-based thermal power plants.
4. Phasing out older coal-based power plants and converting specific coal based power plants to natural gas.
5. Emphasis on improved power reliability in urban areas to eliminate the operation of DG sets.
6. Emphasizing the expansion of renewable power initiatives prioritizing the use of existing framework of NAPCC in
non-attainment cities.
7. Need to explore the possibility of Fly ash utilization in extensive way in 102 non-attainment cities.
INDUSTRIAL EMISSION
1. Introduction of gaseous fuels and enforcement of new and stringent SO2/ NOx/PM2.5 standards for industries
using solid fuels.
2. Stricter enforcement of standards in large industries through continuous monitoring.
3. Full enforcement of zig-zag brick technology in brick kilns.
4. Elimination of DG set usage by provision of 24x7 electricity.
5. Control by innovative end of pipe control technologies.
6. Evolve standards and norms for in-use DG sets below 800 KW category.
7. For DG Sets already operational, ensure usage of either of the two options:
a. use of retrofitted emission control equipment having a minimum specified PM capturing efficiency of at
least 70%, type approved by one of the 5 CPCB recognized labs; or (b) shifting to gas-based generators
by employing new gas-based generators or retrofitting the existing DG sets for partial gas usage.
8. Utilize the Gujarat case study for a compelling case for other states to adopt third-party audits for polluting
industries for enhancing Implementation (States)
TRANSPORT SECTOR EMISSION
In Use Vehicle
1. Stringent implementation of BS VI norms all over India by April 2020.
Green Mobility
1. Stringent implementation of National Biofuel Policy with respect to ethanol and biodiesel blending target of 20%
and 5%, respectively by 2030.
2. City action plans to review the extension of MRT in cities/towns.
3. Improvement and strengthening of inspection and maintenance system for vehicles through extension o f I&C
centres.
4. Stringent implementation of PUC certificate through regular inspection and monitoring.
5. Fleet modernization and retro-fitment programmes with control devices.
6. Reducing real-world emissions by congestion management.
7. Review the Green Corridor Project and feasibility of its extension with reference to 102 cities.
8. To review the scaling up of Pilot project of MoPN G for introducing CNG in 2-wheelers and ensure timely
implementation.
9. Scaling up of R&D on use of Hydrogen as transport fuel. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
274
Electric mobility
1. Formulation of a national-, state-, and city-specific action plan for electric mobility.
2. Rapid augmentation of charging infrastructure in the country focusing on 102 cities.
3. Central government offices fleets older than 15 years to be shifted to electric vehicles.
4. Government-run buses for public transport, private buses, and 3-wheelers to be converted to EVs.
5. Gradual transition to electric mobility in the 2-wheeler sector.
6. Specific allocations for creating a venture capital fund.
7. Investment in R&D and pilots focusing on the indigenization of battery manufacturing, cheap alternate resource
to lithium and cobalt, resource efficiency associated with a circular economy, re-use and recycling for lithium
batteries, etc.
AGRICULTURAL EMISSION
1. Evaluate the status of implementation of the above scheme in the states and impact on reduction of air pollution
in Delhi and the NCR.
2. Evaluate the socio-economic feasibility for implementation of ex-situ options like production of Prali-Char,
biochar, pellets, briquettes, bioCNG, bioethanol, etc., as ex-situ solutions for management of crop residue
burning especially with NPB in place.
3. Extending the initiatives for addressing the issue of crop residue burning from the NCR to other part of the
country and from paddy to sugarcane and other crops.
4. Coordination with ISRO for regular availability of Remote Sensing Monitoring data for crop burning by the
farmers.
5. Evolve plan for management of agricultural emissions from fertilizers and livestock waste on the basis of strong
R&D. The R&D for the purpose to be supported.
6. Implement plan for management of agricultural emissions
7. The capacity-building initiatives for Krishi Vigyan Kendra (KVK) shall be strengthened
EMISSIONS FROM UNSUSTAINABLE WASTE MANAGEMENT PRACTICES
1. Use the smart cities framework to launch the NCAP in the 43 smart cities falling in the list of 102 non-attainment
cities.
2. Transform our centralised waste disposal infrastructure to a sustainable decentralized system in 102 cities.
3. Source segregation into dry and wet waste to be made mandatory through involvement of municipalities and the
RWA.
4. Mandatory Training and capacity building of municipalities and the RWA.
5. Transitioning towards a zero-waste pathway through an integrated solid waste management strategy, including
targeting waste prevention, recycling, composting, energy recovery, treatment, and disposal.
6. Waste reduction schemes such as ‘polluters pay’ principle, recycling projects, composting, bio methanation, RDF
plants and co-processing to be supported under an integrated solid waste management strategy.
7. Construction of decentralized compositing plant, bio methanation plant and C&D waste plants.
8. Deployment of fixed compactor and doing away with dhalaos.
9. Focus on training municipalities and SPCBs to be on national and international technologies for integrated waste
management options.
10. In line with the National Biofuel Policy, promote technologies which can convert waste/plastic, MSW to energy
resulting in reduction of traditional fuel use.
11. Stringent implementation and monitoring for extended producer responsibility for e-waste and plastic waste.
12. Strict implementation of existing six waste management’s rules on solid, Hazardous, Electronic, Bio-medical,
Plastics and C&D waste.
13. The Swachh Bharat Mission and National Mission on Sustainable Habitat to be used as a platform to push the
objectives under this sector.
INDOOR AIR POLLUTI ON MANAGEMENT
1. Building specific guidelines and protocols on monitoring and management of indoor air pollution.
2. Extend PMUY in 102 cities/towns and the associated village areas. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
275
3. 3. Guidelines and provisions for building designs that define proper ventilation, clean cooking, and living areas
to maintain healthy air quality inside the house to be integrated with the Pradhan Mantri Awas Yojana (PMAY).
F. CITY SPECIFIC AIR QUALITY MANAGEMENT PLAN FOR 102 NON -ATTAINMENT CITIES
1. Preliminary city-specific action plans to be formulated for 102 non-attainment cities.
2. City-specific action plans to be taken up for implementation by State Government and city administration.
3. City-based clean air action plans are to be dynamic and evolve based on the available scie ntific evidence,
including the information available through source apportionment studies.
4. A separate emergency action plan in line with GRAP for Delhi to be formulated for each city for addressing the
severe and emergency AQIs.
G. STATE ACTION PLAN FOR AIR POLLUTION
1. Preliminary State Action Plan for Air Pollution to be formulated for all 23 states which harbour 102 non-attainment
cities;
2. State Action Plan for Air Pollution to be taken up for implementation by State Government and city administration;
3. The State Action Plan to have detailed funding mechanism.
II. Knowledge and database augmentation
A. AIR QUALITY MONITORING NETWORK
1. Manual monitoring stations
With reference to existing 4000 cities in the country, 703 manual monitoring stations in 307 cities reflects limited number
and need augmentation. It is proposed to augment it to 1500 stations from existing 703 stations.
2. CAAQMS
Recognizing the need to monitor real time and peak concentration levels of critical pollutants avoiding the time lag, more
specifically with reference to the AQI, it is proposed under the NCAP to augment the existing number of Continuous
Ambient Air Quality Monitoring Stations (CAAQMS). Presently, there are 134 CAAQMS stations in 71 cities and 17 States.
Acknowledging the fact that air pollution in India has regional ramifications and the Indo -Gangetic plain, spanning
approximately 45–50 cities spreads across the states of Assam, Bihar, Haryana, Jharkhand, Madhya Pradesh, Punjab,
Rajasthan, Uttarakhand, Uttar Pradesh, and West Bengal, is the main region impacted by air pollution; the expansion of
real-time monitoring stations would mainly focus on this region, and approximately 150 CAAQMS with an average of 2–3
stations in each city is to be decided on the basis of population, industrial activities, etc., will be targeted.
Further, impetus will be on low-cost indigenous real-time monitoring stations. Real-time monitoring in other cities will be
taken up with identification of these low-cost sensors.
3. Satellite based monitoring
Application of Aerosol Optical Depth (AOD) from satellite-based observations is being widely accepted for the assessment
of ambient particulate matter levels. This is significant considering the extensive monitoring needs and required resources.
The NCAP proposes to use this technique to supplement its monitoring network. Under the programme, capacities will be
strengthened to develop indigenous satellite-based products and techniques to derive useful air quality information. The
required algorithm to correlate AOD values with ground-level PM concentrations over the Indian regions will be derived
from an indigenous database. Other satellite-based products also need to be explored to assess gaseous pollutant
concentrations.
4. Identification of alternative technology for real time monitoring
CPCB is to steer the process of identifying and for developing/validating alternative cost-effective technology for source
and ambient air quality monitoring in consultation with the IIT, CSIR, and other such institutes as NEERI. Mobile air quality
monitoring network are to be made part of these alternative technologies. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
276
5. Rural Monitoring Network
Air quality in rural areas remains a neglected issue so far. The common belief is that rural areas are free from air pollution.
On the contrary, air quality in the rural areas all over the world and particularly in the developing countries may be more
polluted than some of the urban areas. Rural areas suffer from outdoor air pollution as well as indoor air pollution. Major
sources of outdoor air pollution are indiscriminate use of insecticides/pesticides sprays and burning of wheat and paddy
straw. Atmospheric concentration of ozone has been observed higher in rural areas as compared to urban areas. Since
rural areas have not been covered under NAMP it is proposed to set up 75 such stations in rural areas.
6. Protocol for setting up of monitoring stations and monitoring
Guidelines for Ambient Air Quality Monitoring has been issued by the CPCB in 2003 for assisting and taking decision with
respect to the setting up of monitoring stations. However, it is noted that the guideline needs revision in reference to
sound decision making in selection of pollutants, selection of locations, frequency, duration of sampling, sampling
techniques, infrastructural facilities, manpower, and operation and maintenance costs. The network design also depends
upon the type of pollutants in the atmosphere through various common sources. Accordingly, it is planned to review the
existing guideline and issue protocol for setting up of monitoring stations and monitoring.
7. Monitoring of PM2.5
Particulates are the deadliest form of air pollutants due to their ability to penetrate deep into the lungs and blood streams
unfiltered, causing various health issues. The smaller PM2.5 are particularly deadly, as it can penetrate deeper into the
lungs and blood stream. The monitoring data also indicates higher concentration of PM2.5 in major cities. Accordingly, in
order to evolve a comprehensive mechanism for the management of PM2.5, it is proposed to augment the number of
monitoring stations for PM2.5 from the existing 167 in 80 cities to all stations under NAMP.
8. Setting up of 10 city Super Network
This network may capture the overall air quality dynamics of the nation, impact of interventions, trends, investigative
measurements, etc. The cities may be identified for capturing possible variations (e.g., metro city, village, mid-level town,
coastal town, controlled background location, industrial town, etc.). Each city may have one well-equipped monitoring
station representing the city background. In addition to the notified 12 pollutants, constituents of PM1, particle number,
etc., may be monitored. It should generate highly-quality controlled data and will represent national air quality dynamics.
The plan for this network to be formulated and implemented in consultation with the CPCB.
9. Super sites as representative sites in cities and rural areas
These representative monitoring sites are to be selected to assess the background level and major sources so as to draw
a scientific statistically sound assessment of pollution and its impact on health.
B. EXTENDING SOURCE APPORTIONMENT STUDIES TO ALL NON -ATTAINMENT CITIES
1. Unified guideline for source apportionment study will be formulated and updated (centre).
2. Source apportionment studies to be extended to all 102 non-attainments (centre).
C. AIR POLLUTION HEALTH AND ECONOMI C IMPACT STUDIES
1. Study on the National Environmental Health Profile to be completed in time.
2. Response study and cohort study programme to be undertaken.
3. Ministry of Health to actively take up environmental health for ensuring regular health profile or database for
assisting decision making.
4. Studies on health and economic impact of air pollution to be supported.
5. Framework for monthly analysis of data w.r.t health to be created. The data from mapping of industry; tabulation
of daily AQI, PM2.5 and PM10 measurements (24 hours average); metrological parameters; deaths due to heart
attacks, strokes, respiratory arrest, following the existing respiratory ailments, trends in lung cancer if available
with respect to all cities to be fed in to a central computer and to be analysed every month by people trained in
environmental health for correct interpretation.
6. Awareness and orientation workshops to be undertaken focussing on a target audience Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
277
7. Media is to be used for wide dissemination of information and the precise information to be shared has to be
carefully worked out by a team of experts in air pollution and environmental health.
8. Training researchers in study design through holding workshops in epidemiology, toxicology, and biostatistics
D. INTERNATIONAL COOPERATION INCLUDING SHARING OF INTERNATIONAL BEST PRACTICES ON AIR POLLUTION
1. International scientific and technical cooperation in the area of air pollution will be established in accordance with
national priorities and socio-economic development strategies and goals.
2. Modalities of such cooperation may include joint research and technology development, field studies, pilot scale
plants and field demonstration projects with active involvement of academia, research institutions and industry
on either side.
E. REVIEW OF AMBIENT AIR QUALITY STANDARDS AND EMISSION STANDARDS
1. The CPCB to come up with guidelines with respect to the periodicity of review of such standards.
2. The existing standards need to be strengthened periodically and new standards need to be formulated for the
sources where standards are not available, based on extensive scientific evidence with reference to protection of
public health and environment.
F. NATIONAL EMISSION INVENTORY
1. Comprehensive National Emission Inventory which is still lacking in the country will be formalized under the
NCAP.
III. Institutional Strengthening
A. PUBLIC AWARENESS AND EDUCATION
1. City-specific awareness programme targeting key stakeholders to be formulated and taken up for
implementation. This could include awareness generation in general public for prevention of adverse effects of
air pollution.
2. Sensitization of the media for right interpretation of international reports and data as well as for disseminating
information on measures being taken by the government for the abatement of air pollution to be undertaken.
B. TRAINING AND CAPACITY BUILDING
1. Extensive capacity-building programmes for both the CPCB and SPCBs with reference to both manpower and
infrastructure augmentation.
2. Intensive training, comprising national and international best practices and technological options, of all the
associated stakeholders.
C. SETTING UP AIR INFORMATION CENTRE
1. Plan accordingly for setting up of these centres will be formulated.
2. Air information centres at the central level and regional level will be set up in some of the identified institutes.
D. CERTIFICATION SYSTEM FOR MONITORING INSTRUMENTS
1. To operationalize the NPL-India Certification Scheme (NPL-ICS) at the central and regional levels to cater to the
country’s needs with respect to the online monitoring of air pollution.
2. To evolve an action plan for the need of certification agencies for air pollution mitigation equipment in addition
to monitoring equipment.
E. AIR QUALITY FORECASTING SYSTEM
All the ongoing and future initiatives under SAFAR will be integrated with the NCAP for taking all preventive measures to
draw the benefits for addressing the air pollution issue from available information. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
278
1. The efforts will be to extend it to 102 non-attainment cities under NCAP.
2. Hotspot-based forecasting to be taken up moving ahead from city-specific forecasting in 102 cities
3. The satellite data available through the satellite network of ISRO to be integrated for monitoring and forecasting
under the NCAP.
F. NETWORK OF TECHNICAL INSTITUTIONS KNOWLEDGE PARTNERS
1. A detailed action plan for the setting up of the network integrating with the existing network under the NAPCC
needs to be formulated.
2. System of a regular web-based online interaction mechanism will be evolved to ensure continuity of interactions.
G. TECHNOLOGY ASSESSMENT CELL
1. A detailed action plan for this cell is to be formulated.
2. The Technology Assessment Cell will be created involving the IITs, IIMs, the major universities, industries, and
using the existing mechanisms and programme of the DST, India Innovation Hub, etc.
H. INSTITUTIONAL FRAMEWORK
Centre level
1. National Apex Committee at the MoEF&CC
2. Five sectoral working groups on a co-chairing basis
3. Technical Expert Committee at the MoEF&CC
4. National-level Project Monitoring Unit (PMU) at the MoEF&CC
5. National-level Project Implementation Unit (PIU) at the CPCB
State level
1. State-level Apex Committee under the chief secretaries in various states
2. City-level Review Committee under the municipal commissioner
3. DM-level Committee in the districts
4. State-level Project Monitoring Unit (PMU) at the SPCBs
36. Policies in India supporting Alternate Fuel
Timeline Action Remarks
Ethanol Blending Program
January 2003
The Ministry of Petroleum and Natural Gas
made mandatory – 5 percent bending of
ethanol with petrol across nine major sugar
producing states and five Union territories in
India.
Partially implemented due to unavailability of
ethanol (due to low sugarcane production in
2003/04 and 2004/05).
October 2008
Third phase of implementing EBP envisaged
blending ratio to be increased to 10 percent.
Since there was no official notification released, oil
marketing companies have not started 10 percent
ethanol blending.
August 2010
Government fixed an ad-hoc provisional
procurement price in Indian Rupees (INR) of
27 per litre of ethanol by Oil Marketing
Companies (OMC) for EBP program.
Decision was taken to constitute expert
committee under Chairmanship of Dr.
Choudhary, Member of Planning
Expert Committee in March 2011 had
recommended that ethanol be priced 20 percent
lower than gasoline price. No consensus yet on
pricing policy of ethanol. In any event when
ethanol supply runs short, government proposed
to reduce import duty on alcohol and molasses.
OMC stipulated that alcohol or molasses could not Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
279
Timeline Action Remarks
Commission, to recommend a formula for
pricing ethanol.
be imported for EBP but must be exclusively
sourced from domestic-produced molasses.
November 2012
In a bid to renew its focus and strongly
implement the EBP, the Cabinet Committee
on Economic Affairs (CCEA) on November
22, 2012, recommended five-percent
mandatory blending of ethanol with gasoline
(the blending target was already decided by
the CCEA in the past).
Henceforth, the procurement price of
ethanol shall be decided by between the
OMC and suppliers of ethanol (CCEA
recommendation).
According to one of the CCEA
recommendations, in the case of any
shortfall in domestic availability, the OMCs
and chemical companies were free to import
ethanol for EBP. Since OMCs were falling
short by more than 820.3 million liters of
ethanol, they floated a global tender in the
third week of January to augment remaining
supplies.
The Union government under the Motor Spirits Act
on January 2 notified that a few states such as
Uttar Pradesh, Delhi, Haryana, Punjab, Karnataka
and Goa can even achieve up to 10 percent
ethanol blending target, but the overall average
for the country as a whole should reach five
percent by end of June 30, 2013.
The interim (ad-hoc) price of INR 27 per liter
would no longer hold as price would now be
decided by market forces.
The fuel ethanol blend rate that could be achieved
then was 1.6 percent.
CY 2014
GOI considered raising the EBP program
target from five to 10 percent in near
future.
On December 10, 2014, GOI announced a
price control schedule for fuel ethanol
procurement for OMCs. The program fixes
landed-ethanol prices at OMC depots from
INR 48.50 to INR 49.50 per liter ($0.76 to
$0.77/liter), a three to five percent increase
over the previous price.
Total quantity accepted by OMC was thus 247 +
53 million liters = 300 million liters. Assuming that
OMC shall come out with another tender soon for
ethanol procurement for CY 2015, Post anticipated
that OMC shall procure another 50 million liters in
December 2014.
The cumulative volumes likely to be accepted by
OMCs for blending with gasoline will be 350 million
liters, which translates to market penetration at
1.4 percent.
This will likely accelerate India’s EBP, infuse cash
into the local sugar industry, help millers pay down
debts, and curtail (by some estimates) upwards of
$750 million in crude oil imports. In previous
years, Post has observed that India has the
capacity to fulfil its ethanol blending mandate,
provided there are equal incentives for both the
producers and blenders.
April 2015
GOI removed 12.36 central excise duty
levied on ethanol supplied for blending with
gasoline.
The excise duty exemption will be applicable for
ethanol produced from molasses generated during
the next sugar season (October 2015-September
2016) and supplied for blending with gasoline,
Press Information Bureau (PIB) Press Release.
Industry sources claim that sugar mills are Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
280
Timeline Action Remarks
expected to benefit to an extent of INR five per
liter on sale of ethanol for blending.
National Biodiesel Mission
April 2003
Phase I (Demonstration) from 2003 – 2007:
Ministry of Rural Development appointed as
nodal ministry to cover 400,000 hectares
under Jatropha cultivation. This phase also
proposed nursery development,
establishment of seed procurement and
establishment centers, installation of trans-
esterification plant, blending and marketing
of biodiesel.
Public and private sector, state government,
research institutions (Indian and foreign) involved
in the program achieved varying degrees of
success.
October 2005
The Ministry of Petroleum and Natural Gas
announced the biodiesel purchase policy.
OMC to purchase bio diesel from 20
procurement centers across India at INR
26.5/liter
Cost of biodiesel production higher (20 to 50
percent) than purchase price. No sale of biodiesel.
October 2008
Phase II (Self Execution) from 2008 to
2012:
Targeted to produce sufficient biodiesel for
20 percent blending by end of XI (2008-12)
five-year plan
Lack of largescale plantation, conventional low
yielding Jatropha cultivars, seed collection and
extraction infrastructure, buy-back arrangement,
capacity, and confidence building measures among
farmers impeded the progress of this phase.
October 2014
GOI deregulated diesel prices in line with
gasoline.
The retail price will now be decided by the market
forces and GOI will no longer have to compensate
OMCs for selling diesel below market prices. This
step will incentivize firms engaged in biodiesel
production in India.
CY 2015
In January, Union Cabinet chaired by the
Prime Minister, Shri Narendra Modi, gave its
approval for amending the motor spirit (MS)
and high-speed diesel (HSD) Control Order
for Regulation of Supply, Distribution and
Prevention of Malpractices dated
19.12.2005.
The Cabinet has also decided to suitably
amend Para 5.11 and 5.12 of the National
biofuel policy for facilitating consumers of
diesel in procuring directly from private
biodiesel manufacturers, their authorized
dealers and Joint Ventures (JV) of OMCs
authorized by the MoPNG. This decision will
encourage the production and use of
biodiesel in the country.
The amendment will allow private biodiesel
manufacturers, their authorized dealers and JVs of
OMCs authorized by the Ministry of Petroleum and
Natural Gas (MoPNG) as dealers and give
marketing and distribution functions to them for
the limited purpose of supply of biodiesel to
consumers.
The investment and production conditions (as
applicable) specified in the marketing resolution
dated March 8, 2002, of MoPNG will also be
relaxed and a new clause added to give marketing
rights for pure biodiesel (B100) to the private
biodiesel manufacturers, their authorized dealers
and JVs of OMCs authorized by the MoPNG for
direct sales to consumers. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
281
Timeline Action Remarks
On August 10, GOI had issued notification
to allow the sale of Biodiesel (B100) by
private manufacturers to bulk (Gazette
Notification No. General Statutory Rules
(GSR) 621 (E)). The order is called the
Motor Spirit and High-Speed Diesel
(Regulation of Supply, Distribution, and
Prevention of Malpractices) Amendment
Order, 2015.
On August 11, 2015, Minister of State (I/c),
Petroleum and Natural Gas, launched sale of
B-5 Diesel on World Bio Fuel Day. (Source:
News Release, IOC).
Bids were invited until August 19. The policy is
meant to help with local price discovery ahead of a
potential 20 percent blend for biodiesel in 2017. A
20 percent blend for ethanol has also been
proposed but is unlikely since the current 5
percent blend has yet to be reached.
Federal government may permit the sale of
biodiesel (B100) for blending with HSD to bulk
consumers such as Indian Railways, State
Transport Undertakings and other bulk consumers
having minimum requirement of biodiesel for their
own consumption by a tank truck load supply
which shall not be less than twelve thousand liters.
As part of the initial run, B-5 was expected to be
sold to customers at some retail outlets in New
Delhi, Vijayawada, Haldia, and Vishakhapatnam.
The Biodiesel Purchase Policy was announced in
October 2005 and became effective January 2006.
March 2017
The Cabinet Committee on Economic Affairs
has approved closure/winding up of the
biofuel venture between Chhattisgarh
Renewable Energy Development Agency
(CREDA) and Hindustan Petroleum
Corporation Limited (HPCL) called CREDA
HPCL Biofuels Ltd (CHBL) and the one
between Indian Oil CREDA called Indian Oil
CREDA Biofuels Ltd (ICBL).
The offices of CHBL/ICBL have been closed. Joint
Ventures (JV) between CREDA HPCL Biofuel Ltd
(CHBL) and Indian Oil-CREDA Biofuels Limited
(ICBL) were formed for carrying out energy crop
(Jatropha) plantation and production of biodiesel in
2008 and 2009 respectively. The CREDA, an arm
of Chhattisgarh state government, had provided
wasteland to CHBL and ICBL through Land Use
Agreement for plantation of Jatropha. Due to
various constraints such as very poor seed yield,
limited availability of wasteland, high plantation
maintenance cost etc. the project became unviable
and
Jatropha plantation activities were discontinued.
National Policy on Biofuels
September
2008
5 percent blending mandatory across all
states in the country
GOI deferred the plan again due to short supply of
sugarcane and sugar molasses in 2008/09.
37. Amendment to Rule 115D of Central Motor Vehicles Rules, 1989
The Central Motor Vehicle Rules, 1989 were laid down as per the provisions of Central Motor Vehicl e Act,
1988 that came into being in 1st July 1989. The Act has been divided into 15 Chapters, Central and State
Governments are conferred with power under each chapter to make rules under the Act.
In exercise of the powers conferred by section 110 of the Motor Vehicles Act, 1988 (59 of 1988), the Central
Government have amended rule 115D of the CMVR, 1989 to allow, “Retro -fitment of hybrid electric system
or electric kit to Motor Vehicles”. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
282
The draft notification was issued on 6th January 2016, however it took nearly three years in finalization of
the amendment rule and it published on gazette notification on 1st March 2019. In the absence of vehicle
scrappage incentives in most of the States, the said amendment is said to be a welcome move in context of
EV adoption in country.
Through this amendment following category of vehicle are permitted for
i. Retro-fitment of Hybrid Electric System Kit
ii. Conversion of motor vehicles for pure electric operation with fitment of Pure Electric Propulsion Kit
by replacing the engine of Motor Vehicles
However, such vehicle needs to conform to the compliance standard mentioned under AIS -123 (Part 1)/
(Part 2)/ (Part 3) as per applicability.
The manufacturer or supplier of hybrid electric system kit or pure electric system kit are held liable for
obtaining the type approval certificate from a test agency specified in CMVR 126 for conforming to the AIS
standard mentioned above.
38. Amendments to Model Building Bye -Laws, 2016
Ministry of Housing and Urban Affairs has notified Amendments in Model Building Bye-Laws (MBBL) - 2016
for EV charging infrastructure in February 2019. Key provisions of the same are highlighted below:
Table 71 MoHUA guidelines for public charging stations
Particulars Details
Parking bays for EV charging Residential and commercial buildings to allot about 20% of their
parking space for EV charging infrastructure.
Power load for EV charging Building premises should have additional power load equivalent to
the power required for all charging points to be operated
simultaneously with a safety factor of 1.25.
No of slow and fast chargers
4W 3W 2W PV (Buses)
One slow charger for
3 EVs
One fast charger for
10 EVs
One slow
charger for 2
EVs
One slow
charger for 2
EVs
One fast
charger for 10
EVs
Source: Ministry of Housing and Urban Development(MoHUA), February 2019, “Amendments in Building Bye -Laws (MBBL-2016) for Electric
Vehicle Charging Infrastructure” Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
283
39. CEA Stakeholders for forming EV charging regulations
Figure 217 CEA stakeholders for forming EV charging regulations
40. Vehicle categories
Table 72 Vehicle categories and description
Sr. No. Category Description
1. Category A Agricultural Tractor; Means any mechanically propelled 4-wheel vehicle designed to work
with suitable implements for various field operations and / or trailers to transport
agricultural material. Power tillers are included in this category.
2. Category C Construction Equipment Vehicle; Means rubber tyred (including pneumatic tyred), rubber
padded or steel drum wheel mounted, self-propelled, excavator, loader, backhoe,
compactor roller, dumper, motor grader, mobile crane, dozer, fork lift truck, self-loading
concrete mixer or any other construction equipment vehicle or combination thereof
designed for off-highway operations in mining, industrial undertaking, irrigation and
general construction but modified and manufactured with “ on or off” or “ on and off”
highway capabilities
3. Category L1 Motorcycle with maximum speed no t exceeding 45 km/h and engine capacity not
exceeding 50cc if fitted with thermic engine or motor power not exceeding 0.5 kilo watt if
fitted with electric moto
4. Category L2 Motorcycle other than Category L1
5. Category L3 Two-wheel motorcycle with an engine cylinder capacity in the case of a thermic engine
exceeding 50 cm3 or whatever the means of propulsion a max. design speed exceeding
50 km/h. with more than 50 cc and speed of more than 50 kmph
6. Category L5 A three wheeled motor vehicle with maximum sp eed exceeding 25 kmph and engine
capacity exceeding 25 cc if fitted with a thermic engine, or motor power exceeding 0.25
kW if fitted with electric motor. This vehicle is normally used for:
✓ carrying persons; or,
✓ carrying goods
7. Category
L5M
Passenger carrier (Auto rickshaw) and Gross vehicle Weight is equal to 1500 kilograms. A
three-wheeler on account of its technical features intended to carry passengers.
8. Category
L5N
A three-wheeler on account of its technical features intended to carry goods.
9. Category M A Motor vehicle with at least four wheels used for carrying passengers
GencosOMCsTranscoDiscomsMunicipal
Corporation
EV OEMs
Charging Infra
OEMs Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
284
Sr. No. Category Description
10. Category M1 A vehicle used for carriage of passengers, comprising not more than eight seats in
addition to the driver’s seat
11. Category M2 A vehicle used for carriage of passengers, comprising nine or more seats in addition to
the driver’s seat, and having a maximum Gross Vehicle Weight (GVW) not exceeding five
ton
12. Category M3 A vehicle used for the carriage of passengers, comprising nine or more seats in addition
to the driver’s seat and having a GVW exceeding 5 ton
13. Category N A motor vehicle with at least four wheels used for carrying goods. These vehicles can
carry persons in addition to the goods.
14. Category N1 A vehicle used for carriage of goods and having a GVW not exceeding 3.5 ton
15. Category N2 A vehicle used for the carriage of goods and having a GVW exceeding 3.5 ton but not
exceeding 12 ton
16. Category N3 A vehicle used for the carriage of goods and having a GVW exceeding 12 ton
17. Category T1 A Trailer having a maximum weight not exceeding 0.75 ton
18. Category T2 A trailer having a maximum weight exceeding 0.75 ton but not exceeding 3.5 ton
19. Category T3 A trailer having a maximum weight exceeding 3.5 ton but not exceeding 10 ton
20. Category T4 A trailer having a maximum weight exceeding 10 ton
21. Category T5 A semi-trailer intended to be drawn by a three-wheeled haulage tractor
Source: 159 AIS-053: 2005 (Amendment 07 (08/2018)) - Automotive Vehicles -Types –Terminology (access here)
41. Fuel efficiency for Heavy Duty Vehicles (HDVs)
I. Phase I – Effective from 1st April 2018
Table 73 Category N3- Rigid vehicles at 60 km/h
N3 Rigid vehicles at 60 km/h
Gross vehicle weight range Axle configuration Equation for deriving target fuel consumption (l/100km)
12.0-16.2 4x2 Y=0.788X+9.003
16.2-25.0 6x2 Y=0.755X+9.546
16.2-25.0 6x4 Y=1.151X+3.122
25.0-31.0 8x2 Y=0.650X+12.160
25.0-31.0 8x4 Y=0.968X+7.692
31.0-37.0 10x2 Y=0.650X+12.160
Table 74 Category N3- Tractor Trailer vehicles at 40 km/h
N3 Tractor Trailer at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
35.2-40.2 4x2 Y=0.986X-7.727
40.2-49.0 6x2 Y=0.628X+6.648
40.2-49.0 6x4 Y=1.255X-18.523 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
285
Table 75 Category N3- Tractor Trailer vehicles at 60 km/h
N3 Tractor Trailer at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
35.2-40.2 4x2 Y=0.208X+32.198
40.2-49.0 6x2 Y=0.628X+15.298
40.2-49.0 6x4 Y=1.342X-13.390
Table 76 Category M3- Vehicles at 40 km/h
M3 Vehicles at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0 and above 4x2 and 6x2 Y=0.509X+11.062
Table 77 Category M3- Vehicles at 60 km/h
M3 Vehicles at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0 and above 4x2 and 6x2 Y=0.199X+19.342
II. Phase II – Effective from 1st April 2021
Table 78 Category N3– Rigid vehicles at 40 km/h
N3 Rigid vehicles at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0-16.2 4x2 Y=0.329X+9.607
16.2-25.0 6x2 Y=0.523X+6.462
16.2-25.0 6x4 Y=0.673X+4.032
25.0-31.0 8x2 Y=0.430X+8.780
25.0-31.0 8x4 Y=0.732X+2.558
31.0-37.0 10x2 Y=0.963X-7.753
Table 79 Category N3– Rigid vehicles at 60 km/h
N3 Rigid vehicles at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0-16.2 4x2 Y=0.600X+9.890
16.2-25.0 6x2 Y=0.515X+11.271
16.2-25.0 6x4 Y=0.932X+4.515
25.0-31.0 8x2 Y=0.382X+14.598
25.0-31.0 8x4 Y=1.318X-5.148
31.0-37.0 10x2 Y=1.043X-5.913
Table 80 Category N3– Tractor Trailer vehicles at 40 km/h Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
286
N3 Tractor Trailer at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
35.2-40.2 4x2 Y=0.826X-3.165
40.2-49.0 6x2 Y=0.630X+4.732
40.2-49.0 6x4 Y=1.008X-10.480
Table 81 Category N3– Tractor Trailer vehicles at 60 km/h
N3 Tractor Trailer at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
35.2-40.2 4x2 Y=0.260X+27.888
40.2-49.0 6x2 Y=0.2364X+28.838
40.2-49.0 6x4 Y=0.563X+15.728
Table 82 Category M3– Vehicles at 40 km/h
M3 Vehicles at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0 and above 4x2 and 6x2 Y=0.659X+6.582
Table 83 Category M3– Vehicles at 60 km/h
M3 Vehicles at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0 and above 4x2 and 6x2 Y=0.340X+14.300
42. Innovations to curb air pollution
Table 84 Innovation to curb CO2 emission
Air Ink by Graviky Labs
• Graviky Labs have developed “Air Ink” which is made entirely out of pollution. They
capture air pollution with their retrofit technology from diesel generators, other
fossil fuel chimney stacks, ambient air etc. It can be customized for all sizes and
use-cases for outdoor pollution capture.
124
Odd-even policy by Govt. of
NCT of Delhi
• The Government of NCT of Delhi implemented odd -even scheme with the objective
of reducing air pollution in Delhi. The policy was first introduced for five days in
November 2015.
• Under the policy, odd numbered vehicles would move on odd numbered days, while
even numbered vehicles would move on even numbe red days.
124
Graviky (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
287
From pollution to product
by Chakr
• Chakr Innovation have developed world’s first retro-fit emission control device for
diesel generators. It captures ~90% of particulate matter emissions from the
exhaust air without reducing energy efficiency. The diesel soot captured from the
exhaust is converted into inks and paints.
125
Solar Ferry by NavAlt
• Founded in 2013 NavAlt Solar & Electric Boats Pvt. Ltd envision towards efficient
water transport system which doesn’t use fossil fuels. The company build India’s
first solar ferry, ADITYA for Kerala State Water Transport Department. This ferry is
the first commercially viable mode of transport powered by solar energy in India
and the world.
126
Energy efficient radiant
heat gas burners by
Agnisumukh
• Agnisumukh has built an energy efficient burner system that reverses the
conventional gas fuel mechanism. The burner not only suits the cook pot but also
emits flameless horizontal radiant heat at a low gas pressure without producing any
carbon soot. Their burners are flameless, smokeless, noiseless, and produce
uniform radiant heat. The device has been tested and certified by LERC at a thermal
efficiency, under IS 14612, between 65-68.9% as against conventional commercial
gas burners with efficiency rating between 36-45%.
127
Carbon capture to
concerete by Blue Planet
• Blue Planet’s technology uses CO2 as a raw material for making carbonate rocks.
The carbonate rocks produced are used in place of natural limestone rock mined
from quarries, which is the principal component of concrete. CO2 from flue gas is
converted to carbonate (or CO3=) by contacting CO2 containing gas with a water-
based capture solution. Using this method, they produce lightweight coarse and fine
aggregate, available for residential and commercial construction, sack concrete,
roofing granules, high solar-reflective cool pigments, titanium oxide and many
others.
128
43. Vehicle safety standards and regulations
Domestically manufactured vehicles in India required to comply with Indian Standards (IS) and Automotive
Industry standards (AIS). The safety standards are divided into two parts: Active safety and passive safety.
Active Safety Systems provides advance warning or additional assistance to the driver in steering/ controlling
the vehicle. Whereas, Passive safety system, does not actively participate in continuous assistance but
comes to action only when needed.
125
Chakr (access here)
126
NavAlt (access here)
127
Agnisumukh (access here)
128
Blue Planet (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
288
Some examples of Active safety systems are ABS (Anti -lock braking system), ESC (Electronic Stability
Control), ACC (Adaptive Cruise Control), LDW (Lane Departure Warning) etc. Examples of Passive safety
system are Airbag, seat belt, Child Safety Systems (CSS)
Table 85 Active and passive safety standards
Active Safety
1. Steering Gear CMV Rule – 98, IS:11948
2. Horn Performance CAA/ Rule-119, IS:1884
3. Horn Installation CMV Rule-119, AIS-014
4. Drivers Field of Vision CMV Rule-124-34, AIS:021
5. Speedometer CMV Rule-117, IS:11827
6. Rear View mirror Performance CMV Rule-125, AIS-002
7. Tyre Performance CMV Rule-96, AIS:044
8. Tyre Installation CMV Rule-95, AIS:061
9. Condition of Tyres CMV Rule-94
10. Brakes Fitment CMV Rule-96
11. High Speed Brake Requirements CMV Rule-96B
12. Brakes Requirements CMV Rule-96, IS:1852
13. Lighting Signalling Installation CMV Rule-124-20, AIS
14. Lighting Signalling Performance CMV Rule-124-20, AIS:012
15. Hydraulic Brake Hose CMV Rule-123-2, IS 18654
16. Wheel Rims CMV Rule-123-8, IS 9436
17. Wheel nut disc & Hub caps CMV Rule-124-14, IS-13941
18. Hood Latch CMV Rule-124-17, IS 14226
19. Tell Tale Symbols and Control CMV Rule-124-15, SS:12.1
20. Acc. Control System CMV Rule-124-15, 14283
21. Windscreen Wiper CMV Rule-101, AIS:019
22. Wheel Guards CMV Rule-124-13, IS:13843
23. Bumpers CMV Rule-124-41, AIS:006
24. Arrangement of Foot Controls CMV Rule-124-45, AISL035
25. Gradeability CMV Rule-124-23, AIS:003
26. EMI CMV Rule-124-21, AIS 004
Passive Safety
1. Safety Belt CMV Rule-125,AIS:005
2. Safety belt, Anchorages CMV Rule-125, AIS:015
3. Seats, their Anchorages and Head
Restraints
CMV Rule-125, AIS:016
4. Exterior Projections CMV Rule-124-11, IS:13942
5. Fuel Tank- Non Plastic CMV Rule-124-7, IS:12056
6. Interior Fittings CMV Rule-138-a, IS-15223
7. Safety Glass CMV Rule-100, IS:2563 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
289
8. Steering impact GVW up to 1.5t CMV Rule-124-5, IS:11939
9. Side door impact CMV Rule-124-6, IS:12009
10. Door Locks & retention components CMV Rule-124-16, IS:14225
11. Fuel Tank Plastic S.O. 1431 dt. 20
th
Aug 2007, IS: 15547
Source: 160 SIAM
Along with these standards, India has mandated airbags, anti-lock
braking system (ABS), speed limit indicators all new vehicles
Chapter 4 Review of Services and Business Models in electric m obility
44. EV charging business model
As the market of electric mobility will develop, business operating in the segment will also evolve. In the
chapter, we discussed business models that are promoting uptake of EVs within the customers. However,
for investors and business operating in the electric mobility segment, there are multiple potential revenue
streams within the EV ecosystem which can be explored. Some of such revenue streams are provided in the
figure below.
Figure 218 Potential revenue streams for business in the electric mobility ecosystem
Source: 161 F&S - 360 Degree Perspective of the Global Electric Vehicle Market Opportunities and New Business Models (access here)
Charging
stations
Batteries
Electric
vehicles
Electricity
Telematics &
other services
Manufacturing
& sales
Installation &
maintenance
Charge payment
program/ subscription
based services
Revenue from
value added
services
Premium revenues
via renewable energy
vs non-renewable
energy
Premium revenues
via peak power vs
off peak charging
Level 1 vs
level 2 vs
level 3
charging
Battery leasing Refurbishing Recycling
Battery second
life
Battery
swapping
Extend to other
e-mobility
solutions
Battery
integration
Energy
subscription
packages
Extended e-
mobility
solution such as
vehicle sharing
After sales
services
Market green
solutions such as
solar panels to e-
mobility client base
Recycling and
refurbishing
Subscription
based energy
service scheme
Load
management
Investment in
renewable
energy and gain
carbon credit
Premium
revenues vis
peak power vs
off peak charging
Premium revenues
via renewable
energy vs non-
renewable energy
Data
aggregator
Battery
management
services
E-mobility IT
platform
V2V and V2G
communication
Added value
services
ServicesPossible revenue streams Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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45. Payments services
Figure 219 Payment methods for enabling electric mobility services
Source: 162 Cashless India, Deloitte analysis
Note: PoS: Point of Sale; UPI: Unified Payment Interface; USSD: Unstructured Supplementary Se rvice Data
A. Card payments
Card payments are one of the widely used mode for transaction in India. Cards are categorised into two
categories: Debit card & Credit card.
A debit card is a payment card in which money is deducted directly from the customer’s ban k account to
pay for a purchase, whereas credit card enables the cardholder to borrow funds from the financial institution
for the payment towards purchase of goods and services.
These cards eliminate the hassle of carrying cash and are convenient for making transaction. These can be
used at PoS (Point of Sale) machines, ATMs, Micro ATMs, Shops, wallets, online transactions, and for e -
commerce websites.
B. PoS (Point of Sale) payment
This type of payment is done using Point of Sale (PoS) machine, generally
placed at merchant stores. In PoS payment, customer prefers to pay for the
goods and service digitally using card or mobile and the merchant, using the
PoS machine process the transaction.
In the PoS machine, transaction is done either by swiping the card or by
using NFC (Near Field Communication).
In swipe transaction, the card is inserted into the machine and the PoS
machine reads its magnetic fields and matches it with the customer’s bank
account information.
Whereas, In NFC (Near field communication), contactless communication
takes place between the PoS machine and NFC card or smartphone. Her e the
customer one needs to wave the card/ smartphone over the NFC compatible
PoS device to send information without needing to touch the devices
together. Example of NFC based payment is Samsung NFC Payment; ICICI
touch and Pay etc.
C. Mobile Banking payment
Mobile banking is a digital payment method used by customers to pay for the purchased goods and services.
In mobile banking, customers make financial transactions with the help of mobile apps developed by banks/
financial institutes. Some of the example of mobile banking apps are SBI YONO , ICICI iMobile, Standard
Chartered SC Mobile etc.
D. Digital Wallet payment
Figure 220 Swipe transaction at
PoS
Figure 221 Transaction using
NFC at PoS
PoSCredit/ Debit
card
Mobile
Wallet
QR Code
*99#
USSDMobile
Banking
UPI
Payment Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
291
A mobile wallet is a virtual wallet that stores user’s money electronically and use it when needed. Mobile
wallet needs a smartphone and internet connected to operate. It is one of the most convenient option to
pay online for the purchase of goods/ service.
Mobile wallets are categorized into three categories: Open wallet; Closed wallet; and, Semi-closed wallet
Open wallet Open wallet allows user to carry multiple operations such as purchase of goods and services,
withdraw of cash at ATM, deposit money, fund transfer etc.
E.g. M-Pesa by ICICI Bank and VMPL (Vodafone M -Pesa Limited)
Closed wallet In this wallet, amount of money is locked with the merchant to place order, use in case of a
cancellation or return of the order, or gift cards.
E.g. MakeMyTrip Wallet
Semi-closed
wallet
This wallet does not permit cash withdrawal but allows users to buy goods and services at the
listed merchants.
E.g. Paytm, OLA Money
E. UPI payment
Unified Payments Interface (UPI) is a system which connects multiple bank accounts into a single mobile
application for immediate money transfer through mobile device round the clock 24x7 and 365 day s. It uses
a single mobile application for accessing different bank accounts.
Electric mobility service providers can use UPI apps for receiving payments for their services from the
customer.
E.g. BHIM app
F. QR code paym ent
Quick Response Code (QR code) is a 2D matrix barcode that stores encoded
information such as hyperlinks to website pages, app downloads, etc. Users can
decode it simply by scanning the QR code image using any device with built-in camera
and QR code reader application installed.
Bharat QR, developed by NPCI (National Payment Council of India), is the widely used
QR solution in India. Electric mobility merchants can display these QR codes at their
premises and customers can pay through linked account by scanning these QR codes
via Bharat QR enabled application.
G. USSD (Unstructured Supplementary Service Data) payment
Launched in 2012, USSD is a mobile banking service catering to immediate low value
remittances. Unlike other mobile banking services, USSD doe s not require internet service and works on
network provided by telecom operator. In USSD, customers access financial services by dialling *99# from
their mobile number registered with the bank.
46. Summary of mobility business models
In Chapter 4, we have reviewed various business models in the mobility space. Each of the business model
is unique in its own way. Some of them are tailored for short distance ride, while in others, customer may
use vehicle for long journeys and can even keep the vehicle for months.
Figure 222 QR
payment
Source: 163 Payment
expert
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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In the figure provided below, summary of mobility business models is represented:
Figure 223 Summary of mobility business models
As noticed from above figure, electric vehicles hold strong potential to add value in the existing mobility
business models.
Growth in the mentioned business models is expected to trigger
higher adoption of electric vehicles.
47. EV charging infra business mo dels
Figure 224 Snapshot – Key global EV charging business models
Source: 164 Deloitte analysis
Micro-mobility Ride Hailing Car Sharing
Ride Sharing/
Carpooling
Car Subscription
Value proposition
Vehicle ownership
Travel distance
Cost & convenience
Customers
Disadvantage
Affordable short
distance trips
Company
Short
Low
Short distance
travelers;
Delivery
-
Convenient, safe,
and affordable
transportation
Driver
Short-Medium
High
Daily commuters;
Corporates
Costly
Short-term car
rental
Company; Private
owners
Medium-Long
Medium
Point to point
commuters;
Corporates
Less flexible; Costly
Economical travel
Private owners
Short-Medium
High
Daily commuters
No personal
mobility experience
Personal mobility
experience
Company; private
owner
Medium-Long
High
Travelers
Expensive for
longer tenure
Value addition by EVHighHighMedium-HighMediumMedium-High
1
2
3
4
5
6
7
Particular
Integrated
charging
provider
Infrastructure planning
Installation, management and
ownership
Investment financing
Third parties (e.g. hotels, shopping centres)
Auto manufacturers (as secondary business)
Hardware manufacturers
Public authorities
Power companies/Utilities
Hardware manufacturers
Utility
Independents (Private players)
Public
Public authorities
Hardware manufacturers
Independents (Private players)
Public authorities
N/A
Operators Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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A. Public authority
Public authority plays vital role in development of EV infrastructure, especially during the early stage of
adoption. The authority uses its budget to plan for the infrastructure and deploy charging stations in public
place using public procurement process. In some cases, the authority however contracts out specialist
companies to manage the charging network. NDMC (Delhi) and BBMP (Bengaluru) are good example of
them.
B. Power utility
Power utility is an essential player in EV charging ecosystem. It is the public utility that provides
connectivity to the charging stations as it requires significant power output from the grid. Growth in adoption
of EV charging business is beneficial for utilities as they may experience growth in their revenue stream.
Internationally, it is observed that other than providing connectivity to the charging stations, utilities are
joining hands with EV charging ecosystem players and investing in development of EV c harging stations.
Utilities are adopting three key business models to participate in EV charging business: Franchisee model;
Power Supplier model; Lease model
C. Vehicle manufacturers
Players in vehicle manufacturing provides customers with charging solutions. Many EV manufacturers are
actively working on development of public charging solutions by partnering with CPOs, fleet owners,
dealerships and/ or charging hardware manufacturers.
These players offer integrated charging services with the purchase of the EV. This includes access to public
charging networks at a reduced price and includes a private charging wall box with the purchase of the
vehicle.
Pricing models usually used by these players in charging infrastructure includes discounting charging as part
of the vehicle or including access to a closed or public charging network with the purchase.
Some of the major EV manufacturers with focus on EV charging business are:
Tesla
Nissan
Renault
BMW Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
294
Source: 165 Image: teslarati
D. Location owners
Location owners can be divided into two types: governmental locational owners and private owners.
Local government provides its spaces for development of EV charging station and in turn encourages its
public to use EV.
Private players are mostly the retail businesses aiming at the B2C market. Typically, these players enter in
the electric mobility market from partnerships with charging point operators or hardware players to give
access to a location where the charging point equipment can be installed. The locational players rent, sell or
partners with charging service providers to provide customers with a charging service in addition to their
core service offering of the co-located retail business.
E. Indian players
Fortum India
Fortum, an electricity retailer in the Nordics, ventured in India in 2012. The company brought their “Charge
& Drive” offering in India, outside Europe for the first time. Fortum Charge & Drive is highly advanced
solution for operating a charging network. The compa ny operates a widespread DC fast public charging
network. It also offers cloud based EV charger management system. Fortum is currently present in selected
cities such as Delhi, Noida, Gurugram, Hyderabad, Ahmedabad, Mumbai, and Bengaluru. The company
operates in 40 locations, with 43 chargers and 73 charging points
129
.
129
Fortum Charge & Drive (access here)
Box 30: Case Study – Tesla Supercharger Network
The Tesla Supercharger network
of fast-charging stations was
introduced beginning in 2012. As
of March 2020, Tesla ope rates
~16,000 Superchargers in 1,826
stations worldwide. Tesla has
installed Superchargers in urban
areas where city dwellers and out
of town visitors can charge their
EVs. These stations are placed
through partnerships at
convenient locations viz. grocery
stores, commercial centres,
restaurant chains, shopping
complexes, etc.
Independent of the Superchargers, Tesla also has Destination chargers. As of September 2019, Tesla has distributed
23,963 destination chargers to locations (such as hotels, restaurants, and shopping centers) worldwide. These
chargers are slower (typically 22kW) than Superchargers and are intended to charge cars over several hours. These
chargers are typically free to Tesla drivers who are customers of the business at the location.
The benefits of offering credits to superchargers results in EV buyers to buy Tesla models more rather than from a
lower cost competitor who does not have a robust charging network. Increased sales cover the costs of installation
and maintenance of Tesla superchargers. Consumers then prefer to buy less of non-Tesla models since Tesla models
offer mileage and convenience of fast charging along various locations.
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• Fast DC charging; IT enabled network; cloud-based
charger management
Key partnerships: • Partnership with MG for installation of DC fast charging
Key resources: • DC fast chargers
Key processes: • Turnkey installation/ operation/ maintenance
• Customer service
• End-user operation
Story/ Channel for
communicating value:
• Website
• Mobile App
Cost structure: • Operation and maintenance of charging station/ charger
Revenue stream: • Energy charge (INR/ kWh) for vehicle charging (Pay-as-
you-Go basis)
Distribution channels: • Mobile app to navigate driver to nearest charging point
Customer segments: • EV owners
48. Contract decision framework parameters
Table 86 Decision framework to selected suitable PPP contract for e-bus procurement
Sr. No. Parameter Definition
1. Load factor on routes This parameter takes into account the average load factor cumulatively on
all the routes.
2. Overlap of routes This parameter pertains to the presence of multiple bus operators in a
city, often leading to deployment of multiple operators on a route or
overlapping of multiple routes.
3. Authority's control over
service and network plan
The contracting authority’s ability to make changes to the service and
network plan varies with the type of contract
4. Integration of different
modes
There may be multiple modes of transport in a city. Integration among
these modes of transport and coordination among the various agencies
responsible for respective mode is important to provide seamless public
transport to users.
5. Competing Modes Competing modes refer to the presence of multiple modes such as metros,
BRTS, intermediate public transport (IPTs), etc. Higher number of
competing modes lead to a higher score since competition leads to less
load factor on buses. However, as IPTs are prevalent in every city in India,
the minimum score will be one (1).
6. Fund Allocation for the entire
term of contract
It is important to demonstrate the allocation of funds by the contracting
authority to undertake city bus private operation for the entire term of the
contract, which covers initial financing as well as financing during the
operational period. If the envisaged funds are to be provided by a
government entity other than the contracting authority, approval from
such entity shall also be obtained prior to initiating the bidding.
7. Provision of dedicated
funding
To provide an additional level of comfort to the operators and their
lenders, it is preferable to provide for dedicated funding arrangements
Value
proposition
Value creation
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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Sr. No. Parameter Definition
such as Urban Transport Fund or any other alternative mechanisms to
undertake the project.
8. Credit Rating Credit Ratings assess the financial health including debt repayment ability,
ability to recover the cost of services and track record of service delivery
among other things. This should cover the contracting authority, municipal
body or any other government entity responsible for financing city bus
operations, either in full or part. A higher rated agency is better able to
cover its liabilities.
9. Creation of SPV Incorporation of SPV that is fully functional to undertake public bus
transport in the city.
10. Adequacy of Staff for Bus
Transport
Adequate staffing of the contracting authority to undertake the project for
tasks such as contract management, monitoring the project, technical
staff to verify physical conditions at depot, etc. A well-staffed contracting
authority shall have employees for control room functions, monitoring
functions and project administration functions.
Note: Using the above listed parameters, most suitable PPP contract can be determined. Please refe r to Guidelines for participation by
private operators in the provision of city bus transport services (access here) to under the calculations in detail.
49. Charging of E-buses
Charging technologies for e -buses
Globally, there are multiple charging technologies deployed for charging e-buses, there could be multiple
ways to segregate the charging technologies on the basis of method of electricity transfer, power output
levels, control and communication capabilities, etc. However, broadly the charging methodology differs in
way electricity transfer from grid to the electric bus. It can be majorly classified as plug-in charging
(dominant), battery swapping, and inductive charging technologies.
Figure 225 Classification of e-bus charging methodologies based on way of electricity transfer
Source: 166 Deloitte analysis
Based on the charging speed and capacity, charging technologies could also be categorized as fast and slow
charging. The definitions of fast and slow charging may differ by country, but the speed can be measured
by C-rates, or the rate of charge and discharge as compared to the capacity of the battery. Based on the
location of usage, charging can be classified as depot/terminal charging and on -route or opportunity
charging. Depot charging usually occurs overnight for hours or during the day for around an hour during
bus shift. Terminal charging usually occurs after the bus finishes one trip and normally takes only minutes
to partially recharge. Plug-in charging is most commonly used for depot/terminal charging. On -route or
Opportunity charging can be plug-in or inductive. Plug-in chargers use an automatic connection that may
link buses to high-capacity overhead chargers (used in Berlin, Germany). Inductive chargers are wireless
and use specially equipped pads on the road and underbelly of the bus to transfer electricity (used in Gumi,
South Korea, and in Turin, Italy). Opportunity charging allows buses to remain in use without returning to
an off-route service centre for battery charging throughout the day. Further, ABB have developed flash
E-bus charging technologies
ConductiveInductive (wireless)Battery Swapping
AC Charging
(Slow or Fast)
DC Charging
(Slow or Fast)
DC Plug-inDC Pantograph Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
297
charging method as well, that has been deployed in Geneva and is said to fully charge the e-bus in 15-20
seconds
130
.
Deployment of charging stations in a meticulous way is critical for a bus service provider to achieve smooth
operation of its e-bus fleet and make the corresponding electrification investment worthwhile. In order to
make a seamless transition to electric mode, it is imperative that the establishment of required charging
infrastructure is planned in advance and with enough due diligence. Among the different operating factors,
the range of an e-bus and charging time could potentially impact the service of a public bus fleet.
AC conductive Charging
An EV can be charged by conductive AC charging technology provided the e -bus has an on-board charger
that can convert AC supply from grid to DC power for charging the vehicle battery. AC charging is the most
prevalent type of charging since the grid supplies the electricity in AC. Further, AC charging technology
offers better cost advantage over DC charging, where the cost of the converter and other auxiliary equipment
adds to the charger cost. However, AC charging is only possible when the vehicle has an on-board charger,
and the capacity of the on-board charger limits the capacity of AC charging. AIS 138 (Part 1) prescribes the
specifications for performance and safety for AC charging Stations for EV and HEV application for Indian
conditions. The Ministry of Power vide its letter no. 12/2/2018/EV dated 1st October 2019, prescribed fast
charging station for public charging infrastructure with at least two charger of minimum 100 kW (200-750
V or higher) each of different specification (CCS/CHAdeMO or any fast charger approved by DST/BIS for
above capacity) with single connector gun
131
.
DC charging
On the basis of design of the charging systems, DC chargers are classified as plug-in or pantograph. This
categorisation is irrespective of the charging power level. A key advantage of DC charging over AC charging
is the DC charging does not require on-board charger in the e-bus. Only in case of continuous charging via
catenary, on-board chargers would be required.
130
Flash-Charging Electric Public Transport: TOSA Buses, Centre for European Policy Studies
131
Ministry of Power - Charging Infrastructure for Electric Vehicles (EV) - Revised Guidelines (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
298
Source: 167 Siemens eBus Charging Infrastructure (access here); Innovative Electric Buses in Vienna (access here)
DC plug-in charging
DC plug-in charging enable DC charging by a plug -in connection. AIS 138 (Part 2) prescribes the
specifications for performance and safety for DC charging Stations for EV and HEV application for Indian
conditions. Fast chargers for electric vehicles make use of DC charging; they convert the power before it
enters the vehicle. After conversion, the power goes directly into the car battery, bypassing the car’s
converter.
A DC installation requires more power (as compared to AC installation) from the grid (around 125 A)
132
. This
makes its costs (production, installation, and operation) quite high, resulting in higher tariffs for charging.
A DC charging station is technologically much more complex and many times more expensive than an AC
charging station (a study
133
suggest that deployment of DCFC station cost $64,158, for AC charging station
it cost $12,875). In addition, a DC charging station requires to communicate with the car instead of the on-
board charger in order to be able to adjust the output power param eters according to the condition and
capability of the battery.
However, as it usually allows for much faster charging, it is the preferred charging method to quickly
recharge during long-distance trips.
DC pantograph charging
This category includes DC charging via pantograph with on -board bottom-up or off-board top-down
configuration. DC pantograph charging technology is expensive and requires auxiliary infrastructure
including distribution transformer (DT), associated LT and HT switchgear, cables, protection system, SCADA
system. Such type of charging is suitable for opportunity charging.
132
AC Charging vs DC Charging (access here)
133
Electric Vehicle Charging Infrastructure Deployment Guidelines British Columbia (access here)
Box 31: Case Study – Vienna on board DC charger: on -line charging via catenary
Vienna is striving to be a leader in green transport. In its e-mobility
strategy of 2012, it sets the aim to reduce personal motorised transport
to less than 20% in 2025. Wiener Linien is the company running most of
the public transit network in the city of Vienna, Austria. In October 2012,
Wiener Linien has started commercial operation of e-buses in two bus
routes with 12 buses which are charged continuously via catenary. The
buses recharge at their end stations by hooking up to the overhead lines
of the Viennese tram using an extendable pantograph, an arm on the roof.
The overhead lines from the tram system supplies direct current, however
alternating current is required to recharge the bus. As the bus needed to
connect to the power lines without additional equipment, both the charger
and inverter were requested to be included in the bus – a feature which
had not been available on the market until then. Siemens provided the
solution; the direct current is converted to alternating current by an IGBT
power inverter included on the bus. Each bus with 96 kWh battery
reportedly takes 6 - 8 minutes for charging per cycles, during which
passengers can get off and on the bus. At night, the ba tteries are
recharged at the depot.
With this recharging technique, it is possible to install a smaller battery
system (nine lithium iron phosphate batteries with a total capacity of 96
kWh instead of the 180 kWh electric buses usually need).
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Opportunity charging (low/high power) consists of charging the bus along the line, either at selected bus
stops or at the head/end of the line using inductive or conductive charging. Both technologies allow quick
charging through high power. The bus can either charge when needed along the line at the available charging
points or is required to charge along the line at pre-identified charging points. Batteries need to fully recharge
overnight as well. This charging strategy enables the operator to use small batteries, but they have to be
suitable for high power.
The ABB has developed and installed flash charging system as opportunity charging for e-buses in Geneva.
In the time e-bus takes for passengers to get on and off the bus, a laser-guided arm sends 600 kW straight
into on-board lightweight batteries with flashing technology developed by ABB. The charge allows for the
propulsion until the next bus / next charging statio n. Box provided below represents details of DC
pantograph-based flash charging technique for en-route opportunity charging.
Source: 168 ABB’s innovative flash-charging technology ushers in a new era of sustainable public transpo rtation (access here); Flash-
Charging Electric Public Transport: TOSA Buses, Centre for European Policy Studies
Inductive Charging
Inductive charging is also used as opportunity charging method like DC pantograph charging technique.
However, in inductive charging there is no physical contact established between electric bus and the power
source. The inductive charging category includes all charging technologies which achieve wireless transfer
of electricity, either by static or dynamic induction. As far as economics is concerned, inductive charging
technology using underground power delivery systems are found to be expensive, although the required
area for installation is minimal (in Sweden, ElectReon is developing 11 million
134
Euros smart road project
covering 4.1 km of road, enabling trucks and buses on highway to get inductively charged). These systems
134
Will Inductive charging be the future of EV charging (access here)
Box 32: Case Study – Flash-Charging Electric Public Transport: Opportunity charging
TOSA (Trolleybus Optimisation Système Alimentation) flash
charging technology has been developed by ABB and it is in
operation in Geneva. The city of Geneva employs DC
pantograph-based technology for charging trolley e-buses.
In July 2016, ABB has been awarded orders totalling more
than $16 million by Transports Publics Genevois (TPG),
Geneva’s public transport operator, and Swiss bus
manufacturer HESS, to provide flash charging and on-board
electric vehicle technology for 12 TOSA fully electric buses.
ABB piloted e-buses on the route connecting the city’s airport
to suburban areas of Geneva.
There are two types of chargers along the route:
1.Flash-charging stations at selected stops, which provide a short high-power boost at 600 kW for 15 to 20
seconds.
2.Terminal feeding stations, which deliver prolonged charges of 4-5 minutes at 400 kW to fully top-up the
on-board batteries
When Bus stops at charging stations equipped with a converter, fed by alternating current (AC) from the utility
grid and delivering direct current (DC) to the e-bus, a laser-controlled arm on the roof connects in less than a
second to an overhead receptacle built into the bus shelter. The connection provides a high-power charge – using
a feed of up to 600 kilowatts. The boost recharges the battery enough to let the bus continue on its way. To ensure
public safety, the high-voltage overhead connectors are energized only when the battery is being recharged.
TOSA buses can use much smaller, lighter-weight batteries as a result of the flash charges along the route. There Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
300
require auxiliary infrastructure including special high- frequency transformer, associated LT and HT
switchgear, cables, protection system, SCADA system, vehicle alignment m onitoring system, etc.
This technology is still evolving and very few examples exist worldwide of using wireless technology for
electric bus charging. It has been successfully deployed in Gumi, South Korea. Few examples also exist in
USA. Below box provides the case study of inductive charging technology deployed at Gumi.
Source: 169 South Korea - Wireless Charging Powers Electric Buses (access here); Wireless Charging of Electric Bus in Gumi (access here);
Economic Analysis of the Dynamic Charging Electric Vehicle (access here); The first 200-kW wireless charging system for electric buses is
deployed (access here)
Battery Swapping
In conventional electric vehicles, the battery is charged inside the vehicle as needed, usin g direct or
alternating current. However, battery swapping provides alternative route for refuelling - the drained
batteries are replaced with freshly charged ones. This alternative is particularly useful for commercial
vehicles that would like to minimize their downtime to the extent possible for refuelling of vehicles.
Battery swapping system consists of the battery charging system and the battery swapping mechanism.
Hence, the technical parameters for a battery swapping system would depend on both the ch arging point
for batteries and the swapping infrastructure.
India’s first battery swapping station for public buses (with capacity to charge 12 batteries at a time) has
been set up at Ranip, a central spot on Route 1, in Ahmedabad. Bus manufacturer, Asho k Leyland has
collaborated with the energy service provider, Sun Mobility to implement the battery charging infrastructure
and swapping system. Swapping the 600 kg battery after each trip takes just 3 -4 minutes. By reducing
battery size while using swapping en-route swapping arrangement, the space inside the bus could be
increased to accommodate more passengers.
Snapshot of e-bus charging technologies categorized on the basis of method of electricity transfer is provided
in table below:
Box 33: Case Study – Korean OLEV system: inductive charging
The city of Gumi, South Korea have deployed in e-buses in 2014, where
the fleet is charged via induction. The Korea Advanced Institute of
Science and Technology (KAIST) developed the Online Electric Vehicle
(OLEV) platform used for charging e-bus batteries under a $69 million
funding from the government. Every On -Line Electric Vehicle (OLEV)
e-bus is equipped with a special receiver which can collect electric
power wirelessly from the underground power supply while in motion
or at the stationary condition. When an induction-capable bus passes
over that charging plate, the two magnets become "tuned," and current
flows to charge the on-board battery.
The route is although 15 miles on which this technique is operational.
It is using 100 kW charging system. However, in USA Momentum
Dynamics Company is working on 200 kW and 300 kW charging system
as well. With a 6.7-inch gap between the road and the bus, there's 85
percent charging efficiency reported in Gumi.
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Table 87 E-bus charging technologies
Technology Key features Potential advantages Potential Disadvantages
Electric: plug-in
charging
Plug-in charging uses a
physical connector that
engages power source with
electric bus
• Can be used in a depot or
on the route (opportunity
charging)
• On-route charging leaves
buses in operation without
needing to return to off
route depots for recharging.
• Using fast-charge
technology increases
operational capacity
• Requires careful route
optimization
• Requires investment in
embedding on-road
charging technology or in
overhead chargers
• May affect grid reliability
Electric:
inductive
charging
Buried underground and
connects wirelessly to
special coils underneath
the buses.
This is at evolution stage
and is not commercially
available on a large scale
till date
• Less obtrusive and
minimally exposed to
damage or vandalism than
other charging technologies
• Operators can have on-
route battery top-up that
keep buses near full charge
for the entire route and
extends their range
• Requires careful route
optimization
• Reduces flexibility of route
design
• Relatively expensive
Battery
swapping
Battery swapping system
consists of the battery
charging system (normally
plug-in arrangement) and
the battery swapping
mechanism (for e-bus, due
to heavy weight of
batteries, robotic arms are
used as swapping
mechanism)
• Provide flexibility of
refuelling within few
minutes
• In case of availability of
sufficient on-route swapping
stations lower battery size
could be used leading to
lesser bus weight and cost
• Battery health can be
monitored better, and slow
charging would prolong
battery life as compared to
fast charging
• Costly, particularly for e-
buses, due to requirement
of mechanized swapping
system
• Reduces flexibility of route
design, bus may need to
travel off-route for battery
swapping
• Range anxiety
50. Modeling of EV charging station
To understand the feasibility of an EV charging station in India, a sample financial model was prepared with
assumptions relevant to Indian context.
Following were the assumption of the model:
Table 88 General assumptions
Parameters Assumptions
General assumptions
Charger type Bharat DC001
Charger Output 15 kW
Charger life 10 years
Charger operation Unmanned
Capex assumptions
Gross equipment (EVSE) cost INR 4,50,000
Civil cost, aux equipment, power
infrastructure
INR 1,80,000
Labour INR 45,000
Total Cost of Installation INR 6,75,000
Opex assumptions
1
st
Year CUF 10%
10
th
Year CUF 16% (YoY increase @5%)
Land leasing INR 1500/ month Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
302
Parameters Assumptions
Software, CCTV, network charges etc. INR 12000/ month
O&M expense INR 1,688/ month
O&M escalation 3% per annum
Retail tariff cost (1
st
Year) INR 4.5/ kWh (No demand charge)
YoY change in Retail tariff +2%
Revenue assumptions
Energy sales price INR 12.99/ kWh
Escalation 0%
Financing assumptions
Debt : Equity 70:30
Interest on loan 10.5%
Loan tenure 10 years
Moratorium period NO
Return on Equity 16% (post tax)
Project WACC/ Discount rate 9.58%
DHI in its subsidy for EV charging station, under Fame II scheme provides 70% subsidy to Category A
135
chargers.
Note: Although the eligibility of the subsidy requires minimum five chargers in the charging station whereas
the model considers only one charger; as ideal assumption of 70% subsidy on EVSE cost is considered.
Charging station subsidy 70% on EVSE cost
The model was simulated for 10 years of life of the charging station and below were the outputs:
135
Charging stations established at public places for commercial purpose to charge electric vehicles and are available to any individual
without any restrictions for charging their vehicles; and are installed as per MoP notification dated 14th Dec 2018 and its amendment
thereof. (e.g., EV Charging station established in at Municipal Parking Lots, Petrol Stations, Streets, Malls, and Market Complexes etc.) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
303
I. Profit & Loss Statement
Figure 226 Profit & Loss statement
EV Charging infrastructure
Profit & Loss StatementYear 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
No. of operating days in yeardays 365 365 365 365 365 365 365 365 365 365
CUF10% 11% 11% 12% 12% 13% 13% 14% 15% 16%
Operating income
Total units sold in the yearkWh 131401379714486.8515211.1915971.7516770.3417608.8618489.319413.7620384.45
Revenue per unit of energy soldINR/kWh 12.9912.9912.9912.9912.9912.9912.9912.9912.9912.99
Total revenue from sale of powerINR Lakh 1.71 1.79 1.88 1.98 2.07 2.18 2.29 2.40 2.52 2.65
Operating expenses
Per unit power purchase costINR/kWh 4.50 4.59 4.68 4.78 4.87 4.97 5.07 5.17 5.27 5.38
Total cost of power purchaseINR Lakh 0.59 0.63 0.68 0.73 0.78 0.83 0.89 0.96 1.02 1.10
Charge for the areaINR Lakh 1.80 1.80 1.80 1.80 1.80 1.80 1.80 1.80 1.80 1.80
WagesINR Lakh - - - - - - - - - -
Software feesINR Lakh 1.44 1.44 1.44 1.44 1.44 1.44 1.44 1.44 1.44 1.44
O&M excl. of wagesINR Lakh 0.11 0.11 0.11 0.12 0.12 0.13 0.13 0.13 0.14 0.14
Total operating expenseINR Lakh 3.94 3.98 4.03 4.08 4.14 4.20 4.26 4.33 4.40 4.48
EBITDAINR Lakh -2.23 -2.19 -2.15 -2.11 -2.06 -2.02 -1.97 -1.93 -1.88 -1.83
(Less) Depreciation/AmortizationINR Lakh 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36
EBITINR Lakh -2.59 -2.55 -2.51 -2.47 -2.42 -2.38 -2.33 -2.29 -2.24 -2.19
(Less) InterestINR Lakh 0.26 0.25 0.23 0.21 0.19 0.16 0.14 0.11 0.08 0.04
EBTINR Lakh -2.86 -2.80 -2.74 -2.68 -2.61 -2.54 -2.47 -2.40 -2.31 -2.23
(Less) TaxINR Lakh - - - - - - - - - -
PATINR Lakh -2.86 -2.80 -2.74 -2.68 -2.61 -2.54 -2.47 -2.40 -2.31 -2.23
End of sheet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
304
II. Balance Sheet
Figure 227 Balance sheet
EV Charging infrastructure
Balance SheetYear 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
No. of operating days in yeardays 365 365 365 365 365 365 365 365 365 365
Assets
Fixed assetINR Lakh 3.24 2.88 2.52 2.16 1.80 1.44 1.08 0.72 0.36 -
CashINR Lakh -2.65 -5.26 -7.83 -10.36 -12.84 -15.28 -17.68 -20.02 -22.32 -24.57
Total assetsINR Lakh 0.59 -2.38 -5.31 -8.20 -11.04 -13.84 -16.60 -19.30 -21.96 -24.57
Liabilities
Equity share capital INR Lakh 1.08 1.08 1.08 1.08 1.08 1.08 1.08 1.08 1.08 1.08
Reserve and surplus INR Lakh -2.86 -5.66 -8.40 -11.08 -13.69 -16.24 -18.71 -21.10 -23.42 -25.65
DebtINR Lakh 2.37 2.20 2.01 1.80 1.57 1.31 1.03 0.72 0.38 -
Total liabilities INR Lakh 0.59 -2.38 -5.31 -8.20 -11.04 -13.84 -16.60 -19.30 -21.96 -24.57
Check- - - - - - - - - -
End of sheet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
305
III. Cash Flow Statement
Figure 228 Cash flow statement
EV Charging infrastructure
Cash Flow StatementYear 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
No. of operating days in year days 365 365 365 365 365 365 365 365 365 365
Cash from operation
PATINR Lakh -2.86 -2.80 -2.74 -2.68 -2.61 -2.54 -2.47 -2.40 -2.31 -2.23
Adjustment for non-cash and non-operating expenses
Add: amortization expense INR Lakh 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36
Add: interest paid INR Lakh 0.26 0.25 0.23 0.21 0.19 0.16 0.14 0.11 0.08 0.04
Cash flow from operating activitiesINR Lakh -2.23 -2.19 -2.15 -2.11 -2.06 -2.02 -1.97 -1.93 -1.88 -1.83
Cash from investing
Capex-3.60 - - - - - - - - -
Cash flow from investing-3.60 - - - - - - - - -
Cash from financce
Issue of equity share capital1.08 - - - - - - - - -
Add: Debt raised2.52 - - - - - - - - -
Less: Debt repayed-0.15 -0.17 -0.19 -0.21 -0.23 -0.25 -0.28 -0.31 -0.34 -0.38
Interest paid-0.26 -0.25 -0.23 -0.21 -0.19 -0.16 -0.14 -0.11 -0.08 -0.04
Cash flow from financing activities3.18 -0.42 -0.42 -0.42 -0.42 -0.42 -0.42 -0.42 -0.42 -0.42
Beginning cash balance- -2.65 -5.26 -7.83 -10.36 -12.84 -15.28 -17.68 -20.02 -22.32
Add: Cash Generated during the year-2.65 -2.61 -2.57 -2.53 -2.48 -2.44 -2.39 -2.35 -2.30 -2.25
Closing cash balance-2.65 -5.26 -7.83 -10.36 -12.84 -15.28 -17.68 -20.02 -22.32 -24.57
End of sheet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
306
Output of the model
Figure 229 NPV - Basecase
Project feasibility
Table 89 Model output on project feasibility
Parameters Assumptions
Project feasibility
Project NPV INR -19.78 Lakh
Project IRR No positive cash flow
Payback period NA
It can be observed that even after 70% subsidy on EVSE cost, the project is not viable. To understand the
sensitivity of the project NPV & IRR, sensitivity analysis has been done based on certain input parameters.
Input parameters selected for sensitivity are:
1. Annual utilization of charging station
2. Retail tariff of electricity for the operator
3. EV charging tariff operator charges from the customers
To assess the sensitivity, above output on Project NPV an d IRR was considered as basecase. Selected
parameters for assessing sensitivity in the basecase scenario is mentioned below:
EV Charging infrastructure
OutputYear 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
No. of operating days in yeardays 365 365 365 365 365 365 365 365 365 365
EBITINR Lakh -2.59 -2.55 -2.51 -2.47 -2.42 -2.38 -2.33 -2.29 -2.24 -2.19
TaxINR Lakh - - - - - - - - - -
NOPATINR Lakh -2.59 -2.55 -2.51 -2.47 -2.42 -2.38 -2.33 -2.29 -2.24 -2.19
Add: Depreciation INR Lakh 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36
Less: CapexINR Lakh -3.60 - - - - - - - - -
FCFFINR Lakh -5.83-2.19-2.15-2.11-2.06-2.02-1.97-1.93-1.88-1.83
Add: Debt raised INR Lakh 2.52 - - - - - - - - -
Less: Debt repaid INR Lakh -0.15 -0.17 -0.19 -0.21 -0.23 -0.25 -0.28 -0.31 -0.34 -0.38
Less: Interest paid INR Lakh -0.26 -0.25 -0.23 -0.21 -0.19 -0.16 -0.14 -0.11 -0.08 -0.04
FCFEINR Lakh -3.73 -2.61 -2.57 -2.53 -2.48 -2.44 -2.39 -2.35 -2.30 -2.25
Cumm. FCFF-5.83-8.02-10.18-12.28-14.35-16.37-18.34-20.27-22.15-23.98
Payback period0 0 0 0 0 0 0 0 0 0
Project NPVINR Lakh -16.24
End of sheet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
307
Figure 230 Parameters considered to assess sensitivity of the project
On the above-mentioned parameters, four scenarios were created where YoY growth in selected parameters
were changed:
Base case Scenario I Scenario II Scenario III Scenario IV
Subsidy: 70%
YoY change in:
Utilization: 5%
Retail tariff: 2%
EV charging tariff:
0%
Subsidy: 70%
YoY change in:
Utilization: 5%-65%
Retail tariff: Basecase
EV charging tariff:
Basecase
Subsidy: 70%
YoY change in:
Utilization: Basecase
Retail tariff: 0%-6%
EV charging tariff:
Basecase
Subsidy: 70%
YoY change in:
Utilization: Basecase
Retail tariff: Basecase
EV charging tariff: 0%-
6%
Subsidy: 0%
YoY change in:
Utilization: 5%-65%
Retail tariff: Basecase
EV charging tariff:
Basecase
Scenario I
Utilization YoY growth gradually increased from 5% to 65%. Below is the impact on Project NPV & IRR:
Figure 231 Project sensitivity w.r.t charging station utilization
Source: 170 Non-discounted payback period
CUF has significant impact on project viability. With the current assumption, CUF YoY growth of 30% will
make project profitable with payback period of 9.33 years. Year-wise % utilization of the charging station
at 30% YoY growth is provided below:
Year 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
Base-case
Subsidy70%
Utilization (%) %10% 11% 11% 12% 12% 13% 13% 14% 15% 16%
YoY change5%
Retail Tariff INR/kWh 4.50 4.59 4.68 4.78 4.87 4.97 5.07 5.17 5.27 5.38
YoY change2%
EV charging tariff INR/kWh 12.9912.9912.9912.9912.9912.9912.9912.9912.9912.99
YoY change0%
NPVINR Lakh-16.24
-16.24
-14.48
-12.24
-9.12
-4.74
0.73
5.31
9.12
12.20
14.69
16.90
19.03
20.39
-17%
0%
11%
18%
23%
27%
31%
34%
38%
40%
-20%
-10%
0%
10%
20%
30%
40%
50%
-20.00
-15.00
-10.00
-5.00
0.00
5.00
10.00
15.00
20.00
25.00
5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60% 65%
IRR (%)
NPV (INR Lakh)
% YoY growth in charging station utilization
Project achieve breakeven at 30%
YoY growth in charging station
utilization
Payback period: 9.33 Years
NPV
IRR Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
308
Figure 232 Year-wise charging station utilization at 30% YoY growth
Project viability output in Scenario I is provided in the below table:
Figure 233 Model output - Scenario I
Parameters Assumptions
Project feasibility @ 30% YoY Utilization growth
Project NPV INR 0.73 Lakh
Project IRR 10.80%
Payback period 9.33 Years
Scenario II
Retail tariff YoY increase gradually increased from 0% to 6%. Below is the impact on Project NPV & IRR:
Figure 234 Project sensitivity w.r.t retail tariff
As understood from above figure, change in retail tariff will not have significant impact on project
profitability.
Scenario III
Year 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
Scenario I
Subsidy70%
Utilization (%) % 10% 13% 17% 22% 29% 37% 48% 63% 82% 100%
YoY change30%
-15.85
-17.16
-17.50
-17.00
-16.50
-16.00
-15.50
-15.00
NPV (INR Lakh)
% YoY growth in retail tariff Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
309
EV charging tariff YoY growth gradually increased from 0% to 6%. Below is the impact on Project NPV &
IRR:
Figure 235 Project sensitivity w.r.t EV charging tariff
As understood from above figure, change in EV charging tariff will not impact project profitability.
Scenario IV
Project subsidy is reduced to 0, and Utilization YoY gradually increased from 5% to 65%. Below is the impact
on Project NPV & IRR:
Figure 236 Project sensitivity w.r.t charging station utilization with no subsidy
As found out from the sensitivity analysis, even with no subsidy, with high utilization, the charging station
business can gain profitability. With the current assumption, CUF YoY growth of 35% will make project
profitable with payback period of 9.17 years. Year-wise % utilization of the charging station at 35% YoY
growth is provided below:
-16.24
-12.47
-18.00
-16.00
-14.00
-12.00
-10.00
-8.00
-6.00
-4.00
-2.00
0.00
NPV (INR Lakh)
% YoY growth in EV charging tariff
-19.78
-18.02
-15.78
-12.80
-8.53
1.331.33
5.10
8.08
10.57
12.77
14.80
16.13
-22%
-5%
11%
11%
16%
19%
22%
25%
27%
29%
-30%
-20%
-10%
0%
10%
20%
30%
40%
-25.00
-20.00
-15.00
-10.00
-5.00
0.00
5.00
10.00
15.00
20.00
5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60% 65%
IRR (%)
NPV (INR Lakh)
% YoY growth in charging station utilization
Project achieve breakeven at 35%
YoY growth in charging station
utilization
Payback period: 9.17 Years
NPV
IRR Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
310
Figure 237 Year-wise charging station utilization at 35% YoY growth
Project viability output in Scenario IV is provided in the below table:
Figure 238 Model output - Scenario IV
Parameters Assumptions
Project feasibility @ 35% YoY Utilization growth
Project NPV INR 1.33 Lakh
Project IRR 11.28%
Payback period 9.17 Years
From the sensitivity analysis, it can be concluded that high
utilization of charging infrastructure is key for the profitability of the
business
51. Key challenges around development of EV charging infrastructure
Low utilization of
charging
infrastructure
Setting-up of charging station requires huge capital that is generally
be borrowed from a financial institution. For early payback of capital
invested in the business, it is required to have high utilization of
assets i.e., charging infrastructure. However, in India, since EV on
road are not significant, the asset utilization remains critically low
leading to multiple issues such as delay in payback, non-recovery of
operating expenses, default in bank loan etc. The charging station
utilization of EESL is provided in the graph below:
Two-part electricity
tariff – Demand
charges on
connected load
15 states and UTs (out of 22) such as Gujarat, Haryana, Karnataka,
Maharashtra etc. have announced demand charges for EV charging
stations. Electricity demand charges are fixed charges levied on
charging station operator based on connected load irrespective of
usage of the charging station facility.
In case of low asset utilization, levy of the electricity demand
charges makes it difficult for charging station operator to achieve
break-even. 7.1
4.4
6.2
5.1
4.8
10.1 10.0
10.6
10.1
15.4 15.3
0.2
1.1
10.1
May-19Jun-19Jul-19Aug-19Sep-19Oct-19Nov-19Dec-19Jan-20Feb-20Mar-20Apr-20May-20Jun-20
Public Charging Station Utilization (EESL)
(in %)Lockdown
period
Issue 1
Issue 2
Year 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
Scenario IV
Subsidy0%
Utilization (%) % 10% 14% 18% 25% 33% 45% 61% 82% 100% 100%
YoY change35% Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
311
No regulatory
mechanism for
setting EV charging
tariff (tariff charged
by operator to
consumer)
Many State Electricity Regulatory Commissions have notified
separate EV tariff that is to be charged by Discom to EV charging
station operator. However, there is no guidance available on setting
maximum limit on charges that a charging station operator could
levy on their customer. The charges levied by Fortum for using its
charging facility is provided as below:
Location Type of charger
Capacity of
charging gun
Price (per
minute)
Hyderabad Bharat DC 001 10kW/15kW INR 10.99*
Ahmedabad CCS/ Chademo Charger 50 kW INR 13.99
Delhi CCS/ Chademo Charger 50 kW INR 14.49
Hyderabad CCS/ Chademo Charger 50 kW INR 15.99
Mumbai CCS/ Chademo Charger 50 kW INR 15.99
Noida CCS/ Chademo Charger 50 kW INR 17.99
Gurgaon CCS/ Chademo Charg er 50 kW INR 18.99
Bengaluru CCS/ Chademo Charger 50 kW INR 18.99
Hyderabad DC Charger 10kW/15kW INR 12.99*
Mumbai DC Charger 10kW/15kW INR 12.99*
New Moti
Bagh - Delhi Type 2 11 kW INR 12.99
* Price in per kWh
Source: Fortum - Pricing list and Terms & Conditions (access here)
No mechanism for
socializing the cost of
power infrastructure
development
To develop a charging infrastructure, it is required to have
availability of suitable and adequate upstream power infrastructure.
There is regulatory uncertainty around whether the cost of network
upgradation for providing electricity connection to charging station
could be passed on to consumer through electricity tariff. Therefore,
power distribution companies are charging cost of upstream network
upgradation from the charging station developer that is increasing
the project cost and associated risk of investment recovery leading
to low bankability of the project.
Further, there is no timeline provided in any supply code in relation
to network upgradation for the EV charging station. This leads to
delay in project execution that has further adverse cascading impacts
on the financial viability of the overall business.
High capital
requirement – lack of
financial support
Setting-up of charging infrastructure is a capital-intensive business.
In the scenario where EV adoption rate in 1-2%, charging station
utilization is less than 20%, and the risk of evolving technology;
financial institutions are shying away from providing loans to the
developer or even if it has been provided the cost of finance is high
considering the risk factors involved. This is leading to insufficient
scaling-up of EV charging business in India.
Further, there is facility extended by government in any policy, for
providing soft/concessional loan or loan backed by government
guarantee to the charging station developer.
No policy for EV
adoption mandate
Unlike China and California, there is no EV mandate provided under
the scheme/policy that puts uncertainty around long-term prospects
of EV in India. In China, State Owned Grid Utilities are investing
hugely in development of charging infrastructure as EV mandate in
the country provide assurance to investors in terms of business
continuity, higher utilization of assets and early payback.
Issue 3
Issue 4
Issue 5
Issue 6 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
312
However, in India, due to lack of demand certainty from EV, the
investors are shying away from putting in resources in development
of charging infrastructure.
Land allocation Identification and allocation of the suitable land is critical in the
entire value proposition of EV charging business. Some State EV
policy has although recognized this as an issue and offered
assistance in identification and allocation of land, however, our
interaction from industry participants suggest that there are
administrative challenges involved in land acquisition and in case of
lease, uncertainty involves around the lease rental on long-term
basis.
Chapter 5 EV ecosystem enablers and barriers
52. Stakeholder consultation
Total 42 expert
individuals from the
EV industry
participated in the
survey
Figure 239 Survey participants category break-up
Note: Other category includes: Non profit organization, research and consulting firms,
think-tank etc.; The above break-up is provided for 28 participants; 14 participants
submitted their response as anonymous
Online survey questionnaire
Q1 "Central and State Governments have announced few policies to promote Electric Vehicles."
What additional policy measures the government should adopt to fast track EV adoption? Please rank
the following (1 – highest priority)
1. Launch of Charge ready infrastructure programme
2. National/ State level policy for incentivizing Distribution Utility investments in EV charging
infrastructure
3. Policy and clear mandate on target EVs on road by 2030 for each vehicle type
4. Policy & clear mandate on GHG emission reduction for country as a whole and then segregated for
each state and how much of the emissions have to reduce from transport sector through
transitioning to EVs
5. Amendments in Tariff Policy to accommodate rate basing of EV Charging infrastructure
6. Dis-incentivize conventional vehicle purchase (e.g. Introduce fossil fuel tax/carbon tax to fund EV
initiatives, Levy parking surcharges etc.)
EV Charging infra
developer/ Service
provider, 21%
Civil Society
Organization
(CSO), 21%
Discom, 18%
Investor/ Financial
Institute, 7%
Academia &
R&D, 7%
Other, 25%
Issue 7 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
313
7. Promote battery recycling and reuse (e.g. Incentivize end-of-life recycling, Commercialize battery
second life etc.)
Q2 What according to you is the major challenge in adoption of EVs in India? Please rank the following (1 –
most important challenge)
1. Perception of public about EV (Anxiety around range, mileage, power, service, charging
infrastructure etc.)
2. Inadequate charging infrastructure
3. Insufficient government support in providing financial incentives for demand creation
(Consumer to achieve price advantage over ICE vehicles)
4. Insufficient government support in providing financial incentives for reduction in manufacturing
cost (Manufacturer to achieve cost advantage over ICE vehicles)
5. Lack of R&D support in reducing battery prices leading to higher TCO for EVs (Capex + Opex)
6. Concern around safety standards of EV and Charging Infrastructure
Q3 Governments around the world have taken a number of actions to address the barriers to electric vehicle
market development and to accelerate the transition to electric mobility. All such measures can be
bucketed into broad five clusters (mentioned below). Please rank them from high priority to least
priority for the formulation of State/Central level policy. (Rank 1 - highest priority)
1. Expand EV model availability (Stimulate investment in EV production, Support R&D and
demonstration activities)
2. Improve EV cost competitiveness (Financial and non-financial incentives)
3. Develop charging infrastructure network (Regulations and frameworks, incentives for charging
infrastructure investment, home and workplace charging infrastructure)
4. Accelerate EV deployment across different fleets (Public fleet transition, Commercial and
corporate fleet transition)
5. Raise public awareness (Education and skills training, Mass communication etc.)
Q4 "Many European countries have demarcated Zero Emission Zone. Except for EVs, other ve hicles need to
pay tax to enter into such zone."
Do you think that demarcating similar zones in India would provide the necessary thrust for EV uptake?
1. Extremely important
2. Important
3. Good to have
4. Not required
Q5 Integration of EVs with Indian electricity grid is an important aspect in the development of EV
ecosystem. Do you think that the Central/State government should sponsor more syste m modelling/
Grid integration-related pilot demonstration project?
1. Yes
2. No
Q6 Which of the technological intervention can catalyse the pace of creation of EV ecosystem in India?
Please rank the following (1 – highest priority)
1. Undertaking modelling and simulation studies
2. Enabling communication between EV charging Stations (EVCS)
3. Enabling interoperability in EV charging stations
4. Database management and notifications to utilities
5. Enabling communication system between EVCS and distribution uti lity
6. Enabling Vehicle to grid integration Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
314
Q7 Please rate the challenges that you have faced/ are facing in setting up a Charging Infrastructure. (1 –
highest challenge; 8 – lowest challenge)
1. Choosing appropriate locations for placement of EVSE
2. Allotment of land
3. Receiving clearances and approvals for manufacturing facility
4. Technical issues in integration with Distribution network (Voltage Stability and Harmonics)
5. Administrative issues in taking electricity connection
6. Bureaucratic interference
7. Supply of raw material
Q8 "States such as Madhya Pradesh, Uttar Pradesh, Tamil Nadu, Telangana and Punjab have made
provision for Single Window Clearance for EV/Battery Manufacturer, in their EV policies."
Do you consider it as a good suggestion to establish Single Window Clearance System across all States
for providing time-bound technical and administrative approval, for matters related to land allocation,
electricity connection, open access, type-test approval of vehicle systems, parts and equipment license,
permit etc., for EV/Battery/Charging equipment Manufacturer, Charging infra developer?
1. Extremely important
2. Important
3. Good to have
4. Not required
Q9 What should be the priority of Government/Policy maker in India in order to develop charging
infrastructure? Please rank the following (1 – highest priority)
1. Developing framework for public private partnerships / franchisee agreements for developing
EV Charging stations
2. Develop a framework for Managed/ coordinated charging to mitigate distribution network
impacts and facilitate RE integration
3. Provision to include investments in EV charging infrastructure in the retail tariff
4. Identify the tariff structure for EV charging (e.g., ToD tariff, special EV charging tariffs for EV
users)
5. Adoption of smart grid capabilities, such as smart metering, “smart” charging
6. Specifying connectivity standards and technical standards for EVSE equipment
Q10 "Regulatory measures for charging infrastructure have been a major focus area for electricity regulators
the world over."
Would it be a good consideration to have the National Tariff Policy and the Forum of Regulators look
specifically into regulatory measures for promoting charging infrastructure development in the country?
1. Extremely important
2. Important
3. Good to have
4. Not required
Q11 To make the future of electric mobility greener, it is essential to promote renewable energy integrated
with EV charging infrastructure. Do you think that complimentary grant for Open Access or rebate in
Cross-subsidy surcharges/ wheeling charge provided along with electricity connection to a Charging
Station owner availing power from RE sources?
1. Yes
2. No Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
315
Q12 "GoI have constituted National Council for Electric Mobility and National Board for Electric Mobility
(NBEM) as apex bodies to steer the EV growth in Country. However, EV policies notified by several
States vary significantly across many dimensions."
Do you think that for coordinated action on several fronts, across States, there is a need to have a State
Coordination Forum, at National level, (similar to NCRPB, constituted for the coordinated development of
Delhi-NCR region), as a common platform for State representatives to frame unified policies, regulatory
measures, specification, standardization, data sharing protocols, incentives, mechanism for single-
window clearance etc.?
1. Extremely important
2. Important
3. Good to have
4. Not required
Q13 "Ministry of Power, Government of India on 14 December 2018 released the guidelines on EV charging
infrastructure, mandating Charging stations to tie up with at least one online Network Service Provider
(NSP) to provide IT enabled services to EV owner. With the development of EV ecosystem, there would
be a requirement for huge amount of data sharing among various participant – EV owner, power
utilities, Charging Station, Service providers etc. In absence of any secure protocol for data sharing,
cyber security and data privacy; secure operation of Electricity Grids, privacy of EV owner data etc.
would be jeopardized. “
Do you think that there is a need to formulate a National IT Committee for EV, under MeitY to establish
institutional framework to create national data standards, formulate rules for data sharing, and build
capacity within the government and private sector to handle data use, monitoring, and issue resolution?
(This institution could also create and maintain a central database for relevant data.)
1. Extremely important
2. Important
3. Good to have
4. Not required
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
316
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i
Status quo analysis of various segments of
electric mobility and low carbon passenger road
transport in India
In Cooperation with
Status quo analysis of various segments of
electric mobility and low carbon passenger
road transport in India
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Foreword by NITI Aayog
2
Disclaimer: While care has been taken in the collection, analysis, and compilation of the data Deutsche
Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH does not guarantee or warrant the accuracy,
reliability, completeness or currency of the information in this publication. The information provided is without
warranty of any kind. GIZ and the authors accept no liability whatsoever to any third party for any loss or
damage arising from any interpretation or use of the document or reliance on any views expressed herein. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Foreword by NITI Aayog
iii
Foreword by NITI Aayog
In 2015, India signed the historic Paris climate agreement along with more than 170 na tions, marking a
significant step that brought together developing and developed nations in combating global warming by
cutting down on greenhouse gas emissions.
At COP21, India had pledged to reduce its carbon footprint by 33-35% by 2030 below 2005 levels. It has
also pledged to increase the share of non-fossil fuels-based electricity to 40 per cent by 2030. Considering
the same, it is high time to switch to alternative fuel options to minimize air pollution and rising crude oil
import bill of the country so that we can meet our commitments at the global level.
The transport sector in India is the largest user of oil and second largest source of CO2 emissions world-
wide. India has seen a rapid increase in adoption of automobiles since the last ten years. Currently, Indian
transportation sector accounts for one-third of the total crude oil consumed in the country, where 80% is
being consumed by road transportation alone. It also accounts for around 11% of total CO2 emissions from
fuel combustion.
Government of India had notified the National Electric Mobility Mission Plan 2020 which seeks to enhance
national energy security, mitigate adverse environmental impacts from road transport vehicles and boost
domestic manufacturing capabilities for Electric Vehicles. In addition to this, the Government has notified
Phase-II of Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME) scheme to stimulate
the market of EVs in the country, de-licensed the charging infrastructure business and specified guidelines
& standards for charging infrastructure for electric vehicle thereby opening up the market of public charging
infrastructure & ensuring a roadmap for development of charging infrastructure, and introduced various
financial incentives to reduce upfront cost of EVs and charging infrastructure.
While, Government of India has taken crucial steps towards faster adoption of EVs, there are several
challenges and gaps existing in the EV ecosystem that must be addressed. In this context, the report on
“Status quo analysis of various segments of E-mobility and low carbon passenger road transport in India” is
a welcome initiative. It is believed that that the report will stimulate concerted and coordinated efforts by
Policy makers, Regulators, Utilities, OEMs and other value chain players to understand the existing gaps in
current landscape of EV industry India and the key action items required for enabling accelerated adoption
of EVs to support India’s vision of transitioning to sustainable and green mobility.
The team acknowledges and appreciates the contributions of all the stakeholders, who provided critical
inputs in shaping up the report.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | About the study
iv
About the study
On behalf of the German Federal Ministry for the Environment, Nature Conservation and Nuclear Safety
(BMU), the Nationally Determined Contribution-Transport Initiative for Asia (NDC-TIA) is a joint project of
seven organisations and with the engagement of China, India, and Vietnam. It aims at promoting a
comprehensive approach on decarbonizing transport i.e. a coherent strategy of effective policies that are
coordinated among various sector ministries, civil society, and the private sector. The overall aim of the
project, which is being implemented by the consortium of seven organisations together to support countries
in facilitating and informing these stakeholder processes and in developing selected climate actions. This
enables partners to make a sectoral contribution towards achieving their NDCs and increase ambition in
transport sections of long-term strategies and 2025 NDCs.
In this context, under the regional technical assistance programme NDC -TIA; one of the activities was to
“Perform a status quo analysis/investigation on different segments in India” (e.g. 2W, cars, trucks, buses,
freights) under its International Climate Initiative (IKI). This analysis provided us the existing status,
opportunities, challenges, gaps, and way forward for low carbon road transport in India. Different types and
technologies, services, business models, standards, protocols, contribution in India’s long-term NDCs and
other climate action and clean energy targets were assessed for various segments of low carbon road
transport including electric mobility.
The main objective or goal of this study is to examine the Low-Carbon Road Transport (LCRT)/E-mobility
development, accomplishments so far, supported by the policy, schemes, and regulatory interventions in
India.
The global average temperature is on a continuous rise and has been a cause of worry for leaders across
the world. As per NASA, 19 out of the 20 warmest years have occurred in the 21
st
century. The rise in change
in global temperature was an alarming bell and therefore needed immediate global attention. The 21
st
yearly
session of the Conference of the Parties (COP21) took place in Paris on 30 November 2015. It laid the
foundation for global climate change agreement that came into being on 04 November 2016. The central
aim of the Paris Agreement was to strengthen the global response to the threat of climate change by limiting
the global temperature rise to 1.5 - 2 degree Celsius above pre-industrial levels for the 21
st
century, along
with increasing the ability of countries to deal with the impact of climate change. Worldwide, Energy Sector
had contributed 73% of GHG emission
1
in 2016. Within the energy sector, transportation accounted for 7.9
GtCO2e in 2016, or 15% of total emissions.
Figure 1 Change in global surface temperature relative to 1951-1980 average temperatures
Source: 1 NASA's Goddard Institute for Space Studies (GISS)
1
Greenhouse Gas Emissions by Countries and Sectors (access here)
-0.6
-0.4
-0.2
0
0.2
0.4
0.6
0.8
1
1.2
1880 1883 1886 1889 1892 1895 1898 1901 1904 1907 1910 1913 1916 1919 1922 1925 1928 1931 1934 1937 1940 1943 1946 1949 1952 1955 1958 1961 1964 1967 1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006 2009 2012 2015 2018
Temperature Anomaly (
°
C)
Annual temperature mean
Lowess smoothing Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | About the study
v
Transport industry of India and emission challenges
With one of the lowest motorization rates in the world (22 cars per 1,000 people
2
), India is among the fastest
growing countries in transportation sector. From 2011 to 2020, India’s domestic vehicle sale (2W, 3W,
Passenger Vehicle, Commercial Vehicle) has grown at ~4% CAGR. With rising income and rapid urbanization,
the Indian mobility market is expected to expand rapidly.
Transportation, however, has contributed significantly in India’s overall GHG emission. During year 2016,
transport sector contributed to 270.6 MT CO2e of GHG emission
3
, third highest, only after power industry
and industrial combustion. Within transportation, road transport has been the highest contributor to the
GHG emission
4
. With the rising transport industry, India is also facing intense emission challenges.
Figure 2 Pollution level in India in the past has been alarming
Source: 2 IQAir
India therefore has a great opportunity to leapfrog towards decarbonizing the transport system to meet its
NDC commitments and to overcome environmental issues which would likely to become more severe, if
remain unaddressed, as India has huge prospects for growth.
LCPRT and e-mobility: India’s solution for sustainable growth of transportation sector
As India is experiencing acute challenges in controlling its carbon emissions, the country expects the
emission level to grow even further as its transport industry is expanding. To tackle the emission from the
transport industry, India is moving towards “zero or low carbon emission” transportation model by promoting
the use of alternative fuel vehicles and Electric Vehicles (EVs).
In 2009, through its National Biofuels policy, India sets an “aspirational” target to blend 20% biofuels into
the diesel and petrol mix by 2017. However, it has fallen well short of these targets. So far, it has attained
only around 2% bioethanol and 0.1% biodiesel blend in 2018. Further, India came up with its first passenger
vehicle fuel efficiency standards in 2014 that came into being in 2017. However, they are still less stringent
than the EU norms.
In addition, India has also set the national target of achieving 30% EV sales penetration by 2030 and
launched National Mission on Transformative Mobility and Battery Storage to promote localization of EV
component manufacturing. Alongside the various central level interventions, several states have also notified
their respective policies for promoting Electric Vehicles which cover subsidy and tax exemptions, among
other incentives, for consumers/ buyers.
However, with all these efforts in place, the market for EVs in India hasn’t picked-up as
expected.
Low growth in this domain instigates to do a deeper analysis to identify the barriers, challenges and gaps
existing in the EV ecosystem that needs to be addressed to unveil the growth of e-mobility and other LCPRT
systems in India.
2
India motorization rate (access here)
3
The Carbon Brief Profile: India (access here)
4
Distribution of greenhouse gas emissions from the transport sector in India in 2014 by type (access here) India was ranked 5
th
in world’s most
polluted countries in
2019
6 of the world’s 10
most polluted cities
were in India in
2019 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | About the study
vi
The structure of the report is highlighted as follows:
Chapter 1 deals with the As-is state of passenger road transport system in India including existing options
for clean mobility and review of passenger transport vehicle technologies.
Chapter 2 provides the market landscape of EV components, EV charging infrastructure, role of distribution
utility, consumer perception and roles of financial institutions.
Chapter 3 highlights the Central and State level policies on e-mobility, key gaps and recommendations and
also covers the Regulations and Technical standards covering e-mobility and clean fuels.
Chapter 4 provides a deep-dive into the forms and business models of e-mobility, charging infrastructure,
e-buses and provides a review of Model Concession Agreement for procurement of e -Buses and highlights
key gaps / improvement areas.
Chapter 5 provides the overview and key outcomes of stakeholder consultations and highlights the key
barriers in adoption of EVs and charging infrastructure through a mix of such consultations and international
best practices.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Table of Contents
vii
Table of Contents
Foreword by NITI Aayog ................................................................................................. iii
About the study ............................................................................................................. iv
Table of Contents ........................................................................................................... vii
List of Figures ................................................................................................................. x
List of Tables ............................................................................................................... xvii
Abbreviations ............................................................................................................... xx
1. As-is state of passenger road transport system in India ................................................ 1
Road transport industry in India.......................................................................................... 1
India’s automobile sector ................................................................................................... 1
Fuel import status of India ................................................................................................. 4
1.3.1 Fuel import and India’s Current Account Balance (CAB) ............................................................ 5
India’s options for clean mobility ......................................................................................... 6
1.4.1 Electric vehicles .................................................................................................................. 6
1.4.1.1 Two-wheeler EV segment ................................................................................................. 7
1.4.1.2 Three-wheeler EV segment ............................................................................................. 10
1.4.1.3 Four-wheeler EV segment ............................................................................................... 12
1.4.1.4 E-buses ....................................................................................................................... 13
1.4.1.5 Electric Vehicles @2030 ................................................................................................. 15
1.4.2 Hydrogen ........................................................................................................................ 16
Passenger transport vehicle technologies ........................................................................... 18
1.5.1 Hydrogen fuel cell vehicles ................................................................................................. 19
1.5.2 Electric vehicles ................................................................................................................ 20
1.5.2.1 Overview ..................................................................................................................... 20
1.5.2.2 Operating principle ........................................................................................................ 21
1.5.2.3 Types of powertrains ..................................................................................................... 21
1.5.2.4 Battery technologies ...................................................................................................... 21
1.5.2.5 Cost of an electric vehicle ............................................................................................... 23
1.5.2.6 Electric vehicle charging infrastructure ............................................................................. 23
1.5.2.7 Information and Communication Technologies (ICT) ........................................................... 24
1.5.2.8 Battery management system (BMS) ................................................................................. 26
1.5.3 Vehicle technology comparison ........................................................................................... 29
1.5.3.1 Total cost of ownership (TCO) ......................................................................................... 29
1.5.3.2 Environmental impact .................................................................................................... 30
2. Review and assessment of electric vehicle and charging infrastructure stakeholder
landscape ..................................................................................................................... 33
Policy and regulatory landscape ........................................................................................ 33
2.1.1 Roles of various ministries in EV ecosystem .......................................................................... 33
2.1.1.1 Ministry of Heavy Industries and Public Enterprises (MoHI&PE) ............................................ 33
2.1.1.2 Ministry of Road Transport and Highways (MoRTH) ............................................................. 34 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Table of Contents
viii
2.1.1.3 Ministry of Power .......................................................................................................... 34
2.1.1.4 Ministry of Housing and Urban Affairs (MoHUA) .................................................................. 35
2.1.1.5 Ministry of Finance ........................................................................................................ 35
2.1.1.6 Ministry of Environment, Forest and Climate Change .......................................................... 35
2.1.1.7 Ministry of Science and Technology .................................................................................. 35
2.1.1.8 Review of key policies notified by central government ......................................................... 37
EV components OEM landscape ......................................................................................... 37
2.2.1 EV component manufacturer .............................................................................................. 38
2.2.2 Battery manufacturer ........................................................................................................ 39
2.2.3 Gaps and challenges ......................................................................................................... 39
EV charging landscape ..................................................................................................... 43
2.3.1 EV charging infrastructure – market landscape ...................................................................... 44
2.3.2 Procurement of EV charging infrastructure ............................................................................ 46
2.3.3 Setting up EV charging infrastructure in India ....................................................................... 48
2.3.3.1 Preparation of business model ......................................................................................... 48
2.3.3.2 Location identification .................................................................................................... 50
2.3.3.3 Civil works and equipment selection ................................................................................. 53
2.3.3.4 Obtaining power connectivity and inspection ..................................................................... 61
2.3.4 Battery swapping – market landscape .................................................................................. 65
Distribution utility – market landscape ............................................................................... 67
2.4.1 Role of Distribution utility in EV marketplace ......................................................................... 67
2.4.2 Discom role in providing “make-ready” infrastructure ............................................................. 68
2.4.2.1 Discom role in Building, Owning and Operating of Charging Station ...................................... 71
2.4.3 Discom role in inspection and auditing of charging infrastructure ............................................. 71
2.4.4 Discom role in managed charging ........................................................................................ 73
2.4.5 Challenges ....................................................................................................................... 74
Consumers – market landscape ........................................................................................ 75
Financial institutions – market landscape ........................................................................... 77
2.7. Summary ....................................................................................................................... 79
2.8. Gaps in EV landscape ...................................................................................................... 81
2.9. Risks & challenges to EV stakeholders ............................................................................... 82
2.10. Recommendations ........................................................................................................... 85
3. Review of policy, regulation and technical standards for electric mobility and LCPRT ...... 87
Policy initiatives .............................................................................................................. 87
3.1.1 Electric mobility ................................................................................................................ 87
3.1.1.1 Central policies ............................................................................................................. 87
3.1.1.2 State policies ................................................................................................................ 93
3.1.1.3 Summary of state policies ............................................................................................. 121
Promotion of electric mobility by California (USA) and China ......................................................... 123
Key recommendations for state policies ...................................................................................... 124
3.1.2 Clean fuel ....................................................................................................................... 127
3.1.2.1 Initiatives for monitoring and control of air pollution in India .............................................. 127
Regulations and technical standards ................................................................................ 140
3.2.1 Electric mobility ............................................................................................................... 140
3.2.1.1 CEA regulation on grid interconnection and electrical safety standards ................................. 140 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Table of Contents
ix
3.2.2 Clean fuel ....................................................................................................................... 145
3.2.2.1 Emission standards in India ........................................................................................... 147
3.2.2.2 Fuel quality standard .................................................................................................... 152
3.2.2.3 Average fuel consumption standard ................................................................................ 156
3.2.2.4 Fuel Efficiency.............................................................................................................. 157
4. Review of Services and Business Models in electric mobility ...................................... 162
Framework for assessment of business models ................................................................. 162
Key business models promoting uptake of electric mobility................................................. 162
4.2.1 Mobility .......................................................................................................................... 163
4.2.1.1 Electric vehicles ........................................................................................................... 163
4.2.1.2 Traction battery ........................................................................................................... 178
4.2.2 Infrastructure .................................................................................................................. 181
4.2.2.1 EV charging infrastructure ............................................................................................. 181
4.2.2.2 Future EV charging business models ............................................................................... 187
4.2.3 Energy ........................................................................................................................... 189
4.2.3.1 Virtual Power Plant (VPP) .............................................................................................. 190
4.2.4 E-Buses .......................................................................................................................... 191
4.2.4.1 Procurement model for E-buses ...................................................................................... 191
4.2.4.2 Financing mechanism for e-bus ...................................................................................... 198
4.2.4.3 Review and analysis of Model Concession Agreement for procurement of e -Buses .................. 204
Review of charging infrastructure landscape in India ......................................................... 214
4.3.1 Development of public charging infrastructure through competitive bidding basis ...................... 215
4.3.2 Development of charging infrastructure through collaboration or MoUs .................................... 216
4.3.3 Captive development by fleet operator and OEMs ................................................................. 217
4.3.4 Home and workplace charging – collaboration with real estate developers ................................ 219
4.3.5 Battery Swapping Stations ................................................................................................ 220
5. EV ecosystem enablers and barriers ....................................................................... 221
5.1. Electric mobility stakeholder consultation ......................................................................... 221
5.2. Key barriers in EV charging infrastructure ........................................................................ 226
5.3. Key challenges and barriers in adoption of EV ................................................................... 230
6. Annexure ............................................................................................................ 233
Chapter 1 As-is state of passenger road transport system in India ...................................... 233
Chapter 2 Review and assessment of electric vehicle and charging infrastructure stakeholder
landscape ............................................................................................................................... 248
Chapter 3 Review of policy, regulation and technical standards for electric mobility and LCPRT267
Chapter 4 Review of Services and Business Models in electric mobility ................................. 289
Chapter 5 EV ecosystem enablers and barriers ................................................................. 312
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
x
List of Figures
Figure 1 Change in global surface temperature relative to 1951-1980 average temperatures .................. iv
Figure 2 Pollution level in India in the past has been alarming .............................................................. v
Figure 3 Gross Value Added (GVA) contribution from transportation sectors during FY19 ......................... 1
Figure 4 GVA (INR Tn) from road transport sector (FY15- FY19) ........................................................... 1
Figure 5 Vehicle categories and associated services in Indian market .................................................... 2
Figure 6 Domestic vehicle production trend of India ............................................................................ 2
Figure 7 Domestic vehicle sales trend of India .................................................................................... 2
Figure 8 Category-wise vehicle export trend in India from FY15 to FY20 ................................................ 3
Figure 9 Need for India to shift its mobility strategy ............................................................................ 3
Figure 10 Fuel-wise share in overall vehicle sale ................................................................................ 3
Figure 11 Issues arise from high conventional vehicle on the road ........................................................ 4
Figure 12 % consumption of fuel sources by road transport industry ..................................................... 4
Figure 13 Change in production and import of crude oil and natural gas (FY13-FY19(P))......................... 4
Figure 14 Oil and Natural gas reserves in India and their share at global level ........................................ 5
Figure 15 Impact of oil price fluctuation on India’s oil import bill........................................................... 5
Figure 16 Clean and low carbon technologies on road in India with share in sales ................................... 6
Figure 17 Year-wise EV sales trend from FY15 to FY20 in India ............................................................. 6
Figure 18 Category-wise distribution of EV sales in India ..................................................................... 7
Figure 19 Reasons for domination of two-wheelers in Indian automobile market ..................................... 7
Figure 20 Emerging players in 2W EV space (1/2) .............................................................................. 8
Figure 21 Emerging players in 2W EV space (2/2) .............................................................................. 8
Figure 22 Variation in cost of 2W EV and conventional vehicles (ICE) .................................................... 9
Figure 23 State-wise 2W EV presence and their share in all India 2W EV population (till July 2020) ....... 10
Figure 24 State-wise 3W EV presence and their share in all India 3W EV population (till July 2020) ........ 12
Figure 25 State-wise 4W EV presence and their share in all India 4W EV population (till July 2020) ........ 13
Figure 26 Major players in e-buses segment in India ......................................................................... 13
Figure 27 State-wise cumulative e-buses sales (FY17 onwards) and their share in all India e-buses
population (till July 2020) ............................................................................................................. 14
Figure 28 EV Sales penetration projected by NITI Aayog by 2030 ....................................................... 15
Figure 29 Actual and projected EV sales by 2030 as per NITI Aayog projections ................................... 15
Figure 30 Overview of Indian mobility landscape .............................................................................. 16
Figure 31 Advantages of hydrogen over conventional and battery vehicles for long haul and frieght vehicles
.................................................................................................................................................. 18
Figure 32 Vehicle components and the technology differentiator ......................................................... 19
Figure 33 Conventional and non-conventional fuel technologies in passenger vehicles in India ............... 19
Figure 34 Propulsion system of a hydrogen fuel cell vehicle ............................................................... 19 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
xi
Figure 35 Operating principle of a hydrogen fuel cell vehicle .............................................................. 20
Figure 36 Propulsion system of an electric vehicle ............................................................................. 21
Figure 37 Illustration of a lithium-ion battery ................................................................................... 22
Figure 38 Commercial stage of key battery technologies .................................................................... 22
Figure 39 EV cathode market share by 2025 .................................................................................... 22
Figure 40 Category-wise vehicle export trend in India from FY15 to FY20 ............................................ 23
Figure 41 Classification by EVSE output – AC and DC ........................................................................ 23
Figure 42 Application of ICT across transportation ............................................................................ 24
Figure 43 ICT - Key for smart mobility ............................................................................................ 25
Figure 44 Utilizing ICT in real time data updation and communication for during EV charging ................. 26
Figure 45 Illustration of a battery management system (BMS) ........................................................... 27
Figure 46 System architecture of BMS ............................................................................................. 28
Figure 47 Cell balancing in battery pack .......................................................................................... 29
Figure 48 Fuel category-wise lifetime CO2 emission ........................................................................... 31
Figure 49 Environmental impact of achieving 30% EV penetration by 2030 .......................................... 31
Figure 50 Ecosystem of electric mobility in India .............................................................................. 33
Figure 51 Policy and regulatory structure for EVs in India .................................................................. 36
Figure 52 Key national level initiatives to promote adoption of electric vehicles - Timeline ..................... 36
Figure 53 Overview of India auto ancillary industry FY19 ................................................................... 38
Figure 54 Categorization of OEMs in EV space .................................................................................. 38
Figure 55 Impact of rise of electric mobility on auto component industry ............................................. 39
Figure 56 Global reserves for metal used in battery manufacturing ..................................................... 43
Figure 57 Summary of gaps in OEMs electric mobility market ............................................................. 43
Figure 58 Refueling in electric mobility ............................................................................................ 44
Figure 59 Value chain of EV charging infrastructure .......................................................................... 44
Figure 60 Total EV charging stations in India - 2020 ......................................................................... 45
Figure 61 Share of Charging point operators .................................................................................... 45
Figure 62 Charging stations awarded by DHI under FAME – II Scheme ................................................ 45
Figure 63 Charging infrastructure provider and EVSE operators in India .............................................. 45
Figure 64 Procurement of EV charing infrastructure .......................................................................... 46
Figure 65 Key aspects of EOI released by DHI under FAME II scheme ................................................. 47
Figure 66 State-wise break-up of charging stations sanctioned by DHI ................................................ 47
Figure 67 Process of setting up an EV charging infrastructure ............................................................ 48
Figure 68 Types of charging stations ............................................................................................... 48
Figure 69 Levels of EV charging ...................................................................................................... 49
Figure 70 Pricing mechanism options for EV charging ........................................................................ 50
Figure 71 EV charging station business models ................................................................................. 50
Figure 72 3x3 Km grid for EV charging station (illustrative) ............................................................... 51
Figure 73 Shortlisting criteria for selection of location for EV charging station....................................... 52 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
xii
Figure 74 Hardware required to setup EV charging infrastructure ........................................................ 54
Figure 75 Approved EV chargers for public charging in India .............................................................. 54
Figure 76 Key requirements for selection of equipment ..................................................................... 55
Figure 77 Services offered by NSPs and key players .......................................................................... 58
Figure 78 EV charging communication infrastructure ......................................................................... 58
Figure 79 Communication protocol for managed charging (Illustrative) ............................................... 59
Figure 80 Process for obtaining electricity connection for EV charging station ....................................... 62
Figure 81 Process flow chart of installation of a public charging station in Greater Houston Area ............. 63
Figure 82 Gaps in existing EV charging infrastructure ........................................................................ 65
Figure 83 Value promosition for battery swapping............................................................................. 65
Figure 84 Typical arrangement at Battery swapping station (BSS) ...................................................... 66
Figure 85 Private players in battery swapping space ......................................................................... 66
Figure 86 Reasons for low adoption of battery swapping in India ........................................................ 67
Figure 87 Rationale for adoption for rate basing in California .............................................................. 70
Figure 88 Categories of managed charging ...................................................................................... 73
Figure 89 Advantages of managed charging ..................................................................................... 73
Figure 90 Key challenges for Discoms with high EV penetration .......................................................... 75
Figure 91 Consumer preference for their next vehicle purchase .......................................................... 75
Figure 92 Consumer preference to own BEVs with change in petrol prices ........................................... 75
Figure 93 Reasons consumers consider hybrids or BEVs .................................................................... 76
Figure 94 Consumer willingness to pay extra for an EV ...................................................................... 76
Figure 95 Minimum driving range consumers are expecting from a BEV (km) ....................................... 76
Figure 96 Amount of time consumers are willing to wait for full EV charging ........................................ 76
Figure 97 Responsibility of building accessible EV public charging infrastructure ................................... 77
Figure 98 Role of financial institution in uptake of electric mobility ...................................................... 77
Figure 99 Snapshot of FAME I scheme ............................................................................................. 89
Figure 100 Outlay break-up under FAME II ...................................................................................... 90
Figure 101 Category-wise no. of vehicles to be subsidized under FAME II ............................................ 90
Figure 102 Demand incentive category-wise distribution in FAME II .................................................... 90
Figure 103 Snapshot of FAME II and progress till date ....................................................................... 90
Figure 104 States with notified and draft EV policy ........................................................................... 93
Figure 105 State EV policy analysis framework ................................................................................. 93
Figure 106 Snapshot of promotional measures for EV value chain players ............................................ 94
Figure 107 Other key measures taken by Delhi for uptake of electric mobility ...................................... 95
Figure 108 Snapshot of promotional measures for EV value chain players ............................................ 96
Figure 109 Other key measures taken by Andhra Pradesh for uptake of electric mobility ....................... 97
Figure 110 Snapshot of promotional measures for EV value chain players ............................................ 99
Figure 111 Other key measures taken by Uttar Pradesh for uptake of electric mobility .......................... 99
Figure 112 Snapshot of promotional measures for EV value chain players .......................................... 101 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
xiii
Figure 113 Other key measures taken by Maharashtra for uptake of electric mobility .......................... 101
Figure 114 Snapshot of promotional measures for EV value chain players .......................................... 102
Figure 115 Other key measures taken by Uttarakhand for uptake of electric mobility .......................... 103
Figure 116 Snapshot of promotional measures for EV value chain players .......................................... 104
Figure 117 Other key measures taken by Karnataka for uptake of electric mobility ............................. 105
Figure 118 Snapshot of promotional measures for EV value chain players .......................................... 107
Figure 119 Other key measures taken by Madhya Pradesh for uptake of electric mobility..................... 107
Figure 120 Snapshot of promotional measures for EV value chain players .......................................... 109
Figure 121 Other key measures taken by Kerala for uptake of electric mobility................................... 109
Figure 122 Snapshot of promotional measures for EV value chain players .......................................... 111
Figure 123 Other key measures taken by Tamil Nadu for uptake of electric mobility ............................ 112
Figure 124 Snapshot of promotional measures for EV value chain players .......................................... 113
Figure 125 Other key measures taken by Bihar for uptake of electric mobility .................................... 114
Figure 126 Snapshot of promotional measures for EV value chain players .......................................... 116
Figure 127 Other key measures taken by Punjab for uptake of electric mobility .................................. 116
Figure 128 Snapshot of promotional measures for EV value chain players .......................................... 119
Figure 129 Other key measures taken by Telangana for uptake of electric mobility ............................. 119
Figure 130 India's initiatives for monitoring and control of air pollution – Timeline .............................. 127
Figure 131 Institutional mechanism of AQM ................................................................................... 128
Figure 132 Snapshot of air pollution monitoring and institutional mechanism ..................................... 129
Figure 133 Timeline of air quality standards adopted by India .......................................................... 130
Figure 134 India: Problems with pollution ...................................................................................... 132
Figure 135 Snapshot of National Clean Air Programme .................................................................... 132
Figure 136 Key components of NCAP............................................................................................. 133
Figure 137 Key sectoral interventions under NCAP .......................................................................... 133
Figure 138 Action points for transport and power sector under NCAP ................................................ 134
Figure 139 Segregation of action plans across identified sectors under NCAP ..................................... 135
Figure 140 Timeline for promotion of use of biofuels in India ............................................................ 137
Figure 141 Blending rate of ethanol has been low in recent year....................................................... 137
Figure 142 Key observation of the Auto Fuel Vision Committee ......................................................... 139
Figure 143 Key safety considerations ............................................................................................ 141
Figure 144 Key parameters for grid, equipment and life safety in EV charging, and mapping with CEA
specified guidelines ..................................................................................................................... 142
Figure 145 Eight missions identified under National Action Plan on Climate Change (NAPCC) ............... 145
Figure 146 India's key Intended Nationally Determined Contribution (INDC) targets for the period 2021 to
2030 ......................................................................................................................................... 145
Figure 147 Adoption of emission norms by India - Timeline .............................................................. 148
Figure 148 Timeline adoption of emission standards by India, EU and China ...................................... 149
Figure 149 Comparision in emission norms for 2W and 3W under BS IV and BS VI ............................. 150 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
xiv
Figure 150 Comparision in emission norms for light duty vehicles under BS IV and BS VI .................... 151
Figure 151 Comparision in emission norms for heavy duty vehicles under BS IV and BS VI .................. 152
Figure 152 Trend in permissible limit for gasoline contents in different BS standards........................... 153
Figure 153 Trend in permissible limit for diesel contents in different BS standards .............................. 154
Figure 154 BS IV to BS VI transition – Challenges and opportunities ................................................. 156
Figure 155 Conversion factor of different fuel types to petrol equivalent ............................................ 156
Figure 156 Fuel efficiency for vehicles in India ............................................................................... 157
Figure 157 Methodology to calculate CO2 savings under CAFE norms and India’s emission target for
passenger cars ........................................................................................................................... 158
Figure 158 Global emission targets from passenger vehicles by leading countries ............................... 159
Figure 159 Business model framework .......................................................................................... 162
Figure 160 Value-wheel for businesses to promote uptake of electric mobility among customers .......... 163
Figure 161 Evolution of models and services in mobility .................................................................. 164
Figure 162 Car sharing business models based on service provider and consumer relationship ............. 169
Figure 163 Home network illustration for an EV user ....................................................................... 175
Figure 164 Roaming in EV charging............................................................................................... 176
Figure 165 Payment methods for enabling electric mobility services .................................................. 178
Figure 166 Overview of a battery life-cycle with recycling ................................................................ 178
Figure 167 Sample design of a battery subscription service arrangement........................................... 180
Figure 168 Players involved in charging infrastructure business ........................................................ 182
Figure 169 EESL business model .................................................................................................. 185
Figure 170 Business models in deployment and operation of EV infrastructure ................................... 186
Figure 171 Business innovation in EV charging vis-à-vis market development stages .......................... 187
Figure 172 Business innovation in EV charging in the growth stages ................................................. 188
Figure 173 Electric vehicle connection technologies to end-user ....................................................... 190
Figure 174 Virtual power plant for aggregating power from EVs ........................................................ 190
Figure 175 PPP models in city bus private operations ...................................................................... 191
Figure 176 Snapshot of Gross Cost Contract (GCC) PPP model ......................................................... 192
Figure 177 Advantages and disadvantages of GCC for authority and bus operators ............................. 193
Figure 178 Snapshot of Hybrid Gross Cost Contract (GCC) PPP model ............................................... 193
Figure 179 Advantages and disadvantages of Hybrid GCC for authority and bus operators ................... 194
Figure 180 Snapshot of Net Cost Contract (NCC) PPP model ............................................................ 195
Figure 181 Advantages and disadvantages of NCC for authority and bus operators ............................. 195
Figure 182 Snapshot of Hybrid Net Cost Contract PPP model ............................................................ 196
Figure 183 Advantages and disadvantages of Hybrid NCC for authority and bus operators ................... 196
Figure 184 Contract selection framework parameters ...................................................................... 198
Figure 185: Financing options for e-buses...................................................................................... 198
Figure 186: Operating lease arrangement in GCC model in India under FAME scheme ......................... 204
Figure 187 Routes for development of EV charging infrastructure ..................................................... 215 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
xv
Figure 188 EESL Exicom's AC-DC charging stations for EVs .............................................................. 216
Figure 189 Priority for policy measures to fast track EV adoption in India .......................................... 221
Figure 190 Ranking major challenges for EV adoption in India .......................................................... 221
Figure 191 Priority areas for policy makers to catalyze EV adoption .................................................. 222
Figure 192 Priority technical interventions to promote uptake of electric mobility ................................ 223
Figure 193 Ranking challenges faced in setting up EV charging station .............................................. 223
Figure 194 Pan India single window clearance facility ...................................................................... 223
Figure 195 Policymaker's priority for developing charging infrastructure ............................................ 224
Figure 196 Regulatory measures for promoting charging infrastructure development in the country ...... 224
Figure 197 Need for a state coordinated forum as a common platform for state representatives to promote
electric mobility .......................................................................................................................... 225
Figure 198 Category-wise vehicle export trend in India from FY15 to FY20 ........................................ 233
Figure 199 India's crude oil production, import, consumption and import dependency (FY13-FY19(P)) .. 233
Figure 200 India's natural gas production, import, consumption and import dependency (FY13 -FY19(P))
................................................................................................................................................ 233
Figure 201 Total no. of buses - public and private (FY11-FY17) ........................................................ 233
Figure 202 Fuel-wise share in sales of buses in India ...................................................................... 234
Figure 203 Trend in sales of 2W, 3W and 4W segments from FY12 to FY20 ........................................ 235
Figure 204 Fuel wise break of annual vehicle sales .......................................................................... 235
Figure 205 YoY sales trend in key vehicle fuel technologies .............................................................. 236
Figure 206 Trend of e-bus adoption and its share in overall bus sales................................................ 236
Figure 207 Total vehicles sold by key electric mobility OEMs (Cumulative) ......................................... 236
Figure 208 Propulsion system of a petrol vehicle ............................................................................ 238
Figure 209 Propulsion system of a diesel vehicle ............................................................................. 239
Figure 210 Propulsion system of a CNG vehicle .............................................................................. 239
Figure 211 Key amendments in revised charging infrastructure guidelines and standards .................... 252
Figure 212 Assessment of overall cost of charging through home and public chargers ......................... 255
Figure 213 Expected EV sales by 2030 .......................................................................................... 256
Figure 214 Energy charge tariff for EVs in Indian states (INR/kWh) .................................................. 264
Figure 215 Functions of a network service provider ......................................................................... 266
Figure 216 AQI data for 31st March 2020 and 2019 ........................................................................ 270
Figure 217 CEA stakeholders for forming EV charging regulations ..................................................... 283
Figure 218 Potential revenue streams for business in the electric mobility ecosystem .......................... 289
Figure 219 Payment methods for enabling electric mobility services .................................................. 290
Figure 220 Swipe transaction at PoS ............................................................................................. 290
Figure 221 Transaction using NFC at PoS ....................................................................................... 290
Figure 222 QR payment ............................................................................................................... 291
Figure 223 Summary of mobility business models ........................................................................... 292
Figure 224 Snapshot – Key global EV charging business models ....................................................... 292 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Figures
xvi
Figure 225 Classification of e-bus charging methodologies based on way of electricity transfer ............. 296
Figure 226 Profit & Loss statement ............................................................................................... 303
Figure 227 Balance sheet ............................................................................................................ 304
Figure 228 Cash flow statement ................................................................................................... 305
Figure 229 NPV - Basecase .......................................................................................................... 306
Figure 230 Parameters considered to assess sensitivity of the project ............................................... 307
Figure 231 Project sensitivity w.r.t charging station utilization .......................................................... 307
Figure 232 Year-wise charging station utilization at 30% YoY growth ................................................ 308
Figure 233 Model output - Scenario I ............................................................................................ 308
Figure 234 Project sensitivity w.r.t retail tariff ................................................................................ 308
Figure 235 Project sensitivity w.r.t EV charging tariff ...................................................................... 309
Figure 236 Project sensitivity w.r.t charging station utilization with no subsidy ................................... 309
Figure 237 Year-wise charging station utilization at 35% YoY growth ................................................ 310
Figure 238 Model output - Scenario IV .......................................................................................... 310
Figure 239 Survey participants category break-up .......................................................................... 312 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Tables
xvii
List of Tables
Table 1 2W (Conventional and EV) offerings by traditional OEMs .......................................................... 8
Table 2 List of OEMs approved under FAME II scheme (1/2) ............................................................... 11
Table 3 List of OEMs approved under FAME II scheme (2/2) ............................................................... 11
Table 4 Four wheeler offerings (conventional and EV) by key OEMs in India ......................................... 12
Table 5 Anticipated EV adoption path in India ................................................................................. 16
Table 6 Applications of hydrogen in various sectors........................................................................... 17
Table 7 ICT - bridge between conventional and smart vehicle ............................................................ 25
Table 8 Total cost of ownership calculation of fuel technologies .......................................................... 30
Table 9 Localization timelines under PMP for key components ............................................................ 40
Table 10 2030 localization potential of EV components ...................................................................... 42
Table 11 Key factors to consider in multi-criteria decision making for selection of location for EV charging
infrastructure ............................................................................................................................... 51
Table 12 Typical process for acquisition of land ................................................................................ 53
Table 13 International communication standards and their description ................................................ 59
Table 14 Advantages of battery swapping stations to the stakeholders ................................................ 66
Table 15 NEMMP Targets ............................................................................................................... 87
Table 16 Key policy guidelines of Delhi EV policy .............................................................................. 94
Table 17 Key policy guidelines of Andhra Pradesh EV policy ............................................................... 96
Table 18 Key policy guidelines of Uttar Pradesh EV policy .................................................................. 98
Table 19 Key policy guidelines of Maharashtra EV policy .................................................................. 100
Table 20 Key policy guidelines of Uttarakhand EV policy .................................................................. 102
Table 21 Key policy guidelines of Karnataka EV policy ..................................................................... 104
Table 22 Key policy guidelines of Madhya Pradesh EV policy ............................................................ 106
Table 23 Key policy guidelines of Kerala EV policy .......................................................................... 108
Table 24 Key policy guidelines of Tamil Nadu EV policy .................................................................... 110
Table 25 Key policy guidelines of Punjab draft EV policy .................................................................. 115
Table 26 Key policy guidelines of Telangana draft EV policy ............................................................. 118
Table 27 Tabular comparison of state EV policies ............................................................................ 121
Table 28 AQI categorization and associated health impacts .............................................................. 130
Table 29 State-wise focus area on electric mobility and alternate fuel ............................................... 135
Table 30 Key provisions of grid connectivity of DER regulation by CEA for EV charging operators .......... 140
Table 31 Safety Provisions for Electric Vehicle Charging Stations as per Safety and Electric Supply
Regulations, 2019 ....................................................................................................................... 140
Table 32 Additional provisions for EV charging station adopted globally ............................................. 142
Table 33 Key international standards on EV charging safety and grid interconnection .......................... 143
Table 34 Standards on communication between Utility and EV charging station .................................. 144 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Tables
xviii
Table 35 Measures adopted by India to curb emission level ............................................................. 146
Table 36 Similarity in fuel specification for gaoline and diesel in BS VI and Euro 6 .............................. 148
Table 37 Engine technological upgrades from BS IV to BS VI ........................................................... 155
Table 38 Formula for calculation of Average Fuel Consumption Standard for Manufacturer ................... 156
Table 39 Average fuel consumption standard for passenger cars in India ........................................... 157
Table 40 Timeline for notification of CAFÉ norms for different vehicle category ................................... 158
Table 41 Phase I - Category N3- Rigid vehicles at 40 km/h .............................................................. 160
Table 42 Phase II - Category N3– Rigid vehicles at 40 km/h ............................................................ 160
Table 43 Fuel consumption calculation for N2 category vehicles ........................................................ 161
Table 44 Fuel consumption calculation for M2 and M3 category vehicles ............................................ 161
Table 45 Integrated value chain - BaaS ......................................................................................... 181
Table 46 Shape of EV charging industry - Present and future ........................................................... 188
Table 47 Features of PPP city bus operation models ........................................................................ 197
Table 48 Subsidy provided by China for e-buses ............................................................................. 199
Table 49 Review of Uttar Pradesh, Gujarat & Maharashtra e-bus procurement RfP .............................. 210
Table 50 State-wise total number of EVs (as on Jul'20) ................................................................... 234
Table 51 Key actions by auto players in India ................................................................................. 237
Table 52 Various levels of charging and rated capacity (power) ........................................................ 241
Table 53 Charging time for a Chevy Bolt ........................................................................................ 241
Table 54 Various contacts in a charging gun .................................................................................. 242
Table 55 IEC 60309 charging connector ........................................................................................ 242
Table 56 Charger characteristics ................................................................................................... 244
Table 57 Communication protocol for managed charging ................................................................. 246
Table 58: Protocols and uses ....................................................................................................... 247
Table 59 Total cost of ownership calculation of fuel technologies ...................................................... 248
Table 60 NEMMP Targets ............................................................................................................. 249
Table 61 Technical requirement of slow and fast chargers ................................................................ 251
Table 62 MoHUA guidelines for public charging stations ................................................................... 252
Table 63 City-wise developments ................................................................................................. 254
Table 64 Inputs and assumptions for cost benefit analysis ............................................................... 255
Table 65 Expected public charging stations in India by 2030 ............................................................ 257
Table 66 BEE appointed State Nodal Agencies (SNA) for EV charging infrastructure ............................ 257
Table 67 Power utilities in the field of EV charging .......................................................................... 261
Table 68 Inspection checklist of an EV charging station ................................................................... 261
Table 69 Key fleet operators in India ............................................................................................. 264
Table 70 Comparison of norms specified under NAAQS and WHO guidelines ....................................... 269
Table 71 MoHUA guidelines for public charging stations ................................................................... 282
Table 72 Vehicle categories and description ................................................................................... 283
Table 73 Category N3- Rigid vehicles at 60 km/h ............................................................................ 284 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | List of Tables
xix
Table 74 Category N3- Tractor Trailer vehicles at 40 km/h ............................................................... 284
Table 75 Category N3- Tractor Trailer vehicles at 60 km/h ............................................................... 285
Table 76 Category M3- Vehicles at 40 km/h ................................................................................... 285
Table 77 Category M3- Vehicles at 60 km/h ................................................................................... 285
Table 78 Category N3– Rigid vehicles at 40 km/h ........................................................................... 285
Table 79 Category N3– Rigid vehicles at 60 km/h ........................................................................... 285
Table 80 Category N3– Tractor Trailer vehicles at 40 km/h .............................................................. 285
Table 81 Category N3– Tractor Trailer vehicles at 60 km/h .............................................................. 286
Table 82 Category M3– Vehicles at 40 km/h .................................................................................. 286
Table 83 Category M3– Vehicles at 60 km/h .................................................................................. 286
Table 84 Innovation to curb CO2 emission...................................................................................... 286
Table 85 Active and passive safety standards ................................................................................. 288
Table 86 Decision framework to selected suitable PPP contract for e-bus procurement ........................ 295
Table 87 E-bus charging technologies ........................................................................................... 301
Table 88 General assumptions...................................................................................................... 301
Table 89 Model output on project feasibility ................................................................................... 306 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xx
Abbreviations
2W Two-wheeler
3W Three-wheeler
4W Four-wheeler
AC Alternating Current
AIS Automotive Industry Standards
APERC Andhra Pradesh Electricity Regulatory Commission
AQM Ambient Air Quality Monitoring
ARAI Automotive Research Association of India
ARR Aggregate Revenue Requirement
BBMP Bruhat Bengaluru Mahanagar Palike
BDBP Biodiesel Blending Program
BEE Bureau of Energy Efficiency
BEV Battery Electric Vehicle
BHIM Bharat Interface for Money
BHP Brake Horsepower
BIS Bureau of Indian Standards
BMS Battery Management System
BOO Build Own Operate
BOOT Build Own Operate Transfer
BS Bharat Stage
BSS Battery Swapping Station
CAB Current Account Balance
CAFÉ Corporate Average Fuel Efficiency
CAGR Compound Annual Growth R ate
CAN Controller Area Network
CCS Combined Charging System
CCTV Closed-circuit television
CEA Central Electricity Authority of India
CHAdeMO CHArge de MOve - Japanese fast-charge, Direct Current (DC) standard for electric vehicles
CMS Central Management System
CMV Central Motor Vehicle Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xxi
CNG Compressed Natural Gas
COD Commercial Operation Date
COP Conference of Parties
CPCB Central Pollution Control Board
CPUC California Public Utilities Commission
CSFC Constant-speed Fuel Consumption
DC Direct Current
DER Distributed Generation
DHI Department of Heavy Industries
DISCOMs Distribution Companies
DMRC Delhi Metro Rail Corporation
DR Demand Response
EBPP Ethanol Blended Petrol Programme
ECU Electronic Control Unit
EESL Energy Efficiency Services Limited
EM Cities Electric Mobility Cities
EMSP Electro Mobility Service Provider
EPF Employees' Provident Fund
EV Electric Vehicle
EVCS Electric Vehicle Charging Station
EVSE Electric Vehicle Supply Equipment
EVSEO Electric Vehicle Supply Equipment Operators
FAME Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India
FY Financial Year
GCC Gross Cost Contract
GDP Gross Domestic Product
GFR General Financial Rules
GHG Greenhouse Gas
GNCTD Government of National Capital Territory of Delhi
GPS Global Positioning System
GVA Gross Value Added
GVW Gross Vehicle Weight
HEV Hybrid Electric Vehicle Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xxii
HMI Human-Machine Interface
MoHI&PE Ministry of Heavy Industries and Public Enterprises
HPCL Hindustan Petroleum Corporation Limited
IBEF India Brand Equity Foundation
ICE Internal Combustion Engine
ICT Information and Communications Technology
IEC International Electrotechnical Commission
IEEE Institute of Electrical and Electronics Engineers
INDC Intended Nationally Determined Contributions
INR Indian Rupee
IOCL Indian Oil Corporation Limited
IoT Internet-of-Things
IRR Internal Rate of Return
IS Indian Standard
ISO International Organization for Standardization
KPI Key Performance Indicators
LAN Local Area Network
LCO Lithium Cobalt Oxide
LCPRT Low-Carbon Passenger Road Transport
LCV Light Commercial Vehicle
LED Light Emitting Diode
LFP Lithium Iron Phosphate
LMO Lithium-ion Manganese Oxide
MCA Model Concession Agreement
MCV Medium Commercial Vehicle
MoEF&CC Ministry of Environment, Forest and Climate Change
MPERC Madhya Pradesh Electricity Regulatory Commission
MSL Minimum Service Levels
MTOE Million Tonnes of Oil Equivalent
NAAQS National Ambient Air Quality Standards
NABL National Accreditation Board for Testing and Calibration Laboratories
NAMP National Ambient Air Quality Monitoring Programme
NBEM National Board for Electric Mobility Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xxiii
NBP National Biofuel Policy
NCC Net Cost Contract
NCEM National Council for Electric Mobility
NCR National Capital Region
NDMC New Delhi Municipal Council
NEMMP National Electric Mobility Mission Plan
NMC Nickel-Manganese-Cobalt
NPV Net Present Value
NSP Network Service Provider
OCPP Open Charge Point Protocol
OEM Original Equipment Manufacturer
OICA Organisation Internationale des Constructeurs d'Automobiles
International Organization of Motor Vehicle Manufacturers
OMC Oil Marketing Companies
OSCP Open Smart Charging Protocol
PAT Perform Achieve and Trade
PCI Public Charging Infrastructure
PHEV Plug-in Hybrid Electric Vehicle
PISC Project Implementation and Sanctioning Committee
PMP Phased Manufacturing Programme
PPP Public Private Partnership
QCBS Quality and Cost Based Selection
REIL Rajasthan Electronics & Instruments Limited
SDO Standards Developing Organization
SERC State Electricity Regulatory Commission
SIAM Society of Indian Automobile Manufacturers
SNA State Nodal Agencies
SOC State of Charge
SOH State of Health
STU State Transport Utility
TANGEDCO Tamil Nadu Generation and Distribution Corporation
TCO Total Cost of Ownership
TOU Time of Use
TPEM Technology Platform for Electric Mobility Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Abbreviations
xxiv
TSIIC Telangana State Industrial Infrastructure Corporation
UNFCC United Nations Framework Convention on Climate Change
UPI Unified Payments Interface
VGF Viability Gap Funding
VPP Virtual Power Plant
WAN Wide Area Network
WHO World Health Organization
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
1
1. As-is state of passenger road transport
system in India
Road transport industry in India
India has the second-largest road network in the
world, spanning a total length of 5.89 million Kms
6
.
Road transport contributes towards 64.5% of the
country’s overall goods movement and caters to 90%
of India’s total passenger traffic (Figure 3).
Road transport has been a preferred mode of
transport for any passengers and goods movement
vis-à-vis other modes of transport like air, water and
rail transport.
Road transportation contributed towards ~78% of the
total GVA generated by the entire transportation
sector, which accounts for 5.73% of the total GVA
added by the services sector in India.
Growth in urbanization has affected the growth of
road transportation industry as well. From FY15 to
FY19, India’s rate of urbanization increased from
32.78% to 34.47%
7
which further led to the road
transport industry to grow at a CAGR of 9.40%,
resulting in a commensurate growth of the
automobile sector over the same period.
India’s automobile sector
India is the fifth largest automobiles market in the world, with 3.82 million units sold in 2019
8
. Following
schematic highlights the categorization of automobiles in India.
5
As per the System of National Accounts (SNA), gross value added, is defined as the value of output minus the value of intermediate
consumption and is a measure of the contribution to GDP made by an individual producer, industry or sector. At its simplest it gives the
rupee value of goods and services produced in the economy after deducting the cost of inputs and raw materials used.
6
Road Infrastructure in India (access here)
7
India: Degree of urbanization from 2009 to 2019 (access here)
8
Ranking provided by OICA (International Organization of Motor Vehicle Manufacturers) and includes only passenger and commercial
vehicle sales (access here)
Figure 3 Gross Value Added (GVA)
5
contribution from
transportation sectors during FY19
Source: 3 EMIS India transportation sector 2020/2024
Figure 4 GVA (INR Tn) from road transport sector
(FY15- FY19)
Source: 4 EMIS India transportation sector 2020/2024
INR 170.4 Bn
INR 1,243.09 Bn
INR 112.3 Bn
INR 5,306.50 Bn
GVA
FY19
3.70
4.00
4.35
4.73
5.31
FY15 FY16 FY17 FY18 FY19
9.40%
CAGR
Road transport generated the
highest Gross Value Addition
(INR 5.31 Tn) amongst other
transportation segments in
FY19. It contributed ~78%
towards the overall GVA added
by transportation sector during
the year. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
2
Figure 5 Vehicle categories and associated services in Indian market
Source: 5 IEBF, Motor Vehicles Act, 1988
Note: In Contract carriage, single contract with vehicle owner is entered into expressly or impliedly with full control over the vehicle.
Whereas, in Stage carriage there is no single contract with the vehicle owner with no full control over the vehicle and individual fares are
paid. Source – MoRTH (access here)
India manufactured 26.36 Mn vehicles in FY20. The production volume has been increasing at a CAGR of
2.44% since FY15 commensurate with the demand for vehicles, which has also seen a similar steady increase
over the years barring FY20, owing to multiple factors such as slump in economic activities, delay in
consumer purchase decision in hope of availing heavy discount on BS IV vehicles, liquidity crunch due to
collapse of some non-banking financial companies, weak rural demand
9
for two-wheeler passenger vehicles,
etc.
Figure 6 Domestic vehicle production trend of India
Figure 7 Domestic vehicle sales trend of India
Source: 6 SIAM
10
Due to decline in domestic demand for vehicles in FY20, OEMs had resorted to increasing exports to achieve
the desired sale. During FY20, exports of vehicles grew to 4.76 Mn vehicles from 4.62 Mn vehicles in FY19.
9
Weak rural markets hurt 2-wheeler sales (access here)
10
Data has been represented as per the vehicle categorization provided in SIAM report (access here)
Indian Transport
Vehicles
Goods Carrier Passenger Carrier
Private Vehicle Public Vehicle
2W
4W
Contract
carriage
Stage carriage
3W 4W
3W
4W 4W
•Mopeds
•Scooter
•Motorcycle
•Electric 2-Wheeler
•Cars
•Vans
•Jeep
•Electric 4-wheeler
•Cabs/ taxis
•Electric 4-wheeler
3W
•Auto
•e-Auto
•Shared Auto
•Shared e-Auto/ e-rickshaw
•Shared Cabs/ taxis
•Mini-bus
•Bus
•e-bus
•Auto
•E-cart
•Trucks
•Mini-trucks
Commercial Non-Commercial
23.36 24.02
25.33
29.09
30.91
26.36
0
10
20
30
40
FY15 FY16 FY17 FY18 FY19 FY20
No. of vehicles (Million units)
Passenger VehiclesCommercial Vehicles
2W & 3W dominates the domestic Indian auto
market 19.72 20.47
21.86
24.98
26.27
21.55
0
10
20
30
40
FY15 FY16 FY17 FY18 FY19 FY20
No. of vehicles (Million units)
Three WheelersTwo Wheelers Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
3
Figure 8 Category-wise vehicle export trend in India from FY15 to FY20
During FY15 to FY20,
export volumes have
expanded from 15% to
20% of total vehicles
manufactured in India
Source: 7 SIAM
11
It is expected that with growth in urbanization coupled with likely impact of increasing per capita income,
the slump in vehicle sales, as observed during FY20, will not continue in the future. However, the concerns
around environmental impact of conventional fuel and import dependency have pushed India to re-think its
automobile/ transport sector expansion strategy.
Figure 9 Need for India to shift its mobility strategy
In COP21, India had committed to reduce the emission
intensity of its GDP by 33-35% by 2030, from its level in
2005. At present, 97% of Indian vehicles are propelled by
petrol and diesel that have an adverse impact on
environment. Therefore, in order to achieve the GHG
emission target committed under INDC, it is inevitable that
India transits to greener mobility technologies in transport.
Sustained high share of conventional vehicles in overall
passenger automobile mix, would aggravate the energy
security concerns, increase the risk of exposure to oil price
fluctuations in future and lead to increasing GHG
emissions. Therefore, it would be a wiser move to embark
the journey towards green mobility.
11
Data has been represented as per the vehicle categorization provided in SIAM report (access here)
Figure 10 Fuel-wise share in overall vehicle sale
Source: 8 Vahan portal
3.57 3.64
3.48
4.04
4.62
4.76
15% 16%
15%
17%
20%
20%
0%
5%
10%
15%
20%
25%
0.00
1.00
2.00
3.00
4.00
5.00
FY15 FY16 FY17 FY18 FY19 FY20
No. of vehicles (Million units)
Passenger VehiclesCommercial Vehicles
Three WheelersTwo Wheelers
Export as % of total production
~6%
CAGR
Global
warming
Extremely high
conventional vehicle sales
Growth in
domestic pollution
level
Global temperature is rising every year; 19 out of the 20 warmest
years have occurred in the 21st century
India is among the most polluted countries in the world;
ranked fifth in world’s top polluted countries in 2019
97% of the overall vehicle sale in last five years, have
been from conventional vehicles (petrol & diesel)
85% 85% 85% 85% 84%
13% 12% 12% 13% 13%
2% 3% 3% 3% 3%
0%
20%
40%
60%
80%
100%
FY15 FY16 FY17 FY18 FY19Fuel share in overall sale (%)
PetrolDieselOther Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
4
Figure 11 Issues arise from high conventional vehicle on the road
Fuel import status of India
Road transportation industry is
among the highest consumers of
natural gas and high speed diesel
in India (Figure 12).
During FY19, only 12% of overall
crude oil demand and 64% of
natural gas demand was met from
domestic production and balance
was met through imports. Import
trends of crude oil and natural gas
for last five years (FY13 to FY19)
depicts that it has increased
considerably owing to the growth in
the road transport sector.
Decline in production
of crude oil and
natural gas during
FY13 to FY19 has
further contributed
towards country’s
import dependency
The import dependency of India on
crude oil has been increased from
84% in FY13 to 88% in FY19, whereas, for natural gas, it has increased from 23% to 36% during the same
period.
Crude Oil import dependency: 88% (FY19) Natural Gas import dependency: 36% (FY19)
Limited availability of proven reserves of crude oil and natural gas is an area of concern, as they are not
commensurate with the long term demand of crude oil and natural gas.
Figure 12 % consumption of fuel sources by road transport industry
Source: 9 Indian Petroleum and Natural Gas Statistics 2018-19
Figure 13 Change in production and import of crude oil and natural gas
(FY13-FY19(P))
Source: 10 Indian Petroleum and Natural Gas Statistics 2018-19
Up to
17.1%
share in NG
consumption
3.3%
share in HSD
consumption
HSD: High Speed DieselNG: Natural Gas
Second
highest in
share of
consumption
after power
sector
Highest
contribution in
consumption
along with
railway
transportation
-1.68%3.45%
-3.49%8.51%
Oil
NG
ProductionImport
FY13-FY19(P)
Impact of high conventional
vehicle share
Increased fuel dependency High GHG emission
Low energy security
High Current Account
Deficit (CAD) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
5
Figure 14 Oil and Natural gas reserves in India and their share at global
level
Source: 11 Indian Petroleum and Natural Gas Statistics 2018-19
India’s proven reserves of crude oil and
natural gas have declined during FY12 –
FY18. Crude oil reserves have reduced at
a CAGR of 3.86%, whereas natural gas
reserves have remained at the same
level as that of FY12 levels.
India’s share in proven global reserves
stands at only 0.3% and 0.7% for crude
oil and natural gas respectively.
India needs to swiftly move away from conventional vehicle
technology in order to avoid higher import dependency
1.3.1 Fuel import and India’s Current Account Balance (CAB)
International crude oil prices have had significant impact on India’s current account balance. Trend of
expenditure on imports as a function of import volumes of crude oil for last nine years is provided at
Figure 15.
Figure 15 Impact of oil price fluctuation on India’s oil import bill
Source: 12 Petroleum Planning and Analysis Cell, Ministry of Commerce and Industry
For year FY16, when oil prices were at 46.17 US$/bbl, CAB was (minus) 1.1% of GDP
12
, whereas it reached
to (minus) 2.1% of GDP
13
during FY19 when oil prices were at 69.88 US$/bbl, although the import volume
remained the same.
Decoupling of Indian automobile sector from oil and natural gas
would improve the overall trade balance of the country
12
RBI Annual Report 2016-17
13
RBI Annual Report 2019-20
0.3%
0.7%
% share in world’s
overall Oil reserves
% share in world’s
overall NG reserves
5.7 5.7 5.7
4.8
4.7
4.5 4.5
1.3 1.3
1.4
1.2 1.2 1.2
1.3
1.1
1.15
1.2
1.25
1.3
1.35
1.4
1.45
0.00
1.00
2.00
3.00
4.00
5.00
6.00
FY12 FY13 FY14 FY15 FY16 FY17 FY18 (P)
Trillion cubic meters
Thousand million barrels
Proven Oil Reserves (Thousand million barrels) Proven Natural Gas Reserves (Trillion cubic metres)
6.72
7.85
8.65
6.87
4.17
4.70
5.66
7.83
7.17
172
185
189 189
203
214
220
226 227
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
8.00
9.00
10.00
0
50
100
150
200
250
FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20
Import (INR
Tn
)
Import (Mn Tn)
Crude Oil Import (INR Tn) Crude Oil Import (Mn MT)
105.52
US$/bbl.
46.17
US$/bbl.
69.88 US$/bbl.
CAB
-22.15 US$
Bn.
CAB
-57.26 US$
Bn.
CAB
-32.40 US$
Bn.
₹
India saved Trillions of rupees
on imports as the prices of
crude oil fell Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
6
India’s options for clean mobility
Although avenues for clean mobility are gaining momentum in India, there is need to have a large scale
adoption to witness a considerable impact on savings in import bill, reduction of GHG emissions and energy
security for the future.
Overall share of electric vehicles and low-carbon road transport
technology in total vehicle sales is less than 1%
14
Among available clean/ low carbon mobility technologies, electric vehicles and CNG vehicles are most
preferred in India. Availability of fiscal incentives for electric vehicles and low prices of CNG compared to
petrol and diesel could explain such preference for these technologies.
Figure 16 Clean and low carbon technologies on road in India with share in sales
Source: 13 Vahan dashboard; % figures are rounded
1.4.1 Electric vehicles
EVs have emerged out as a promising alternative that could help in mitigating the adverse environmental
impacts caused by conventional vehicles.
As on July 2020,
total
registered EVs in
India were
5,18,110
Figure 17 Year-wise EV sales trend from FY15 to FY20 in India
Source: 14 Vahan dashboard (accessed 25th July 2020)
14
This does not include hybrid vehicles (conventional plus non-conventional fuel technology)
Battery
Vehicles
Solar
vehicles
CNG LPG LNG Methanol Ethanol
Electric mobility Low-carbon technology
75% <1% 22% 3% <1% <1% <1%
% share in total clean mobility sales in last five years
2
18
57
97
147
168
0.01%
0.10%
0.29%
0.45%
0.65%
0.77%
0.00%
0.20%
0.40%
0.60%
0.80%
1.00%
0
50
100
150
200
FY15 FY16 FY17 FY18 FY19 FY20
No. of vehicles (‘000)
EVs sales (registered)% share in EVs in total vehicle sale (registered)
133%
CAGR Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
7
Although the numbers of EVs are rising in the country, however, the adoption across vehicle categories
is uneven. The sections provided below aims to explore the possible reasons for such observed
phenomena.
Figure 18 Category-wise distribution of EV sales in India
Source: 15 Vahan dashboard
~79% of the EV addition is from three-wheeler segment, followed
by two wheelers (17%); the four-wheeler segment contributes only
3% towards the overall EVs on the road
1.4.1.1 Two-wheeler EV segment
The Domestic vehicle sales data (refer Figure 7, depicting trends for domestic vehicle sales data cumulative
for conventional and electric vehicle), signifies that the two wheeler segment, with more than 80%
contribution towards total vehicle sales, is the major driver for increased sales in the Indian automobile
sector. The factors which could explain the dominance of two wheeler segment in India is provided at Figure
19.
Figure 19 Reasons for domination of two-wheelers in Indian automobile market
Source: 16 SIAM
Two-wheeler EV segment has grown at a CAGR of 62% in last four years (FY16-20)
15
. The growth is fuelled
by the incentives offered by GoI under its FAME II scheme. Several states have also come up with their EV
policies which provide for fiscal and non-fiscal incentives over and above as provided by GoI.
Although the share of two-wheeler EVs is merely 17% of the overall EV population in the country, it is likely
to follow the similar trend as it is observed in conventional vehicle market today. So far, concerns around
new technology, relatively high prices of EVs (for same performance c ompared to ICE vehicles), range
anxiety, adequate availability of charging facilities etc. have prevented the uptake of two-wheeler EVs.
However, with the maturity in EV technology, price parity achievement and development of the peripheral
infrastructure, the share of two-wheeler EVs is expected to increase. OEMs are also increasingly considering
the two-wheeler EV market as an attractive avenue and therefore many start-ups such as Ather, Revolt,
Okinawa, Evolet etc. have entered this space. The entry of conventional 2W players such as TVS, Bajaj and
15
JMK Research & Analytics – Two wheeler India Market Outlook, May 2020
Why two-
wheeler
dominates
the Indian
market?
1
2
3
Majority of population lives in rural areas; average household
income in India is low
Average motorized trip length in India is less which favors two-
wheeler vehicles
Indian roads have high traffic density encouraging public to use
two-wheelers Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
8
Hero in the EV segment have further proven the attractiveness quotient of this market. Snapshot of players
in two-wheeler EV segment along with their range of products and prices is summarised below.
Table 1 2W (Conventional and EV) offerings by traditional OEMs
Conventional vehicles Electric vehicles
No. of models Price range No. of models Price range
11 models 47k – 111k
8 models
(2 upcoming)
35k – 79k
11 models 44k – 240k 1 model 115k
10 models 43k – 194k 1 model 100k – 115k
3 models 43k – 211k 1 model 80k
Source: 17 Deloitte Analysis
Note: Variants within the model are not considered separately
Figure 20 Emerging players in 2W EV space (1/2)
Entry year 2013 2015 (10 years in India) 2010
(Since 2006 in
EV)
No. of models 2 8 7 1 4
Price range 113k – 150k 39k – 108k 34k – 67k 125k 36k – 51k
Source: 18 Deloitte Analysis
Figure 21 Emerging players in 2W EV space (2/2)
Entry year 2019 2015 2017 2019
No. of models 2 3 3 6
Price range 111k – 129k 51k – 80k 59k -80k 39k – 60k
Source: 19 Deloitte Analysis
It is evident from above that as the segment is evolving, the
companies are offering varieties of models with competing price Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
9
ranges to the customer. This is a good indicator for future prospect
of 2W EVs.
The high prices of electric vehicles compared to ICE vehicles is still posing a big challenge in its adoption.
A cost comparison of EV and ICE 2W vehicles, for similar performance, is shown at Figure 22.
Surveys conducted by Deloitte and various other agencies have also indicated that the huge price
difference is acting as a barrier in large scale adoption of electric vehicle over the conventional vehicle.
Figure 22 Variation in cost of 2W EV and conventional vehicles (ICE)
Source: 20 Deloitte Analysis; Ex-showroom price – Delhi
Current prices of 2W
electric vehicles are
higher than the ICE 2W
vehicles in the similar
performance range.
High upfront cost
including future battery
replacement cost posing
challenge in its adoption.
As projected by Bloomberg, lithium battery prices are expected to drop with 10% CAGR during 2018 to
2024
16
. Drop in battery prices and consequential fall in prices of EVs may provide necessary thrust for
high uptake of two-wheeler EVs by bringing them at par with conventional vehicles. It is expected that
sales penetration of 2W would reach to ~24% in 2024
17
from current <1% sales penetration (2019).
Government of India, through FAME II scheme, is also supporting the adoption of two wheelers. Under
the scheme, government is providing maximum subsidy of INR 30,000 on the purchase of 2W electric
vehicle. However, since the scheme is supportive for high speed 2W vehicles, the market is therefore
expected to be shifting towards high speed vehicles.
Source: 21 FAME-II to impact electric 2-wheeler segment most: CRISIL (access here); FAME II dashboard (access here)
16
A Behind the Scenes Take on Lithium-ion Battery Prices (access here)
17
India’s Electric Mobility Transformation (access here)
1.15
1.13
1.08
1.00
0.68
0.55
0.52
0.56
78
80
58
69
93
83
87
90
0
10
20
30
40
50
60
70
80
90
100
0
0.2
0.4
0.6
0.8
1
1.2
1.4
TVS iQubeAther 450Okinawa
IPraise+
Bajaj
Chetak
Electric
Honda CB
Shine
Honda
Activa 5G
Hero
Splendor
Hero
Passion
Top speed (Kmph)
Price ( INR Lakh)
Price Top speed
Box 1: FAME II & high speed 2W vehicles
Under FAME II, electric two-wheeler are mandated to have a minimum range of 80 km per charge and minimum top speed of 40
kmph to qualify for the incentive.
CRISIL, in their assessment of the product portfolio of various EV manufacturers indicated that, “the electric two-wheeler segment
would be impacted the most by FAME-II rules. More than 95 per cent of the electric two-wheeler models being produced now will not
be eligible for incentive under FAME-II.” Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
10
Going forward, it is expected that high speed electric vehicles will be
preferred in the Indian 2W market
Maharashtra accounts for the highest number of 2W EV presence among other Indian states. Thirteen states
in the country account for 95% of all India 2W EV population.
Figure 23 State-wise 2W EV presence and their share in all India 2W EV population (till July 2020)
Source: 22 Vahan dashboard
1.4.1.2 Three-wheeler EV segment
Three-wheeler EV segment contributes to 79% of overall EV presence in India . Currently, this segment is
driving the electrification of the Indian automobile industry. Such high population of 3W EVs could be
described through following reasons:
1. Three-wheelers are not only a mode of transportation but serve as the lifeline for several people formally /
informally employed by their use.
2. 3 W offers better value proposition in the shared mobility space. A ride as low as Rs.10 attracts passenger
to take ride in E-Rickshaw
18
3. There is a growing need for last-mile connectivity with increase of shared mobility through Rail-Metro,
Buses etc. (E-rickshaws tend to bridge the gap between demand and supply of last mile connectivity in the
peripheral areas and areas far off from urban connectivity network). Companies such as Kinetic Green and
SmartE are working with government agencies to offer their e-rickshaws for the last mile connectivity from
metro stations.
4. The cost of maintenance of 3W EV is almost reduced by 80 per cent compared to an ICE vehicle
5 Driving on smaller and known route – no range anxiety issues (which otherwise is a concern for other
electric vehicle categories)
6 E-rickshaws are quieter, cleaner and cheaper to maintain than a traditional auto rickshaw. They also are
less strenuous than cycle rickshaws, which require manual peddling
18
Prices may vary with city, however it still remain low as compared to other conventional means of travel
19905
14021
13223
9997
5374
4792
3681
3224 3197
2624
1708 1447 1218
22%
38%
53%
64%
71%
76%
80%
84%
87%
90%
92%
94% 95%
0%
20%
40%
60%
80%
100%
120%
0
5000
10000
15000
20000
25000
No. of Units
Vehicle presence % Share in all India 2W EV vehicles Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
11
The above factors are expected to drive the business case for investments in in 3W by various OEMs. For
instance, Mahindra and Mahindra has revised its strategy to focus aggressively on development
and sales of electric three-wheelers instead of electric cars in the coming years.
Government is offering subsidy to three-wheelers in the range of INR 32,200 to INR 68,923. Total ten OEMs
have been identified as eligible for subsidy under the FAME II scheme. The list has been provided in the
tables below:
Table 2 List of OEMs approved under FAME II scheme (1/2)
OEM
Best Way
Agencies Pvt.
Ltd
Champion
polyplast
Energy Electric
Vehicles
Khalsa Agencies
Kinetic Green
Energy and
Power Solutions
Ltd
No. of
Models
approved
under
FAME II
2 models 3 models 1 models 1 model 4 models
Source: 23 FAME II dashboard
Table 3 List of OEMs approved under FAME II scheme (2/2)
OEM
Mahindra
Saera Electric
Auto Pvt. Ltd.
Thukral Electric
Bikes Pvt Ltd
Victory Electric
Vehicles
Y C Electric
Vehicle
No. of
Models
approved
under
FAME II
4 models 1 model 1 model 4 models 1 model
Source: 24 FAME II dashboard
Uttar Pradesh accounts for the highest number of 3W EV population among other states in the country.
Cumulatively, nine states contribute to ~96% of total 3W EV population of the country.
Box 2: Mahindra & Mahindra revisiting their strategy on EV – shifting focus to 3W from 4W
segment
Background: M&M was initially focusing on developing electric cars, but they realized that factors like lack of
infrastructure and high prices are keeping customers at bay. The company has thus decided to focus on three-
wheelers which are more commercially viable and can attract considerable passenger demand.
Target: The Company has set a target of selling 10,000 units of 3W electric vehicles on a monthly basis, and has
also been engaging with different state governments and private entities to push these zero-emission vehicles
Recent development : The Company has launched its electric three-wheeler, Treo, in 2019, and has also invested
in a manufacturing capacity for these vehicles in Karnataka. The company has already started supplying these vehicles
to fleet aggregating platforms like SmartE and others. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
12
Figure 24 State-wise 3W EV presence and their share in all India 3W EV population (till July 2020)
Source: 25 Vahan dashboard
1.4.1.3 Four-wheeler EV segment
The four-wheeler EV segment contributes to only 3% share of the country’s overall EV population. There are
limited models available in EV 4W segment. However, major OEMs have planned to introduce more EV
models suitable for Indian market in the future which could possibly increase competition in the market and
boost their adoption.
Table 4 Four wheeler offerings (conventional and EV) by key OEMs in India
Conventional vehicles Electric vehicles
No. of models Price range No. of models Price range
8 models
(3 upcoming)
5L – 20L
4 models
(2 upcoming)
10.54L-25L
10 models
(2 upcoming)
5.5L – 37L
5 models
(2 upcoming)
5.5L-18L
9 models 4.57L-22L 1 model 23.75L
2 models 13L – 18L 1 model 20.88L - 23.58L
Source: 26 Deloitte Analysis; L: Rupees Lakhs
Similar to the other EV vehicle segments, high prices are a major concern for large scale adoption of 4W EV.
One of the key reasons for high EV prices is limited presence of ancillary manufacturers in India. Most of the
auto-parts of these vehicles are imported, with China being the major supplier of EV components to India
19
,
which leads to the increase in prices of EVs. Hence, developing local manufacturing hubs for EV components
19
Impact of EV penetration on Indian Automotive Component Industry (access here)
174063
89493
29192
24988 24605
18906
16599
10282
6225
42%
64%
71%
77%
83%
88%
92%
95%
96%
0%
20%
40%
60%
80%
100%
120%
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
200000
Uttar
Pradesh
DelhiWest Bengal Bihar Assam RajasthanUttarakhandHaryana Jharkhand
No. of Units
Vehicle presence % Share in all India 3W EV vehicles Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
13
could play a major role in bringing down the EV costs in the future and enable the sector to be resilient to
supply disruption due to geo-political disturbances.
As on July 2020, West Bengal has the maximum number of 4W EV presence in the country, followed by
Tamil Nadu.
Figure 25 State-wise 4W EV presence and their share in all India 4W EV population (till July 2020)
Source: 27 Vahan dashboard
1.4.1.4 E-buses
Electric buses are the least adopted vehicle segment among EV, in India. However, with the growing focus
of the GoI to transform the public transportation landscape in the country, several players have ventured
into this arena and have started launching their electric bus models. An illustrative list of such players are
mentioned below:
Figure 26 Major players in e-buses segment in India
OEM Model Range (Km/charge) Price Key highlights
K6 200
Above INR 2 Cr.
Olectra is owned by
Megha Engineering.
It has collaborated
with BYD for e-
buses. First
company to deploy
100 electric buses in
India. Has 160+
buses deployed in
India and has won a
tender for 600 more
buses under FAME-II
K7 200
K8 300
Star Bus Ultra
Electric 6/9
215 NA
60% market share in
FAME-I bus
4118
4049
2082
1674
1348
555
359
217
141 137
27%
53%
66%
77%
86%
90%
92%
93% 94% 95%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0
500
1000
1500
2000
2500
3000
3500
4000
4500
West BengalTamil Nadu DelhiMaharashtraKarnatakaGujaratUttar PradeshHaryana RajasthanJharkhand
No. of Units
Vehicle presence % Share in all India 4W EV vehicles Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
14
OEM Model Range (Km/charge) Price Key highlights
Star Bus Ultra
Electric 9/12
151
deployment. Has
won order for 300 e-
buses from
Ahmedabad Janmarg
Limited and 220 bus
contract under
FAME-II
Circuit – S 50 Above 1.5 Cr
First battery
swapping bus
project in
collaboration with
Sun Mobility in
Ahmedabad
Ecolife Electric 150 Above INR 2 Cr.
JV with Polish bus
maker Solaris
Urban 144
Above INR 1.91 Cr.
JV between PMI
Electro Mobility and
Beiqi Foton Motor
(China). Won
contract for 760
buses under FAME-II
Regio 168
Lito NA
Source: 28 Deloitte Analysis
By observing the sales trend of e-buses in Indian states, Maharashtra, West Bengal and Himachal Pradesh
could be identified as the early adopters of e-buses.
Figure 27 State-wise cumulative e-buses sales (FY17 onwards) and their share in all India e-buses population (till July
2020)
Source: 29 Vahan dashboard
232
83 82
50
41 40
15
10
6
2 2 2
41%
56%
70%
79%
86%
93%
96%
98% 99% 99% 100% 100%
0%
20%
40%
60%
80%
100%
120%
0
50
100
150
200
250
No. of Units
Vehicle presence % Share in all India e-buses population Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
15
1.4.1.5 Electric Vehicles @2030
The Government of India has targeted 30% EV penetration by 2030. However, the momentum required to
achieve the target would require transformational and radical measures to be adopted by Policy makers in
this space.
“NITI Aayog and RMI projected EV sales penetration of 80% for two and three-wheelers, 50% for
four wheelers, and 40% for buses by 2030”
Figure 28 EV Sales penetration projected by NITI Aayog by
2030
Figure 29 Actual and projected EV sales by 2030 as per
NITI Aayog projections
Source: 30 India’s Electric Mobility Transformation (access here)
The ambitious target of adoption of EVs, if achieved, would result in savings of 474 MTOE of oil (approx. INR
15.21 Tn) annually and would cut down CO2 emission by ~846.3 Mn Tons annually.
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
20202021202220232024202520262027202820292030
EV sales penetration (%)
2W 3W 4W Buses
56,594
12,319
10,587
542
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
2030
No. of vehicles (‘000)
2W 3W 4W Buses
89
411
15
0.6
0
100
200
300
400
500
600
700
800
900
1000
2020
No. of vehicles (‘000)
2W 3W 4W Buses
Projected 2030Actual 2020
91%
41%
92%
98%
Required
CAGR Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
16
1.4.2 Hydrogen
Along with using electricity (preferably renewable) to power vehicles, hydrogen is another strong option to
ensure a cleaner future. It has always been considered as a clean energy carrier which can be produced
from renewable and nuclear energy and it also emits clean water.
Box 3: India’s mobility landscape and possible EV adoption
When compared with the advanced countries, India’s mobility landscape is very different. The industry is matured in
the western countries, whereas, in India, it is still evolving. Therefore, the dynamics for EV transition in India are bit
different compared to most of the western world, having developed economies and high per capita income. The key
differentiating factors are shown below:
Figure 30 Overview of Indian mobility landscape
Noting the above-illustrated differences in Indian mobility landscape, EV adoption in the country is also expected to
be influenced by these factors. Table below enlist the expected EV adoption path in the country:
Table 5 Anticipated EV adoption path in India
1. 2W EVs segment would
be the early adopters
compared to 4W EVs
✓ 2W EVs fits perfectly in the equation of Indian mobility:
o Low upfront cost as compare to 4Ws and low cost of
operation;
o Most suitable means of commutation in high traffic areas;
o Ideal for short distance commutation (within city/village)
2. Rise in adoption of 3W
EVs
✓ 3W EVs are the solution for cheap last mile connectivity. Which
is essentially a driving factor for its higher adoption.
✓ As 3W are source of earning for many Indians, will low cost of
operation, uptake of 3W EVs can be expected increase further
3. Greater adoption of EVs
in commercial/ public
segment
✓ As Indian customers prefers public transport, it is expected that
public transport will play greater role in curbing CO2 emission
✓ With low vehicle ownership, commercial fleets are expected to
turn electric owing to their low operation cost
4. Introduction of EVs in
shared mobility
✓ Indian customers are price sensitive, and shared mobility is a
cost effective way to commute. With EVs, the operation cost is
even lower and therefore bringing down the overall cost of
vehicle sharing for customers resulting in higher uptake.
DEPENDENCE ON PUBLIC TRANSPORT
HIGH TRAFFIC DENSITY
LOW VEHICLE OWNERSHIP
HIGH SHARE OF 2Ws & 3Ws
PRICE SENSITIVE CUSTOMERS
India has very low vehicle ownership ratio as compared with
the western countries. Reported in 2018, India has 22 cars
per 1,000 individuals whereas US and UK had 980 and 850
cars per 1,000 individuals.
2W is the most preferred vehicle category for
transportation in India. Sale of 2W contributes to more
than 80% share in overall vehicles sales in the country.
Also, India has high 3W usage than European countries.
The average income of Indian customers is less as compared
to the western customers limiting their affordability for
owning a vehicle. Indian customers are also highly price
sensitive than their global peers
The traffic density of Indian cities are much higher than
their western counterparts. This is largely due to the
limited infrastructure presence for transport in India.
Public transport is the most preferred means of transport in
India; these includes buses, trains, shared autos etc. Also,,
India has higher share of passenger vehicle sales than its
western counterparts.
2
4
1
3
5
LOW AVERAGE COMMUTE DISTANCE
Majority of Indians travels up to 5 km per day on an average
for their work, whereas an American travels around 26 km
every day for work.
6 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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Although adoption of hydrogen ensures a clean future, it has a high production cost and is highly inefficient
when compared with other technologies (electric vehicles). Storage and transportation of hydrogen is
another challenge that has hampered its large scale adoption in various countries as well.
However, with technological advances and growing concerns over global warming, hydrogen has emerged
as the “future of energy”. It is the most abundantly found element on earth which can be extracted from a
wide range of substances—including oil, gas, biofuels, sewage sludge and water.
Hydrogen is the “single” solution for the energy needs of multiple sectors. Table 6 below provides the
applications of hydrogen in different sectors.
Table 6 Applications of hydrogen in various sectors
Sector Applications
Replace existing
hydrogen feedstocks
• The primary use case for green hydrogen is to replace the massive amounts of the gas
that are already produced using carbon-intensive methods to satisfy industry needs.
Power generation
and grid balancing
• Decarbonized hydrogen can be used as a fuel for power generation, to provide load
balancing for intermittent renewables, particularly for seasonal storage - a longer time
period than is possible with battery storage.
• Hydrogen is also a source of distributed power for off-grid applications, such as the
military, public safety, and remote communities, providing primary power and cooling
and heating energy.
• Some modern gas turbines can already burn up to 30% hydrogen and 70% natural
gas. They could be retrofitted to run on 100% hydrogen, producing zero carbon
emissions.
• Existing nuclear plants can be used to produce high quality steam at lower costs than
natural gas boilers and potentially used in many industrial processes to allow utilities to
produce and sell hydrogen regionally as a commodity in addition to providing clean and
reliable electricity to the grid.
Transportation
• Powering fuel-cell vehicles is one of the leading use cases for green hydrogen. This can
play an important role in certain transportation segments such as long-haul trucks,
heavy equipment, cars, vans, minibuses, trains, ships, planes and material handling
equipment. Both high efficiency and low emissions could be achieved.
Buildings
• Renewable hydrogen presents an opportunity for gas utilities to respond to growing
pressure to decarbonize their distribution systems.
• Blending hydrogen with natural gas for water and space heating applications can help
decarbonize the building sector in the US with minimal or no end-use appliance
upgrades.
• It can complement the use of heat pumps by meeting heating needs during peak cold
periods. It can produce combined heat and power (e.g., district heating systems) to
provide building climate control.
• Onsite hydrogen fuel cells can provide heat and electricity to buildings.
Industrial Processes
• The ‘lowest hanging fruit’ for large-scale use of hydrogen in decarbonization is the
conversion of existing industrial uses to lower carbon sources of hydrogen since no
process retrofits would be needed (the processes are already running on hydrogen).
• They can serve as a source of decarbonized heat in industrial processes, especially in
high-grade (over 500°C) and medium-grade (100 to 500°C) heat applications, which
are difficult to electrify.
H
2
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Acknowledging the advantages of hydrogen, countries across the globe have taken numerous initiatives
towards production, distribution, and usage of hydrogen.
European Union, in July 2020, mapped out its vision to promote
renewable hydrogen, which is expected to lure an investment of up
to 470 billion euros ($530.72 billion).
In transportation, hydrogen holds great advantage especially for long haul and freight vehicles. These
vehicles are operated year-around covering distance of 1,00,000 – 2,00,000 Kms every year. Majority of
these vehicles use diesel fuel which emits higher pollutants.
An IEA study
20
suggests that, road freight accounts for more than
35% of transport-related carbon dioxide (CO2) emissions, and
around 7% of total energy-related CO2 emissions.
Figure 31 Advantages of hydrogen over conventional and battery vehicles for long haul and frieght vehicles
Hydrogen can help eliminate the pollution causing from diesel heavy duty vehicles. It has energy density
(~120 MJ/kg) around three times more than diesel or gasoline. Half the energy generated by an internal
combustion engine is wasted as heat, whereas Fuel Cell EVs only lose 10%. When compared with battery
vehicles, fuel cell vehicles also hold advantage in terms of their weight. Fuel cell vehicles offer higher range
than battery vehicles at same or even less weight.
Hydrogen production technology is not fully matured yet. One of the clean process of hydrogen production
is through electrolysis which uses power generated from renewable plants. However, researches have been
undergoing to improve the electrolyser in order to make the process more efficient.
Once the technology matures and the cost of hydrogen production
comes down, hydrogen is expected to be used in transport industry
and majority of energy use sectors.
Passenger transport vehicle technologies
Components of a vehicle can be categorized as: (i) Propulsion system; (ii) Chassis; (iii) Automotive
Electronics and (iv) Body. However, to assess vehicles on the basis of technology, the propulsion system is
considered.
20
Road-Freight and Fuel Economy: IEA analysis (access here)
Why
Hydrogen?
High
energy
density
Less
heat
loss
Lighter
than
battery
vehicles
100%
clean Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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Figure 32 Vehicle components and the technology differentiator
“All vehicles are
mostly similar in
terms of vehicle
components,
except for
propulsion system;
it is the technology
differentiator.”
Propulsion system of a vehicle includes components such as storage system, fuel system, drive train and
exhaust system. Globally, propulsion system using conventional technologies have been used for decades.
However, concerns over global warming have caused a paradigm shift towards development and deployment
of low carbon or electricity based vehicles. Figure 33 represents the conventional and key non-conventional
technologies for vehicles used in India.
Figure 33 Conventional and non-conventional fuel technologies in passenger vehicles in India
Note: Details about conventional technology and CNG technology is provided in Annexure - 6.1. Hydrogen
fuel cell vehicles and electric vehicle technology is discussed in the below sections:
1.5.1 Hydrogen fuel cell vehicles
Hydrogen is the single most abundant substance
in the universe. More than 200 years ago,
hydrogen was used in the very first internal
combustion engines by burnin g the hydrogen
Figure 34 Propulsion system of a hydrogen fuel cell vehicle
Fuel input
(Body)
Propulsion
Transmission
(Chassis)
Brake
(Chassis)
Main body
Automotive
Electronics
Technology
differentiator
Conventional technology Non-conventional technology
Petrol Vehicles
Diesel Vehicles
CNG Vehicles
Hydrogen Fuel Cell Vehicles
Electric Vehicles
Hydrogen Tank
Fuel Cell
Battery
PCU
Electric
Motor Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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itself, similar to burning gasoline today
21
. However, this did not prove to be quite successful, due to safety
concerns as well as low energy density of hydrogen
22
. Rather, in a modern fuel cell, hydrogen is a carrier of
energy, by reacting with oxygen to form electricity.
The propulsion system of the hydrogen fuel cell vehicle includes hydrogen tank as storage system; fuel-cell
and battery pack as fuel system; electric motor and drive train; and an exhaust system.
In a hydrogen fuel cell vehicle, the fuel cell system is comprised of a fuel cell stack and assistant systems.
As seen in Figure 35, the fuel cell stack is the core component which converts chemical energy to electrical
energy to power the car.
Besides the fuel stack, there are four assistant system in the fuel cell: hydrogen supply system, air supply
system, water management system and heat management system. The hydrogen supply system transits
hydrogen from tank to the stack. An air supply system, which is comprised of an air filter, air compressor
and humidifiers, provides oxygen to the stack. Water and heat management systems with separate water
and coolant loops are used to eliminate waste heat and reaction products (water).
Through the heat management system, heat from the fuel cell could be harvested to heat vehicle cabin and
improve vehicle efficiency. The electricity produced by the fuel cell system goes through a power control
unit (“PCU”) to the electric motor with assistance from a battery to provide additional power when needed.
Figure 35 Operating principle of a hydrogen fuel cell vehicle
1.5.2 Electric vehicles
1.5.2.1 Overview
An electric vehicle (EV) is propelled by an electric motor, powered by rechargeable battery packs. Below are
the key components of an EV:
i. An electric motor;
21
A History of the Automobile (access here)
22
Hydrogen in internal combustion engines (access here)
Hydrogen
tank
Hydrogen
supply
system
Fuel cell stack Air supply system
Water & heat
management system
Battery
Power Control
Unit
Electric Motor
Water
Waste Air
Recycled heat
(to vehicle
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ii. A power control unit; and
iii. A rechargeable battery
The electric motor gets its power from a
controller which in turn is powered by a
rechargeable battery.
1.5.2.2 Operating principle
The electric vehicle operates on the
principle of converting electricity to
kinetic energy to drive motor(s) which in
turn rotates the wheels of the vehicle. It
uses batteries which are charged to store power for running the electric motor(s). Unlike conventional
technologies, there are no tail-pipe emissions from electric vehicles.
1.5.2.3 Types of powertrains
Based on the input used to power the vehicle, electric cars (powertrains) are categorized into three distinct
types:
Battery Electric Vehicle (BEV)
Hybrid Electric Vehicle (HEV)
Plug-in Hybrid Electric Vehicle
(PHEV)
Battery Electric Vehicles (BEV) run entirely on a battery and electric drive train. These are fully-electric
with rechargeable batteries and no gasoline engine. BEVs are charged by electricity from an external source.
BEV vehicles in India: Hyundai Kona Electric, Mahindra e-Verito, Mahindra e2o, Tata Nexon EV 2020 etc.
Hybrid Electric Vehicles (HEV) are powered by both fuel and electricity. The electric energy is generated
by the car’s own braking system to recharge the battery(also called ‘regenerative braking’). HEVs start off
using the electric motor and subsequently the gasoline engine is called in as load or speed rises. Only
conventional fuel is utilized by such vehicles.
HEV vehicles in India: Toyota Camry, Toyota Prius, Volvo XC90 T8 Excellence etc.
Plug-in hybrid electric vehicles (PHEV) are powered by conventional fuels and by a rechargeable battery
pack. The battery can be charged up with electricity by plugging into an electrical outlet or electric vehicle
charging station (EVCS). PHEVs have much larger battery packs when compared to other HEVs and therefore
can run larger distances on battery energy.
PHEV vehicles in India: BMW i8, BMW 740e iPerformance, Toyota Prius Prime etc.
1.5.2.4 Battery technologies
Battery play a vital role in overall development of electric vehicle industry. The last decade has experienced
critical innovations in the field of battery technology. Lithium-ion batteries (Lithium Iron Phosphate-LFP,
Nickel Cobalt Manganese-NMC, Lithium Cobalt Oxide-LCO etc.) have emerged as a perfect combination for
electric vehicles. These batteries offer higher number of cycle life as compared to traditional lead-acid
batteries, however the main reason for their high adoption in EVs is their high energy density characteristic.
Figure 36 Propulsion system of an electric vehicle
Electric
motor
Battery
packs
Electric
motor
Battery
packs
Fuel tank Engine
Electric
motor
Battery
packs
Fuel
tank
Engine
Battery PCU
Electric
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High energy density allows lithium-ion batteries to store
more energy in less weight / volume which is an ideal
requirement for e-mobility applications.
Along with lithium-ion batteries, there have been
advancements in other battery technologies such as metal-
air, solid-state, lithium-sulfur batteries etc., however, these
are still under research.
Figure 38 Commercial stage of key battery technologies
Source: 31 Deloitte analysis
LFP, NMC and NCA batteries have been widely used in vehicles. All Tesla’s elec tric vehicles have NCA
batteries; BYD uses LFP batteries, and Chevy Volt, BMW uses NMC batteries in their respective EV models.
It is estimated that in the next five years, use of LFP and LMO batteries will reduce due to their low energy
density, and chemistries such as NMC532, NMC622 and NMC811 will experience increase in adoption.
Figure 39 EV cathode market share by 2025
Source: 32 CRU
Figure 37 Illustration of a lithium-ion battery
Electrolyte
solution
Anode Cathode
Commercialized &
matured
Commercialized with
continued R&D
Limited
commercialization
R&D
1.Lead-acid
2.LFP
3.LCO
4.Li-Polymer
5.Ni-MH
6.Ni-Cd
7.ICRFB
1.NMC111
2.NMC422
3.NMC532
4.NMC622
5.NMC811
6.NCA
7.LMO
1.LTO
2.VRFB
3.ZNBR
1.NaS
2.Li-metal
1.NMC712
2.LNMO
3.Li-S
4.Metal-air
5.Solid State
Batteries
PRESENTFUTURE
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
LFP LMO NCA NiMH NMC111 NMC532 NMC622 NMC811
NMC532 will have the
majority share in EV
Cathode market by 2025
Decline of LFP & LMO chemistry due to
low energy density
"NMC811 will have 7.5% share in EV cathode
market by 2025" -CRU
NMC811 will experience sharp increase in its
share post 2025 to 2030
TESLA is the only EV manufacturer
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1.5.2.5 Cost of an electric vehicle
The cost of an electric vehicle is currently higher compared to a conventional vehicle with similar
characteristics and performance. One of the major reasons for the same is the high price of the battery
which accounts for nearly 40% of the total EV cost.
Although the prices of batteries have fallen considerably in the last decade
23
, they are still at a level which
makes EVs difficult to attain cost parity with their conventional counterparts.
Figure 40 Category-wise vehicle export trend in India from FY15 to FY20
“Battery contributes as
the major cost
component for an electric
vehicle; industry expects
this share to come down
to 18% by 2030 which
may increase affordability
of electric vehicles”
Source: 33 India’s Electric Vehicle Transition (access here)
1.5.2.6 Electric vehicle charging infrastructure
Electric Vehicle Supply Equipment (EVSE) is an equipment or a combination of equipment, which provides
dedicated functions of supplying electric energy, from a fixed electrical installation or supply network to an
EV for the purpose of charging. There are different ways to classify an EVSE, depending on power supply
(AC or DC), power rating levels, speed of charging, communication and connector type.
Figure 41 Classification by EVSE output – AC and DC
In AC charging, the vehicle has an on-board charger to convert AC from the grid into DC to charge the
vehicle. A DC charger, on the other hand, can be used to charge the vehicle directly using the Battery
Management System. An AC EVSE comes in different power ratings ranging from 3.3 kW to 43 kW. A DC
EVSE is able to supply higher power rating ranging from 10 kW to 240+ k W. There are three levels of
charging stations available, with each successively providing faster charging capability. Details about
charging levels is provided in Annexure - 6.1 (Table 52).
23
A Behind the Scenes Take on Lithium-ion Battery Prices – BNEF (access here)
Battery,
40.18%
Electric drive,
9.97%
Power
electronics,
6.98%
Vehicle
interface
control,
2.99%
Non-
powertrain
components,
39.88%
Component-wise
cost break of an
electric vehicle
AC/DC
converter
Battery
Pack
BMS
bypass for DC
EVSEGrid
ACAC, DC
Electric Vehicle Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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India has laid guidelines for minimum requirement for setting up of Public Charging Infrastructure (PCI).
Minimum technical requirements for fast and slow charging stations as provided in Annexure - 6.1 (Table
61).
Details on EV charging is provided in Section 2.3.
1.5.2.7 Information and Communication Tec hnologies (ICT)
ICT provides access to information through telecommunication. ICT is based on communication technologies
and integrates computer system/hand held system, audio video display with Internet/IoT.
ICT covers all forms of Computer and Communica tions equipment as well as the software used to create,
store, transmit, receive, interpret, and manipulate information in its various formats. It deals with all the
systems involved in creating, storing, sending or transmitting, receiving and manipulating these kinds of
information. The ICT system includes both hardware devices and the software that allow the hardware device
to carry out their intended functions. The hardware devices include computer system, monitor/ display
screen, communication devices such as modem, router, hubs etc.
ICT uses transmission media suc h as cables, telephone lines, cellular link, satellite links etc. and
communication networks such as Local Area Network (LAN), Wide Area Network (WAN), Internet, Satellite
links etc. However, in case of electric vehicles, the communication network will mostly be wireless.
Information and Communication technology is widely getting used in fields such as Education, Agriculture,
Medicine, Defence, E-governance E-Commerce, Banking etc. With no exclusion, transportation is another
emerging space where ICT have added significant value and holds promising potential for future growth.
Figure 42 Application of ICT across transportation
Source: 34 Deloitte analysis
ICT has been used in vehicles for decades now and is available in the form of electrics, electronics, and
software. It has helped in introducing many innovations in the automotive sector such as anti-lock braking
system, electronic stability control, emergency brake assist etc.
With the rise of technology in automotive industry, ICT will play huge role in the next generation vehicles.
Some of ICT’s role in future vehicles is provided in the below figure.
P
Smart
Home
ParkingDestinationRoads & Highways
Bike Path/
Walkways
Bus
Subway /
Light Rail
Transit
Hubs
Traffic Train Bus Tolls
Maintenance
Stations
Vehicles
Fleet OperationPhysical InfrastructureEnergy Infrastructure
Finish
Start
Mobility ManagementIn-Vehicle Experience
Cyber Infrastructure
B Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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Table 7 ICT - bridge between conventional and smart vehicle
Energy and
cost efficiency
ICT will be useful in implementing
functions using software which uses
hardware previously (e.g. Steer, brake-
by-wire) thereby reducing the weights
of the overall car.
It can also use intelligent predictive
management to reduce energy
consumption.
Reducing
accidents
Using its pro-safety function, ICT
can greatly help in bringing down
total number of accidents. With
the help of ICT, vehicles will be
able to interpret their
environment and act
autonomously in dangerous
situation.
Seamless
connectivity
Future vehicles will have seamless
connectivity including the state-of-the-
art in infotainment. ICT will help update
the vehicle frequently to keep track
with the advances in multimedia and
infotainment technology.
Personalization Personalization is expected to be
the demand of future customer.
ICT will enable transfer secondary
vehicle functions to a personal
mobility device.
Source: 35 The Software Car: Building ICT Architectures for Future Electric Vehicles (access here)
ICT is the way forward for “smart” vehicles and infrastructure
ICT adds value to electric mobility through interconnection of existing and new platforms. It enable s
coordination between smart grid, smart vehicle and smart traffic allowing them to operate seamlessly.
Figure 43 ICT - Key for smart mobility
Source: 36 ICT for electric mobility II: Smart Car – Smart Grid – Smart Traffic (access here)
Growth in EVs has the potential to increase loading of distribution networks with consequential issues
regarding variations in voltages at tail end of the network and line congestion during charging. Suitable ICT
technologies including Active Managed charging, V2G, etc. will enable optimal charging of electric vehicles
in a manner which does not cause substantial strain on the distribution network.
Also mentioned in Table 7, ICT can help vehicles in reducing the weight and cost. Other than emergency
situations, ICT has the capability to enable controlling of the electric vehicle such as breaks, steering,
infotainment function etc. ICT can also help in connecting platforms such as vehicle, charging infrastructure,
energy grid and traffic management. It assists in controlling vehicle traffic flow and grid load management
for implementing new mobility concepts. The technology uses cloud computing wh ich is accessible through
all mobile technologies. It helps in providing and analysing information regarding the vehicle, route planning,
energy systems and traffic situation.
Smart GridSmart vehicleSmart Traffic
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ICT also plays important role in charging of electric vehicles, as it enables EV owner, charging operator and
other associated players in coordination of overall EV charging process. An illustrative example of the same
in provided in Figure 44.
Figure 44 Utilizing ICT in real time data updation and communication for during EV charging
Source: 37 NEC Electric Vehicle (EV) Charging Infrastructure (access here)
With the help of ICT, EV owners will be able to receive real time information on the nearest charging station,
availability of the station, real-time price of charging, status of the battery, remaining run time, etc. Charging
station operators can also monitor the health and utilization of charging stations, schedule maintenance
activities and manage the charging process remotely.
1.5.2.8 Battery management system (BMS)
A battery management system is said to be the brain behind the batteries. It is one of the most critic al
components of an electric vehicle.
The purpose of the BMS is to guarantee safe and reliable battery
operation.
To ensure the same, a BMS monitors and evaluates charge control and cell balancing in the battery.
Overcharging results in overheating which causes structural damage and raises risk of explosion and fire.
Every time a battery is drained below a critical level, its capacity gets reduced to a cer tain extent
permanently. BMS ensures that the battery’s charge doesn’t go above or below the threshold limits. Along
with this, the BMS measures how much energy is left in the battery (State of Charge). It also monitors the
rate at which energy is getting utilized and estimates the duration it will last. Thus, the role of BMS can be
categorized into three aspects:
Charging information/
storage battery
information
Userswill obtain
•charging station
information;
•store information;
•local information etc.
Business operatorswill
obtain information on
•maintenance,
•charger control,
•battery control etc.
Information about the vehicle, %
charge, battery health etc. is updating
in the cloud in real time
Information about the store, available
charging slots, charger details is
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Protecting the battery
Operating the battery with safe
limit of current, voltage and
temperature
Measuring and estimating the
battery state
Figure 45 Illustration of a battery management system (BMS)
Source: 38 Towards a Smarter Battery Management System for Electric Vehicle Applications ( access here)
The key blocks of a BMS system are provided below:
a. Thermal Management Block: This block measures the battery temperature and accordingly initiates
the cooling or heating operation to maintain the temperature within the optimal range
It also sends signals to ECU if the temperature goes beyond allowable limit.
b. Measurement unit: The measurement unit measures voltage, temperature, current at different places
and the ambient temperature.
c. Capability estimation block: This block sends information regarding the safe charging / discharging
levels to ECU and the charger unit.
d. Cell equalizer block: It compares the highest and the lowest voltages across all the cells to apply
balancing techniques
e. State of Health (SoH): State of Health (SOH) is a measure of the battery’s ability to store and deliver
electrical energy.
f. State of Charge (SoC): State of Charge (SOC) describes the level of charge of an electric battery
relative to its capacity
The overall system architecture of a BMS can be divided into two categories: software; and hardware. Figure
46 represents system architecture of BMS:
Battery
Pack
Discharger
Measuring Unit
Bus voltage
Temperature
Current
Cell Voltage
Cell equalizer
State of power
State of health
State of charge
Capability estimation
Thermal Management
Display
terminal
Fan/
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Figure 46 System architecture of BMS
Source: 39 Battery Management Systems in Electric and Hybrid Vehicles (access here)
In the hardware part of the BMS, the safety circuitry is the core unit for ensuring its safety in the event of
an overcharge, over-discharge or overheating. The sensor system monitors and measure battery parameters
including cell voltage, battery temperature and battery current. Data acquisition helps BMS in analyzing and
building a database for system modelling. Charge control helps in governing charge discharge con trol.
Communication module helps in transferring data/ information from / to BMS. Thermal management helps
in monitoring and ensuring that the cells operate at an optimum temperature.
The software part of BMS is critical as it controls all hardware operations and analysis of sensor data for
making decisions and state estimations. Activities such as switch control, sample rate monitoring, cell
balancing control, and dynamic safety circuit design is handled by the software of BMS. BMS conducts
automated data analysis that determines state estimation and fault detection.
Battery Management
System (BMS)
User interface
Fault detection
Data acquisition Cell balancing
Thermal
management
Sensor system SoH determination Communication
Safety circuitry SoC determination Charge control
Hardware Software Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
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The role of BMS gets very important while using it in EVs. Not only
BMS ensures high efficiency and capacity to the battery, it also
provides safety to the vehicle driver/ passengers.
1.5.3 Vehicle technology comparison
In this section, we would aim to assess fuel technologies on the basis of reliability, cost and their lifetime
CO2 contribution.
Source: 40 seven reasons why the internal combustion engine is a dead man walking (access here)
1.5.3.1 Total cost of ownership (TCO)
Cost plays an important role in selection of vehicle by consumers. Total cost of ownership (TCO) for electric
vehicle is compared with TCO for other fuel vehicles.
BHP value has been considered as the criteria for selection of the vehicles for comparison. Vehicles with BHP
values of 90-130 were considered (except Tata Tigor EV, BHP - 40.2). It is observed that the TCO of an
Box 4: Cell balancing by BMS
BMS uses cell balancing technique to maximize battery pack performance.
In a battery pack, single cells
are connected in series and in
parallel in order to achieve
higher voltage and capacity.
However, every cell is distinct
due to manufacturing and
chemical offset, and for safety
purpose, the charging/
discharging of cells is allowed
only till any of the cell reaches
its maximum or threshold
limit. Due to this, the capacity
of the battery pack is
contained by the imbalance in
the cells of the pack.
Figure 47 Cell balancing in battery pack
Thereby reducing the overall energy efficiency and lifetime of the battery pack.
BMS approaches balancing in two ways: active balancing and passive balancing. BMS uses SoC of each cell to provide
balancing to the battery pack. It uses multiple algorithms to calculate accurate SoC of cells and ensures to keep
same SoC for each cell at a given time.
In active balancing, BMS transfers energy from energy-excess cell(s) to energy-depleted cell(s) via bi-directional
DC-DC power converter circuits. Whereas, in passive balancing, BMS dissipates energy from energy -excess cell(s)
to their respective resistors. Normal operating (V2)
Voltage range (V1)
Normal operating (V2)
Voltage range (V1)
OC UCUCUC UC
C1 C2 C3 C4 C5 C6 C7 C8 C9
C1 C2 C3 C4 C5 C6 C7 C8 C9
Cx: Cell X, UC: Under charged; OC: Over charged
Box 5: Reliability: Electric vehicle vs Conventional vehicle
When it comes to reliability, EVs are far more superior to any other conventional vehicle. Forbes in 2018 reported
that a drivetrain for a conventional vehicle has more than 2000 moving parts, whereas drivetrain of an EV has only
20 moving parts, reducing the risk of functional failure and increases reliability.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
30
electric vehicle (Tata Nexon EV) when compared with an equivalent conventional vehicle is very high.
However, electric vehicles which are available at prices comparable to conventional vehicles tend to have
relatively inferior technical specifications (Tata Tigor EV).
Table 8 Total cost of ownership calculation of fuel technologies
Tata Tigor EV Tata Nexon EV
Petrol Ford
Ecosport
Diesel Ford
Ecosport
CNG Maruti
Suzuki Ertiga
Vxi
Cost of running
for 5 year (Rs.)
~10 Lakh ~16 Lakh ~12 Lakh ~12 Lakh ~9 Lakh
Source: 41 Deloitte analysis
Among electric, petrol / diesel and CNG vehicles, the Total Cost of Ownership is found to be the least for the
CNG vehicle. On the other hand, the highest TCO was that of EV primarily due to its very high ex-showroom
price (in comparison with other vehicles). Detailed comparison tables are provided at Annexure - 6.1 (Table
59)
“High EV prices are delaying their adoption among consumers. Early
achievement of cost parity with ICE vehicles would favourably shape
the EV market in India”
1.5.3.2 Environmental impact
Electric vehicle holds a great advantage in terms of improving the air quality of the region. It helps in
reducing the CO2 emissions as well as particulate matter (PM), nitrogen oxide (NOx), carbon monoxide (CO)
etc. In the below sections, we will review some of the studies that were conducted to assess environmental
impact of electric vehicles.
1.5.3.2.1 Lifetime CO2 emission study
Altigreen Propulsion Labs conducted a study in October 2015, to estimate the lifetime CO 2 emission for
various Indian vehicles. The overall lifetime CO2 emission of a vehicle was bifurcated into three categories:
(i) Manufacturing emission; (ii) Indirect emission; (iii) Direct emission.
a. Manufacturing emission
The report considered following manufacturing emission numbers based on the expected lifeti me of the
vehicle in terms of kilometres driven:
• Petrol vehicle: 40 g CO2/km; Diesel vehicle: 20 g CO 2/km; CNG vehicle: 40 g CO 2/km; Electric
vehicle: 70 g CO2/km
Higher value for EVs were considered in the report assuming lesser lifetime (in terms of kilometres driven)
and high energy intensive manufacturing processes.
b. Indirect emission
This emission category is also called as WTT (Well-to-Tank) and includes emissions from transport, refining,
purification and conversion from primary fuel to usable forms. For electric vehicles, the numbers were
calculated using India’s power generation mix.
c. Direct emission Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
31
This emission category considers emissions directly from the vehicle exhausts. Data for the sa me was
collected based on the actual tests done by the ARAI. For EVs, numbers were considered based on the range
of EVs and the emissions from various power plants in India.
1.5.3.2.2 Study findings
The study found that petrol vehicles were the highest emitter of CO2 in the conventional vehicle category.
However, it was stated that the figures only represent the CO2 emission and not its quality. The report also
established that lifetime CO2 emissions from EVs was calculated to be higher than petrol vehicles. Although,
most of it was due to higher emission from associated thermal power plants in 2015 whose generated
electricity flows into the grid to charge such vehicles.
Figure 48 Fuel category-wise lifetime CO2 emission
“As concluded from the
study, petrol-based
vehicles were the highest
emitter of CO2. The
report also concluded
that, it is essential to
grow renewables in the
generation mix to justify
replacing conventional
technologies for EVs”
Source: 42 Autotech review: lifetime CO2 emissions in different Indian vehicles
1.5.3.2.3 Reduction in emission of air pollutants
In Nov 2020, CEEW published a study
24
which estimated the impact of EV adoption in India’s overall emission
level. The study found out that meeting the 30% EV penetration target in 2030 could lead to reduction in
primary particulate matter (PM) by 17%, nitrogen oxide and dioxide (NOx) emission level by 17%, and
carbon monoxide (CO) emission level by 18%. Also, achieving the 30% penetration target will lead to 4%
reduction in greenhouse gas (GHG) emissions under the business as usual (BAU) scenario.
Figure 49 Environmental impact of achieving 30% EV penetration by 2030
Source: 43 CEEW - Can Electric Mobility Support India’s Sustainable Economic Recovery Post COVID-19? (access here)
24
CEEW - Can Electric Mobility Support India’s Sustainable Economic Recovery Post COVID-19? (access here)
17%
reduction
17%
reduction
18%
reduction
171
202
232
200
290
0
50
100
150
200
250
300
350
CNG Diesel Petrol EV (range 8
km/kWh)
EV (range 4.7
km/kWh)
CO2 Emissions (g/KM)
Manufacturing emissionIndirect emissionDirect emissionTotal
PM2.5/ PM10
NOx CO Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | As-is state of passenger
road transport system in India
32
In 2017, SWEEP
25
assessed the impact of adoption of electric vehicles (EVs) over gasoline vehicles in Utah’s
Wasatch Front region.
26
It performed the analysis using the Greenhouse Gases, Regulated Emissions, and
Energy Use in Transportation (GREET) fuel-cycle model developed by the Argonne National Laboratory.
From the analysis, it was found out that compared to a gasoline-fuelled vehicles, electric vehicles will reduce
the pollutant emissions by—99% for Carbon Monoxide (CO), 90% for Nitrogen Oxides (NOx), 81% for PM2.5
and 57% for PM10.
In another study conducted by scholars of Denmark Technical University
27
, if India achieves higher EV
penetration, it may reduce its particulate matter (PM2.5) emission level by at least 50%.
As suggested by studies and modelling analysis, introduction of
electric vehicles will greatly influence reduction of air pollutants
25
Southwest Energy Efficiency Project (SWEEP) is a public interest organization dedicated to advancing energy efficiency in Arizona,
Colorado, Nevada, New Mexico, Utah and Wyoming.
26
The Potential for Electric Vehicles to Reduce Vehicle Emissions and Provide Economic Benefits in the Wasatch Front (access here)
27
Electric vehicles and India's low carbon passenger transport: a long-term co-benefits assessment (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
33
2. Review and assessment of electric
vehicle and charging infrastructure
stakeholder landscape
The electric mobility ecosystem is composed of multiple stakeholders The primary role of developing a
holistic ecosystem and providing the policy / regulatory support is played by Central/ State governments
and the sector regulators. They enable investment, encourage adoption and ensure fair operation of the
industry. An overview of the various stakeholders shaping electric mobility industry in India are outlined in
the figure below.
Figure 50 Ecosystem of electric mobility in India
Source: Deloitte analysis
Note: Vital players are those players without support and participation of which, the targeted results cannot be achieved; Key actors
are those players who will have direct participation in uptaking the electric mobility market in India; Primary actors are those actors who
will support “key actors” in creating an ecosystem for electric mobility in India; Secondary actors are those players who would facilitate
the growth of electric mobility space in India
Policy and regulatory landscape
As illustrated in Figure 50, there are several key ministries which are playing important role in creating
holistic ecosystem for electric mobility in the country.
2.1.1 Roles of various ministries in EV ecosystem
2.1.1.1 Ministry of Heavy Industries and Public Enterprises (MoHI&PE)
Under MoHI&PE, Department of Heavy Industries (DHI) is spearheading the policy and implementation
measures to fast-track adoption of Electric vehicles in India. To achieve the objectives of reduced emission
NITI
Aayog
MoP
State
Gov./Nodal
agency
DHI
MoRTH
EVSE
manufacturer
Battery
manufacturer
OEM
DISCOM
Network Service
Providers
Charging infra/
Battery swapping
operator
Open
Access
Generator
Municipality
MoH&UA
R&D Institutes/
labs
ARAI
BIS
DST
CERC/
SERC
MNRE
MoF
MoP&NG
Other GoI
Ministries
#
Funding
institutions
MeitY
CEA
BEE
Real Estate
(Land, Bus
depot etc.)
State Transport
Utility
Institutions/
housing
societies
Individual
owners
Demand
aggregator
Vital
Players
Workplace,
Grocery
stores and
shopping
complexes
etc.
EV Ancillary
manufacturer
Other
entities
*
*
Other entities:
•RBI
•CPCB
•SPCB
•FOR
•GST Council
•Rear earth mining
#
Other GoI Ministries:
•MeitY
•MNRE
•MoC&I
•MoD
•MoEF&CC
•MoM(Mines)
•MOP&G
•MoSD&E
•MoST
•MSME Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
34
and energy security, DHI has notified Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles
in India (FAME) scheme, in March 2015, with the following four major focus areas:
Technology
development
Demand incentives
Charging
infrastructure
Pilot projects
The scheme provides financial incentives/subsidies to achieve the objectives of National Mission on Electric
Mobility (NMEM). The total financial layout for the scheme was INR 765 Cr which was further increased to
INR 895 Cr. In March 2019, the ministry notified FAME–II scheme, with increased layout of INR 10,000/-
crores which includes a spill over from FAME-I of INR 366 Cr. The primary role of the ministry is to develop
framework for implementation of FAME scheme .
National Automotive Board , under DHI, is an operating agency for implementation of FAME India
schemes. This organization monitors the state-wise progress and maintains the web portal for dissemination
of data related to the scheme. Further, the ministry has formed a Project Implementation and
Sanctioning Committee to frame rules for sanctioning of projects under FAME scheme. This committee is
responsible for awarding PCI project implementation agency.
Project Implementation and Sanctioning Committee (PISC)
28
, an inter-ministerial panel, is setup by
DHI for monitoring, sanctioning and implementation of projects under the FAME -II programme in March
2019. The committee is chaired by CEO, NITI Aay og and Secretaries, Financial Advisor and Directors of
various ministries and association are the members of the committee. Key roles and responsibilities of the
PISC is listed below:
• Sanctioning of projects under the FAME II scheme
• Modifying coverage of various components and sub-components of the scheme
• Modifying limits of the fund allocation under the scheme
• Review of demand incentive under the scheme, annually
• Review of vehicle-wise capping of incentive, annually
• Decide other scheme parameters for smooth implementation
2.1.1.2 Ministry of Road Transport and Highways (MoRTH)
The ministry is responsible for formulating policies and regulations pertaining to road transport. The Ministry
also plays a key role in formulating non-financial incentives for promoting EVs by provisioning for parking
infrastructure, priority lane access, etc.
Automotive Research Association of India (ARAI ) under the ministry carries out research and
engineering services on behalf of the Ministry. One of the functions of ARAI is to develop standards for
vehicles and its components. These standards are marked as AIS -XXX standards. Till date about 220
standards are published by the organization. AIS 138-Part 1 and Part 2 are notified by ARAI which specifies
the charging requirements (AC and DC) for all electric vehicles (2/3/4) wheelers with the exception of trolley
buses, rail vehicles and off-road industrial vehicles.
2.1.1.3 Ministry of Power
The ministry is responsible for perspective planning, policy formulation, processing of projects for investment
decision, monitoring of the implementation of power projects, training and manpower development and the
administration and enactment of legislation in regard to development of Power Sector. The Ministry forms
policies for the sector and has notified that electric charging stations are to be considered as service and not
distribution of electricity implying it is a delicensed activity. Further, the Ministry has issued guidelines for
implementation of Charging Infrastructure under which Bureau of Energy E fficiency (BEE) has been
entrusted with the role of Central Nodal Agency (CAN). BEE has notified 25 State Nodal Agencies (SNAs)
for various states. SNAs for states are various agencies including DISCOMs, nodal agency for RE and EE,
transport authorities etc. whose responsibility is to enable implementation of charging infrastructure in states
28
Constitution of PISC under FAME II (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
35
/ cities. Central Electricity Authority (CEA) under the Ministry is responsible for preparation of standards
related to safety of EVSE. The committee on technical aspe cts of charging infrastructure has provided a
report on the standards and technical specifications to be followed for PCI.
State Electricity Regulatory Commissions (SERCs) were formed under the provisions of the Electricity
Act, 2003. These regulatory commissions are responsible for notifying electricity tariffs applicable for the
PCI. In addition, as the PCIs can be installed in existing locations (parking lots, malls, shopping complex
etc.) issues related to use of multiple connections in a single premise are addressed by the SERCs.
2.1.1.4 Ministry of Housing and Urban Affairs (MoHUA)
Encouraging "Electric Vehicles" as a viable option for phased transportation in terms of short and long
distance trips with appropriate "Charging Infrastructure" is therefore, the pre-condition for this paradigm
shift/ phased migration to sustainable transportation. In order to steer the development of charging facilities
in commercial and residential building complex, MoHUA is playing a key role by amending building bye-laws.
MoHUA notified that residential and commercial complexes will have to allot 20% of their parking space for
electric vehicle charging facilities. MoHUA has also amended Urban and Regional Development Plans
Formulation and Implementation Guidelines – 2014 to include the formulations of norms and standards for
charging infrastructure in the city infrastructure planning.
2.1.1.5 Ministry of Finance
Ministry of Finance is one of the key ministries that has enormously helped in uptake of electric mobility in
India. In 2019, Ministry of Finance rationalized the customs duty for all categories of vehicles, battery packs
and cells to support Make in India. It also reduced the GST rates for the purchase of electric vehicles from
12% to 5% and announced income tax rebate of INR 1, 50,000 on purchase of electric vehicles.
2.1.1.6 Ministry of Environment, Forest and Climate Change
Ministry of Environment, Forest and Climate Change is the main concerned union ministry in the “National
Electric Mobility Mission Plan 2020” initiative. The ministry also notified Draft Battery Waste Management
Rules, 2020 to strengthen the ecosystem for handling and disposal of batteries across India.
2.1.1.7 Ministry of Science and Technology
The MoST has formed a “Technology Platform for Electric Mobility (TPEM)”, funded primarily by the MoHIPE.
MoST is playing a key role in forming electric mobility standardization roadmap for India. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
36
Figure 51 Policy and regulatory structure for EVs in India
Source: 44 Deloitte analysis
India has taken multiple initiatives to promote electric mobility, with the policy and regulatory support,
adoption of electric vehicles have started increasing in last five years (industry grew at 133% CAGR in past
five years, refer Figure 17).
Central government in last 10 years has notified numerous promotional measures including fiscal incentives
for electric vehicle buyers, public EV charging infrastructure development etc. to support uptake of electric
vehicles in the country.
Timeline for various initiatives taken by policymakers and regulators is provided Figure 52:
Figure 52 Key national level initiatives to promote adoption of electric vehicles - Timeline
Source: 45 Government notifications
PolicyTechnical Standards
Public Charging
Infrastructure
Guidelines for Charging
Infrastructure
Oct
2019
Guidelines for Charging
Infrastructure
Dec
2018
Central
Electricity
Authority
Central Nodal Agency
Safety Standards
and database
AIS -138 (Part1) –AC Charging
AIS -138 (Part2) –DC Charging
Specifications of Charging system
Project Implementation and
Sanctioning Committee
FAME-II
Mar
2019
FAME-I
Mar
2015
State Electricity
Regulatory Commission
State Nodal Agencies for
EV Charging
Infrastructure
Electricity Tariff/Supply Code
Implementation
National Mission for Electric Mobility
Bharat EV Charger
Specification-DHI
April
Phase-I of the FAME India
scheme launched under the
NEMMP 2020 for a two-year
period between 01 April,
2015 and 31 March, 2017 Feb
Amendments made to the
Model Building Bye-laws
(MBBL) 2016 and Urban
Regional Development
Plans Formulation and
Implementation (URDPFI)
Guidelines 2014 making
provisions for establishing
Electric Vehicle Charging
Infrastructure
October
National Automotive Board
(NAB) constituted. Shall be
the nodal agency for the
implementation of FAME India
scheme including
disbursement of funds for the
various components
August
Draft Amendment to Central
Motor Vehicles Rules, 1989, for
rule 115-D, allowing retrofitting
conventional vehicles into electric
vehicles or hybrid electric based
vehicles
The Minister of
State for Power,
Coal, New and
Renewable Energy
declared that the
government of
India aims to
attain 100% e-
mobility by 2030.
March
201320162012
National Electric Mobility Mission
Plan 2020
The 2020 roadmap estimates a
cumulative outlay of about Rs. 14000
cr. during the span of the scheme,
including industry contribution
January
20152017
March
DHI extends FAME I
for six months.
It has since been
extended for a total
4 times
−DHI stopped extending
benefits to mild hybrid
vehicles in the country
under the FAME
−National Board for
Electric Mobility
(NBEM) constituted six
years after its approval.
April
2018
March
MoP amended
its existing
target of 100%
e-mobility by
2030 to 30%
e-mobility by
2030
Clarification on charging
infrastructure for Electric Vehicles
with reference to the provisions of
the Electricity Act, 2003. Charging
of EVs is a service and doesn’t
require any license
April
Charging
Infrastructure for
Electric Vehicles
Guidelines and
Standards notified
Dec
2019
−Union Cabinet has
approved setting up
a National
Mission on
Transformative
Mobility and
Battery Storage
chaired by CEO
NITI Aayog
−Phase II of FAME
launched
March
Feb
Technology
Platform for
Electric Mobility
(TPEM) set up to
support R&D
Consortia
Projects.
2011
National Council for
Electric Mobility NCEM
constituted, the apex
body in the GoIfor
making
recommendations to
promote electric
mobility and
manufacturing of
electric vehicles
Union Cabinet
Ministry of Power
Ministry of Road Transport and Highways
Ministry of Housing and Urban Affairs
Department of Heavy Industry
October
MoP issued revised
guidelines and
standards for
charging
infrastructure for
electric vehicles
including a phased
approach with
measures such as
provisioning of one
charging station per
grid of 3km x 3km
in cities and at ever
25km oh
highways/roads
2020
Amendment to
the “Charging
Infrastructure for
Electric Vehicles –
Guidelines and
Standards”
capping max tariff
applicable to EV
public charging
June
May
DHI revises
Phased
Manufacturing
Program (PMP) for
xEV parts for
eligibility under
FAME II scheme
DHI approves
2636 EV
charging
stations in
Phase-II to
Fame India
Scheme
January Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
37
2.1.1.8 Review of key policies notified by central government
2.1.1.8.1 Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles (FAME) – I
and II
Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles (FAME) programme was launched by
DHI in 2015. It is the flagship scheme under the NEMMP 2020 mission plan of Central government to enhance
hybrid and electric technologies in India. The overall scheme is proposed till FY 2022 to support market
development for EVs. Phase 1 of the scheme has been implemented over a two -year period starting from
FY 2015-16 to FY 2016-17 and was extended till FY 2018-19. Phase 2 of the scheme has been launched
from FY 2019-20 till FY 2021-22. In March 2019, the ministry notified FAME –II scheme with increased layout
of Rs 10,000/- crores, which includes a spill over from FAME-I of Rs 366 Cr (for further detail on FAME
scheme please refer to chapter 3)
2.1.1.8.2 National Mission on Transformative Mobilit y and Storage
The aim of the mission is to drive strategies for transformative mobility and Phased Manufacturing
Programmes for EVs, EV Components and Batteries. Following are the key roles, roadmap and anticipated
impact envisaged under the mission:
EV components OEM landscape
India is the fifth largest market for automotive industry
29
and therefore has a strong presence of OEMs in
the conventional vehicle segment. Further, there are numerous companies dealing in auto-ancillary
components as well as companies dealing in aftermarkets. A snapshot of auto-ancillary industry is provided
below:
29
Ranking provided by OICA (International Organization of Motor Vehicle Manufacturers) and includes only passenger and commercial
vehicle sales (access here) Role
•Drive strategies for transformative
mobility and Phased Manufacturing
Programmes for EVs, EV Components
and Batteries
•Creating a Phased Manufacturing
Program (PMP) to localize
production across the entire EV
value chain
•Details of localization will be finalized
by the Mission with a clear Make in
India strategy for the electric vehicle
components as well as battery
•The Mission will coordinate with key
stakeholders in Ministries/
Departments/states to integrate
various initiatives to transform mobility
in India
•Phased battery manufacturing roadmap
with initial focus on large-scale module and
pack assembly plants by 2019-20 and Giga-
scale integrated cell manufacturing by 2021-
22
•Ensuring holistic and comprehensive growth
of the battery manufacturing industry in
India through PMP
•Preparing roadmap for enabling India to
leverage its size and scale to produce
innovative, competitive multi-modal mobility
solutions that can be deployed globally in
diverse contexts
•Roadmap for transformative mobility in “New
India” by introducing a sustainable mobility
ecosystem and fostering Make-in-India
Roadmap
•Drive mobility solutions to benefits to the
industry, economy and country
•Improving air quality in cities along with
reducing India’s oil import dependence and
enhancing the uptake of renewable energy
and storage solutions
•The Mission will lay down the strategy and
roadmap which will enable India to
leverage upon its size and scale to develop
a competitive domestic manufacturing
ecosystem for electric mobility
•Benefit all citizens as the aim is to promote
‘Ease of Living’ and enhance the quality of
life of our citizens and alsoprovide
employment opportunities through ‘Make-
in-India’ across a range of skillsets
Impact Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
38
Figure 53 Overview of India auto ancillary industry FY19
Source: 46 ACMA
The present auto-ancillary
industry plays a vital role in the
development of automotive
sector of the country. During
FY19, it contributed 2.3% in
India’s GDP and 4% in overall
export revenue. The industry is
highly unorganized with more
than 10,000 players catering to
the market and employing more
than 50 lakhs people in the
country.
Conventional automobiles are an assembly of more than 2000 different components. Whereas, the transition
towards electric mobility have opened new avenues for few auto component manufacturers , the same has
also posed a threat to several other players in ancillary segment of conventional vehicles . Many of the
conventional automobile component s such as engine parts, clutches, radiators etc. run the risk of being
obsolete in a market dominated by EVs since it is expected that the EV market would be dominated by
different sets of auto-ancillary manufacturer, having expertise in only electronics and electrical related auto-
components. The broad classification of electric vehicle components of OEMs is provided in
Figure 54.
Figure 54 Categorization of OEMs in EV space
2.2.1 EV component manufacturer
In comparison with the conventional vehicles, the EV auto-component industry is at a very initial stage. In
contrast to more than 10,000 auto component manufacturer in conventional vehicle segment, there are very
few players in EV auto-ancillary manufacturing space currently. With the transition towards EVs, the existing
auto component manufacturer s would have to realign their product portfolio to suitably match the
requirements of upcoming EV market. This would not only help in reducing the cost of EV (reduced existing
import dependency) but also minimize the risk of unemployment in the conventional segment.
2.3%
Contributi
on of GDP
US$ 15.1
Bn Export
US$ 57
Bn
Turnover
USD 10.1
Bn
Domestic
Aftermarket
50 Lakh
employment
OEMs
EV component manufacturer Battery manufacturer Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
39
Figure 55 provides the likely impact of EVs on conventional auto-component industry.
Figure 55 Impact of rise of electric mobility on auto component industry
As the complexity in
manufacturing of vehicles
reduces with the
introduction of electric
vehicles, it is expected
that the need for core
ICE vehicle parts such as
engine, clutch, gears and
radiators would come
down
Source: 47 BEE - Technical study of Electric Vehicles and Charging Infrastructure (access here)
As shown in Figure 55, workers in auto-component industry having “extremely negative” to “negative”
impact from the transition will have maximum risk of job losses. It will be crucial that these workers get
proper training and skill development on newer automobile technologies to ensure job continuity.
2.2.2 Battery manufacturer
India has limited battery manufacturing capacity to cater to the EV market. Presently, most of the electric
vehicles sold in India uses imported batteries as the major players in EV battery manufacturing such as BYD,
Panasonic, CATL, CALB, LG Chem etc. have manufacturing facilities outside India. This also leads to higher
costs of batteries and consequential increase in EV prices in India. However, the Govt. of India has taken
several steps in building domestic battery manufacturing capability for the future. However, the scale and
outcomes of the same remains to be seen in the future.
2.2.3 Gaps and challenges
The localization of the supply chain, being promoted through the Phased Manufacturing Program (PMP), has
already surpassed its previous deadline of achieving the targets. Yet the extent of localization achieved is
very low. In September 2020, the Government has further pushed the effective date of indigenization of
xEV parts for PMP under FAME-II to April 2021.
Auto-component Impact Auto-component Impact
Electric MotorBrakelining
BatteriesHeadlights
InvertersLeaf springs
Wiring harnessesShock absorber
MicroprocessorsEngine parts
ControllersClutch
Steering systemsRadiators
SeatsGears
Extremely negativeNegativeModerate
Extremely positivePositive
Box 6: Exide Industries and Leclanché JV
Exide Industries and Leclanché, entered in an exclusive agreement in June 2018 to form a new joint venture (75:25)
to build lithium-ion batteries and energy storage solutions to power the growth of India’s electric vehicle market. The
plant is located in Gujarat and is expected to be operational in 2020.
“Nexcharge will focus on e-transport, on stationary energy storage systems and speciality storage markets. In e-
transport, the target segment is fleet vehicles including e-buses, e-wheelers and e-rickshaws.” - Nexcharge Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
40
Table 9 Localization timelines under PMP for key components
Category e-2W e-3W e-3W e-4W e-4W e-Bus
Item Description L1&L2 E-Rick/
E-Cart
L5 M1 N1 M2/M3
HVAC NA NA NA Oct 19 Oct 19 Apr 21
Electric compressor NA NA NA Apr 21 Apr 21 Apr 21
Power and control wiring Apr 19 Apr 19 Apr 19 Oct 19 Oct 19 Apr 21
MCB/ Circuit breaker Apr 19 Apr 19 Apr 19 Apr 21 Apr 21 Apr 21
AC Charging inlet Type-2 NA NA NA Apr 21 Apr 21 Apr 21
DC Charging inlet CCS2/CHAdeMO NA NA NA Apr 21 Apr 21 Apr 21
DC Charging inlet BEVC DC001 NA NA NA Apr 21 Apr 21 NA
Traction battery pack Jul 19 Jul 19 Jul 19 Jul 19 Jul 19 Apr 21
Wheel rim integrated with Hub motor Apr 21 Oct 19 Oct 19 Apr 21 Apr 21 Apr 21
DC-DC Converter Apr 21 Apr 21 Oct 19 Apr 21 Apr 21 Apr 21
Electronic throttle Apr 21 Apr 21 Apr 21 Apr 21 Apr 21 Apr 21
Vehicle control unit Apr 21 Oct 19 Apr 21 Apr 21 Apr 21 Apr 21
On-board charger Apr 21 Oct 19 Apr 21 Apr 21 Apr 21 Apr 21
Traction motor Apr 21 Apr 21 Apr 21 Apr 21 Apr 21 Apr 21
Traction motor controller/ inverter Apr 21 Apr 21 Apr 21 Apr 21 Apr 21 Apr 21
Instrument panel Apr 21 Apr 21 Apr 21 Apr 21 Apr 21 Apr 21
Lighting Apr 21 Apr 19 Apr 19 Apr 21 Apr 19 Apr 19
Body Panel Apr 21 Apr 19 Apr 19 Apr 21 Apr 19 Apr 19
Revised in September 2020
Source: 48 Phased Manufacturing Programme (PMP) for xEV parts for eligibility under FAME II scheme (DHI) ( access here)
As the domestic market is tuning to the transition, there has been limited capacity for production of localized
components for electric vehicle. At this stage, the industry needs assistance from the government in
realization of localization targets with support in implementation. A focused effort is essential for the
development of localized market for EV component manufacturing, but the existing industry traction should
also not be derailed in the quest for localization. This is a delicate challenge for the policy to address.
Further, there is need to support local manufacturers and workers in catching up with the electric vehicle
technology. This could be done by providing funds to the manufacturers and facilitating skill development
for the workers.
As per SIAM, support to local manufacturers to acquire and develop technology and collaborate globally with
technology suppliers is essential. A pool of funds may be considered for technology acquisition for multiple
manufacturers in India.
Nevertheless, steadily number of models achieving localisation requirement are increasing. Out of
approximately 50 plus electric two -wheeler models being produced in the country, only three L2
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
41
and fifteen L1 models met FAME II localisation requirements
30
till September 2020. However,
this figure has reached to four L2 and twenty -six L1 model by mid of December 2020
31
.
Localization of the supply chain is critical from the perspective of bridging the cost differential between EVs
and ICE vehicles. A well-established local supply chain can help reduce the cost of electric vehicles. However,
in absence of any EV adoption mandate, developing local supply chain for EV component seems difficult.
China, under its NEV Policy, mandated EV manufacturing and sale by way of NEV credit systems (case study
provided below) and invested heavily in creation of charging infrastructure. Visibility of upcoming demand
of EVs through adoption mandate has played an important role in development of local auto component
manufacturing for EVs in China.
However, supply chain localisation and availability of EV demand are not linearly correlated. The supply
chain localisation depends on three major aspects that should co-exist – conducive Government policies,
financial muscles of auto component man ufacture and access to raw material. While government policy
(PMP) provided the ample push for the local manufacturing and few auto -component manufactures have
enough access to capital for investment, India is lacking in availability of r aw material needed for
manufacturing of key EV component having high share in EV value chain.
Battery commands nearly 30 - 35% of the EV cost in the value chain. Therefore, Government is weighing
up plans to incentivize local battery manufacturing. NITI Aayog sought Cabinet approval in January 2020 to
provide subsidies to investors upon setting up of giga-scale battery manufacturing facilities for Li-Ion
batteries compatible to EVs in India. However, success of this program lies on the access of raw material
from the countries that have its major reserve (Figure 56). Strength of inter-government bilateral ties and
geopolitical situation would govern the India’s ambition to become a major hub for battery production.
Currently, Li-ion battery production facilities are largely concentrated in China, North America, Europe,
Japan, and South Korea.
Key EV components and their potential to achieve localisation by 2030 is shown below.
30
CNBC (access here)Very High
31
FAME – II dashboard (access here), accessed on 16
th
December 2020
Box 7: Case Study: China localization of EV component
In 2009, China adopted a New Energy Vehicle (NEV) plan to leapfrog existing automotive technologies. It has
launched pilot program in 10 cities to promote NEV. China adopted seven key tools as policy measures to promote
NEV – mandated government procuremen t (at least 30% of EV in total vehicle procurement), reduced taxes
(exemption from the standard consumption tax), direct subsidies to manufacturers, consumer subsidies, industrial
policy Made in China 2025, NEV credit target (NEV credit targets for two years: 10% of the conventional passenger
vehicle market in 2019 and 12% in 2020), Subsidies for development of charging infrastructure.
To boost local supply-chain of EV component key strategy adopted by China through above mentioned policy
measures are as follows:
• Creation of certainty in upcoming demand for EV through government procurement mandate and NE V
credit mechanism
• Invested in creation of charging infrastructure to strengthen EV ecosystem
• Enforced manufacturer to use local manufactured components (40% by 2020 and 70% by 2025). This
policy coupled with NEV credit mandate pushed manufacturer to build and develop ecosystem of local
suppliers of EV component.
• Actively done Lithium offtake deals with countries rich in lithium
• Increased production and mining of rare earth metals available in China
Further, abundant availability of raw material requires to manufacture EV auto components offered additional
inherent advantage to create local supply chain for EV components. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
42
Table 10 2030 localization potential of EV components
Component
(% cost contribution)
Current
localization
Localization
potential by 2030
Rationale
Battery Cell
(30-35%)
Very Low Low • Unavailability of core raw materials like
lithium
• Battery R&D is capital intensive
• Rapid evolving of battery technology
• Cost competitiveness of Chinese Li-ion
batteries
Chassis and Body
(10-15%)
High Very High • No requirement of special raw materials
or technology
• Manufacturing know-how already exist
locally
BMS and TMS
(10-12%)
Moderate Very High • Primarily require software
• India is known for development and
export of software
Motor
(10-12%)
Very Low Moderate • Unavailability of rare earth magnets
such as the Neodymium magnet
• China is the leading producer of rare
earth magnets accounting for over 90%
production and over 40% reserves.
Geopolitical risk involved in sourcing
raw material.
Power Electronics
(8-10%)
Very Low Very High • No major challenge exists except
requirement for capital for doing R&D
and setting-up of infrastructure
Others (HVAC, Control
units etc)
Moderate Very High • Indian manufacturers have experience
and know-how
• Already manufacturing such system,
minor adaptation is required for EVs
Source: 49 Analyst reports, Sector outlook reports, Deloitte analysis
To leverage India’s cost advantage and achieve the high levels of supply chain localization for EV
manufacturing in India, ecosystem stakeholders need to start with the following:
• Facilitate extensive support for Research, Development and Demonstration of technologies using
raw material abundantly available in India, to find alternatives and reduce dependence on scarce
natural resources required for EV manufacturing
• Commitment and investments in technology from incumbent OEMs and auto component companies
• Policymakers will have to strike a balance between promoting localization while making EVs
economical. Need to re-think on waiving unrealistic riders of localisation requirement for availing
subsidy, at least during demand creation phase.
• Invest in creating charging infrastructure, to build ecosystem for EVs. Prospects for future demand
in EVs would bolster investor sentiments, leading to development of local supply chain for EV
components. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
43
Figure 56 Global reserves for metal used in battery manufacturing
Source: 50 Deloitte analysis, USGS Mineral Commodity Summaries 2019
Summary of gaps in existing electric mobility market for OEMS is provided in Figure 57.
Figure 57 Summary of gaps in OEMs electric mobility market
EV charging landscape
Abundant availability of EV charging infrastructure is one of the major drivers for enabling higher adoption
of electric mobility. A robust and well developed EV charging infrastructure alleviates the charge anxiety of
users and increases offtake.
The refuelling (charging) of EV batteries can be done in two ways: first, by charging the batteries; second,
by replacing (swapping) the drained battery with the new one which is commonly known as Battery
Swapping. Australia, 5.11
Morocco and Western Sahara, 5
China, 0.32
Algeria, 0.22
Syria, 0.18
Argentina, 2
Australia, 2.7
Chile, 8
China, 1
Congo (Kinshasa), 3.4
Australia, 1.2
Indonesia, 2.1
Australia, 1.9
Brazil, 1.1
Russia, 0.8
Cuba, 0.6
South Africa, 2.3
Ukraine, concentrate, 1.4
Brazil, 1.1
Australia, 0.99
Gabon, 0.65
Australia, 5
Brazil, 3.2
Russia, 2.5
China, 2
Ukraine, 0.65
Ukraine, 0.9
India, 0.73
Canada, 0.72
Namibia, 0.17
Turkey, 0.17
Lithium
(MnMt. Tons)
Cobalt
(MnMt. Tons)
Nickel
(‘0 MnMt. Tons)
Manganese
(‘00 MnMt. Tons)
Iron
(‘0 MnMt. Tons)
Phosphate
(‘0 BnMt. Tons)
Graphite
(‘00 MnMt. Tons)
World battery
metal reserves
Australia has
maximum number
of metal reserves
available (total –6)
Brazil has sufficient
Nickel, Manganese
and Iron ore
reserves
Lack of R&D promotion
•R&D is required to be promoted to
ensure continues development in the
industry and less dependency on
imports
Lack of focus on skill
development on new
technologies
•With the transition towards EV, many
ICE auto ancillary workers are at the risk
of losing their jobs; there is need to
upskill, support (financially and
technically) them to ensure
employment
Lack of strictness in
implementation of localization
targets
•Early deadlines for localization for some
of the critical deadlines (e.g. battery,
motor) is has already passed without
complete localization Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
44
Figure 58 Refueling in electric mobility
2.3.1 EV charging infrastructure – market landscape
There are multiple services that are provided within the EV charging infrastructure value chain, an illustration
of the same is provided below:
Figure 59 Value chain of EV charging infrastructure
Source: 51 Deloitte analysis
The Ministry of Power has directed CEA to develop a database for public charging infrastructure, available in
India. However, as on date there exist no such database to have consolidated information of operating
charging infrastructure in India. CEA reported that there are more than 372 public charging sta tions in
Delhi
32
. As per charging infra dashboard developed by a research institution, total of 1827 charging stations
have been deployed across the country.
32
CEA - India EV Charger PCS Locations (access here)
Charging in electric mobility
Charging by EVSE operators Battery swapping
Smart grid
management
Software
Network management
software
Hardware
Charging
infrastructure
Charge point
manufacturer
Charge point
installer
Power generation (includes
renewables and decentralized
sources)
Power distribution
Supply electricity
charging points
Operation and
maintenance
Recycling
EV charging infrastructure value chain
Smart grid access
Smart charging
capability
Energy billing
management
Supply and deliveryHardware manufactureServices
Smart electricity generation,
transmission and distribution
Chargermanufacture, including
components, installation and
maintenance
Advanced customer management
solutions for commercialand
residential consumers
Enhanced customer
offering to differentiate
service
Software
Residential consumers
Commercialconsumers Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
45
Figure 60 Total EV charging stations in
India - 2020
Figure 61 Share of Charging point
operators
Figure 62 Charging stations awarded by
DHI under FAME – II Scheme
Source: 52 EV charging dashboard (acces here), DHI
EESL: Charging station aggregator, EESL, has been the leading charging point operator in the country. EESL
has installed about 92 public charging stations across India along with 308 AC and 180 DC captive chargers
33
.
Further, the company has won a tender for installing about 600 PCI under FAME –II scheme. Tendering
process for installing about 600 PCUI across 60+ cities in the country is underway. EESL intends to install
10,000 EV charging stations in India by FY22-23
34
. At present, EESL owns close to 20% of country’s total
charging stations. In July 2020, EESL has launched the first EV charging plaza
35
in the country.
REIL (Rajasthan Electronics and Instruments Limited): A public sector demand aggregator, REIL has
installed about 200 Stations in India. In a recent tender floated by DHI, REIL has been awarded with 1000
charging stations under the FAME –II scheme. Further, the company has already started tendering work to
install 270 PCI
36
Tata Power: Tata Power, an electric utility, has installed about 100 PCS across the country, including 42 in
Mumbai.
37
The company has signed MoUs for setting up commercial EV charging stations at HPCL, IOCL,
and IGL retail outlets. TATA Motors as also partnered with TATA Power to set up 300 fast-charging stations
across Mumbai, Pune, Delhi, Bangalore and Hyderabad.
Apart from above, there are multiple other charging infrastructure providers and EVSE operators that are
operating in the market. Some of the key players are listed below.
Figure 63 Charging infrastructure provider and EVSE operators in India
EV charging equipment
including AC EV charger,
DC quick charger, and
Site Management
AC and DC chargers of
varying configurations
and Installation
Manufacturing of Fast DC
chargers and installation.
Batteries and Bharat EV
chargers. High Voltage
all-in-one Harmony
chargers — GB/T
33
EESL - Electric vehicles & EV charging infrastructure (access here)
34
EESL EVSE (access here)
35
India’s first of its kind public EV Charging Plaza inaugurated by Union Power Minister (access here)
36
Rajasthan Electronics Seeks to Empanel Agencies for Setting Up EV Charging Stations (access here)
37
Tata Power to Set Up 500 EV Charging Stations in India by 2020 (access here)
1827
charging
stations
EESL,
19.40%
PlugNGo,
2.30%
Fortum,
5.30%
Mahindra,
2.90%
Ather,
1.20%
Chargezon
e, 3.80%
NDMC,
1.50%
Others,
63.60%
2636 charging
stations
planned
Box 8: India’s first of its kind public EV Charging Plaza inaugurated in New Delhi
India’s first EV (electric vehicle) charging plaza was inaugurated on 20
th
July 2020 at Chelmsford Club in New Delhi.
The plaza was setup by EESL (Energy Efficiency Services Ltd) in partnership with NDMC (New Delhi Municipal Council).
The plaza has the capability to charge 5 EVs of different specification simultaneously.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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Charging station solutions
for transport and fleet
3.3kW AC Charging
Station for offices,
commercial and
residential complexes.
AC Type 2 Charger and
charging management
software
'ChargeGrid' series (Lite,
Pro and Ultra) of EV
charging stations for
homes, apartments, PCS
and commercial spaces.
Charging stations
providing charging
services over Fortum's
Charge and Drive platform
Offer Charging Station
Solutions for home, cities
and highways including
CMS and end- user
mobile apps.
Note: List is not exhaustive
2.3.2 Procurement of EV charging infrastructure
In India, there are primarily two modes of procurement for EV charging infrastructure:
Figure 64 Procurement of EV charing infrastructure
In the public procurement process, government entities adopt competitive bidding to procure EV charg ers.
The procurement follows all the technical guidelines as laid out by concerned ministries and regulators. In
addition to it, it also complies with the General Financial Rules (GFR) and other prevailing public procurement
guidelines.
Under public procurement, Department of Heavy Industry invited Expression of Interest (EoI) from Indian
cities and states for submission of proposal for deployment of EV charging infrastructure within Cities. In
response to such proposals, DHI has sanctioned 2,636 Electric Vehicles (EVs) Charging Stations, amounting
to Rs 500 Crore (Approx.) in 62 cities across 24 States/UTs under FAME scheme phase II.
Procurement of EV charging
infrastructure
Public procurement Private procurement Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
47
Figure 65 Key aspects of EOI released by DHI under FAME II scheme
Source: 53 DHI, Deloitte analysis
State-wise details of sanctioned EV charging stations is provided in Figure 66:
Figure 66 State-wise break-up of charging stations sanctioned by DHI
Source: 54 DHI
In addition to the previously sanctioned 2,636 charging stations, in
September 2020, Ministry of Heavy Industries further sanctioned
241 charging stations in Madhya Pradesh, Tamil Nadu, Kerala,
Gujarat and Port Blair.
38
38
670 new electric buses and 241 charging stations sanctioned under FAME scheme (access here)
Extensive Demand for charging infrastructure in India
under FAME II
Promoting fast chargers
Fast
Charger
Slow
Charger
62 cities
1
3
2
1,633 charging stations
1,003 charging stations
DEMAND -Request through 106 proposal for 7,000EV charging
stations
SUPPLY-Sanctionedthe2,636EVchargingstations
19 Public entities
24 states
States are sensitive for setting charging infrastructure
Positive Outlook for EV charging industry
4
19 entities across different states expressed their interest in setting charging stations
~62%
~38%
The electric vehicle charging infrastructure market in
India is anticipated to grow at a CAGR of over 40%
during the forecast period 2019-2025.
GAP-Thedemandfor4364EVchargingstationsisnotmet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
48
The next section elaborates on the process of installing an EV charging infrastructure in India.
2.3.3 Setting up EV charging infrastructure in India
Government of India has de-licensed the setting-up of an electric charging station. Any individual or
organization is allowed to setup their own EV charging infrastructure as long as the charging station meets
the technical standards laid out by Ministry of Power. Such an individual / organization needs to follow a
standard process starting from preparation of business model to inspection and commercial operation. Figure
67 illustrates a five step process for commercial development of EV charging station.
Figure 67 Process of setting up an EV charging infrastructure
Source: 55 Deloitte analysis
2.3.3.1 Preparation of business model
Preparation of business model include selection of type of charging station, identification of the target
market, cost economics, pricing mechanism and ownership model.
2.3.3.1.1 Type of EV charging station
For any EVSE operator, it is crucial to decide on type of charging station requirement. Selection of a particular
type of charging station will depend upon various factors such as traffic density, expected utilization,
availability of power infrastructure, etc. Cost economics of a charging station is highly influenced by the
location and type of charging station selected.
Figure 68 Types of charging stations
Home Charging
Kiosk-side
charging
Commercial space charging Parking lot/ Group charging Public fast charging
Source: 56 Deloitte analysis
Preparation of business
model (target market,
pricing etc.)
Step
01
Location identification for
setting up charging
station
Step
02
Obtaining land for the
charging station
Step
03
Civil works and
equipment installation
Step
04
Power connectivity
Inspection and
clearance
Step
05
EV Charging Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
49
2.3.3.1.2 Identification of target market
Target market for EV charging station relates to the category of vehicle the charging stations intends to
cover. For instance, e-2w, e-3w be the possible target markets for slow charging stations. e-4W can be
charged in both slow / fast charging stations depending upon the location. Identification of target market
will help in ensuring highest possible utilization of the charging station and also helps in selection of the
charger type (AC / DC).
Potential vehicle
segment(s) for
EVSE operator to
be picked as
target market
2.3.3.1.3 Selection of EVSE charging
Once the charging station type and target market are identified, the next step is to select the suitable
charging type/level for the station. EV charging is categorized into three categories: Level 1 charging, Level
2 charging, and Level 3 charging.
Figure 69 Levels of EV charging
Source: 57 Vehicle Charging – US Energy (access here), EVSE – Types of charging (access here), Understanding the Different EV Charging Levels
(access here), Levels of Charging (access here), EV Charging Station Installation Guidebook (access here)
2.3.3.1.4 Determining cost economics
The cost economics of the charging station will include three components: capital expenditure, operational
expenditure and the cost of power.
Capital expenditure Operational expenditure Cost of power
This will include cost of land, supply
and erection of EVSE, CMS, meter,
LED screens, CCTV camera etc.
This will include maintenance cost,
and services cost such as payment
gateway charges, parking charges,
insurance premium etc.
This includes cost of power and
other additional surcharges. Breakup
includes:
i. Demand charge; ▪120 V AC outlet
▪Typical duration of charge event:
6-10 hours
▪5 miles per hour charging
▪Best for hybrid EVs, home/
workplace charging
▪>200 V AC outlet
▪Typical duration of charge
event: 1-3 hours
▪10-20 miles per hour charging
▪Best for commercialcharging
▪DC fast charger
▪Typical duration of charge
event: 30 mins
▪>75 miles per hour charging
▪Best for high traffic areas,
highways
Level 1 Charging
Level 2 Charging
Level 3 Charging
2W 3W 4W E-buses Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Capital expenditure Operational expenditure Cost of power
ii. Energy charge;
iii. Surcharges;
iv. Electricity duty
Details about the capital expenditure, operational expenditure and cost of power (demand charge) can be
estimated from the selected charging station type and charging methodology (levels).
2.3.3.1.5 Pricing mechanism
A suitable pricing mechanism allows the operator to recover its investment and also ensures realization of
targeted IRR. The international experience suggests four key pricing mechanism that the EVSE operator can
adopt.
Figure 70 Pricing mechanism options for EV charging
Source: 58 Deloitte analysis
In time based fees, EV owners are charged for the total time their vehicle is connected to the charge unit.
Total energy consumed is not taken into consideration in time-based fees.
In the energy-based fees, EV owners are charged based on the total energy consumed during charging.
This does not take time for charge into account.
In Fixed fees, EV owner is charged at a flat fee, irrespective of the time or energy consumed in charging.
In Membership/ subscription fees , EV owner is usually charged on monthly / annual basis and in return
the EV owners can charge their vehicle at any of the operator’s charging station.
Other than earning revenue from the charging service, the EVSE operators can earn non-energy revenue
through advertisements as well.
2.3.3.1.6 Partnership model
Globally, there have been multiple established partnership based business models for public charging
infrastructure. Some of these models are provided in the below figure:
Figure 71 EV charging station business models
Source: 59 Deloitte analysis
Details about EV charging business model is provided in Section 4.2.2.1.
2.3.3.2 Location identification
Once all other information related to business model is determined, identification of location within the city
is the next step for the EVSE operator.
Time-based
fees
Energy-
based fees
Fixed fees
Membership/
Subscription
fees
Independent model
Utility Installations -
Own & through PPP
Integrated Model
Charging infrastructure
to increase revenue in
existing business
1234 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
51
Ministry of Power , in its technical
guidelines, has stated the requirement of
at least one charging station in a grid of 3
Km x 3 Km along with one charging station
at every 25 Km on both sides of highways
and roads.
To identify the optimal siting, EVSE
operator can evaluate several key locations
such as city highways and other points of
interest within the city (hospitals, malls,
commercial complexes, offices, fuel
stations, etc.). Further the operator can
install its charging stations in such a way
that it covers maximum points of interest.
Figure 72 illustrates a 3km x 3km grid for a city. Each grid as highlighted is expected to have at-least one
charging station. However, the optimal location within each grid needs to be evaluated through a multi-
criteria decision matrix. The EVSE operator may refer below criteria for selecting location for charging
infrastructure:
Network interface Urban interface Power interface
Whether the location witnesses
adequate traffic and ensures
convenience of charging
Whether the location has adequate
demand and infrastructure enablers
Whether the location can sustain the
EV load
To assess the criteria mentioned above, following factors can be considered to have data driven assessment
of locations.
Table 11 Key factors to consider in multi-criteria decision making for selection of location for EV charging infrastructure
Parameters Factors to consider
Location profile Location, Topography, Demography, etc.
Type of transportation
prevalent
Roadways, railways, airways etc.
Key statistics Type of transport: 2 wheelers, 3 wheelers, 4 wheelers, Buses, Commercial vehicles,
Personal vehicles
Key attributes viz.
• Spatial distribution of registered motor vehicles
• Share of Different Modes of Transport in overall transportation sector (LCV,
MCV etc.)
• Average annual growth by category
Key areas Ring roads, Commercial and industrial hubs, Expressways, Highways, Intra-city
roads, Bus terminals
Forecasts for
transportation sector
• Forecast for private and commercial vehicles
• Forecast for freight transportation
• Expected penetration of conventional vehicles and Electric vehicles in the
future
Power infrastructure
• High level network overview with load growth forecasts
• Overloaded / under-loaded areas
• Optimal locations for solar power
Source: 60 Deloitte analysis
Figure 72 3x3 Km grid for EV charging station (illustrative)
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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For selection of location, below is the shortlisting criteria for a detailed optimal location analysis for charging
station within a specified grid in a city:
Figure 73 Shortlisting criteria for selection of location for EV charging station
Source: 61 Deloitte analysis
Locational enablers Network enablers Traffic enablers
▪ High demand and population
▪ Presence of C&I industry
▪ Availability of solar power
▪ Ease of monitoring of EVSE
▪ Robust network connectivity
▪ Spare capacity in DTs and
feeders
▪ Optimal bus voltage
▪ Proximity to service transformers
▪ Space for electricity/ civil works
▪ Adequate flow of vehicles
▪ High daily run
▪ Adequate parking space
▪ Ease of access to EV users
Siting of EVSE should be such that the facility attracts enough traffic to be optimally utilized. Therefore, a
site near office complexes, business hubs, commercial establishments, residential flats, etc. would make
better business proposition.
i. Adequate parking and lanes: EVSE locations should have adequate parking space as well as entry
/ exit lanes for the vehicles and as such it becomes important to assess areas with similar provisions.
Areas with huge traffic density would have lesser provision for the same but the charging demand
at such locations would be high.
ii. Traffic flow: The number of electric vehicles now and in the future will be great where the traffic
flow is large, so the same as charging demand and the benefit of EVCSs.
iii. Distance from city centre: While rental fees would be lesser in the city outskirts than the interiors,
those are not suitable locations for ensuring maximum utilization of EVSE. User charges will be
guided by rental and level of utilization of charging stations.
Choice for appropriate siting of an EV charging station is also dependent on whether the location has
sufficient electrical grid capacity to absorb the EV load growth at present and in future. To ascertain the
same, a detailed framework is adopted by the developer for distribution network load flow analysis. The aim
of the network assessment is to determine:-
Final set of
location
Location
assessment
Power
network
assessment
Traffic
assessment
Available
potential
location
Level 1 criteria:
✓Population
✓Total demand
✓Proximity to traffic
✓Cellular network
✓EVSE to utility/ grid
connectivity
Level 2 criteria:
✓Spare capacity in
network
✓Congestion
✓Health of Dist.
Network
✓Proximity to power
source
✓Construction cost
Level 3 criteria:
✓Traffic flow
✓Vehicular congestion
✓Parking space
✓Accessibility
✓Visibility Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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53
i. Location and spare capacities in distribution network
ii. EV penetration manageable in existing network
iii. Appropriate mix of slow and fast chargers
iv. Time of the day where EV charging can be curtailed/ throttled
2.3.3.2.1 Obtaining land for installation of charging infrastructure
Upon identification of suitable location for installation of charging infrastructure, the land is acquired or
leased depending upon the respective state guidelines. Typical process for acquisition of land and the degree
of difficulty in seeking administrative approval is provided in Table 12.
Table 12 Typical process for acquisition of land
Case Type of land Typical process Degree of difficulty in
securing Administrative
approval
Private
developer
creating
Charging
infrastructure
for Government
bodies
Government
1. Government Body makes request to District
Collector (DC) for transfer of land
2. If the land is not earmarked for any future
development under the town and country
planning Act, the DC initiate the process of
transfer/lease of land with approval of State
Government
Difficult
Private
1. Government Body make s request to District
Collector (DC) for acquisition of land
2. DC initiate the process as per the State Land
Acquisition Act.
3. DC determines the compensation to be paid
to the owner of such land
Very Difficult
Private
developer
creating
Charging
infrastructure
for entity other
than
government
body
Government
1. Developer makes request to District Collector
(DC) for transfer/lease of land
2. If the land is not earmarked for any future
development under the town and country
planning act, the DC determines the fair
value of land
3. Initiates the process of transfer/lease of land
with approval of State Government
4. Developer needs to apply for changes in
Land record in the office of Land and
Revenue
Very Difficult
Private
1. Developer and the owner of land either carry
out a sale or lease transaction
Easy
Source: 62 Deloitte analysis
In addition, there are additional administrative approvals required, if the identified land is an “Agricultural
Land”. In such situation, approval for change of land use needs to be taken before using such land for
purpose other than agriculture.
2.3.3.3 Civil works and equipment selection
Selection of equipment is critical in setting-up of EV charging station. Figure provided below depicts the
typical hardware infrastructure required to setup an EV charging station. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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Figure 74 Hardware required to setup EV charging infrastructure
Source: 63 Siemens - Electric vehicles (EV) charging (access here), EVConnect - EV Charging 101 (access here), Deloitte analysis
Requirements for selection of right equipment has been detailed in sections below.
2.3.3.3.1 Government mandate
Equipment selection for the charging station must be in line with the government guidelines. For public EV
charging stations, Ministry of Power (MoP) notified its guidelines on October 2019. Key requirements
mentioned therein are summarized below:
• The charging station should have an exclusive transformer with all related substation equipment
including safety appliance
• The charging station should include 33/11 kV lines/cables and associated equipment including
line termination etc.
• The charging station must have appropriate cabling and electrical work ensuring safety
• The charging station must have adequate space for charging and entry/ exit of vehicles
• The charging station should have any of the chargers shown below:
Figure 75 Approved EV chargers for public charging in India
Bharat AC 001 Bharat DC 001 Type-2 charger CHAdeMo charger CCS charger
Power output: 10 kW
Rated voltage: 230 V
Power output: 15 kW
Rated voltage: >48 V
Power output: >22 kW
Rated voltage: 380-415 V
Power output: >50 kW
Rated voltage: 200-500 V
Power output: >50 kW
Rated voltage: 200-750 V
Source: 64 MoP Charging Infrastructure for Electric Vehicles Revised Guidelines Standards (access here)
Note: 2W and 2W charging stations are free to use any charger other than those provided above. However, they must be in line with CEA’s
technical and safety standard
• The charging station must tie up with at least one online Network Service Provider (NS P) to
enable advance remote/ online booking of charging slots.
Transformer Safety switch Lighting
panel
EVSE
Rectifier module (In case of DC charger)
Switch gears
Cabinet
Visual Indicators/HMI etc.
Auxiliary Supply Equipment
Electricity
meter
Chord
Connector
Other EVSE
Components
Charge controller
EVSE can be free-standing or mounted to a wall or ceiling.
In case of "Smart" charging, stations include communications hardware for
use with software applications.
AC Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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• EVSE shall be type tested by a third party lab accredited by National Accreditation Board for Testing
and Calibration Laboratories (NABL)
For long range EV charging station, at least
two chargers of minimum 100 kW power
output of different specification
(CCS/CHAdeMo etc.) with single connector
gun each should be installed
2.3.3.3.2 Other selection requirements
Beyond the government mandates, there are several other factors that influence selection of an EVSE. There
are multiple requirements that are required to be fulfilled by the EVSE operator while selecting the
equipment. Some of the key such requirements are provided in the below figure.
Figure 76 Key requirements for selection of equipment
1 Environmental requirement 2 Mechanical requirement 3 Protection requirement
4 Specific requirement 5 Functional requirement 6 Communication requirement
7
Billing and payment
requirement
8 Performance requirements 9
Marking and painting
requirements
10 Cable requirement
Environmental requirement
This includes the operational range of the EVSE in environmental conditions such as temperature, humidity,
pressure, storage temperature etc.
Below are the environmental requirements stated in per AIS 138 Part I:
▪ Ambient Temperature Range: 0°C to 55°C (section 11.11.1.2)
▪ Ambient Humidity: 5% to 95% (Section 11.2)
▪ Ambient Pressure: 86kpa to 106kpa (Section 11.11.2.4)
▪ Storage Temperature: 0°C to 60°C
Mechanical requireme nt
The mechanical requirement of an EVSE tests the system for me chanical impact, ingress protection,
mechanical stability and cooling function.
Below are some of the standards/ values accepted while procurement of a DC 001 charger:
• Ingress Protection: The minimum IP degrees for ingress of objects is IP 54
• Mechanical Impact: As per IEC 61851 -1 Section 11 .11 .2
• Mechanical Stability: As per section 11 .11 .2.2. of AIS 138 Part Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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• Cooling: Air cooled or forced cool for protection and safety of equipment from any fire hazards
Protection requirement
The protection requirement ensures the EVSE is equipped to sustain an electric shock, and provide Protection
for Over current, under voltage, over voltage, Residual current, Surge protection, Short circuit, Earth fault
at input and output, Input phase reversal, Over temperature and Emergency shut-down with alarm.
AIS 138 Part I specifies the standard for protection against electric shock and earthing:
• Protection against electric shock – Section 7.0
• Effective earth continuity between the enclosure and the external protective circuit - Section 6.4.1.2
Cable – As per AIS 138 Part ½; length of cord will be 5 meter; cord extension as per Section 6.3.1 of AIS
138 Part 1
Specific requirements
Specific requirement related to EVSE includes output power, charging current, load dump etc. These
requirements are in accordance with IEC 61851 standard:
• Rated outputs and maximum output power: IEC 61851 - 23 (Section 101.2.1.1)
• Descending rate of charging current: IEC 61851-23 (Section 1 01.2.1.4)
• Load dump: IEC61851-23 (Annex BB 3.8.3)
Functional requirements
The function requirement of EVSE equipment deals with its current and voltage level. The guidance for the
same is provided in AIS 138-2 standard.
• Measuring current and voltage: AIS 138-2 (Annexure C3.1)
o Voltage measurement: ± 0,5%
o Current measurement: ±1 A if the actual current is less than or equal to (~) 50 A
Communication requirements
Appropriate communication system in an EVSE system is highly essential. The EVSE should have feature to
remotely connect with a Central Management System (CMS) which will have the authorization to approve
or modify any activity in the EVSE.
• Communication between EV and EV charging station should be through a physical layer of CAN
(Controller Area Network) bus. CAN bus should comply with the requirement of ISO 11898 -2:2003
AIS 138-2 provides details about the system definition for communication between DC EV charging
station and electric vehicle
• For EVSE to Central Management System (CMS) communication, the general requirement is through
Ethernet/Wi-Fi/2G/3G/4G technologies. Also, the CMS system must use Open Charge Point Protocol
(OCPP).
CMS must have the authorization for allowing/ disallowing charging of an electric vehicle through.
• Reliable Internet connectivity is another requirement of the EVSE system
• Metering is another requirement of EVSE. A grid responsive metering as per units consumption of
the vehicle must be in place with the EVSE. The central system should be able to access the metering
information from any remote location.
Billing and payment requirement
For billing and payments in the charging station: Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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• Billing should be done through a grid responsive meter which is in line with Indian metering standard,
and
• Payments should be compliant with authorized mobile payment platforms (BHIM, Bharat QR, UPI
etc.)
User interface and display requirements
The user interface and display of an EVSE system should have:
• ON/OFF (Start-Stop) Switches
• Emergency stop switch
• Visual Indicators
• Display
• Support language
• Display Messages
• User Authentication
• End of Charging
Performance requirements
The performance requirement of EVSE can assessed on the basis of output voltage and current. The
approved value of the performance parameters is defined in AIS 138 standards . Below are some of such
requirements:
DC output and current tolerance requirement :
• DC Output current regulation in Constant Current Charging (CCC): ± 2.5 A for the requirement
below 50 A, and ± 5 % of the required value for 50A or more
• DC Output voltage regulation in Constant Voltage Charging (CVC): Max. 2 % for the max rated
voltage of the EVSE
Control delay of charging current in CCC requirement:
• DC output current Demand Response Time: <1 s Ramp up rate: 20 A/s or more
• Ramp Down rate: 100 A/s or more
DC output current ripple limit of EVSE
• 1 .5 A below 10 Hz,
• 6 A below 5 kHz,
• 9A below 150 kHz
Periodic and random deviation (Voltage ripple)
• Max. Ripple voltage: ±5 V.
• Max slew rate: ±20 V/ms
Marking and painting requirements
Guidelines for markings on the EVSE is provided in AIS 138 standard. Some of the mandated markings given
in AIS 138 standard are:
• Name or initials of manufacturer
• Equipment reference
• Serial number
• Date of manufacture; rated voltage in V; rated frequency in Hz; rated
• Current in A; number of phases;
• IP degrees
2.3.3.3.3 IT infrastructure for EV charging station
Suitable backend IT infrastructure is highly crucial for seamless operation of EV charging station. A Network
Service Provider (NSP) is the responsible entity for managing and operating network related services for Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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charging stations. Such an entity enables cloud based access of information regarding EV charging, location
of charger, types and numbers of chargers and other details.
Overview of services provided by NSP is given below:
Figure 77 Services offered by NSPs and key players
Source: 65 EVConnect - EV Charging 101 (access here), Deloitte analysis
Govt. of India has mandated Charging station operators to tie up
with at least one online Network Service Provider (NSP).
Other than EV and EVSE, there are two other vital components that remotely access the information at
charging station viz. CMS (Central Management System) and mobile apps. CMS is a cloud based backend
system managed by the EVSE operator. It communicates with EVSE to manage user authorization, billing
and rate of charging. The CMS also enables end-users to find nearest charging stations, reserves a charging
slot and pay. Mobile applications are utilized for remotely accessing information about nearest charging
station, its availability, operating status, etc.
Figure 78 illustrates the communication infrastructure in a typical EV charging process.
Figure 78 EV charging communication infrastructure
Source: 66 DHI - Committee Report on Standardization of Public EV Chargers
There is a need for communication between the vehicle, EVSE, CMS and user mobile app in order to efficiently
operate the charging process. The EVSE communicate s with the Battery Management System (BMS) of
Interfaces Network services Other
✓Driver interface
✓Operator
interface
✓Admin interface
✓Charging station
management
✓Driver
management
✓Customer
location
✓Pricing & access
control
✓Notification
✓Reporting
✓Network
database
✓Charging station
interface
adapters
✓Charge station
operational
software
Network Service Provider (NSP) services
EV Charging NSPs
EV-EVSE
Communication
EVSE-CMS
Communication
CMS-Mobile app
Communication
Ensuring safe and secure
supply of energy for EV
charging
To manage grid associated
parameters, user
authorization, billing and
other information related to
charging
Locating nearest charging
station, reservations, billing
details etc.
EV EVSE CMS Mobile app
SAE J1772
protocol
OCPP
protocol
OCPP
protocol Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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battery packs in EV, to enable it to charge at right rate, for maintaining State-of-Charge (SOC) of batteries.
EVSE and Central Management System (CMS) communicates in order to enable maximum charging rate to
be controlled depending upon the grid parameters.
EV public charging uses OCPP protocol remotely to communica te the
EVSE status with the mobile app user
In case of managed charging, the utility has remote access to connect/disconnect EV or alter the charging
speed based on network parameters and conditions. International experience suggest that there are multiple
protocols that could be followed during managed charging.
Figure 79 Communication protocol for managed charging (Illustrative)
As shown in Figure 79, there are multiple messaging protocols layered between the EV, the EVSE, NSP and
the utility, which can be leveraged for different purposes. Presently, there are no industry-wide standards
for the entire “ecosystem” for information exchange and communication . Many industry stakeholders are
advocating for open, non-proprietary communications messaging protocols to reduce the cost of managed-
charging implementation.
Details about the standards presently used for communication is provided in Table 13:
Table 13 International communication standards and their description
Standard Description
OSCP 1.0
OCPP 1.5
OCPP 1.6
OCPP 2.0
The Open Smart Charging Protocol (OSCP)and the Open Charge Point Protocol (OCPP) were
developed by the members of the Open Charge Alliance (OCA). These are open protocols for
communication between charging points and the EV charging network administrator. These
protocols provide charging station owner an option of changing EV charging network
administrator without stranding equipment assets. The OSCP acts between the charging
station and the energy management system, can provide 24 -hour prediction for local available
capacity, and fits charging profiles to grid capacity. OCPP 1.6 includes smart charging support
for load balancing. The most recent version, OCPP 2.0, includes support for ISO/IEC 15118
(among other things). Although not yet formalized as a standard and managed by a
OPENADR AND OCPI
SMART
PHONE
WI-FI
EVSE EVEVSE EV
SMART
METER
UTILITY DATA CENTERNSP DATA CENTER
SMART METER
COMMUNICATIONS
NETWORK
BROADBAND CELLULAR
123
4
2 2 2
2
4
4
4
2
2
2 4
2
1
OCPP AND OPENADR
SAE J1772(PLUG), ISO/IEC 15118
(EV TO EVSE)
INTERNET PROTOCOL
SMART
METER
33 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Standard Description
recognized Standards Developing Organization (SDO), there is significant adoption of the
OCPP protocol and efforts are underway to develop it into a full standard within the IEC.
OpenADR 2.0 The Open Automated Demand Response (OpenADR 2.0b is the most updated version)
standard is currently managed by the OpenADR Alliance. It provides an open and standardized
way for Virtual Top Nodes (e.g., electricity providers and system operators) to communicate
with various Virtual End Nodes (e.g., aggregators, EV charging network operators, etc.) using
a common language over any existing IP-based communications network. Originally developed
as a peak load management tool, it has since expanded to include other DERs. Messaging
protocols such as OpenADR can also be used in combination with other protocols, such as
those used to communicate between a charging station and a network operator (e.g., OCPP76,
IEEE 2030.5, etc.).
ISO/IEC 15118 ISO/IEC 15118 (also referred to as “OpenV2G”), enables the managed charging functionality
in an EV, such as optimized load management. More specifically, it specifies the
communication between the EV and the EVSE and supports , EV authentication and
authorization (also known as “Plug and Charge”), and metering and pricing messages. Version
2 that will include V2G is currently under review, anticipated to come by end of 2020.
IEEE 2030.5/
SEP2.0
IEEE 2030.5 (formerly Smart Energy Profile 2.0 or SEP2.0), is an application layer protocol
that defines messages between any client/server. Pricing, demand response, and energy use
are among the types of information that can be exchanged using the protocol and can
integrate a wide variety of DER devices, including EVs and EVSE.
IEC 63110 IEC 63110 is an international standard defining a protocol for the management of EV charging
and discharging infrastructures. It is part of an IEC group of standards for electric road
vehicles and electric industrial trucks and is assigned to the Joint Working Group 11 of the IEC
Technical Committee 69. At the date of publication it was still under development
Other than protocols mentioned above, t here are several proprietary protocols that can be used in
communications. These protocols are:
• GPS tagging: Vehicles can be managed through an on-board diagnostic interface (OBD2) which has
built-in capabilities, like GPS location software, which can be managed according to the local grid
circuit.
• Programming capabilities: EVs can also have the ability to program their charging window that
would enable the user to align charging with TOU or other EV rates. In addition to this, such vehicles
also have the capabilities to receive price, emissions, or grid stress signals from utility or aggregator
directly, so that the EV’s charging program could intelligently align its charging schedule optimally.
A case study on offerings provided by Network service Provider highlighting the range of solutions provided
is presented below in Box – 9. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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2.3.3.4 Obtaining power connectivity and inspection
Process for obtaining electricity connection for charging station can vary as per state. However, an indicative
process for obtaining connectivity is illustrated below:
Box 9: EV Connect – Overview of offering provided by NSP in New York
Background: EV Connect, a leading provider of EV charging solutions, was awarded a $4 million contract from the
New York Power Authority (NYPA) to install and manage approximately 300 additional Level 2 EV charging s tations
throughout New York State. EV Connect provided management of the charging ecosystem, which includes the
charging stations, host locations, electric utility interaction and the driver experience.
For the program, EV Connect partnered with GE and EV Box to provide the charging stations, and local contractors
for installation work. EV Connect was also entrusted with activities such as initial site assessment, to recommending
the right charging stations to fit the need, installation, on-boarding/training utility administrators and configuring
admin portal with utility preferences. EV connect also provides on-going care and management 24/7.
Overview of the EV cloud platform : The EV Connect management system is consisted of a cloud -based network
that communicates with the charging station, driver mobile app, site host portal, and utility. Communication from the
EV Cloud to the stations is either via OCPP or a cloud-to-cloud integration. The platform can manage an unlimited
number of geographically dispersed charging stations and provides the following features:
a) Charge point management and operation: The platform can manage chargers and sessions remotely, letting
the user to monitor and adapt charging sessions based on up-to-date analytics. Chargers can be connected via
an M2M connection to the Microsoft Azure cloud-based platform, which supports open protocols such as OCPP,
OCPI and OSCP. Utility can also input remote commands including start/stop charging, unplug connector, remote
firmware updates or change charger configuration and access a live KPI dashboard.
b) Smart charging: Smart Charging through the EV cloud uses algorithms to manage EV charging sessions. Thus
the utility can smartly balance between the supply of power and available grid capacity and the demand for
energy for charging the cars.
c) Price control: Set pricing policies unique to different stations, station groups, locations, and drivers. Some of
the pricing policies include: charging per kWh, per connected time, per charging time, etc.
d) EV-driver app and interactive map: The EV connect can helps drivers find and monitor the perfect charge
point; charge and pay with your app; see exactly how fast, how much and at which rate the car is charging etc.
The platform also provides users information of health of charging stations, geographical locations and real-time
availability
e) Insights and Reporting: The dashboard gives detailed insights on historical charging station data analytics,
session data, energy usage, utilization by station or driver, and more. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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Figure 80 Process for obtaining electricity connection for EV charging station
Source: 67 Deloitte analysis
As per inputs received from industry, average duration for receiving
connectivity for charging station varies from 30 to 45 days that may
further be extended in case network upgrade is required
As per policy mandates, before the commercial operation, the charging station will undergo an inspection
by the appropriate authority. The authority evaluates the charging station on various parameters as per
concerned guidelines laid down by CEA or as per International Standards. Some of these parameters are
mentioned below:
Protection Harmonic Current DC Injection
Voltage Sag,
Voltage Swell,
Flicker, Disruptions,
etc.
Overload
Lightning Protection Protective device
Disconnection of EV
from the supply
Locking of the
coupler
Protection against
overvoltage at the
battery
Note: Checklist for complete inspection of EV charging station is provided in Annexure 6.2
Once the inspection by the Discom official / Electrical Inspector is done, the charging station is made
available for commercial use.
Submission of
document for getting
Electricity Connection
Technical sanctioning of load
–Discom checks for network
upgradation requirement
Upgrade network, if
required
Discom informs Electrical
Inspectorate Department to provide
approval for energization
Electrical Inspectorate Department visit the site and
carry inspection as per CEA (Measure relating to
Safety and Electric Supply) Regulation, 2010
Electrical Inspectorate Department
provides its approval to Discom for
Energization of charging unit
Discom release the
connection with appropriate
metering infrastructure
1234
567 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Source: 68 Recommended Electric Vehicle Charging Infrastructure Deployment Guidelines for the Greater Houston Area (access here)
Box 10: International experience on process of installation of public charging station
The City of Houston laid down guidelines for setting up of EV charging infrastructure in the Great Huston Area. The
guidelines were laid for all type of charging viz. home charging, outdoor charging, and public charging. Process flow
chart of installing a public charging is provided below:
Figure 81 Process flow chart of installation of a public charging station in Greater Houston Area
Consultation with
utility
Consultation with
governing authority
Utility consideration:
•EV rate structure
•Availability of power
•Metering
•Total load
management
•Smart grid
•Level 2/ Level 3
charging
Governing authority
considerations:
•Public planning
•Funding/ grant
requirement
•Public siting locations
•Traffic patterns
•Public street signage
Consultation with EV
& EVSE suppliers
Consultation with
local business owners
Consultation with
electrical contractor
EV/ PHEV/
Promoter/
Property
owner
Site plan developed
Obtain permits
Conduct installation
Installation
completed final
inspection and
approval
OEM considerations:
•Level 2/ Level 3 charging
•Current and future EV
needs
•Determination of number
of chargers required
•Determination of location
of parking areas
•Determination of electrical
loads
•User payment options
Business owner
considerations:
•Quality of EVSE
•Location of EVSE
station
•Ownership concerns
•Cost sharing
•Maintenance
responsibilities
•User payment for
service
•Vandalism
•Lighting/ shelter
•Advertisement
•Smart grid/ load
sharing
Contractor considerations:
•Proximity to utility service
panel
•Standing water/ flood
issue
•Safety and accessibility
considerations
•Avoidance of tripping
hazard
•Installation meets building
code requirement
•Additional lighting
requirement
•Load sharing options
Contractor considerations:
•Drawing of EVSE
location
•Electrical plan including
new circuit
•Additional meter
requirements
•Concrete cutting,
trenching, landscape
considerations
•Contractor estimate
Approving authority
considerations:
•All building codes
satisfied
•Qualified and certified
contractor
Utility service upgrade
completed Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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Source: 69 Practitioner’s Guide for Deployment of Public Charging Stations for Electric Vehicles- Learnings from first large-scale roll-out of
public charging stations by EESL
2.3.3.4.1 Challenges
The key challenges in development of EV charging infrastructure are provided in Figure 82. For details,
please refer information provided in the Annexure 6.2.
Box 11: India’s experience on setting up of a public EV charging infrastructure
Background: The United States Agency for International Development (USAID), under its bilateral program with the
Ministry of Power (MOP), was assisting EESL to develop and implement a scalable business model for deployment of
Public Charging Station (PCS). EESL, in partnership with the USAID's Program, designed and implemented a first-of-
its-kind large-scale roll-out of PCS project.
To setup the large scale PCS project, EESL identified activities under four phases:
Location for the setup of large scale EV charging infra, EESL signed MoU with NDMC in January 2019 to install up to
100 PCS in their region. NDMC was the land owner as well as the power supplier.
The PCS was operational from May 2019, and its average monthly utilization till December 2019 was 6.2%
Business model designing
Location assessment
and installation
EV analytics
Scaling up & EV
ecosystem development
•Selection of region and type of
chargers
•Business model design
•Cost economics of PCS
•Pricing mechanism
•Location assessment
•Field visit
•Site prioritization
•Installation of PCS
•User mobile interface
•Reporting and analytics
•Tools for scale up
•Capacity building
•Partnerships
•Asset monetization
P H A S E 1P H A S E 2P H A S E 3P H A S E 4
T A S K S
U N D E R T A K E N MoU, revenue model and utilization
MoU between EESL and NDMC was signed in January 2019
Land owner: NDMCCharging station operator: EESLPower supplier: NDMC
Energy-based pricing mechanism was adopted by EESL for the PCS (EV
owner will be charged based on the total electricity consumed)
6.2% utilization per month (May –December 2019)
✓Adequate land for PCS
✓Approvals and permission
for installation of PCS
✓Support in power sanction
✓Location assessment
✓Demand aggregation
✓Bulk power procurement
✓Install and operate PCS
✓Ensuring connectivity to
the PCS
R O L E S
MoU Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Figure 82 Gaps in existing EV charging infrastructure
2.3.4 Battery swapping – market landscape
Battery constitutes approximately 40% of the upfront cost of an EV. The high upfront cost of EV is a key
barrier to its widespread adoption. Removing the battery from the vehicle and providing the same through
a service can lower the cost of an EV and offer a better value proposition to users. Such a model can ensure
that upfront prices of EVs are at par or even lower than the ICE vehicles. Battery swapping provides such a
method of decoupling of batteries from EVs and reducing their upfront costs. It also ensures reduced waiting
/ charging time for vehicles and offers a promising alternative to increase the adoption of EVs in commercial
segment.
Figure 83 Value promosition for battery swapping
In battery swapping, a third party takes the ownership of the battery and is liable for replacing the drained
batteries with fresh / charged batteries. The third party also needs to ensure standardization in batteries.
Battery Swapping Stations act as a battery aggregator and charge batteries by availing electricity connection
from either power distribution companies or through open access.
Value proposition for
battery swapping
Reduced EV cost (Battery
ownership with third party)
Lower vehicle dowtime
(especially for commercial
segment)
Lack of policy support for
workplace charging
•As per SIAM, Research has shown that
people are 20 times as likely to buy an
electric vehicle if there is access to
charging at their workplace
Lack of focus on developing
private charging infrastructure
•International experience suggest that
more focus need to be given at
development of private charging
infrastructure. Except Delhi no other
state provide subsidy in development
of private charger infrastructure.
Delay in installation of charging
infrastructure
•Supply where distribution mains
require extension: up to 45 days
•Supply where augmentation of
transformer sub-station capacity is
required: up to 6 months
Additionalcharge is borne by
applicant in seeking electricity
connection
•As per the existing Supply Code of
many State, the cost of upgradation of
electricity network is required to be
borne by the applicant. The network
upgradation cost includes cost of
33/11 kV lines, Substation bay,
transformer cost etc. that increases the
cost economics of development of
Charging Station significantly. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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Figure 84 Typical arrangement at Battery swapping station (BSS)
Battery swapping provides multiple advantages to all stakeholders in the value chain:
Table 14 Advantages of battery swapping stations to the stakeholders
EV Owner BSS operator Discoms
• Reduced cost of ownership
• Fast refuelling – reduced
downtime/ charge time
• Reduced range anxiety (in
presence of wide network of
BSS)
• Relieving the concern of
battery lifetime
• Reduced cost of real estate
(no need for large parking
space)
• Can minimize electricity cost
(in ToU scenario)
• Can have other revenue
stream by participating in
electricity market
• Planned development of
infrastructure
• BSS can be treated as flexible
load
• Increased predictability of
load, which otherwise would
be difficult to have in high EV
penetration scenario
3W (predominantly e-rickshaw and some share of e-auto) is by far the largest adopter of EVs in India at the
moment. In a typical charging cycle these commercial vehicle faces downtime of 3 -4 hours that have
significant impact on their earning potential.
To overcome such challenge, battery swapping is emerging as promising business model for this segment
of vehicles with many companies entering into this arena (Sun Mobility, Lithion, E-Chargeup Solution, ACME,
Amara Raja, Panasonic etc.)
Figure 85 Private players in battery swapping space
Buses, 2W and 3W
(IOT enabled keychain to
access the dock to place
the drained battery, pay for
energy consumed and pick
up a charged battery)
2W and 3W
(Swapping takes less than
5 mins.)
3W (e-rickshaw)
(Provides IoT enabled
solutions for battery
swapping)
2W and 3W
(Conducting pilot
programmes on battery
swaps in Delhi NCR)
Battery swapping
station
Fees
Service Power
Electricity Bill Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
67
2W and 3W (e-rickshaw)
(Having operational battery
swapping station in Delhi
and NCR)
3W (e-auto)
(Established battery
swapping stations for fleet
of e- Autos in Tirupati city)
4W
(Launched EcoCharge
station as India's 1st
Battery Swapping and
Charging Station for Ola
Electric in Nagpur)
Even with significant benefits offered by battery swapping to the associated players, this model is still at a
nascent stage in India. Key factors hindering the adoption of battery swapping are provided below:
Figure 86 Reasons for low adoption of battery swapping in India
Reduction in upfront cost of EV is an important advantage of battery
swapping. However, OEMs such as Renault have come–up with
battery leasing option to their customers which reduces the high
upfront cost of the EV for the customer, and also at the same time
ensures use of verified batteries in their vehicles.
Distribution utility – market landscape
2.4.1 Role of Distribution utility in EV marketplace
A well-developed and robust charging network is vita l for increased offtake of EVs and vice-versa.
Development of charging infrastructure and increased adoption rate of electric vehicles is a classic case of
chicken-egg problem. Discom could play a vital role in providing a solution to this problem. Discoms are
aptly placed in the EV ecosystem to catalyse the development of charging infrastructure by leveraging its
business synergies and technical capabilities. Following excerpts highlight the unique positions that discoms
possess in in development of charging infrastructure:
Grid infrastructure
Discoms have existing grid infrastructure that could be suitably augmented to cater to EV
charging load. Further, discoms have the visibility of optimal locations which can absorb
the EV charging load and can help stakeholders in determining such optimal locations.
Reasons for lack of adoption of battery swapping by the industry
Standardizationis the biggest bottleneck in the large-scale adoption of battery swapping in India. Without standardization of EV
batteries, the battery swapping business model cannot be a success.
Proprietary technology of battery is a strong selling proposition for any OEMs. As standardization would mean sharing the same
battery characteristics as their competitor leading to losing value in their product.
There is risk of brand reputation for the OEMs from battery swapping. OEMs have concerns that any fire or other fatal accident
caused as a result of plugging in faulty/ sub-standard battery with their vehicle, may severely tarnish their brand reputation.
1
2
3 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Distribution transformer
loading
Discoms have better visibility of the DT loading and line capacities that could be utilized in
optimal siting analysis. Zones could be earmarked for near-term, medium-term and long-
term suitability for charging infra development, matching with the Discom’s DT/ grid
augmentation plan. This would provide visibility to the charging infra developer of the
adequacy of network infrastructure before investing in development of charging infra at a
particular location/zone.
Metering and Billing
system
Discoms have existing well-established system of metering, billing and collection system.
This includes smart metering infrastructure, billing software etc., which could be
leveraged for invoicing energy usage by EV owner/Charging Point Operator/ Commercial
Institution.
Access to suitable
locations
State owned Discoms have access to land allotted to them by State Government, for
existing as well as future development of grid sub-stations. Discoms can use such land for
development of charging infrastructure, in case, they don’t have any near to medium
term plan for utilizing it for other purposes. Further, being a government owned entity, it
is expected that discoms can acquire suitable land with minimum administrative hurdles.
Technical expertise
Technical expertise of discoms puts them in an unmatched position for developing
charging infrastructure. CEA Regulations mandates Discoms to have Safety Officers that
could play an important role of inspection and safety audit in development of charging
infrastructure.
Distribution Utilities worldwide have played an active role in laying out and scaling up charging infrastructure
installations. The roles and responsibilities range from coming out with a prioritized set of locations for
setting up charging infrastructure within their respective license areas, offer new tariffs and incentives as a
part of demand response (DR) program for the EV users, extend distribution operations and integrate EVSE
operations through advanced telemetry and communication pro tocols, etc. Involvement of utilities can range
from being a mere network infrastructure provider to the EV charging stations to providing the full depth of
consumer services starting from network development, owning and operating the stations, and rolling out
DR programs. For instance,
• Discom could invest in “make-ready” infrastructure, which include the electrical infrastructure
required up to, but not including, the actual EV charging equipment.
• Discom could Build, Own and Operate installations, which would include the make -ready
components as well as the charging equipment itself, resulting in a single regulated entity building
out and owning the electric infrastructure and vehicle charging equipment.
• Discom could leverage their technical capabilities in inspection and auditing of charging
infrastructure.
2.4.2 Discom role in providing “make-ready” infrastructure
Utilities are adopting a range of approaches while undertaking investments in network upgrades necessary
for facilitating EV charging services. Supported by regulators, utilities in the US have taken an approach of
investing in “make-ready” infrastructure where utilities set up the necessary infrastructure required for EV
charging services providers to install charging stations. “Make-ready” infrastructure may include components
such as necessary transformer and transformer pads, new service meter, new service panel, associated
conduit and conductor necessary to connect each piece of equipment, and it can also include Smart Grid Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Devices. While the “make-ready” infrastructure is owned by utilities, the EVSE is owned by charging service
providers.
The above-mentioned case study provides an exemplary mechanism to fast -track the EV Charging
Infrastructure, however it requires Electricity Regulators in India to explore mechanism/design for
distribution utilities to allow recovery of cost associated with “make -ready” infrastructure in
their Annual Revenue Requirement (ARR) filings. States such as Andhra Pradesh and Madhya Pradesh
have already recognized these issues and allowed recovery of expenses incurred by Discoms in developing
of charging stations through ARR and tariff determination.
In the US, such practice of recovering investment cost of developing charging infrastructure is known as
“rate-basing”. Rate-basing investments add only a small amount to customer el ectricity bills, and
regulatory agencies may encourage these investments due to their potential to increase utilization of the
electric grid and incentivize wider adoption of EVs and drive down rates for all ratepayers.
Box 12: Charge Ready Program
Through the Charge Ready Program, South California Edison (SCE) pr ovides the requisite grid infrastructure at an
SCE consumers’ premises (also known as the site host) for installing the EVSE. Charge Ready was developed to
reduce barriers to EV adoption by deploying electric infrastructure to serve EV charging stations (E V supply
equipment, or EVSE) at long dwell-time locations where EVs are usually parked for at least four hours. These
locations provide adequate time for most EV drivers to fully recharge their vehicles.
The Pilot is open to eligible non-residential customers in the following long dwell-time location market
segments:
• Workplaces
• Multi-Unit Dwellings (MUDs), such as apartment buildings
• Fleets
• Destination centers, such as sports arenas or malls
Through Charge Ready, SCE installed, owned, maintained, and paid a ll related costs for make-ready
stubs serving EVSE, including:
• Electric distribution infrastructure, such as transformers, service lines, and meters dedicated to EV
charging equipment deployed under the Pilot.
• Customer-side infrastructure, such as panels, step-down transformers, wiring and conduits, and stub outs,
to allow for EVSE installations.
Participating customers were responsible for procuring, installing, and maintaining qualified EVSE,
including electrical energy and networking costs, but received rebates applicable against some or all of
the EVSE and installation costs.
The participant of this program has to enrol themselves on SCE Charge Ready Enrolment Portal. Once SCE confirm
that the applicant meet the initial qualifications of the program, an Account Manager (SCE representative) provide
a program overview and discuss deployment considerations and options with the applicant. The following support
is provided by SCE:
• Evaluation of the site, requirement of the actual number of charging stations based on several criteria,
including current and near-term EV adoption and the number of parking spaces available at applicant site.
• Provide approved list of vendors and charging stations to applicant to assist them in procurement
process and installation of charging stations. Rebate in the cost of installation by procuring through
SCE approved vendors
• All permit and inspection are obtained by SCE or Charge Ready vendor, on behalf of applicant
• On signing of the Agreement between SCE and Applicant, the SCE deploy the necessary electrical
infrastructure suitable for the agreed number of charging stations to be developed by the applicant. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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There are several reasons why rate-basing upgrade costs (if any) – at least for an initial period – make
sense.
• Rate-basing costs is much simpler than trying to ascertain individual customer responsibility for an
upgrade
• Imposing distribution facility upgrade costs on specific consumers may discourage them from
purchasing an EV or “smart charging” equipment that could actually benefit the grid by facilitating
off-peak load and improving grid utilization.
• Impact of EV charging on the distribution system has been minimal and hence the investmen ts if
spread across all consumers will also have minimal impact.
The state of California issued the state policy goals under Assembly Bill (AB 32) to reduce greenhouse gas
emissions and the related ARB Scoping plan which includes a comprehensive strategy t o reducing
greenhouse gas emissions from the transportation sector. Electrification of vehicles is a critical component
of the ARB’s 2008 Scoping Plan. Electric Tariff Rules-Rule 15 (Distribution Line Extensions) and Rule 16
(Service Line Extensions) pertain to grid equipment used by multiple customers, for example, a transformer
serving multiple homes and network equipment used by just one customer respectively.
As per California Public Utilities Commission (CPUC), the rationale for adoption of rate basing of EVSE is
highlighted below:
Figure 87 Rationale for adoption for rate basing in California
Particulars Rationale
Utility expenses
vs customer
expenses
An upgrade to equipment which has the potential to serve multiple customers is generally
considered a utility expense and the associated cost is borne by the general body of ratepayers
and not just by the EV customer or just by the group of neighbours being served by the
transformer.
Upgrade as a
system asset and
Rule 16
provisions
The cost to replace a shared distribution transformer, due to projected impact of additional
loading by EVs, would be considered a total system asset and, as a result, should be included in
rate base.
On the other hand, the cost to replace an existing customer-specific service transformer would
be at the customer’s expense. A commercial or public charging station is hence considered as a
system wide asset.
EV as a new and
permanent load
The load profile created by EVs is similar to that created by other large residential appliances,
such as large portable air conditioners and hence it cannot be considered as a temporary load
created by specific customers.
Improved system
utilization and
reduced losses
for managed
charging
• Incremental EV load on a larger scale has the potential to yield improved electricity system
asset utilization in the long-term. Benefits of the same would accrue to all customers of the
utilities
• On a large scale EV charging occurring during off-peak periods could actually reduce the
price of energy for all ratepayers which would have otherwise been incurred by utilizing
expensive peaker plants in on-peak periods. The benefits of the same would be realized by
all customers
Residential level
upgrades
Any expenses incurred over and above the standard residential allowances, if any given to EV
owners, would be rate based provided that the additional expenditure pertains to only basic and
necessary investments
Adherence to
overall state
goals
Adoption of EVs is based on California State’s goal to reduce greenhouse gas emissions through
the electrification of the transportation sector and hence any investments in achieving the same
is as per the state goals.
Source: 70 Deloitte analysis Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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2.4.2.1 Discom role in Building, Own ing and Operating of Charging Station
Discom may further extend their role from developing of make-ready infrastructure to owning and operating
of Charging Station. It is a classic case of forward integration, whereby Discom would embark into the
business of their prospective consumers (EVSE operators). Several regulators in US allow utilities to own
charging stations in-order to avoid stifling of market competition except in particular cases where
provisioning of charging service is an issue such as in disadvantaged communities. In cases where there is
no restriction on utilities to own charging infrastructure, utilities have set-up charging stations along with
the necessary grid facing infrastructure. In this case, utilities are allowed to recover the cost of “make-
ready” infrastructure and EVSE through rate-basing.
For example, the CPUC allows “PG&E to include the EVSE it owns in its rate-base, because it will be utility
property that is used and useful in rendering utility service”. Similarly, in “Power Your Drive program” ,
SDG&E is responsible for owning, operating and maintaining the installed chargers. The program is open to
existing SDG&E consumers who have dedicated parking spaces (minimum 5 for Multi Dwelling Units and 10
for businesses). The eligible property owners have to apply
to the program through the SDG&E website and complete
a similar evaluation process as in the case of SCE
(explained in case study above).
In India, similar model could be adopted with necessary
approvals from regulators. Utilities can decide to recover
the full cost of EVSE infrastructure through an increase in
fixed charges; a mix of fixed and variable charges from EV
charging services; or fully from EV charging services. In all
cases, regulatory approval is required. A range of options
can be considered for tariff rate structure design as shown
in alongside.
There could be several business model possible under this approach. Discom may consider to develop the
entire infrastructure under this model and may bid-out the operation of charging station to third-party
under regulator approved commercial arrangements.
2.4.3 Discom role in inspection and auditing of charging infrastructure
By leveraging its technical capabilities, Discom can facilitate in the inspection and auditing of the charging
stations. As per CEA (Measures relating to Safety and Electric Supply) Regulation, 2010, Electrical Inspector
and Chartered Electrical Safety Engineer (CESE) are made responsible for providing permission to electrical
installation before connected it with the electricity grid. The Discom could play a supervisory role during
construction of charging/ battery swapping stations. Suitable Regulatory provisions needs to be done to
waive-off the requirement of permission of Electrical inspector/CESE in case Discom provides undertaking
that the entire charging infrastructure has been developed under their supervision. As the electrical
installation could be expected to be constructed under the supervision of technical experts of Discom, the
Electrical Inspector/ CESE could be allowed to provide permission to connect charging infrastructure with
electricity grid without any detailed testing and inspection against the undertaking provided by the Discom.
This would lead to reduction in number of administ rative approvals required in setting up of charging
infrastructure as well reduce the overall time from commissioning to electrification of the charging
infrastructure.
Discoms can also play a role in specifying and standardizing the technical requirement of the equipment,
used at charging stations and, as a step further, in specifying/developing communication protocol for
communicating with the Discom, charging station, captive generators (buil t for EV charging only) etc.
Discoms can also render assistance on understanding requirements for enabling demand response and
implementation of V2G in near future.
Charging station
(Home/ Public/ Workplace)
Time-of-Use
Pay per kWh
Pay per Hour
Pay per charging
session
Monthly Fee
One-time fixed Fee
Utility/ regulators put a cap on
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In addition to the above, Distribution utilities / companies, in association with technology start-ups, are
reinventing the experience of EV charging through the electricity network. In London, start-ups such as
Ubitricity, in collaboration with municipal corporations and grid operators is offering on-street electrical
vehicle charging services by installing smart socket in street light lamp post. Overview of the Ubitricity model
is provided below:
Box 13: ElaadNL
ElaadNL is owned by the Distribution System Operators (DSO) in the Netherlands. Since its establishment in 2009,
ElaadNL provides the coordination for the connections of public charging stations to the electricity grid
on behalf of the involved DSO’s (until 2018). ElaadNL is the knowledge and innovation centre in the field of smart
charging infrastructure in the Netherlands. Through their mutual involvement via ElaadNL, the grid operators prepare
for a future with electric mobility and sustainable charging.
Through ElaadNL DSOs helped in developing the Open Charge Point Protocol (OCPP) which is a de-facto
global standard for connecting different charge stations with different management systems which now is managed
by the ‘Open Charge Alliance’.
ElaadNL also facilitate inspection of the public charging stations . Network operators are responsible for the
quality, reliability and safety of the electricity grid. Even when charging stations for electric vehicles are connected
to the grid, it is important that these parameters remain guaranteed. That is why every new type of public charging
station must be inspected by the network operators before it can be connected to the electricity network. G rid
Operator Inspection is facilitated by ElaadNL in collaboration with all participating grid operators - Coteq Netbeheer,
Enexis, Liander, Rendo Networks, Stedin and Westland Infra. The applicant needs to apply for inspection by sending
email or calling at designated number provided by ElaadNL.
Box 14: Ubitricity model – street lamp post charging station
The Problem: Requirement of planning permission for designated EV chargi ng spaces. No affordable solution
available for residents with electric vehicles without off-street parking.
The Solution: Ubitricity, a German company, developed a hardware & software solution to enable electric charging
points to be more ubiquitous. It uses a ‘SimpleSocket’, installed at lamp post, capable to communicate with
‘SmartCable’ provided to EV owner on subscription of Ubitricity plan. Each SimpleSocket and SmartCable has unique
identity that is used to charge EV owner on monthly basis against energy usage by them anywhere within the
permitted EV charging points.
The Business Model: Ubitricity tied up with Municipal Corporation for setting up of SimpleSocket in street lamp
posts. It provides SmartCable to EV owner against payment of one-time hardware cost. SmartCable is equipped with
communication and smart metering device that logs the electricity consumption and communicates with the Ubitricity
server to transmit energy usage data, location and ID of SimpleSocket etc. At the end of a month, Ubitricity sends
monthly energy usage bill to its consumer having details of energy consumption and parking charges, if any. It
charges nominal monthly subscription charges in providing its services to the EV owner. Ubitricity reimburses the
energy charges and parking charges to grid operator and Municipal Corporation respectively and retain the
subscription charges as its revenue.
At present Ubitricity provide cable compatible for Type 1 and Type 2 charging:
SmartCable Charging
Point
Signage App based charging
point locator Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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2.4.4 Discom role in managed charging
A major concern associated with the high uptake of EVs is the risk of “unmanaged charging”. Unmanaged
charging refers to random charging of electric vehicles at any time suitable to the EV owner which can
possibly lead to simultaneous charging of many vehicles in a concentrated region thereby increasing the
stress on the distribution grid. This situation could be further aggravated by coincidence of peak EV charging
with peak electricity demand.
With high share of EVs, the unmanaged charging may lead to substantial increase in the peak load,
fluctuation in voltage, overloading of distribution equipment etc. to address the challenge of unmanaged
charging, the concept of ‘Managed charging’ has been introduced in many advanced jurisdictions throughout
the world. In managed charging, the utility or a third-party will remotely control the vehicle charging by
either disconnecting it from the grid, connecting it at a time when the stress on the grid is the least or even
throttle / alter the charging speed to better correspond to the real-time needs of the grid
39
.
Managed charging is categorised into following two types:
Figure 88 Categories of managed charging
In active managed charging , utilities will be able to control vehicle charging schedule. This is done by
using algorithms based on certain grid conditions related to load, voltage, feeder capacity etc. The active
managed charging therefore can help in ensuring that vehicles do not cause excess strain on the network.
Customers also benefit lower electricity rates during active managed charging and thereby lowering the
operational cost of owning an EV.
Whereas, the passive managed charging focuses on load control through behavioural changes in
consumers. In this form of managed charging, utilities try to influence the EV charging behaviour by
incentivizing certain behaviour patterns through time-of-use tariffs for charging or other such incentivizing
programs.
Below are some of the advantages of managed charging:
Figure 89 Advantages of managed charging
Advantages Particulars
Improve grid
economics
By modulating/varying the charging levels to reflect the grid conditions, managed charging can
achieve higher utilization rates, and therefore capacity factor of generation assets (increased
charging rates during off-peak period and reduced rates during peak load/overload conditions)
Reduction in
emissions
Managed charging can reduce emissions by aligning charging with surplus renewable generation,
thereby creating a scenario where excess renewable capacity can be absorbed in the system,
such as photovoltaic (PV) production during peak solar hours and wind spikes during off-peak
hours.
39
Beyond load growth: The EV managed charging opportunity for utilities (access here)
Managed charging
Active managed charging Passive managed charging Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
of electric vehicle and charging infrastructure stakeholder landscape
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Advantages Particulars
Reduced stress on
the grid
Managed charging can reduce grid stress and maintain grid stability by minimizing charging ramp
rates and reducing the strain on local distribution transformers which tend to be overloaded
during peak period.
Capex deferral Managed charging can reduce the need for new peak generation and distribution capacity
resulting from EVs charging during peak hours.
Reduction in T&D
losses
Modulating the amperes flowing through the charging station can also result in reduction of
technical losses in the distribution system
New market
opportunities
Capacity and ancillary market services such as frequency regulation and spinning reserves.
Benefits to EV
consumer
Economic returns to EV owners by reducing the cost of charging through dynamic rates and
potential payments for the supply of ancillary services.
2.4.5 Challenges
The key challenges which discoms could face with high penetration of EVs is summarized in the figure below.
Box 15: International experience in managed charging
1. Los Angeles Department of Water and Power (LADWP)
The Los Angeles Department of Water and Power (LADWP), through its “Charge Up L.A.!” program, offers up to
$500 for Level 2 residential chargers or $4,000 for commercial chargers. As a condition of the rebate program,
recipients must agree to participate in LADWP’s demand response program for the life of the installation in the
event the utility needs to curtail that load. Further, LADWP can disconnect the load from the EV charger for the
duration of the event without notice.
2. Managed charging for bidding in CAISO
eMotorWerks, which developed a Vehicle Grid Integration platform called JuiceNet, has its own smart grid enabled
JuiceBox EV charger, and provides JuiceNet platform capabilities to five other Electric Vehicle Supply Equipment
(EVSE) manufacturers. Additionally, eMotorWerks has started deploying its platform to control vehicle charging
directly over the telematics link with select OEMs. By controlling how and when large quantities of EVs charge
throughout the day, eMotorWerks can bid that capacity into wholesale power markets such as the California
Independent System Operator (CAISO), use it to balance renewable generation, or provide traditional DR services
to the utilities, while observing driver behaviors and allowing driver override to avoid customer dissatisfaction. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Figure 90 Key challenges for Discoms with high EV penetration
Distribution utilities should proactively conduct adequate technical
analysis to understand the impact of EV penetration under different
scenarios and devise a mechanism for optimal integration of the
same in the grid.
Consumers – market landscape
Although, there have been significant developments in the electric mobility space, the perception of
consumers is still not in favour of electric vehicles. Deloitte, through its Automobile Consumer Study 2020,
surveyed 3022 consumers in India to understand opinions regarding critical issues in automobile sector.
• Over past few years, there has been decline in 2-3% of consumers who are unwilling to pay any
more for either autonomous technologies or alternative engine technologies.
• Around 40% consumers preferred Electric vehicles (Battery/ hybrid) for their next vehicles. However,
decision of buying an EV is dependent upon the price of fuel for ICE vehicle. Only when the fuel
prices rise by an additional 40%-50% from the present level, it is expected that majority consumers
will prefer electric vehicles over ICE.
Figure 91 Consumer preference for their next vehicle
purchase
Figure 92 Consumer preference to own BEVs with change in
petrol prices
Source: 71 2020 Deloitte Automobile consumer Study
Conventional vehicles are still the preferred choice for the Indian
vehicle user
51%
25%
15%
9%
Gas/diesel (ICE)
Hybrid EV
Battery EV
Others (including ethanol,
CNG, and hydrogen fuel
cell)
31%
48%
62%
75%
80%
95 114 133 152 >152
Rs. per liter
Current petrol priceis in the
range of 70-80 Rs. per liter
Voltage Stability and Harmonics
Non-linear load of EVs, sudden onset of
charging load etc. may cause voltage
unbalance, harmonics, voltage dips and
may lead to voltage crossing acceptable
limits at various nodes.
Uncontrolled charging in peak
hours
Uncontrolled charging would lead to
increase in peak load demand,
transformer overloading, line losses, and
power losses shall become more relevant
as EV penetration increases
Choosing appropriate locations for
placement of EVSE
•Identification of nodes that have a
capability to handle external load is a
key challenge.
•Utilities shall be required to identify
strong buses in the system for
connecting EVSE, in order to maintain
system stability.
•Optimizing siting of charging stations
such that congestion related to EV
charging demand does not occur and
the station is optimally utilized
Percentage of consumer like to own BEV
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Majority of consumers stated that lower emission from EVs is their primary reason for purchase. However,
only 14% of consumers are willing to pay an additional Rs 3 Lakh for an electric vehicle in comparison to a
similar conventional vehicle.
Figure 93 Reasons consumers consider hybrids or BEVs
Figure 94 Consumer willingness to pay extra for an EV
Source: 72 2020 Deloitte Automobile consumer Study
Even though consumers prefers EVs due to their low emission
capability, they are not willing to pay extra for EVs.
Majority of consumers expect the range of an EV to be more than 340 kms for buying. Around 64% of
consumers are willing to wait for at least 30 minutes to fully recharge a battery electric vehicles.
Figure 95 Minimum driving range consumers are expecting
from a BEV (km)
Figure 96 Amount of time consumers are willing to wait for
full EV charging
Source: 73 2020 Deloitte Automobile consumer Study
Indian consumers prefers EVs with high travel range and charging
infrastructure supporting fast charging
56%
21%
5%
11%
7%
0%
10%
20%
30%
40%
50%
60%
Lower emisionLower vehicle
operating costs
Rebates/tax
incentives
Social
status/keeping up
with latest
technology
Vehicle
brand/other 14%
21%
53%
10%
2%
More than 3 Lakh
Between 1 to 3 Lakh
Less than 1 Lakh
Wouldn't pay more
Don't know
7%
15%
30%
28%
14%
6%
0%
5%
10%
15%
20%
25%
30%
35%
640 Km480 Km320 Km160 Km 80 KmDon’t know
7%
24%
35%
22%
7%
0%
5%
10%
15%
20%
25%
30%
35%
40%
Less than 10
mins
10 mins to
less than 30
mins
30 mins to
less than 1
hour
1 hour to less
than 4 hours
4 hours and
more Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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Around 65% of consumers think that it is
either the responsibility for vehicle
manufacturers or government to build
publicly accessible EV charging stations
and other infrastructure.
Majority of consumers
believe that the vehicle
manufacturers should
install and operate EV
charging infrastructure
Figure 97 Responsibility of building accessible EV public charging
infrastructure
ICE vehicles are still the preferred vehicle option among Indian
consumers and expected to remain the same unless fuel prices
jumps 40%-50% from their existing level.
High vehicle prices is one of the major bottleneck in adoption of EVs
as Indian consumers are not willing to pay extra for EVs.
Financial institutions – market landscape
Financial institutions are one of the vital stakeholders that can catalyse uptake of electric mobility. They
enable stakeholders in realizing their electric mobility plan by helping them in financing various activities
such as developing of manufacturing units, upgrading/ augmenting distribution network, setting up EV
charging infrastructure or for purchasing electric vehicle.
Figure 98 Role of financial institution in uptake of electric mobility
There is no proactive participation of financial institutions in promoting electric mobility in India. Among all
nationalized banks, only State Bank of India has come up with the loan facility for electric car buyers at
reduced interest rate.
State Bank of India introduced country’s first “Green Car Loan” (Electric Car) to encourage
customers to buy electric vehicles. The scheme offers a 20 basis points smaller interest rate than on
the existing car loan schemes .
Further, access to debt capital by the small and medium manufacturers of auto ancillary part and start-ups
venturing into EV manufacturing, is very difficult, as the financial institutions still consider EV as a nascent
market with a high technological risk perception. New entrants in the EV market have limited financial muscle
34%
31%
19%
16%
0%
5%
10%
15%
20%
25%
30%
35%
40%
Vehicle manufacturerGovernment Existing fuel
companies
Electic utilities
EV component
manufacturer
Battery/ Cell
manufacturer
Power utility
Charging & Battery
swapping service provider
Customers/ End-
user
Electric mobility
stakeholders
Financial support to all value chain players
Financial
Institution Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review and assessment
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as their business models are still evolving and they do not have substantial financial backing. Therefore, it
is very difficult for such players to raise capital from lending institutions. However, the established OEMs are
relatively in comfortable position to raise debt fund, based on the strength of their balance sheet.
The industry needs the support of financial institutions in bridging
the gap to access finance for increased offtake of EVs. There is an
increasing need to consider electric mobility as a priority sector for
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2.7. Summary
Summary of electric mobility landscape analysis:
Commitment towards GHG reduction, huge dependency on importe d crude oil, high
urbanization, and growing population are the key drivers that could propel the transition
from conventional mobility to electric mobility. Policy makers and regulators have taken
collective effort to promote electric mobility in India. DHI introduced FAME schemes (I & II)
to spur the EV demand whereas MoP notified guidelines on installation of charging
infrastructure. Electricity regulatory commissions have also brought out special tariffs for EV
charging, and ARAI has introduced standards for AC & DC charging. MoHUA has amended
Building Bye-laws and Urban and Regional Development Plans Formulation and
Implementation Guidelines to make charging infrastructure development as an integral part
of urban planning, development and construction.
Along with the policy efforts by the Govt. of India, states have also come out with their
independent EV policies to help uptake of electric mobility.
Although central government and state government are putting substantial efforts to drive
the EV adoption in India, traction can only be seen in 3W and 2W segments. The 3W
segment, particularly e-rickshaws, is driving the high adoption rate of EVs. For 2W the major
drivers are lower operational cost, ease of charging at home with available infrastructure.
However, EVs still need to achieve cost parity with ICE vehicle for large offtake by
consumers, especially in the2W segment. High cost of EVs is identified as the biggest
bottleneck in adoption of electric vehicles in the country.
Exclusion of 4W private vehicle from FAME – II eligibility for demand incentive along with
multiple issues related to high cost, unavailability of adequate charging infrastructure, range
anxiety etc. is causing this segment to witness lesser adoption of EVs.
E-buses have not witnessed the required level of traction as envisaged under various
policies. Even after allocating more than 40% of total incentive pie for e-buses under FAME –
II, no significant traction has been observed. Mandatory requirement of procuring e-buses on
GCC model needs to be re-looked with consideration for relaxing requirement of huge bank
guarantees as security to increase uptake of e-buses.
From supply-side point of view, there are several constraints. For battery manufacturing,
India lacks in access to raw materials (mineral resources). EV auto ancillary in India is also at
nascent stage with limited manufacturing capabilities. Huge dependency on imported auto
component (mainly electronic and electrical) acts as a barrier in attaining price parity with
ICE vehicle. Phased Manufacturing Program, Aatma Nirbhar Bharat, and incentives
announced by several states in their EV policy is expected to strengthen the supply-side
scenario in medium to long run.
FAME II scheme allotted 10% of its overall outlay for EV charging however, there has been
no significant growth in development of EV charging infrastructure. Administrative
procedures of land acquisition and electricity connection, lower utilization of charging
infrastructure, absence of provisions for recovery of expenditure through tariffs, absence of
regulatory provision for participating in ancillary market etc. are some of the challenges
industry is currently facing.
01
02
03
04
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Discoms have not been mandated to actively participate in the development of charging
infrastructure. Further, as highlighted above, There exists no regulatory clarity on allowing
capex for charging-infra development as pass-through in tariffs.
With their inherited capability of existing infrastructure, existing consumer base and superior
technical skills, the role of distribution utilities will be crucial for uptake of EV charging.
Discoms need to actively participate in planning for EV charging infrastructure. Random
charging of EVs may put strain in the grid. Harmonics from EV charging stations will also
impact the power quality of the system. There is need to carry out analysis and determine
the need for strengthening the distribution network in order to integrate EV charging
stations.
Battery constitutes approximately 25 - 40% of the vehicle cost. Battery swapping model
allows to take out of the cost of battery from the upfront cost of EVs. The cost can be
reduced, and a better value proposition could be offered to consumer for adoption of EVs
with prices at par or lower than the ICE vehicle. However, lack of policy guidance on
standardization of battery for EVs, and huge upfront capital requirement is posing challenge
in massive uptake of battery swapping business model.
To incentivize charging infrastructure development, regulatory commission needs to play an
active role. This can include the following:-
• Devising mechanism for recovery of investment made by discoms as part of tariff.
• Incentivizing charging infrastructure developers by allowing them to participate in
real-time and ancillary power market
• Developing framework to promote managed charging
Although there are still challenges across EV landscape, private players are betting heavily
on success story of EVs in India. Many start-ups have entered into manufacturing of EVs in
past 5-7 years and conventional vehicle manufacturers, both domestic and global, are also
launching EVs in Indian marketplace.
Similarly, several players have ventured into development of charging stations and have
substantial plans for developing charging stations as well as battery swapping station across
India in the future.
05
06
07
08
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2.8. Gaps in EV landscape
Policymaker and
Regulator
EV Component OEMs
Battery OEMs
Distribution companies
EVSE and battery
swapping
Consumers
Financial institute
Too many riders put in
FAME scheme to avail
subsidy – localization, re-
certification, max. speed
Regulatory uncertainty in
allowing capex investment for
developing charging
infrastructure as pass-through
No mandate for
EV adoption in
FAME/ State EV
policies
Lack of focus on skill
development on battery
technologies
Availability of limited
suppliers
Lack of strictness in
implementation of
localization targets
Availability of limited
financing options
Delay in providing
connectivity to charging
infrastructure
Lack of support for
promotion of workplace
charging
Lack of
standardization
Limited availability of
charging infrastructure
Limited travel range of
EVs
Lack of awareness
Availability of limited
financing options
High charging time
No mandate for Financial Institution
to providing funding for electric
mobility (as priority sector lending)
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No mandate for Discom to develop
charging infrastructure. Lack of regulatory
guidance on investment approval
Lack of support for
conducting system
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2.9. Risks & challenges to EV stakeholders
Risks & challenges for EV stakeholders in the existing market are categorized into five categories:
Policy risk
Financial risk
Supply chain
risk
Technological
risk
Other risks
EV Component OEMs
- Non –
implementation
of policy
measures after
announcement
- Phasing-out of
subsidy support/
posing stiffer
norms for
availing
incentives
- Policy risk
associated with
import-export of
automobile
component
- Introduction of
any policy
mandating
investment in
recycling of
battery
- High cost of
funding due to
perceived high
technology risk
by FIs
- Exchange-rate
risk due to
import
dependency for
auto
components
- Investment
recovery risk -
evolving
business
models, limited
charging
infrastructure
- Insufficient
access to
mineral
resources for
manufacturing
critical
components
indigenously
- Quality of
indigenously
manufactured
auto ancillary
component
- Demand-supply
issue of
indigenous auto
ancillary
component due
to limited
manufacturing
capacity
- Geo-political risk
-unstable
relationship with
China (import
dependency on
China)
- Fast evolution of
technology
(especially in
Battery) – risk
of obsolesce
- Battery prices
may not go
down as
predicted (may
be due to
demand-supply
mismatch)
- Interoperability
- Price versus
performance -
risk of
technology
preference
- Uncertain
consumer
preference
- High wage rate
of skilled
manpower/
shortage of
skilled
manpower
- Evolving safety
standards and
their compliance
related risk
- Environmental
concern –
battery
scrappage or
recycling issues
Battery OEMs
Distribution
companies
- Uncertainty
around
government
funding support
for network
upgradation
- High cost of
supply than
approved EV
tariff (accrual of
EV tariff subsidy
- Risk associated
with new vendor
performance
(EVSE vendors),
in case it enters
into business of
- Unpredictable
EV demand –
technological
limitation in
managing
charging
- Shortage of
manpower
within Discom
for doing core
business, while
obligating
Policy
Risk
Financial Risk Supply Chain
Risk
Technological Risk
Other Risks
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Policy risk
Financial risk
Supply chain
risk
Technological
risk
Other risks
- Regulatory
disallowance for
recovery of
Capex
- Tariff increase
across consumer
category, if
pass-through is
allowed for
CAPEX done for
network
upgradation –
reduction in
electricity
demand from
price-sensitive
consumer
categories
committed by
government)
- No regulatory
guidance on
approving of
Capex to
upgrade network
to cater EV load
- Difficulty in
raising cost-
effective funds
to finance
network
upgradation due
to poor financial
performance of
discoms
development of
EVCS
- Inventory stock-
out risk –
unpredictable
requirement of
network upgrade
(due to limited
network load
flow studies
conducted)
demand on real-
time basis
- New technology
(say Hydrogen)
replaces EV
technology
leading to
stranded asset
- Cyber security
threat in sharing
Discom data
interface with
EVCS owned and
operated by
third-party
- Network
behaviour with
high EV
penetration –
power quality/
safety
additional role
as SNAs/
facilitator for
development of
EVCI
- Operational risk
in providing
charging service
(in case discom
enter into such
business) –
payback may be
calculated
considering EV
demand
assessment,
traffic density,
city planning,
urbanization etc.
EVSE and battery
swapping
- No roadmap for
EV adoption.
Uptake of EVSEs
and increase in
EV adoption
posing a
chicken-egg
problem
- Policy risk
associated with
import-export of
EVSEs
- Government
procurement
policy related
risk
- Uncertainty
around
participation of
EVCI provider in
real-time and
ancillary power
market
- Unpredictable
real-estate cost
with increase in
demand for
suitable location
for developing
EVCI
- EV tariff and
electricity
demand charges
for sanctioned
load
- Evolving
business model,
lower utilization
of assets –
banks reluctance
to fund, high
cost of funds
- Capping on
service charges
may pose
significant risk
on investment
recovery
- Availability of
local supply
chain for EVSE –
cost and quality
concerns
- Suitability of
imported EVSE
chargers Indian
weather
conditions
- Pace of
development of
Indian power
electronic
market
- Overall
performance of
Indian MSME
especially in
Power
electronics
- Software
integration
issues, due to
presence of
- Change in
technical
specification –
risk of
obsolescence
- New technology
(say Hydrogen)
replaces EV
technology
- Battery
technology
change which
may make
existing
charging
stations obsolete
- Evolution of
interoperability
measures/
mandates
- Regulatory
compliance for
power purchase
(say RPO/HPO
compliance)
- Operational risk
- payback may
be calculated
considering EV
demand
assessment,
traffic density,
city planning,
urbanization
etc., leading to
investment
recovery risk
- Consumers
preferring home
charging
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Policy risk
Financial risk
Supply chain
risk
Technological
risk
Other risks
multiple
operators
Consumers
- Phasing-out of
subsidy support/
posing stiffer
norms for
availing
incentive
- NGT guidance
on mandatory
disposal of
battery after
certain time may
change the cost
economics of
EVs
- Huge bank
guarantees for
e-buses under
GCC model
- High upfront
cost of EV (for
similar
performance ICE
equivalent)
- EV tariff and
service charges
offers significant
risk on
operational cost
- Limited
availability of EV
models
- Limited
availability of
charging
infrastructure
- Newer
manufacturing
unit of EV auto
component may
poses quality
concern
- Longer duration
of charging (fast
DC charging is
not supported
by existing
batteries used in
2W and 3W
- New technology
(say hydrogen)
may replace EV
technology –
risk of
obsolescence
- Risk associated
with battery
quality and
safety
-
Financial institute
- Non –
implementation
of policy
measures after
announcement
- Certainty of EV
and associated
businesses are
difficult to
predict (in
absence of any
adoption
mandate)
- Lack of clarity
on government
efforts for
enabling
sustainability of
EV business – no
regulatory
framework for
participation of
EVCI provider in
real-time and
ancillary power
market
- Uncertainty
around life of
the asset, end-
of-life value, and
resale value
- Uncertainty
around picking-
up of EV
demand.
Investors are
concerned about
the viability of
EV business
considering
consumer
preference and
issues around
range-anxiety,
lack of
development of
EVCI
- Capacity
utilization of
EVCI is very low,
risk of
investment
recovery
- No observed risk - EV technology is
still evolving and
it is true with
other technology
as well, such as
Hydrogen Fuel
Cell. In case
Hydrogen based
technology
establishes itself
earlier than EV
technology, then
investor would
come at risk of
recovery of
investment
- Rapidly changing
technological
environment
- No observed risk
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2.10. Recommendations
Recommendations for uptake of electric mobility in India:
National / State level policy should be formulated for incentivizing Distribution Utilities on
investing in development of EV charging infrastructure
In line of international case-studies, a Charge-ready infrastructure programme to be
launched mandating Discoms to spearhead the development of charging infrastructure by
leveraging their technical capabilities, international case studies shall be capitalized to align
Discom role in charging infrastructure ecosystem
Electricity Regulator to be mandated to provide mechanism for approval for Rate-basing of
utility investments in building EV charging infrastructure
Electricity Regulator should design and implement TOU tariffs for EV charging
Technical standards for charging equipment in the case of Managed charging should be
designed and approved
Designing electricity market structures for participation of EVs. Electricity regulators shall be
mandated to devise mechanism for allowing charging infra developer in demand response
market.
Policy consideration to be deliberated for workers in ICE Auto Ancillary industry (primary
mechanical) to skill them suitably for working in EV auto ancillary industry (primary electrical
and electronics)
Standardization of battery should be done to enable battery swapping a plausible business
model catering primarily to commercial vehicle
Financial Institutions should be encouraged to extend their lending facility to electric mobility
sector.
Existing scheme/policies designed for promoting electric mobility needs to be fine-tuned,
based on the scheme/policy performance and market expectations. For examples, riders are
availing subsides could be re-examined.
01
02
03
04
05
06
07
08
09
10
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Many of the new technology related to managed charging of EV has been introduced first
using a pilot platform. The results for these pilots are then used to carry out large scale
deployment of technology. While standards and guidelines introduced in India do provide
provisions for communication protocol between EVSE and other stakeholders, there has been
no pilot initiative on large-scale managed charging pilots. Utilities and regulators across India
need to take initiative on introducing pilot projects which can demonstrate the benefits of
managed charging of EVs.
It has been observed that having dedicated tariffs and incentives for EV encourages
adoption. While few states in India have taken EV policy initiatives, a large number of states
are yet to introduce EV specific tariffs for public and home charging as well as incentives
under state policies for purchasing EVs and setting up home and public charging stations.
National level policy for Urban Local bodies / municipalities, etc. to issue Charger
Deployment plans and undertake investments in PCS through loans from Central
government. The same could be converted to grants on timely achievement of milestones
subject to the local authorities tying up with designated government agencies for
implementing the roll out plan.
Adopt a framework for state level / city level authorities to undertake competitive bidding for
allotment of zones for PCS installations.
Develop frameworks for public private partnerships / franchisee agreements for developing
EVCS.
Explore innovative business models for development of charging stations.
For EV users, interoperability, or “e-roaming,” means that users can charge at any station
with a single identification or payment method, and that all charging stations can
communicate equally with vehicles. For this to work seamlessly, common standards for
charging network operators must also be established
A key enabler for smart charging and other vehicle-grid integration aspects is collaboration
among various stakeholders. There is a need to create a common platform which can bring
together expertise of all stakeholders.
11
12
13
14
15
16
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3. Review of policy, regulation and
technical standards for electric mobility
and LCPRT
Conducive policies and regulations play a vital role in unleashing the potential of new technology and opening
corridors for new opportunities. Similarly, technical standards play a major role in streamlining of
technological development, compatibility of various systems and component s used in value chain. It also
ensures safety and reliability of new technologies which in turn increases consumer confidence. This chapter
will focus on highlighting various policy and regulatory measures taken collaboratively by several ministries
under Central/State government to expand the uptake of electric mobility and clean fuel based automobile
market in India. It also covers the review and analysis of CEA regulations for electrical safety standards and
grid interconnection.
Policy initiatives
3.1.1 Electric mobility
3.1.1.1 Central policies
As EVs are at nascent stage, policy and regulatory measures are crucial to provide push to the development
of the electric mobility ecosystem. Globally, the policy and regulatory measures have focused on providing
various fiscal and non-fiscal incentives for adoption of EVs and charging infrastructure. Realising the need
of the transition to cleaner technology, the government has been leapfrogging in developing various policies
and support structures for increased adoption of EVs. There have been several policies issued at different
stages of the journey of Indian automotive sector which are aimed at adoption of clean fuel and electric
mobility. These policies and interventions are highlighted subsequently.
3.1.1.1.1 National Electric Mobility Mission Plan (NEMMP)
Adopted in 2013, the National Electric Mobility Mission Plan (NEMMP) 2020 laid down the vision and roadmap
for EV penetration in India. NEMPP outlines incentives along four priority areas for EVs viz. demand
incentives, manufacturing of EVs, charging infrastructure development, and research and development.
The Mission aims to achieve 6 to 7 million on road electric vehicles
by 2020.
In terms of the assessment made by the joint Government-Industry study, the total investment requirement
envisaged in the mission document for setting up the required infrastructure to achieve the target (both
power and charging infrastructure), is summarized in following table:
Table 15 NEMMP Targets
Area 4W 2W 3W Buses LCV Total
Additional generation
Capacity (MW)
150-225 600 10-15 <5 10-
20
775-
865
Power Infrastructure
(Rs Crore)
1,200-1,300 3,300-3,400 75-85 20-30 90-
100
4,685-
4,915
Charging Infrastructure
(Rs Crore)
950-1000 - 70-80 10-20 115-
125
1,145-
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Source: Department of Heavy Industries. 2013. “National Electric Mobility Mission Plan 2020”
It was expected that GoI will support the development of electric vehicle charging infrastructure in the initial
stages of development when the pilot projects will be rolled out for cities and during the phase when the
business model will be at a nascent stage. Subsequently, private sector participation will be required to set
up country wide charging infrastructure. Moreover, roll out of the EV charging infrastructure was planned in
a phased manner as follows:
Phase I (first year) This will involve detailed and in-depth evaluation of various options, prioritization and putting
in place the required frameworks and models for EVSE adoption, enabling policies, charging
infrastructure standards, laws and undertaking detailed studies that will facilitate the roll out
of the optimum EV infrastructure.
Phase II (Year 1 - 3) The activities in the medium time frame would build on the initial basic work done and include
deeper impact assessment studies and programs, pilot projects in various cities, EV
infrastructure consortium building activities, development of possible business models, etc.
Phase III (Year 3 to
2020)
This will include the following activities:-
i. Ensuring availability of reliable and regular electricity supply,
ii. Making available adequate recharging facilities with convenient access,
iii. Development of EV charging as a viable business entity,
iv. Well established and synergic linkage between EV charging infrastructure with
renewable energy generation infrastructure,
v. Development of public recharging infrastructure that includes opportunities for rapid
recharging through either setting up of optimal number of fast recharging centres or by
use of batteries swapping stations that allows quick replacement of discharged battery
packs with charged ones.
There were several provisions listed under the policy, however the same were not effectively implemented.
i. Permissive legislations: Legislations to allow usage of electric vehicles in various areas
ii. Operational regulations: Use of legislation framework and regulations aimed at setting safety
regulations, emission regulations, vehicle performance standards, charging infrastructure standards,
etc.
iii. Fiscal policy measures: Trade related policies for shaping the market, imports and exports
iv. Manufacturing policies aimed at encouraging investments. Specific policies aimed at incentivizing
manufacturing and early adoption of electric vehicles through demand creation initiatives
v. Schemes and pilot projects for facilitating infrastructure creation
vi. Policy for facilitating research and development
The Government of India has taken considerable measures to keep efforts aligned to the provisions laid
down under NEMPP, however the EV sales penetration stands nowhere near to the planned target level. In
all likelihood the EV penetration target of 14%-16% by 2020 as envisaged under NEMMP is unlikely to be
achieved. (In Chapter 1, we observed that the yearly sales penetration of EVs in last five years has been
less than 1%)
Failure in achieving EV penetration targets envisaged under NEMMP,
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89
mobility were not sufficient. Nevertheless, the actions taken as per
the provision of NEMMP has provided the initial boost for uptake of
EVs and increased the awareness level among consumers and
industry players FAME Scheme
The FAME (Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles) scheme was first launched
in 2015 as a flagship scheme under NEMMP 2020 mission plan of Central government to enhance hybrid and
electric technologies in India. The overall scheme is proposed till FY22 to support market development of
EVs.
FAME Phase I
Phase 1 of the scheme was initially launched for over a two-year period starting from FY 2015-16 to FY
2016-17 with an overall outlay of INR 795 Cr. The scheme was later extended four times for six months
each with additional outlay of INR 100 Cr.
The funds were used to provide direct subsidy to the EV buyers. Along with direct subsidy, grants for specific
projects under pilot projects were sanctioned, also, R&D/technology develop ment, and public charging
infrastructure components were also sanctioned under the scheme. 465 buses were sanctioned to various
cities/states under this FAME I.
Figure 99 Snapshot of FAME I scheme
The FAME I scheme failed in utilizing complete allocated fund in four years of its period. Only 41% of its
overall outlay of INR 895 Cr was utilized.
Although the FAME I scheme failed to utilize sanctioned funds, it has
provided the stepping stone for uptake of electric mobility in Indian
market. The scheme was successful in creating awareness and
momentum for electric mobility in the market.
FAME Phase II
In March 2019, the MoHI&PE notified FAME –II scheme with increased layout of Rs 10,000/- crores, which
includes a spill over from FAME-I of Rs 366 Cr. Period for Phase 2 of the FAME scheme was from FY 2019-
20 till FY 2021-22.
FAME II aims to leverage the buzz created by FAME I to create a platform for the EV industry to take off in
the country. The scheme is focused on promoting dema nd as 86% of the scheme outlay is reserved for
demand incentive. The overall outlay is segregated into four categories:
359
Total incentive amount (INR Cr)
2.8 Lakhvehicles
Sold
30registered
OEMs
41%
fund
utilization
2015-2019
Scheme outlay INR 895 Cr. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 100 Outlay break-up under FAME II
As far as subsidization of vehicle goes, the scheme is supporting sale of close to 1.56 Mn vehicles (all
categories). Breakup of this provided in below figure.
Figure 101 Category-wise no. of vehicles to be subsidized under
FAME II
Figure 102 Demand incentive category-wise distribution
in FAME II
Source: 74 FAME II scheme
Subsidies under FAME II are limited to EVs using advanced Li-
battery and newer technologies only
Figure 103 Snapshot of FAME II and progress till date
FAME II outlay
Demand incentive
Administrative
expenditure
Charging
infrastructure
Committed
expenditure of FAME I
1000000
500000
55000
7090
2W 3W 4W Buses
2W, 23%
3W, 29%
4W, 6%
Bus, 41%
Demand incentive
25,017vehicles
sold
22approved
OEMs
2019-Aug 2020
Demand
incentive, 8596
Charging
infrastructure,
1000
FAME I
committed
fund, 366Other, 38
<1%
fund
utilization
till date
Fund allocation breakup (INR Cr.)
NO
E-buses
sold under
FAME II till
date Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Key policy gaps in FAME II scheme :
No incentive for vehicle
scrappage/ Retro fitment
allowance
The incentives under the policy are for purchase of new
EV only, however it does not provide for any scrappage
incentive, to encourage ICE vehicle owners to scrap
their vehicle for EVs. Further, it does not talk about any
retro-fitment allowance for converting existing ICE
vehicle to EV.
No mandate for EV adoption Unlike China and California, there is no EV mandate
provided under the scheme that led to following issues:
1. Insufficient development of charging
infrastructure: In China, State Owned Grid
Utilities are investing hugely in development of
charging infrastructure; EV mandate in the country
provides assurance to investors in terms of
business continuity, higher utilization of assets and
early payback.
2. Investment dilemma among automob ile
manufacturer: Currently, automobile
manufacturers have hugely invested in ICE
technology. India is transitioning towards BS IV to
BS VI standard and EV at the same time. In the
absence of clarity on certain uptake of EV (through
mandate) it will be very difficult for the automobile
industry to do parallel investment in two
technologies simultaneously as limited resources
are available with industry.
No provision for fee-bate
concept
ICE vehicles have been in use since decades and
therefore users are comfortable in using it. A huge
inertia has been developed among consumers that
restricts them to switch to EVs. Presently, there is no
concept of fee-bate being used in the policy that allows
to put huge fees/ penalty /cess/surcharge in using ICE
vehicle that may reduce the inertia carried by ICE
technology. (Sweden has increased taxes on cars that
create pollution, thereby dissuading consumers from
buying vehicles with internal combustion engines as
they contribute significantly to noise and air pollution)
Additional riders for availing
subsidy
Under FAME I, two-wheelers with top speed of up to
25km/hr were qualified for incentives of up to INR
17,000 and INR 22,000 for high speed ones. However,
riders put under FAME II mandated to have a minimum
range of 80 km per charge and minimum top speed of
40 kmph to qualify an electric two-wheeler for an
incentive of INR 20,000.
The higher performance parameters comes at a higher
cost that have excluded the large section of society
that are price-sensitive from EV purchase.
Ather’s 450X model (Top speed: 80 km/hr), Revolt’s
RE400 (Top speed: 80 km/hr), Bajaj’s Chetal (Top
speed: 80 km/hr) all priced at more than Rs. 1.15
Gap 1
Gap 2
Gap 3
Gap 4 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Lakh. Avon E Star (range 65km/charge, top speed less
than 50kmph comes at Rs. 60,000)
No subsidy for private 4W With growing per capita income of the country, it was
expected that there would be an increase in purchase
of private 4Ws. However, the FAME II is providing
subsidy only for public 4Ws.
Requirement of re-certification To be eligible for demand incentive OEMs are
mandated to undergo re-certification process for
conformity check to obtain certificate of ‘FAME II India
Phase II eligibility fulfilment’ from approved testing
agencies in India. Further, the OEMs need to get the
certificate in each year to claim the subsidy. This
creates and unnecessary administrative bottleneck for
OEMs
Requirement of indigenous
component
FAME –II guideline requires OEMs to use certain
percentage of indigenous components to be eligible for
availing subsidy. However, the Auto ancillary industry
for EVs is at a nascent stage. To have a large number
of EVs on road, there is a need for well-developed
supply chain of auto components. In absence of the
same, the requirement of indigenous components acts
as a barrier in realizing the incentives. . Further,
limited number of indigenous manufacturers of EV
components leads to import of such components
thereby driving up the prices of EVs.
No institution is assigned with
responsibility of developing
charging Infrastructure
Uptake of EV and setting-up of charging infrastructure
is a chicken and egg problem. FAME-II allocated Rs.
1000 crore as incentive for developing charging
infrastructure. However, presently there is no
centralised institution which is assigned the
responsibility of development of country wide charging
infrastructure.
In China, the guidance for developing electric vehicle
charging infrastructure for 2015–2020 was developed
as focused policy document to develop charging
infrastructure across country. It has established clear
goals for national and regional electric charging
infrastructure layout and identified strategic regions for
development of charging infrastructure. State Grid
Corporation of China, a State-owned electric utility is
investing hugely in development of charging
infrastructure across country.
Gap 5
Gap 6
Gap 7
Gap 8 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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3.1.1.2 State policies
Several states have notified their
EV policies aimed at promoting
manufacturing and increasing
demand of electric vehicles in
their respective states. Karnataka
was the first state to release its
EV policy. Till date, a total of
eleven states have notified their
EV policies viz. Delhi,
Uttarakhand, Uttar Pradesh,
Madhya Pradesh, Maharashtra,
Telangana, Andhra Pradesh,
Karnataka, Kerala, Tamil Nadu,
and Gujarat.
In the sections below, we will
analyse the state policies in
detail. Each State policy has been
assessed across three levels:
Figure 105 State EV policy analysis framework
Figure 104 States with notified and draft EV policy
Policy notified
* State Government of Telangana & Gujarat have approved their EV policies, however the final policy is
not available in public domain
Draft EV Policy: Punjab, Bihar, Goa, Odisha, Assam, and Haryana have either published their Draft
policies or are in process of drafting
Uttarakhand
Uttar Pradesh
Madhya Pradesh
Telangana*
Andhra Pradesh
Kerala
Karnataka
Maharashtra
Tamil Nadu
Delhi
Gujarat
Bihar
Assam
Haryana
Punjab
Odisha
Goa
Draft policy
Institutional mechanism
•Policy guidelines on institutional
mechanism for policy roll-out, roles
and responsibilities of key
departments –Discoms, Transport,
Industries etc.
Ecosystem support
•Features of policy for development of
peripheral ecosystem across EV value
chain –R&D support, skill
development, amendment in building
bye-laws, public awareness measures,
battery recycling, data sharing and
promotion of digital payment,
promotion of shared mobility etc.
EV Value chain support
•Promotional measures taken in policy
for EV value chain players –
Infrastructure support, fiscal and non-
fiscal incentives Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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3.1.1.2.1 Delhi
Key highlights of “Delhi Electric Vehicles Policy, 2020”
Policy notified: 07 August 2020
Table 16 Key policy guidelines of Delhi EV policy
Key Policy guidelines
Institutional setup
• Setting-up of EV Cell within the transport
department for monitoring of effective day-
to-day implementation of EV policy
• Creation of State EV Board, an apex body
to implement EV policy
Govt. departments
• Within 1 year all 4W fleet of government
departments will be transitioned to EV
Discoms
• Facilitate consumer to purchase and
install of a Private Charging Point
The EV policy of Delhi focuses primarily on creating demand for EVs. There are
no promotional measures taken to provide thrust to supply side actors.
Delhi announced additional incentives (over and
above FAME II incentives) on purchase of 2W, 3W and 4W EVs
Snapshot of promotional measures in Delhi’s EV policy for EV value chain players is given in Figure 106.
Figure 106 Snapshot of promotional measures for EV value chain players
Source: 75 Note: Non-fiscal incentive is provided to only 3W vehicles in the form of open permit
Key policy targets:
25% of new vehicles to
be EV by 2024
Induction of 1000 e-
buses by 2020
Delivery Service
provider to go 100%
electric by 2025
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
95
The EV policy of Delhi is offering purchase incentive to all E-rickshaw
or E-cart including models with lead acid batteries as well.
There are several other key promotional measures notified in Delhi’s EV policy such as incentives for
scrapping, skill development initiatives, battery recycling provisions etc. which is expected to enable creation
of the requisite ecosystem for larger uptake of electric mobility.
Figure 107 Other key measures taken by Delhi for uptake of electric mobility
Summary:
• Addressed the gaps of FAME-II, extended purchase
incentive support to private vehicle owners as
well
• Interest subvention on loan amount to individual
buyer
• Scrappage incentive
• Incentive for purchasing equipment for home/
workplace charging
• Extended incentives to e- Carriers
• Identified avenues to arrange funds for policy
implementation
• No definition of roles, responsibilities and
powers of institutions set-up under EV policy
• Discoms are not mandated to invest in
development of charging infrastructure
• No support provided to Charging Infrastructure
developer, in expediting administrative approval
process such as single window clearance
system/dedicated help desk
• No focus on power system upgradation and
augmentation to cater to EV load
• Purchase incentive to lead acid battery based 3W
vehicles
• Target to adopt EVs in one govt. department
• Very short policy tenure which may not be
sufficient to provide confidence of business
community / consumers
• Lack of clarity on reimbursement procedure and
time interval for installation of EV charging stations
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
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3.1.1.2.2 Andhra Pradesh
Key highlights of Andhra Pradesh “Electric Mobility Policy 2018-23”
Policy notified: 08 June 2018
Table 17 Key policy guidelines of Andhra Pradesh EV policy
Key policy guidelines
Institutional setup
• Creation of Smart Mobility Corporation to
coordinate all necessary activities for
promoting futuristic needs of transportation
EV adoption for Model
cities
• Model Electric Mobility (EM) cities to
convert 100% of all commercial and logistics
fleets to electric fleet by 2024
Govt. departments
• All government departments’ vehicles to be
converted into EV by 2024
Discoms
• To release connection to Private Charging
Infrastructure (PCI) within 48 hours of
application
• To set-up 100 DC charging station each in 4
Model Electric Mobility (EM) cities -
Vijayawada, Vishakhapatnam, Amaravati and
Tirupati
Transport Department
• To develop charging stations at depots, bus
terminals and bus stops
The EV policy of Andhra Pradesh is highly focused in promoting supply (manufacturing) and EV charging
stations/ battery swapping stations. The policy does not envisage any subsidy or incentives to the EV buyers.
Figure 108 Snapshot of promotional measures for EV value chain players
Key policy targets:
State bus fleet all
electric by 2029
Phasing out of all ICE
based commercial
fleets and logistic
vehicles by 2030
Vijayawada
Vishakhapatnam
Amaravati
Tirupati
Model Electric Mobility (EM) cities
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
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The state of Andhra Pradesh has also promoted V2G (Vehicle-to-
grid) for sale of power from EVs and battery swapping stations.
V2G will allow EV owners and battery swapping stations to realize additional revenue by selling power from
the batteries to the grid. The policy has directed Electricity Regulatory Commission (APERC) to issue
regulations on V2G.
To further promote uptake of electric mobility, Andhra Pradesh has provided for special tariffs for EV charging
and has introduced TOU tariffs.
Figure 109 Other key measures taken by Andhra Pradesh for uptake of electric mobility
Summary:
• Discoms are man dated to develop charging
stations. They are allowed cost recovery through
tariffs
• Allocation to the extent of Rs. 500 Cr. for R&D has
been done
• 4 cities to be developed as Model Electric mobility City
with provision to have “Green Zone”, “EV only
zone”
• Battery Swapping Stations can provide ancillary
service
• EV parks with plug and play facility to be developed
• Efforts taken to ease out administrative approval
procedures
• Stipend to employees for upskilling on EV related
issues
• No purchase incentive has been provided (except
road tax/registration fees reimbursement)
• No support provided to home charging/ workplace
charging
• Doesn’t identify avenues to arrange funds for policy
implementation
• No focus on public awareness
• No focus on power system upgradation and
augmentation to cater to EV load
• No provision of single window clearance system
• Lack of clarity on reimbursement procedure ,
installation timeline etc.
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
98
3.1.1.2.3 Uttar Pradesh
Key highlights of “Uttar Pradesh Electric Vehicle Manufacturing and Mobility Policy 2019”
Policy notified: 7 August 2019
Table 18 Key policy guidelines of Uttar Pradesh EV policy
Key policy guidelines
Institutional setup
• Provision of single window clearance
system and single sanction of reimbursement,
subsidies, etc. under the policy
Space for EV charging
• Public parking spaces mandated to have
charging stations
• New commercial complexes, housing societies
and residential townships will be mandated to
have EV charging
Govt. departments
• All forms of government vehicles to be
converted to electric vehicles by 2024
Discoms
• Discom to release supply to
charging/battery swapping stations within 15
days of application
• Discom to invest in setting up both slow
and fast charging networks in government
buildings and other public places (to setup
100 DC public charging stations)
Transport Department
• State bus depots, bus terminals and bus
stops will have charging stations
The State policy provides multiple supporting measures for manufacturing of EVs and other associated
components. For charging infrastructure, the policy offers capital subsidy of up to 25% which excludes the
cost of land.
Uttar Pradesh EV policy provides exemption from registration fees
and road tax for EV buyers, however it is only applicable to the
vehicles which are manufactured in the state itself
The state also aims to promote development and use of Hydrogen powered fuel cells . Under the policy,
the state aims at incentivising manufacturing of Hydrogen-powered fuel cells and would allow private
developers to setup hydrogen stations. Such developers will receive 50% capital subsidy (excluding land) to
setup refuelling infrastructure.
Key policy targets:
10 Lakh EVs by 2024
5 GWh storage
manufacturing in next 5
years
2 lakh EV charging and
swapping stations by
2024
Induction of 1000 e-
buses by 2030
Model Electric Mobility (EM) cities
Noida
Ghaziabad
Meerut
Agra
Mathura
Kanpur
Lucknow
Prayagraj
(Allahabad)
Gorakhpur
Varanasi Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 110 Snapshot of promotional measures for EV value chain players
In addition to the above measures, Uttar Pradesh has announced to introduce Special Power Tariff Policy to
facilitate low-cost EV charging along with TOU tariff for vehicle charging. The state also envisages to focus
on upskilling its manpower on EV technology and promote R&D on next generation battery chemistries, fuel
cell systems, powertrains, automotive electronics and electrical road systems (ERS).
Figure 111 Other key measures taken by Uttar Pradesh for uptake of electric mobility
Summary:
• 25% Capital subsidy on development of EV
charging infrastructure
• Vehicle registration and road tax exemption is only
provided to vehicles manufactured in the state of
Uttar Pradesh
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
100
• Parking spaces are mandated to install charging
stations
• Discom to release connection for supply to
charging/ battery swapping station within 15 days of
installation
• New EV enabling building codes for 10 EM cities
• Interest subvention to EV and associated
component manufacturers
• Incentives to battery recycling units
• No capital subsidy in addition to FAME II scheme for
buyers
• No policy incentive for scrapping or provision for
retrofitting
• No promotion of home/workplace charging
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
3.1.1.2.4 Maharashtra
Key highlights of “Maharashtra’s Electric Vehicle Policy - 2018”
Policy notified: 14 February 2018
Table 19 Key policy guidelines of Maharashtra EV policy
Key policy guidelines
Institutional setup
• High powered committee to be
constituted at the state level to monitor
the implementation of policy , and
develop procedures and modalities where
required (Committee composition is
provided)
Location of charging
infrastructure
• Common charging points in residential
areas, societies, bus depots, public parking
areas, and fuel pumps is allowed as per the
policy
Govt. departments
• Development Control Rules (DCR) of
local self-government and special planning
authorities to be suitably modified in order
to allow setting up of public charging
infrastructure
Discoms
• Discoms to grant permission to the
charging station within 15 days
The EV policy proposes to setup a high powered committee which will further decide the fiscal and non-fiscal
incentives applicable for EVs and associated component manufacturers.
Key policy targets:
5 Lakh EVs in the state
by the end of policy
period
Employment to 1 Lakh
people
INR 25,000 Cr
investment in electric
mobility space
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
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Figure 112 Snapshot of promotional measures for EV value chain players
Note: The fiscal and non-fiscal incentives to the manufacturers will be on approval from High Power Committee
Maharashtra’s EV policy, however, lacks in addressing support towards scrappage activities, battery
recycling, home or workplace charging, etc. Also, no special tariff for EVs has been mentioned in the policy.
Figure 113 Other key measures taken by Maharashtra for uptake of electric mobility
Summary:
• Interest subsidy for EV and associated component
manufacturers
• Capital subsidy on purchase of EVs
• No provision of public awareness
• No policy incentive for scrapping or provision for
retrofitting
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
102
• 25% capital subsidy on development of charging
infrastructure
• Training-based certification and placement
programmes for skill development
• Establishment of center of excellence for R&D
• No promotion of home/workplace charging
• No focus on power system upgradation and
augmentation to cater EV load
• No provision of land allotment for charging
infrastructure business
• No provision of single window clearance system
• Lack of clarity on reimbursement procedure ,
installation timeline etc.
3.1.1.2.5 Uttarakhand
Key highlights of Uttarakhand EV Policy 2019
Policy notified: 02 December 2019
Table 20 Key policy guidelines of Uttarakhand EV policy
Key policy guidelines
Institutional setup
• Nodal agency for the policy will be Industries
Department, Uttarakhand and State
Infrastructure & Industrial Development
Corporation of Uttarakhand (SIIDCUL)
Uttarakhand state policy offers significant support to manufacturing of EV
components in the state. Along with this, buyers will also receive exemption from Motor Yan tax and
commercial vehicles will receive exemption from carriage permit.
Figure 114 Snapshot of promotional measures for EV value chain players
Note: Other fiscal incentive for manufacturers is EPF reimbursement; for buyers it is exemption from paying Motor Yan tax; Other non -
fiscal incentive for buyers is receiving priority is attaining route permit
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
103
Along with supporting manufacturing of EVs, the state would also provide financial support to the
organizations who wish to upskill their manpower on EV related aspects.
Figure 115 Other key measures taken by Uttarakhand for uptake of electric mobility
Summary:
• Land at concessional rate for EV or component
manufacturers
• Provision for interest subvention for manufacturers
• Stamp duty and electricity duty exemption for
manufacturers
• Training reimbursement for organizations involved
in upskilling workers
• 50% EPF reimbursement for 10 years for
employing 100+ skilled/semi-skilled workers
• No focus on power system upgradation and
augmentation to cater EV load
• No provision for incentivizing EV charging stations
or battery swapping stations
• No EV purchase subsidy
• No incentives for scrapping or provision for
retrofitting
• No provision for battery recycling
• No provision for R&D in electric mobility
3.1.1.2.6 Karnataka
Key highlights of “Karnataka Electric Vehicle & Energy Storage Policy 2017”
Policy notified: 25 September 2017
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
104
Table 21 Key policy guidelines of Karnataka EV policy
Key policy guidelines
Institutional setup
• Karnataka Udyog Mitra to facilitate
EV/Battery/Charging Equipment manufacturer
in taking clearances from environment, labour
and other departments
• Technical committee to be set-up to certify
the EV component manufacturer including EV
Li-ion battery supplier claiming incentive and
concession under the policy
Discoms
• To examine permitting use of renewable
energy at low connection cost and offer zero
wheeling charges by EV charging station
Transport Department
• Selected state transport corporations to
introduce 1,000 EV buses during the policy
period
The EV policy of Karnataka aims to offer fiscal support towards manufacturing of EV charging stations,
however, there are not adequate demand-side incentives to boost sales of EVs.
Figure 116 Snapshot of promotional measures for EV value chain players
The state policy also focuses on promoting shared mobility and mandates parking spaces under its building
by-laws. It also envisages focus on upskilling its manpower and promoting R&D in electric mobility space.
Key policy targets:
100% fleet and
commercial electric
mobility in Bangalore
by 2030
To set Fast charging
station/Battery
swapping station at
every 50 km on
highways
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
105
Figure 117 Other key measures taken by Karnataka for uptake of electric mobility
Summary:
• Zero wheeling charges for EV charging station
procuring renewable power
• EV parks with plug and play facility
• Setting-up Udyog Mitra to ease out administrative
approval procedures
• Provides clarity on incentive disbursement
mechanism to manufacturer through Technical
Committee
• SPV of municipal corporation, discom, transport
company, industrial board and renewable energy
company to develop charging infrastructure
(improved coordination process)
• Plan to deploy used EV batteries for solar application
(clarity on battery lifecycle management)
• Stipend and in-plant training for upskilling
• No purchase incentive has been provided for EV
purchase (except reimbursement of vehicle taxes)
• No support provided to home charging/ workplace
charging
• Doesn’t identify avenues to arrange funds for policy
implementation
• No focus on public awareness
• No mandate for inducting EVs in government
offices/departments
• No focus to develop slow charging stations
• No focus on power system upgradation and
augmentation to cater to EV load
3.1.1.2.7 Madhya Pradesh
Key highlights of “Madhya Pradesh Electric Vehicle (EV) Policy 2019”
Policy notified: 01 November 2019
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
106
Table 22 Key policy guidelines of Madhya Pradesh EV policy
Key policy guidelines
Institutional setup
• Madhya Pradesh Urban Development &
Housing Department (UDHD) will be the
nodal department for the implementation
of the policy
• Government of Madhya Pradesh (GoMP) will
setup a high level committee consisting of
stakeholders from all concerned departments
• State Electric Mobility Board (Madhya
Pradesh Electric Mobility Board “MPEMB”)
shall be constituted as the apex body for
effective implementation of the policy
Govt. department
• All forms of Government vehicles ,
including vehicles under Government
Corporations, Boards and Government
Ambulances etc. will be converted to
electric vehicles by 2028
Electricity regulator
• MPERC to issue regulations, defining tariff
and related terms and conditions, for
Vehicle-to-Grid (V2G) sale of power to
meet the requirements of real time and
ancillary services for DISCOM
• Sale of power from battery swapping
stations to the grid will also be considered
as V2G sale of power
Discoms
• Discoms to invest in setting up both slow
and fast charging networks in
government buildings and other public places
• Discoms allowed to recover expenses done
in setting-up of charging infrastructure as
part of ARR
• Discoms shall release supply to
charging/battery swapping stations within 48
hours of application
Transport Department
• Inter State Bus Terminals (ISBT), bus
terminals and bus stops will have charging
stations
Space for EV charging
• Municipal Corporations Public parking spaces
will be mandated to have charging stations.
• All new permits for commercial
complexes, housing societies and
residential townships with a built-up area
5,000 sq.mt and above will mandatorily
have a charging stations
MP’s EV policy does not provide adequate push at the supply as well as demand side of EVs. However, it
provides for land at concessional rates to manufacturing facilities along with providing grants for R&D. EV
buyers are not provided with any subsidy.
Key policy targets:
25% of all new public
transport vehicles
registrations by 2026
Convert 100% of all
commercial and
logistics fleets to
electric fleet by 2028
Convert 100% of public
transport bus fleet into
electric buses
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Figure 118 Snapshot of promotional measures for EV value chain players
Madhya Pradesh included the provision of Electric Mobility Bonds by ULBs to ensure sufficient funding in the
electric mobility sector. The state is also promoting recycling of batteries and provides incentives for vehicle
scrappage.
Figure 119 Other key measures taken by Madhya Pradesh for uptake of electric mobility
Summary:
• Online portal for applying for EV related incentives
• Battery Swapping Station can provide real time and
ancillary service to have additional revenue stream
• No purchase incentive has been provided for EV
purchase (except road tax/registration fees
reimbursement/parking fees waiver)
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
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• Net Metering for Energy Operators (EOs) and
Battery Swapping Operators (BSOs) who set up
captive renewable energy facilities
• State Electric Mobility Board having cross-
department representations for effective
implementation of policy
• Mandate for govt. department for EV adoption
• Discoms are mandated to develop charging stations
and are allowed to recover expenses through tariff
• Allowed to establish and run public amenities
like cafeteria, public toilets and outdoor media devices
at charging station
• Identified avenues to arrange funds for policy
implementation (Electric Mobility Bonds)
• “E-Zones” with entry only to non-fossil fuel based
vehicles in Smart Cities
• Plan to stop registering new Auto (ICE vehicles) in
a phased manner
• Re-skilling of ICE vehicle mechanics/ Job fairs at
skilling center
• No support provided to home charging/ workplace
charging
• Vehicle scrappage incentive limited to buses
• No plan to provide plug and facility to attract EV
manufacturer and component manufacturer
• No focus on power system upgradation and
augmentation to cater EV load
3.1.1.2.8 Kerala
Key highlights of “Policy on Electric Vehicles for the State of Kerala ”
Policy notified: 10 March 2019
Table 23 Key policy guidelines of Kerala EV policy
Key policy guidelines
Institutional setup
• Technical Advisory committee - Mobility
State Level Task Force (e-MobSLTF) will be
set up by Government. Committee shall
define and strategize the policy for
development of sector. Committee shall
scrutinize the technology adoption and
manufacturing proposal and recommend
the Government for its adoption
Discoms
• Discom to set-up fast charging station
and battery swapping station in PPP mode
• Discom to set-up slow AC charging
station on street and parking lots with
Standard 15A outlet for slow charging
(Charging station 20 each in Trivandrum,
Ernakulum and Kozhikode)
• Discom to set-up Battery Swapping
Station, swapping operation to be done by
independent player selected through
transparent bidding process (150 battery
Key policy targets:
1 million EVs on road
by 2022
Replacing existing
6000+ buses with e-
buses by 2025
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swapping station in Trivandrum, Ernakulum
and Kozhikode)
The policy extends support to EV manufacturers and buyers, however no fiscal or non -fiscal support is
provided to the EV charging or battery swapping operators.
Figure 120 Snapshot of promotional measures for EV value chain players
Note: Capital subsidy is only given to 3W only
The state policy includes provision for special tariff for EVs including promotion of home or workplace
charging. The state is also promoting skill development and R&D in EV space. Along with these, Kerala
announced no new registration of ICE vehicles in certain cities of the state.
Figure 121 Other key measures taken by Kerala for uptake of electric mobility
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
110
Summary:
• Plan for mandating certain cities to convert all 4W as
EV by enforcing them as ‘Pollution free Zone’
• Mandate for Discom to set-up charging station and
battery swapping station in PPP mode
• Plan to set-up fund for technology acquisition
• EV parks with plug and facility
• ‘electric mobility zone’ in certain pilot region such
as tourist villages/spots, technology hubs
• Plan to stop registering new Au to (ICE vehicles) in
certain cities
• No clarity on recovery of expense made by
Discoms in developing of charging infrastructure
• Purchase incentive is limited to only 3W
• Interest subvention on loan is limited to
Government employees only
• No support provided to home charging/ workplace
charging
• Doesn’t identified avenues to arrange funds for
policy implementation
• No focus on public awareness
• No mandate for inducting EVs in government
offices/departments
• No vehicle scrappage policy
• No provision to have single window clearance
system/dedicated help desk to expedite
Administrative approval
• No plan to amend building bye -laws to enable
home/workplace charging
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
3.1.1.2.9 Tamil Nadu
Key highlights of “Tamil Nadu Electric Vehicle Policy 2019”
Policy notified: 16 September 2019
Table 24 Key policy guidelines of Tamil Nadu EV policy
Key policy guidelines
Institutional setup
• Tamil Nadu Industrial Guidance and
Export Promotion Bureau will be set-up
for sanctioning of incentives provided by
Government to Industries
• All investment proposals under the EV
sector will be provided the necessary
facilitation through the Single Window
Clearance facility
• Created a high-level Steering
Committee formed to monitor the
implementation of the policy
Industries Department
• The Industries Department will be the
nodal department for the implementation
of all manufacturing related incentives
Key policy targets:
Commercial fleets are
encouraged to convert
into EV
Introduce 1000 new e-
buses every year
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Energy department
• The Energy Department will ensure that
public and private charging station are
provided with all necessary facilitation
and incentive
Discoms
• State Discom to invest in setting up both
Slow and fast charging networks in
Government buildings and other public
places
Transport Department
• Shall act as nodal department for
issuing guidelines to achieve the other
objective of EV policy
Tamil Nadu’s EV policy greatly supports EVs and component manufacturers and provides various incentives
to EV buyers. The EV charging station owners would receive capital subsidy on setting up of charging
stations.
Figure 122 Snapshot of promotional measures for EV value chain players
Note: Capital subsidy is given only on purchase of e-buses
Tamil Nadu is also promoting shared mobility in the state. The policy has provided for special tariff for
charging of EVs and its building by-laws have made it mandatory to allow adequate space for EV chargers.
The state also aims to focus on R&D and skill development in electric mobility space.
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
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Figure 123 Other key measures taken by Tamil Nadu for uptake of electric mobility
Summary:
• Single Window Clearance facility for all investment
proposals under the EV sector
• Discoms are mandated to develop charging stations
• High-level Steering Committee having cross-
department representations for effective
implementation of policy
• Responsibility division among department
(separate nodal Department for charging infra
development, manufacturing facilitation and EV policy
implementation)
• Plan to provide capital subsidy for development of
Public Charging Stations
• Interest subvention on loan for Medium Industries.
Additional capital subsidy for MSME
• Reimbursement of employer's contribution to
the EPF for all new jobs created till 2025
• One-time Re-skilling allowance for existing
employees
• Logistic Parks and Free Trade/Warehousing Zones
for better inventory management
• EV parks with plug and facility
• EV Venture Capital Fund to offer financial support
to EV start-ups
• Long policy tenure (10 years), help in providing
long term stability of policy terms and building
confidence among investors
• No clarity on recovery of expense made by
Discoms in developing of charging infrastructure
• Purchase incentive is limited to only buses
• Commercial tariff applicability for EV charging
• No vehicle scrappage incentive
• No support provided to home charging/ workplace
charging
• Doesn’t identify avenues to arrange funds for policy
implementation
• No focus on public awareness
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
113
3.1.1.2.10 Bihar
Key highlights of “Draft Bihar Electric Vehicle Policy 2019”
Draft policy issued: 08 March 2019
Bihar has issued a draft EV policy on March 2019
with a tenure of five years. The policy does not have
any guidelines for institutional setup or any mandate
for any government department to promote electric
mobility.
However, the state policy provides several fiscal and
non-fiscal incentives to EV OEMs, component manufacturers, EV buyers and charging station oper ators.
Figure 124 Snapshot of promotional measures for EV value chain players
Key policy targets:
100% electric mobility
by 2030
100% e-rickshaw by
2022
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 125 Other key measures taken by Bihar for uptake of electric mobility
Summary:
• Addressed the gaps of FAME-II, extended purchase
incentive support to private vehicle owners as
well
• Private investors are encouraged to set-up
Industrial park/EV Parks
• Interest subvention on loan for development of
Charging Infrastructure and setting-up of EV parks by
private investors
• Plan to set-up EV Park by government with plug and
play facilities
• Special incentive package for women/ differently
abled persons/ SC/ ST etc. for setting up of
manufacturing unit or development of charging
infrastructure
• Primary focus on replacing of ‘Paddled rickshaw’
with EV
• No institutional mechanism proposed for
implementation of EV Policy
• No support provided to home charging/ workplace
charging
• Plan for setting public charging infra is limited to
cater Rickshaw-pullers only
• Doesn’t identify avenues to arrange funds for policy
implementation
• No focus on public awareness
• No mandate for inducting EVs in government
offices/departments
• No vehicle scrappage policy
• No provision to have single window clearance
system/dedicated help desk to expedite
Administrative approval
• No separate EV tariff, industrial tariff for EV
charging station
• No focus on power system upgradation and
augmentation to cater EV load
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
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3.1.1.2.11 Punjab
Key highlights of Draft “Punjab Electric Vehicle Policy (PEVP) 2019”
Draft policy issued: 15 November 2019
Table 25 Key policy guidelines of Punjab draft EV policy
Key policy guidelines
Institutional setup
• EV Cell to be established within the
Transport Department for effective day-to-
day implementation of the EV Policy
• State EV Committee to act as the apex
body for effective implementation of the
State EV Policy.
• Discom has been designated as the
State Nodal Agency for development of EV
Charging Infra
• District Level Implementation
Committee (DLIC) shall be responsible for
creation/approval of charging infrastructure.
Govt. departments
• 100% transition of public vehicle fleet to
electric in a phased manner (used in offices)
Discoms
• Discom is the State Level Nodal Agency
(SLNA) for implementation of Charging
Infra. It would be responsible for setting
up charging infra on State Highways in co-
ordination with PWD and also aggregate
procurement at the State Level
• Discom and District Level
Implementation Committee (DLIC)
responsible for providing permit and
inspection of charging infra (would develop
detailed guidelines for the same to simplify
the approval, renewal and inspection process
to be completed in a time bound manner.)
• Discom is designated as SLNA for
implementation of EV Charging Infra
Transport Department
• Policy interpretation and coordination
with state EV Cell. Enable implementation of
incentives related to the department
The state policy provides several fiscal and non-fiscal support to EV value chain players such as concessional
allotment of land, capital subsidy, tax rebate etc.
Key policy targets:
100% transition
towards electric in
“target cities” in a
phased manner
Replace 25% of bus
fleet under Department
of Transport to e-
buses
2W/3W sales to reach
25% penetration during
the policy period
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Figure 126 Snapshot of promotional measures for EV value chain players
The state promotes shared mobility in the state along with R&D and skill development. The policy also
supports battery recycling and vehicle scrapping.
Figure 127 Other key measures taken by Punjab for uptake of electric mobility
Summary:
• District Level Implementation Committee (DLIC)
chaired by District Collector responsible for monitoring
of policy implementation and easing out
administrative approval process.
• No purchase incentive has been provided for EV
purchase (except waiver of Motor Vehicle Tax)
• No support provided to home charging/ workplace
charging
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
117
• Well established institutional mechanism . DLIC
to report State EV Committee, apex body for
implementation of EV policy
• Cross-department representation in EV Committee for
policy implementation
• e-marketplace for resale of used batteries
• Discom is mandated to develop charging stations
across highways and to aggregate demand at State
level
• Dedicated inspection and approval desk to be
set-up by discom for quick and easy approval for
charging infra development
• Vehicle Scrappage incentive
• Special vehicle tax waiver for EVs manufactured in
Punjab State
• 5 cities to have “Special Green Zone” and “Green
Transportation Corridor”
• EV parks with plug and facility
• Efforts taken to ease out administrative approval
procedures
• Stipend to employees for upskilling
• Employment generation subsidy to EV/ component
manufacturer
• 100% Electricity Duty Exemption on using
electricity for EV charging purpose
• Plan to stop registering new Auto (ICE vehicles) in
certain cities
• Doesn’t identify avenues to arrange funds for policy
implementation
• No clarity on recovery of expense made by
Discoms in developing of charging infrastructure
• Interest subvention on loan for EV owner or
manufacturer is not considered
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
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3.1.1.2.12 Telangana
Key highlights of “Telangana Electric Vehicle Policy – Draft”
Draft policy issued: 27 September 2017
Note: Final EV policy of Telangana has been approved by state cabinet on 5
th
August 2020; policy not
available in public domain
Table 26 Key policy guidelines of Telangana draft EV policy
Key policy guidelines
Institutional setup
• Steering Committee for EV Charging
Infrastructure: Responsible for time bound
implementation of charging station network
• Telangana State EV Advisory council: To
advise the Government on remedial
measures required to address any concern as
well as course corrections at policy level.
Council will have representatives from
Industry, Academia and Research
• Single-Window System - An escort officer
will be appointed at Commissioner of
Industries and TSIIC office to ensure fast
track clearance and grievance redressal for
applications received from EV
vehicle/component manufacturers
• Change in Labour laws - permission to the
Electric Vehicle and components industry for
24x7, employment of women in night shifts,
flexibility in employment conditions,
• EV industry will be declared a ‘Public
Utility’
Govt. departments
• Government vehicles (owned and
contractual) to switch to all electric by
2025, in phased manner
Discoms
• Encourage to set-up charging
infrastructure
Transport Department
• Target for phased adoption of e-buses
(25% by 2022, 50% by 2025 and 100% by
2030)
Telangana EV policy provides balanced support to all EV value chain players. It encourages EV manufacturers
to setup plants in the state by providing them land and plug and play facility. The EV buyers in the state are
exempt from giving road tax, and the charging infrastructure receives land, capital subsidy and SGST rebate
from the state.
Key policy targets:
100% EV migration by
2030
Intra-city goods
delivery services to
switch to EVs by 2030
2W/3W sales to reach
25% penetration during
the policy period
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Figure 128 Snapshot of promotional measures for EV value chain players
Telangana focuses on promoting R&D and skill development in the state. It includes provision for special
tariff for EV charging. The state also promotes adoption of EV charging station by providing capital subsidy
to home chargers and mandates commercial complexes, housing soci eties etc. to have an EV charging
station.
Figure 129 Other key measures taken by Telangana for uptake of electric mobility
Summary:
• Single-Window System - An escort officer be
appointed at Commissioner of Industries and TSIIC
• No purchase incentive has been provided for EV
purchase (except road tax exemption)
Category
Value chain players Battery OEMs
Component
manufacturers
EV OEMs
Individual/
institutional
buyers
EV Charging
station
Battery swapping
stations
Key policy measures
Infrastructure
Allotment of land
Land at concessional rate
Logisticssupport
Plug& Play facility
Fiscal & Non
-
fiscal incentives
Capital subsidy
Interest subvention
SGST rebate
Stamp duty exemption
ElectricityDuty exemption
Road tax exemption
Subsidizedelectricity
Subsidizedwater
Other fiscal incentives
Other non-fiscal incentives
High impact policy measures Included in the policy Not included in the policy
Retrofitting EV tariff Building by-laws
Home/Workplace
charging
Promoting digital
payment
Public awareness
Funding
arrangement^
Promotion of
shared mobility
R&D Skill developmentBatteryrecycling
Vehicle scrappage
incentive
Included in the policy Not included in the policy^ Identification of funding sources Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
120
office to ensure fast tracked clearance and grievance
redressal
• Mandate for EV adoption
• Mandate for govt. department for EV adoption
• Electricity Duty Exemption on using electricity for
EV charging purpose
• EV parks with plug and facility
• Plan to have mandatory provision for having
Charging points in all commercial buildings
• Mandate for Transport Department to have 100%
fleet of e-buses by 2030
• Interest subvention on loan for purchase of EV is
limited to Government employees only
• No support provided to home charging/ workplace
charging
• No mandate for Discom to set-up charging
infrastructure
• Plan to set-up charging infra for Government
employees only
• No vehicle scrappage incentive
• Doesn’t identified avenues to arrange funds for
policy implementation
• No focus on public awareness
• No plan for battery recycling
• No focus on power system upgradation and
augmentation to cater EV load (through network flow
study)
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3.1.1.3 Summary of state policies
Tabular summary of state policies briefed in Section 3.1.1.2:
Table 27 Tabular comparison of state EV policies
Parameter DL AP UP MH UK KA MP KL TN BR* PB* TS*
Institutional Mechanism and
Target
EV target ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Institutional setup ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Model EM cities ✓ ✓
Policy Mandates
EV adoption mandate to institutions ✓ ✓
Plan for induction of EVs in
government department
✓ ✓ ✓ ✓ ✓
Mandate for Discoms ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Mandate for Transport Department ✓ ✓ ✓
Demand Incentives
Fiscal Incentives -2 W ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Fiscal Incentives -3 W (e-auto, e-
rickshaw and e-cart)
✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Fiscal Incentives -4 W ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Fiscal Incentives -2W fleet/ 4 W
(Fleets)
✓ ✓ ✓ ✓
Fiscal Incentives - Bus ✓ ✓ ✓ ✓ ✓
Fiscal Incentives - Goods carrier ✓ ✓ ✓ ✓ ✓
EV Charging infrastructure
Incentive for public charging
deployment
✓ ✓ ✓ ✓ ✓ ✓ ✓
Incentive for Energy Operator/Battery
Swapping station
✓ ✓ ✓ ✓ ✓ ✓ ✓ Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy, regulation and technical standards for electric mobility and LCPRT
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Parameter DL AP UP MH UK KA MP KL TN BR* PB* TS*
Incentive for Home/Workplace
charging
✓ ✓ ✓ ✓
Manufacturing
Incentive to manufacturer ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Focus on promotion of auto-ancillary
manufacturer
✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Provision for Industrial Parks and
Clusters for EV/Ancillary
manufacturing
✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Battery OEM ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Scrapping and recycling
Vehicle scrappage incentive ✓ ✓ ✓
Battery recycling related provision ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Miscellaneous
Payment system and information
exchange
✓ ✓ ✓ ✓
Identification of source of funding for
various incentives declared in policy
✓ ✓
Skill Development/Job creation ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
R&D ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
Public awareness ✓ ✓ ✓
Changes in building bye-laws ✓ ✓ ✓ ✓ ✓ ✓
Note: *Draft; DL: Delhi; AP: Andhra Pradesh; UP: Uttar Pradesh; MH: Maharashtra; UK: Uttara khand; KA: Karnataka; MP: Madhya Pradesh; KL: Kerala; TN: Tamil Nadu; BR: Bihar; PB: Punjab; TS:
Telangana
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Promotion of electric mobility by California (USA) and China
California and China have set an example in promoting electric mobility, in their respective regions. While
California has the maximum penetration of electric vehicles across United States, China is the global leader
in EV sales. One common aspect of such successful adoption of electric mobility in these regions is favourable
policy and regulatory support to encourage use of EVs.
Below tables list some of the key supporting measures adopted by California and China:
CALIFORNIA
EV OEMs
✓ Manufacturers with annual sales greater than
60,000 vehicles must sell 14% sales from
zero emission vehicle
EVSE and
battery
swapping
✓ Utilities are mandated to file transportation electrification proposals (plan to set-
up charging Stations) with commission
✓ California Energy Commission (CEC) provides funding (loan) to the EV charging
stations
✓ Institutional set-up for assessment of EVSE requirement to support on road EVs
✓ Mandatory Electric Vehicle Supply Equipment (EVSE) Building Standards for EVSE
installation in parking spaces
✓ State agencies are directed to actively identify and pursue opportunities to install
EVSE, and accommodate future EVSE demand, at state employee parking
facilities in new and existing agency buildings
✓ Commission allows investor-owned utilities to own and operate charging stations
Consumers
✓ EV owners earn Low Carbon Fuel Standard (LCFS) credit which is used to receive
rebate in energy charges
✓ Electricity used to charge PEVs at a state-owned parking facility is exempt
✓ EV purchase incentive up to $7,000 under Clean Vehicle Rebate Project (CVRP)
✓ EV owner receive exemption for High Occupancy Vehicle (HOV) and High
Occupancy Toll (HOT) late
✓ Incentive Programs for Alternative Fuel Vehicle (AFV) parking
Legend: Measures that can be adopted by India
CHINA
EV OEMs
✓ Vehicle manufacturers to meet 10% and 12%
new energy vehicle credit targets in 2019 and
2020
123
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EVSE and
battery
swapping
Consumers
Central level initiatives
✓ Purchase incentives are provided based on electric drive range and other technical
parameters
✓ Plan to develop huge network of Charging Infrastructure; Incentives for charging
infrastructure development
✓ Support for electric car-sharing pilots
State level initiatives
✓ Cities are providing subsidy over and above the central government subsidies
✓ EVs are exempted from the annual Vehicle and Vessel Tax in China
✓ Reduction in parking fees for EVs
✓ License plate fee waived for EVs
✓ Maximum cap on EV charging fees
✓ Capital subsidy on home chargers
✓ Exemption on road toll
✓ Dedicated parking space for EV owners
✓ Road access privilege – In congested cities EVs are exempted from odd-even
restriction
Legend: Measures that can be adopted by India
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Key recommendations for state policies
Best policy practices for promotion of electric mobility value-chain:
Key policy recommendations
Institutional setup
✓ Formulate a cross-department apex committee constituting members
from at least the Transport Department, Energy Department, Industrial
Development, and Housing and Urban Development for better co -
ordination, policy implementation and effective monitoring.
✓ Set-up a District Level Implementation Committee headed by District
Collector for field level monitoring and implementation of EV policy; and
to smooth out administrative approval processes
OEMs
✓ Online portal and single window clearance system for availing clearances
and subsidies/rebate in transparent manner
✓ Provision for interest subvention on loan
✓ Provision for State Guarantee on loan for Micro and Small Industries
✓ State support in knowledge and technology transfer (Technology transfer
fund could be created as proposed in Kerala policy)
✓ Longer policy tenure to develop confidence among industrialist in
sustainability of rebates and subsidies for longer horizon
✓ Employment generation subsidy to be included as part of state policy
(Punjab is providing employment generation subs idy to industrialist in
EV domain, Rs. 36,000 per male employee and Rs. 48,000/ per employee
per year in case of females and SC/ST/OBC employee )
✓ Reimbursement of employer's contribution to the E PF for all new jobs
created in EV industry (Tamil Nadu have similar policy provision)
✓ Stipend to individual taking in-plant training in manufacturing units
Network operators
✓ Discoms to mandatorily file transportation electrification proposal (plan
to set-up charging stations)
✓ Targets to discoms on installation of EV charging infrastructure
✓ Policy should encourage conducting network flow study to assess the
need of power system upgradation and augmentation due to EV charging
and provide capital subsidy for development of infrastructure
✓ Allow recovery of network investment cost through regulatory provisions
of ARR and Tariff Determination
EVSE and battery
swapping
✓ Online portal and single window clearance system for availing clearances
and subsidies/rebate in transparent manner
✓ Allow Charging Infra Developer to use certain percentage of allotted land
to open public amenities such as cafeteria/food zone etc. to have
additional revenue stream to ensure sustainability of business (Madhya
Pradesh EV policy has made similar provision)
✓ Provide opportunity to Battery Swapping Stations to participate in real
time market and ancillary service market
✓ Discoms to be mandated to provide connectivity within a limited time
frame under State Guaranteed Delivery of Service Act
125
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Key policy recommendations
✓ Electrical Inspectorate Department/ Discoms to be mandate d to set-up
express helpdesk for expediting inspection and clearance in respect of
CEA Regulations for electrical safety and grid interconnection
Consumers
✓ EV Purchase subsidy over and above FAME II subsidy
✓ Interest subvention on loan amount taken for EV purchase
✓ Creation of non-financial incentives such as priority lanes, reserved
parking for EV only vehicle in commercial/shopping complexes etc.
✓ Incentives for vehicle scrapping
Financing
✓ Include EVs and associated business in priority lending sector
✓ State backed loan guarantee s for EV and associated component
manufacturers
✓ Electric Mobility Bonds (Madhya Pradesh have similar provision)
✓ Use of fee-bate concept for funding of policy provisions (Delhi policy have
similar provision), whereby additional taxes to be levied on conventional
fuel vehicle
Miscellaneous
✓ Green Zone to be demarcated within cities that permit only EVs and
charge heavy taxes on conventional fuel vehicle
✓ Green Corridors to be earmarked on which only e-buses are provided
permit to operate
✓ Provision for providing training in electric mobility, upskilling of existing
ICE mechanics needs to be focused in State policies
✓ Disseminate public awareness through launching test driv es,
competitions, celebrating Electric mobility day etc.
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3.1.2 Clean fuel
3.1.2.1 Initiatives for monitoring and control of air pollution in India
From the early 1970s, factors such as rapid industrialization and urbanization led to increased pollution
levels. This led to rising concerns among environmentalists and government authorities which drove the
need for creation of an institution for overseeing efforts on curbing such pollution levels. This led to the
establishment of Central Pollution Control Board (CPCB) on 22
nd
September 1974 under the Water
(Prevention and Control of Pollution) Act, 1974. CPCB along with SPCBs act as the key machinery of the
Government for planning and execution of nation-wide programme for the prevention, control, or abatement
of water and air pollution.
Post the formation of CPCB, several initiatives have been taken for curbing pollution. Some of the key
initiatives taken by the government in area of monitoring and control of air pollution are provided below:
Figure 130 India's initiatives for monitoring and control of air pollution – Timeline
Source: 76 Deloitte analysis
The Air (Prevention and Control) Act 1981 introduced the concept of Air Quality Management (AQM) to
safeguard the environment. MoEF&CC (previously MoEF), constituted in 1985, is the nodal agency in the
administrative structure of the Central Government responsible for AQM. Along with MoEF&CC, there are
several other ministries, departments and institutions who play important role in effective operation of AQM
mechanism. The overall institutional mechanism of AQM in India is provided in Figure 131.
Central Pollution Control
Board (CPCB) was
established Under the
Water (Prevention and
Control of Pollution) Act,
1974
1974
To improve the quality of air
and to control air pollution,
CPCB was conferred with
powers under Air (Prevention
and Control of Pollution) Act,
1981
1981
CPCB launched
National Air Quality
Monitoring
Programme (NAMP)
to measure four air
pollutants –SO
2, NO
2,
PM2.5 and PM10
1984
National Ambient
Air Quality
Standards
(NAAQS)were
introduced. Notifying
permissible level of
12 types of air
pollutants
1994
NAQQS are revised to
lower down the maximum
permissible limits for
pollutants
2009
National Air Quality Index (AQI)
was launched, under the Swachh
Bharat Abhiyan
CPCB and IIT Kanpur developed
methodology to Calculate Air
Quality Index (AQI) on October
2014
2015
National Clean Air
Programme (NCAP)
launched. Set national level
target to achieve 20%–30%
reduction of PM2.5 and
PM10
concentration by 2024 with
2017 as base year
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Figure 131 Institutional mechanism of AQM
Source: 77 Strategies to reduce air pollution in India (access here)
3.1.2.1.1 National Air Quality Monitoring Progr amme (NAMP)
NAMP embarked the journey for air quality monitoring in India with establishment of air quality monitoring
stations. In 1984, the programme was originally called as the National Ambient Air Quality Monitoring
(NAAQM) and started at Agra and Anpara with 7 stations, the programme has since been substantially
expanded.
Major objectives of NAMP are to:
1. Determine the status and trends of ambient air quality
2. Ascertain whether the prescribed ambient air quality standards are violated;
3. Identify non-attainment cities;
4. Obtain the knowledge and understanding necessary for developing preventive and corrective
measures
5. Understand the natural cleansing process undergoing in the environment through pollution
dilution, dispersion, wind-based movement, dry deposition, precipitation, and chemical
transformation of the pollutants generated
At present, there are 793 manual operating stations across India
40
in 344 cities and towns, monitoring air pollutants such as SO2, NO2,
PM10, and PM2.5
41
The monitoring of pollutants at manual station is carried out by taking 4-hourly sampling for gaseous
pollutants and 8-hourly sampling for particulate matter (during 24 hours) with a frequency of twice a week,
to have one hundred and four (104) observations in a year.
40
CPCB Monitoring Network (access here)
41
PM10: Suspended particulate matter; PM2.5: Fine particulate matter
State
Level
Central
Level
Ministry of Environment, Forest and Climate
Change
Central Pollution Control Board
Environment Pollution Control Authority
Ministry of Petroleum & Natural Gas
Ministry of Road Transport & Highways
Other Central Ministries/Agencies
R&D Centers & other Institutions
Department of Environment
Pollution Control Board/Committees
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Figure 132 Snapshot of air pollution monitoring and institutional mechanism
In addition to above, there are 231 Continuous Ambient Air Quality Monitoring Stations (CAAQMS) established to monitor live air quality data on
8 parameters - PM10, PM2.5, SO2, NO2, ammonia (NH3), CO, ozone (O3), and benzene.
CPCB: Central Pollution Control Board; SPCBs: State Pollution Control Boards; PCCs: Pollution Control Committees; NEERI: National
Environmental Engineering Research Institute
The monitoring is carried out with the help of Central Pollution Control Board; State Pollution Control Boards;
Pollution Control Committees; National Environmental Engineering Research Institute (NEERI), Nagpur. The
monitoring of meteorological parameters, such as wind speed and wind direction, r elative humidity (RH),
and temperature are also integrated with the monitoring of the air quality.
3.1.2.1.2 National Ambient Air Quality Standards (NAAQS)
India’s first ever ambient air quality standard was adopted by CPCB on November 11, 1982. The CPCB later
notified National Ambient Air Quality Standards in April 1994 by exercising its powers conferred to it by Sub-
section (2) (h) of section 16 of the Air (Prevention and Control of Pollution) Act, 1981 (Act No. 14 of 1981).
The standard was further revised in October 1998.
Major objectives of NAAQS are to:
1. Indicate necessary air quality levels and appropriate margins required to ensure the protection
of vegetation, health, and property
2. Provide a uniform yardstick for the assessment of air quality at the national level
3. Indicate the extent and need of the monitoring programme
In November 2009, CPCB suppressed all its previous notifications issued in relation to NAAQS and issued
stringent norms for air quality standards. Further, it has recognized and specified permissible norms for new
set of pollutants that includes – PM2.5, Benzene, Benzo (a) Pyrene, Arsenic and Nickle.
CPCB
SPCBs
PCCs
NEERI
Monitoring Institutions
29 States
6 UTs
Coverage
793 Manual
231 Continuous
Monitoring Stations
Parameters Monitored
1
2
PM2.5
PM10
3
4
SO
2
NO
2
5
6
CO
O
3
7
8
Ammonia
Benzene
Manual Stations
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Figure 133 Timeline of air quality standards adopted by India
Source: 78 CPCB
Although the NAAQS specified in 2009 are stringent than norms specified in 1998, but these are still higher
than the norms specified by World Health Organization (WHO) in 2005. The comparison of norms specified
under NAAQS and WHO guidelines is provided in Annexure – 6.3 (Table 70).
3.1.2.1.3 National Air Quality Index (AQI)
On 6th of April 2015, Prime Minister of India has launched the National Air Quality Index, for monitoring the
quality of air in major cities across the country on a real-time basis and enhancing public awareness for
taking appropriate action to reduce air pollution. The AQI is promoted as ‘one number, one colour and one
description
42
' to inform the public about air quality in a simple and easily understandable format. There were
14 cities covered under AQI monitoring at the time of launch, however it has been expanded to 224 cities
43
till date. CPCB and IIT Kanpur jointly developed the methodology
44
for calculation of AQI. The AQI
categorization is provided in Table 28.
Table 28 AQI categorization and associated health impacts
AQI Associated Health Impacts
Good (0-50) Minimal Impact
Satisfactory (51-100) May cause minor breathing discomfort to sensitive people
Moderate (101-200) May cause breathing discomfort to the people with lung disease such as asthma and
discomfort to people with heart disease, children and older adults.
Poor (201-300) May cause breathing discomfort to people on prolonged exposure and discomfort to
people with heart disease with short exposure.
Very Poor (301-400) May cause respiratory illness to the people on prolonged exposure. Effect may be
more pronounced in people with lung and heart diseases.
Severe (401-500) May cause respiratory effects even on healthy people and serious health impacts on
people with lung/heart diseases. The health impacts may be experienced even during
light physical activity.
Source: 79 CPCB – National Air Quality Index portal (access here)
42
Launch of National AQI (access here)
43
National Air Quality Index portal (access here)
44
AQI Methodology (access here)
First ambient air
quality standards were
adopted November
11, 1982by the
Central Pollution
Control Board (CPCB)
Central Pollution
Control Board (CPCB)
notified National
Ambient Air Quality
Standards, 1994 on
11
th
April, 1994
Central Pollution
Control Board (CPCB)
notified Revised
National Ambient Air
Quality Standards,
2009 on 18
th
November, 2009
1982 1994 2009
124
Revision in National
Ambient Air Quality
Standards, 1994 on
14
th
October, 1998
1998
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Source: 80 Image: CNN; CPCB - Graded Response Action Plan for Delhi and NCR (access here)
3.1.2.1.4 National Clean Air Programme
The reference standards for various pollutants contributing towards air pollution and mechanism for
monitoring of such pollutants were established through various initiatives taken by CPCB and
Central/State Government before the launch of National Clean Air Programme. However, in the absence
of any nation-wide effort to curb the level of pollutants, the quality of air continued to deteriorate over
the years. In 2019, India was ranked 5
th
in world’s most polluted countries and 6 of the world’s 10 most
polluted cities were from India.
Box 16: Graded Response Action Plan for Delhi & NCR
In 2016, Central Pollution Control Board (CPCB)
enforced “Graded Response Action Plan for Delhi &
NCR” to tackle degrading air quality in the region of
Delhi & NCR. The Graded Response Action Plan was
prepared for implementation under different Air Quality
Index (AQI) categories as per National Air Quality
Index. Also, a new category of “Severe+ or
Emergency” has been added in the Action Plan.
Some of key action plans is provided below:
✓
Stopping entry of truck traffic into Delhi
(except essential commodities)
✓ Stopping construction activities
✓
Introducing odd and even scheme for
private vehicles based on license plate
numbers and minimize exemptions
✓
Shutting down brick kilns, Hot Mix plants,
Stone Crushers
✓
Shutting down Badarpur power plant and
maximize generation of power from existing
natural gas based plants to reduce operation
of coal based power plants in the NCR
✓
Intensifying public transport services;
introducing differential rates to encourage
off-peak travel
✓
Increasing frequency of mechanized
cleaning of road and sprinkling of water on
roads; identifying road stretches with high
dust generation
✓ Stopping the use of diesel generator sets
✓ Enhancing parking fee by 3-4 times ✓
Increasing bus and metro services by
augmenting contract buses and increasing
frequency of service
✓
Stopping the use of coal/firewood in hotels
and open eateries
✓
Alerting in newspapers/TV/radio to advise
people with respiratory and cardiac patients to
avoid polluted areas and restrict outdoor
movement
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Figure 134 India: Problems with pollution
Source: 81 IQ Air
Air pollution led to 1.24 million or 12.5% of the total deaths recorded in the country during 2017 alone. With
the alarming air pollution levels across India the urgency of a national level action plan was therefore
inevitable.
In response to the same, the National Clean Air Programme (NCAP) was launched in January 2019, by
MoEF&CC, with the primary objective of implementing mitigation measures for prevention, control and
abatement of air pollution, expanding the national air quality monitoring network, building capacity for air
pollution management, and strengthening public awareness about the dangers of air pollution.
Figure 135 Snapshot of National Clean Air Programme
With the launch of NCAP, the Central Government aims to cut the concentration of coarse (particulate matter
of diameter 10 micro meter or less, or PM10) and fine particles (particulate matter of diameter 2.5 micro
meter or less, or PM2.5) by at least 20% in the next five years, with 2017 as the base year for comparison.
Goal
To meet the prescribed annual average
ambient air quality standards at all
locations in the country in a stipulated
timeframe (long-term)
Target
To achieve 20%–30% reduction
of PM2.5 and PM10
concentration by 2024 at
national level, with 2017 as the
base year for the comparison of
concentration.
Approach
•Multi-sectoral & Collaborative
•Integrating it with other
ongoing initiatives of GOI
towards pollution control
•Identification of 102 non-
attainment cities based on
NAAQS data (2011-2015)
•SPCB/State Government
commitment to prepare city-
wise customized action plan
to curb air pollution
102 Cities covered
(Including 43 Smart Cities)
Integrated with NAPCC, and other
ongoing policies and programme in
reference to climate changes
Five-year action plan starting from
2019, extended to 20–25 years in the
long-term after a mid-term review of the
outcomes
CPCB is Nodal Institution for
execution of NCAP
Nodal agency for the implementation
of various provisions on control of air
pollution from vehicles
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The key components of NCAP are segregated across three broad
categories – Knowledge and Database Augmentation, M itigation
Actions and Institutional Strengthening.
Figure 137 provides the snapshot of NCAP key components as outlined under the policy document. The list
of action-points/ steps suggested for Knowledge and Databa se Augmentation, Mitigation Actions and
Institutional Strengthening are placed at Annexure 6.3.
Figure 136 Key components of NCAP
Under NCAP eight sectoral interventions have been identified around which the identified cities (102 non-
attainment cities) have been directed, under Section 31A of the Air (Prevention and Control of Pollution)
Act, 1981, to develop action plan for maintaining air quality within the prescribed norms. The various
interventions as identified under NCAP, cover the pollution caused due to re-suspended road dust control,
construction and demolition related dust, power sector and industrial emissions, transport sector emissions,
agricultural emissions and emissions from unsustainable waste management practices.
Figure 137 Key sectoral interventions under NCAP
Action-points for each of the above, as shown in the figure, are detailed in the NCAP. For the purpose and
coverage of this report, the Actions-Points pertaining to Transportation sector and Power sector are
reproduced as below:
Key
components
of NCAP
Institutional Strengthening
Mitigation Actions
Knowledge & Database
Augmentation
•Air Information Centre
•Air Quality Forecasting System
•Certification system for monitoring
instruments
•Intensive training & Awareness
•Capacity Building
•Network of technical Institutions
•Technology Assessment Cell•Air Quality Monitoring Network
•National Emission Inventory
•Health Impact Studies
•International Cooperation
•Source apportionmentfor non-
attainmentcities
•Review of Standards
•Extensive Plantation Drive
•State, City and Regional Action Plan for
Non-attainment Cities
•Technology Support
Electric mobility
Industrial
Emission
Indoor Air
Pollution
Integrated Waste
Management
Transport
Emission
Agriculture
Emission
Power Sector
Emission
Clean construction and
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Figure 138 Action points for transport and power sector under NCAP
Note: Action-points for each sector are placed at Annexure 6.3
Stringent implementation of BS VI norms all over India by April 202001
Action points for Transport Sector
In-use vehicles
Green Mobility
01
Stringent implementation of National Biofuel Policy
with respect to ethanol and biodiesel blending target of
20% and 5%, respectively by 2030
02
City action plans to review the extension of MRT in
cities/towns
03
Improvement and strengthening of inspection and
maintenance system for vehicles through extension of
I&C centers
04
Stringent implementation of PUC certificate through
regular inspection and monitoring.
05
Fleet modernization and retro-fitment programmes
with control devices
06
Reducing real-world emissions by congestion
management
07
Review the Green Corridor Project and feasibility of its
extension with reference to 102 cities
08
To review the scaling up of Pilot project of MoPNGfor
introducing CNG in 2W and ensure timely
implementation
09Scaling up of R&D on use of Hydrogen as transport fuel
E-Mobility
01
Formulation of a national-, state-, and city-specific
action plan for e-mobility
02
Rapid augmentation of charging infrastructure in the
country focusing on 102 cities
03
Central government offices fleets older than 15 years
to be shifted to electric vehicles
04
Government-run buses for public transport, private
buses, and 3-wheelers to be converted to EVs
05Gradual transition to e-mobility in the 2-wheeler sector 06Specific allocations for creating a venture capital fund
07
Investment in R&D and pilots focusing on the indigenization of battery manufacturing, cheap alternate resource to lithium
and cobalt, resource efficiency associated with a circular economy, re-use and recycling for lithium batteries, etc. 01
Stringent compliance by all TPPs with respect to the
emission norms according to the timelines up to
December 2022 and as per the action plan prescribed
in the direction dated December 2017 issued under
EPA 1986
02
There is need for optimizing the use of the existing
power plants by prioritizing capacity utilization of
natural gas/ clean fuel-based thermal power
plants
03CGD network distribution shall be taken up on priority
within the country, emphasizing on 102 non-
attainment cities
04Phasing out older coal-based power plants and
converting specific coal-based power plants to natural
gas
05Emphasis on improved power reliability in urban areas
to eliminate the operation of DG sets
06Need to explore the possibility of Fly-ash utilization in
extensive way in 102 non-attainment cities
07
Emphasizing the expansion of renewable power initiatives prioritizing the use of existing framework of NAPCC in non-
attainment cities
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The state-wise break-up of
non-attainment cities is
provided at Annexure 6.3.
Nearly, one-third of total
cities lie in only two states –
Maharashtra and Uttar
Pradesh, having 17 and 15
non-attainment cities
respectively. As per CPCB,
all 102 attainment cities
have submitted their action
plan to control air pollution.
The sector-wise break-up of
action-plan for each State is
provided at Annexure 6.3.
Transport emission has been
considered as one of the
major contributor toward air
pollution and therefore
nearly 38% of the total
action plan submitted by all
States are focused on this
sector alone.
Although, the transport sector has been kept at the centre stage of the action plan, limited focus has been
provided for transition to and adoption of electric mobility. However, there has been increasing focus on
measures such as fuel-quality checks, monitoring of vehicle fitness, widening of roads to avoid traffic
congestions, retro-fitment of particulate filter in diesel vehicles, increased amount of penalization on vehicle
emitting visible smoke, increase in public transportation system, phasing out of diesel vehicles which are 15
years old, programs for public awareness on air pollution control etc. The State-wise comparison of extent
of focus on electric mobility /alternate fuel based mobility is provided below:
Table 29 State-wise focus area on electric mobility and alternate fuel
State
Focus Area
Electric mobility CNG/LPG/Biofuel
Charging Infra
development
Andhra Pradesh
Assam
Chandigarh
Chhattisgarh
Delhi
Gujarat
Himachal Pradesh
Jammu and Kashmir
Jharkhand
Karnataka
Madhya Pradesh
Figure 139 Segregation of action plans across identified sectors under NCAP
Source: 82 Deloitte Analysis, Central Pollution Control Board
Note: Action Plan for few sectors are combined to have better representability of data in chart. For
detailed break-up please refer to Annexure 6.3
38%
14%
23%
11%
2%
13%
Transport
Industry including Power
Clean Construction and Road
dust management
Agriculture burning and waste
management
Domestic fuel burning
Other measures for monitoring
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State
Focus Area
Electric mobility CNG/LPG/Biofuel
Charging Infra
development
Maharashtra
Meghalaya
Nagaland
Orissa
Punjab
Rajasthan
Tamil Nadu
Telangana
Uttar Pradesh
Uttarakhand
West Bengal
Bihar
Sufficient focus – Coverage across vehicle category such as 2W, 3W, 4W and Buses with time bound action plans
Limited focus – Coverage mainly across e-rickshaw category with limited time bound actions plans
No focus – Not covered in action plan
Source: 83 Deloitte analysis and Central Pollution Control Board
The action plan submitted under NCAP shows that most of the states have limited focus on EV adoptability,
and wherever the same is focused on, the same is confined to vehicle segments such as E-rickshaw, E-Auto,
and/or E-buses. States such as Andhra Pradesh, Maharashtra, Telangana have, however, set ambitious plans
for EV/CNG/LPG adoption but have not adequately planned for development of the refuelling infrastructure.
In terms of planning adequacy, states such as Delhi, Orissa, Bihar, West Bengal and Assam have taken a
balanced EV/Clean Fuel technology transition strategy. These states have taken a prudent approach by
focusing on developing peripheral and supporting infrastructure as well as complementary policy support
(such as phasing of diesel vehicles), for smoother transition towards EV/Clean Fuel mobility alternatives.
3.1.2.1.5 National Biofuel Mission (NBM)
The National Biofuel Mission (NBM), launched in 2003 under the aeg is of the Planning Commission, GOI,
was a pioneering effort towards the adoption of 1G biofuels. It envisaged the phased expansion of area
under biofuel feedstock crops (Jatropha and Pongamia) and several missions aimed at promoting large-scale
plantation of feedstock crops in forests and wastelands, procurement of seeds, oil extraction,
transesterification, blending, trade, and R&D. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 140 Timeline for promotion of use of biofuels in India
Source: 84 Deloitte analysis
In 2003, the Indian Ministry of Petroleum and Natural Gas (MoPNG), in a bid to make biofuel blending a
binding obligation on the states, made 5 percent ethanol blending in petrol mandatory in 9 states and across
5 union territories. Unavailability of ethanol (attributable to low sugarcane yield), however, was a huge
impediment to the adoption of this mandate. The blending mandate was further extended to cover 21 states
and 4 union territories in 2006. However, the mandate could not be fulfilled on account of insufficient
availability of ethanol at the prevailing market prices.
In 2007, along with the mandated 5 perce nt ethanol blending across the country and 10 percent where
feasible, the “National Biofuel Policy” was formulated by the Ministry of New and Renewable Energy (MNRE)
in September 2008. Biofuels as a potential means to rural development and employment gener ation was
envisioned as part of this policy. The NBP laid out R&D, capacity building, purchase policy, and registration
for enabling biofuel use, including second-generation biofuels. While the policy was not feedstock specific, it
maintained the government’s position that energy crops should not have any adverse impact on the food
sector.
Government of India in 2014, took multiple interventions including, reintroduction of administered price
mechanism, opening of alternate route for ethanol production, exclusive control of denatured ethanol by the
Central Government, reduction in Goods and Service Tax (GST) on ethanol from 18% to 5%.
The Ethanol Blended Petrol Pr ogram (EBPP) and Biodiesel
Blending Program (BDBP) both of which were integral parts of the
NBM were aimed at initiating the blending of biofuels with
transport fuels such as petrol and high -speed diesel on a
commercial scale.
However, there were several issues that created hurdles in
attaining the desired level of production of ethanol and biodiesel
fuel.
India had faced severe sourcing issues
with Ethanol and Biodiesel which has
contained their growth in blending.
Issues with production/ sourcing of ethanol and biodiesel:
1. Poor grade of domestic sugarcanes
India produces “C grade” canes which yields very low amount of biofuel (1 litre of biofuel from about
0.004 tonnes of molasses).
2. Better price markets for sugarcanes
Figure 141 Blending rate of ethanol has been
low in recent year
Mandate for OMC’s to sell 5% EBP
to promote use of alternative and
environment friendly fuels
Targets 20% blending of ethanol
with gasoline and 5% blending of
biodiesel with diesel by 2030
2003
Ethanol Blended
Petrol
Programme
2014
Notified
administered
price of ethanol
2018
National Policy
on Bio-fuels
(Revised)
2019
JI-VAN Yojana-
Financial
Support for 2G
Ethanol
2009
National Policy
on Bio-fuels
Targets 20% blending of
biofuels-bio-diesel and
bioethanol by 2017
Cabinet Committee on
Economic Affairs fixed
pricing policy for ethanol
Ministry of Petroleum and
Natural Gas directs OMC’s to
sell 10% EBP from April 2019
2016
3.5%
2.07%
4.0%
6.20%
2017
2018
2019
Blending Rate of Ethanol
target @2030: 20% Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Farmers receive better prices for sugarcanes from alcohol and pharmaceutical industries. This leads
them away from producing biofuel.
3. High cost of biofuel
Most of India’s agricultural residue is repurposed as manure. If the residue is purchased for biofuel then
the price will be paid for the residue as well as for the pesticides (as the farmer is not producing
manure). This increase the overall cost of production of biofuel
4. Low food security
India is a net importer of edible oil. Therefore, with limited available land for agriculture, production of
non-edible oil seeds based biodiesel would lead to lower food security of the country.
Later in 2018, government of India notified the Bio Fuel Policy 2018. The policy addressed some of the key
sourcing issues as it expanded the scope of raw material for ethanol production by allowing use of various
agro-waste products. Below are few key measures undertaking by the policy to increase the production of
biofuel fuels in total blending:
➢ reinforcing ethanol/biodiesel supplies through increasing domestic production
➢ setting up Second Generation (2G) bio refineries
➢ development of new feedstock for biofuels
➢ development of new technologies for conversion to biofuels
➢ creating suitable environment for biofuels and its integration with the main fuels
On February 2019, the Government of India launched "Pradhan Mantri JI-VAN (Jaiv Indhan- Vatavaran
Anukool fasal awashesh Nivaran) Yojana" for providing financial support to Integrated Bioethanol Projects
using lignocellulosic biomass and other renewable feedstock. The scheme was designed as a tool to create
2G Ethanol capacity in the country and attract investments in this new sector.
Under the scheme, 12 Commercial Scale and 10 demonstration scale Second Generation (2G) ethanol
projects will be provided a Viability Gap Funding (VGF) support in two phases. The ethanol produced under
the scheme will be mandatorily supplied to Oil Marketing Companies (OMCs) to improve the blending
percentage under EBP Programme.
Although there have been numerous efforts from the government to boost the production of biofuels,
shortage of supply and high cost of fuel are still the biggest bottlenecks in adoption of biofuels.
3.1.2.1.6 Auto Fuel Vision and Policy 2025
The Ministry of Petroleum and Natural Gas, Government of India notified first Auto Fuel Policy in October
2003. It addressed measures to cover various areas in which action was required viz. vehicular emission
norms, fuel quality and standard of CNG/LPG kits, me asures to reduce emissions from in-use vehicles,
vehicle technology, air quality data and Research and Development. It also covered air quality data and
health effects of air pollution.
The Auto Fuel Policy 2003 had envisaged that due to technological and other changes which take place over
time, the Policy needs to have periodic revisions. In this backdrop, Ministry of Petroleum and Natural Gas,
in 2012, felt necessary to initiate a process to develop an Auto Fuel Vision and Policy for the country which
would lay a clear roadmap for the future, till 2025.
Auto Fuel Vision Committee was set up in 2013 to recommend the future roadmap on advancement of fuel
quality and vehicular emission standards up to 2025. The committee published its report in May 2014. It
had more stringent fuel and emissions standards requirement as compared with the provisions of the
National Auto Fuel Policy 2003. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 142 Key observation of the Auto Fuel Vision Committee
Key recommendations of the Auto Fuel Vision and Policy 2025:
✓ Implementation of next stage of Bharat emission norms (BS norms):
2017 2020 2024
BS IV BS V BS VI
✓ To levy a “special fuel upgradation cess” of 75 paise per litre on all gasoline and diesel sold in the
country for seven years up to 2021
✓ To rationalize the rates of Central Excise Duty for gasoline and diesel
✓ To establish an Empowered Monitoring and Evaluation Committee with the Secretariat being provided
by CPCB and with members drawn from all the stakeholders as well as independent experts
knowledgeable in the various aspects (including technical, financial, health, social, environmental and
institutional), to define the studies and analyses that would be undertaken for effective implementation
of the Auto Fuel Vision and Policy 2025
✓ Creation of a Centralized I&M (Inspection and Maintenance) system where inspection and maintenance
are carried out independently
✓ Creation of a policy for the phasing out of older commercial vehicles
✓ To set mandate for commercial vehicles to get the retro-fitting of catalytic converters and particulate
filters done within a period of two years for the extension of their operating licence under the Motor
Vehicles rules.
✓ OMCs to implement vapour recovery system for gasoline to minimise benzene emission in larger cities
Shortcomings of the Auto Fuel Vision and Policy 2025:
BS VI implementation was
proposed from 2024 which was
almost 10 years later than its
equivalent EURO VI
BS VI standards were not fully
defined
Durability requirement for
emission under BS V (120,000
Kms) was less than Euro V
(160,000 Kms)
Key observation of the committee
There were differential norms on emission standards were made applicable in metros and in the rest of the country
because of limited domestic availability of higher quality automotive fuel in the country
India was consuming proportionately more diesel relative to gasoline that could be normally derived from crude oil. This
results in a need to maximize diesel production
It was expected that about half of gasoline and one third of diesel will be equivalent to Euro V by 2020
There was different tax treatment on imports of crude petroleum (import duty -NIL) & LNG (import duty –5%)
1
2
3
4
There is need to deregulate the retail prices of diesel such that the refineries are able tofully recover their costs and
service the huge capital investments
5 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Regulations and technical standards
3.2.1 Electric mobility
3.2.1.1 CEA regulation on grid interconnection and electrical safety standards
CEA introduced two amendments related to connectivity and safety of EV charging stations:
CEA notified Technical Standards for Connectivity of the Distributed Generation Resources, Amendment
Regulations in February 2019 that laid down guidelines for connectivity of EV charging station with the
electricity system below 33 kV voltage level. Key provisions under the regulation are summarized below:
Table 30 Key provisions of grid connectivity of DER regulation by CEA for EV charging operators
Sr. No. Particulars Key provisions
1 Standard • EV charging station operator needs to provide a reliable protection
system to detect various faults and abnormal conditions and provide an
appropriate means to isolate the faulty equipment or system
automatically.
• It would be the responsibility of the charging operator that fault in the EV
charging infrastructure equipment or system does not affect the grid
adversely.
• Discom (distribution licensee) should carry out adequacy and stability
study of the network before permitting connection with its electricity
system.
• Discom to continuously measure and meter the harmonics with power
quality meters complying with the provisions of IEC 61000-4-30 Class A.
• Charging operator needs to install power quality meters and share the
recorded data with the Discom
• Discom should periodically measure the voltage sag, swell, flicker,
disruptions as per relevant IEC standard
In order to safeguard the Charging Infrastructure from electrical accidents, CEA amended the “Measures
relating to Safety and Electric Supply) (Amendment) Regulations” in June 2019. It laid down several safety
provisions for EV charging infrastructure connected with the grid. Some of the key provisions under the
regulation are summarized in below table:
Table 31 Safety Provisions for Electric Vehicle Charging Stations as per Safety and Electric Supply Regulations, 2019
Sr. No. Particulars Key provisions
1 General safety
requirements
• All electric vehicle charging stations are required to provide protection against
the overload of input supply and output supply fittings
• All electric vehicle charging points should have socket-outlet of supply at least
800 millimeter above the finished ground level
• Suitable lightning protection system needs to be provided as per Indian
Standards Code IS/ IEC 62305
Technical Standards for Connectivity of the Distributed Generation Resources Amendment Regulations, 2019
Measures relating to Safety and Electric Supply Regulations, 2019
01
02 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Sr. No. Particulars Key provisions
2 Earth protection
system
• All residual current devices used for the protection of supplies to electric
vehicle needs to be permanently marked to identify their function and the
location of the charging station or socket outlet they protect.
• Each electric vehicle charging points needs to be supplied individually by a
dedicated final sub-circuit protected by an overcurrent protective device
complying with IEC 60947-2, IEC 60947-6-2 or the IEC 60269 series and the
overcurrent protective device should be part of a switchboard.
3 Fire hazard
prevention
• Enclosure of charging stations should be made of fire retardant material with
self-extinguishing property and free from Halogen
• Power supply cables used in charging station or charging points should
conform to IEC 62893-1 and its relevant parts
4 Charging station
testing
• All apparatus of charging stations should have the insulation resistance value
as stipulated in the relevant IEC 61851-1
5 Inspection and
assessment
• The owner of the charging station needs to establish and implement a safety
assessment programme for regular periodic assessment of the electrical safety
of charging station. Electrical inspectors and/or Chartered Electrical Safety
Engineers are entrusted with the responsibility of testing and inspection of
charging infrastructure
6 Record
maintenance
• The owner of the charging station needs to keep records of the results of
every inspection, testing and periodic assessment and details of any issues
observed during the assessment and any actions required to be taken in
relation to those issues
7 International
standards
• The safety provisions of all Alternating Current charging stations should be in
accordance with IEC 61851-1, IEC 61851-21 and IEC 61851-22.
• The safety provisions of all Direct Current charging stations should be in
accordance with IEC 61851-1, IEC 61851-21, IEC 61851-23 and IEC 61851-
24.
3.2.1.1.1 Analysis and recommendations
The CEA safety and interconnection regulations were evaluated and compared with similar regulations and
standards prevalent globally. It was identified that there are three key considerations that are taken care of
while drafting safety and interconnection regulation (shown in Figure 143).
Key
considerations for
Safety and
Interconnection
Regulation
Figure 143 Key safety considerations
A literature review of parameters which are considered critical for safety of charging infrastructures was
carried out and have been mapped in the schematic below. The assessment showed that although CEA
standards have adequately covered safety requirements, however the same could be improved further by
(i) specifying the reference standard (IS/IEC/IEEE/Other) for few parameter s specified in the existing
regulation and; (ii) including additional parameters from the view point of enhancing electrical safety.
Grid Safety
Equipment
Safety
Life Safety Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 144 Key parameters for grid, equipment and life safety in EV charging, and mapping with CEA specified
guidelines
Legend:
included in CEA regulations for interconnection and electrical safety; and CEA specified the reference standards
included in CEA regulations for interconnection and electrical safety; and CEA doesn’t specify the reference standards
not included in CEA regulation
legends with diamond shape indicates parameters from CEA’s Connectivity of the Distributed Generation Regulation
Source: 85 Deloitte analysis
The mapping of key parameters is carried out under three categories viz.
• parameters included in CEA regulations and for which CEA has specified the reference standards
• parameters included in CEA regulations but for which CEA has not specified the reference standards
and
• parameters which are not covered in CEA regulation.
Following additional provisions can be included in the safety regulation by CEA.
Table 32 Additional provisions for EV charging station adopted globally
Sr. No. Provision Country Description
1 Provision for Labelling and
signage
USA, Abu Dhabi, Hong
Kong, Netherlands
• Signage posted in EV station helps drivers to
understand appropriate use of charging
infrastructure
2 Provision for site lighting China, USA • The charging station should have adequate
lighting facility especially during night time.
Adequate lighting avoids instances of accident.
3 Requirement of monitoring
system (Power supply and
safety protection)
China • Monitoring of power supply will include switch
status, protection signal, voltage, current,
active power, reactive power, power factor etc.
Supply from
grid
Vehicle
charging
Fault Protection
Harmonic current & measurement
DC injection
Voltage Sag, Voltage Swell,
Disruptions etc.
Overload
Installation height
Maximum Cable
Length
Periodical
Maintenance
Portable socket-
outlets
Cable
Lightning
Protective device
Disconnection of EV
Locking of the
coupler
Overvoltage at
the battery
Vehicle connection
voltage
Firefighting system
Insulation resistance
Record
maintenance
Ingress
protection
Earthing
Earth Continuity
Monitoring system
Detection of the
electrical continuity
Enclosure
Residual Current Devices
(RCDs)
Alarm & control
system
Overcurrent
protection
Voltage independent
(RCD)
Voltage flicker
Network
study
Electrical Surge
Current protection
Power
supply and
safety
monitoring
Lighting
Labelling and
signage
Protection against
electric shock
GridEV Charging stationEV/ Individual
Communication
protocols (OCPP,
OPENDAR, OCPI etc.) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Sr. No. Provision Country Description
and safety protection such as alarm, entrance,
exit control etc.
4 Provision for protection
against electric shock
China, Abu Dhabi • Charging stations to have anti-electric shock
protection in order to ensure risk to life during
any hazard
Source: 86 Deloitte analysis
Along with the provisions, there are several international standards on EV charging station that CEA could
adopt to strengthen the safety and interconnection regulations and make it future ready. Some of these key
standards are listed in below table:
Table 33 Key international standards on EV charging safety and grid interconnection
Sr. No. Standard Description
1. IEC 61980 • The standard provides a standard for Wireless Power Transfer (WPT) system
and is applicable for a supply voltage up to 1000 V AC and 1500 V DC
2. IEC62196 • The standard provides a standard for plugs, socket outlets, vehicle connectors,
and vehicle inlets that are used for conductive charging of EVs
3. IEEE1547 • Standards for interconnecting distributed resources with electric power systems.
The standard covers requirements relevant to the performance, operation,
testing, safety and maintenance for interconnection of DER with grid. It is
applicable for DERs with a collective capacity of 10MVA or less.
4. GB/T 36278-
2018
• Technical code for electric vehicle charging/battery swap infrastructure
interconnecting to distribution network
5. SAEJ2293 • The standard establishes the requirement of on and off-board charging
equipment. It has two sections: J2293-1 discusses the power requirements and
system architecture for three operating conditions (conductive AC, conductive
DC and inductive charging), and J2293-2 discusses the communication
requirement and network architecture for EV charging
6. SAEJ1772 • The standard discusses all the equipment ratings for EV charging including
circuit breaker current rating, charging voltage rating and so on
7. SAEJ1773 • This standard specifies the minimum requirements of inductively coupled
charging scheme for EVs. It also establishes explicitly the requirement for
manually connected inductive charging systems and elaborates the
requirements of software interface for inductive charging
8. SAEJ2847 and
SAEJ2836
• Both the standards along with SAEJ1772 specify the communication
requirements between an EV and the charging infrastructure. SAEJ2847
specifies the communication requirements and SAEJ2836 defines the use cases
and provides the testing infrastructure.
9. SAEJ2931 • This standard establishes the requirements for digital communication between
EVs, EVSE, utility, energy service interface, advanced metering infrastructure,
and home area network Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Sr. No. Standard Description
10. NFPA3 • Standard for Commissioning of Fire Protection and Life Safety Systems (National
Fire Protection Association (NFPA))
11. NFPA 551 • Guide for the Evaluation of Fire Risk Assessments (National Fire Protection
Association (NFPA))
12. IS 1646:1997 • Code for practice for fire safety of Building (general) Electrical installation
13. IS 2189 • Selection, installation and maintenance of automatic fire detection and alarm
system
14. IEC 61439-
7:2018
• Low-voltage switchgear and control gear assemblies - Part 7: Assemblies for
specific applications such as marinas, camping sites, market squares, electric
vehicle charging stations
15. IEC 61140:2016 • Protection against electric shock - Common aspects for installation and
equipment
16. IEC 60364-7-
722:2018
• Low-voltage electrical installations - Part 7-722. Requirements for special
installations or locations - Supplies for electric vehicles
Source: 87 Deloitte analysis
Along with the above mentioned interconnection and safety standards, CEA may also provide direction on
communication protocol followed between the charging station/ network service provider and the utility.
Some of such protocols are mentioned below:
Table 34 Standards on communication between Utility and EV charging station
Sr. No. Standard Description
1 OSCP 1.0,
OCPP 1.5,
OCPP 1.6,
OCPP 2.0
• The Open Charge Point Protocol (OCPP) and the Open Smart Charging Protocol
(OSCP) were developed by the members of the Open Charge Alliance and are
an open protocol for communications between charging points and the EV
charging network administrator. These protocols provide charging station
owners the option of changing EV charging network administrators without
stranding equipment assets. The OSCP acts between the charging station and
the energy management system, can provide 24 -hour prediction for local
available capacity, and fits charging profiles to grid capacity. OCPP 1.6 includes
smart charging support for load balancing. The most recent version, OCPP 2.0,
includes support for ISO/IEC 15118 (among other things). Although not yet
formalized as a standard and managed by a recognized SDO, there is significant
adoption of the OCPP protocol and efforts are underway to develop it into a full
standard within the IEC.
2 OpenADR 2.0 • The Open Automated Demand Response (OpenADR 2.0b is the most updated
version) standard is currently managed by the OpenADR Alliance and provides
an open and standardized way for Virtual Top Nodes (e.g., electricity providers
and system operators) to communicate with various Virtual End Nodes (e.g.,
aggregators, EV charging network operators, etc.) using a common language
over any existing IP-based communications network. Originally developed as a
peak load management tool, it has since expanded to include other DERs.
Messaging protocols such as OpenADR can also be used in combination with
other protocols, such as those used to communicate between a charging station
and a network operator (e.g., OCPP76, IEEE 2030.5, etc.). Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Source: 88 Deloitte analysis
3.2.2 Clean fuel
India took its first big step towards climate change in the year 2008 when it released its National Action Plan
on Climate Change (NAPCC) . The plan outlined existing and future policies and programs aimed at
addressing climate change and adapting to the same. The action plan identified several measures that would
support the development objectives along with ensuring that climate change risks are mitigated. The action
plan identified eight core “national missions” running through 2017 which represents a multi-pronged, long-
term and integrated approach for achieving key goals in the context of climate change.
Figure 145 Eight missions identified under National Action Plan on Climate Change (NAPCC)
Source: 89 India: National action plan on climate change (NAPCC) (access here)
Thereafter, in the year 2015, ahead of COP 21, India submitted its Intended Nationally Determined
Contribution (INDC) to United Nations Framework Convention on Climate Change (UNFCCC). Limiting the
global warming levels was at the center stage of India’s INDC commitments with an increasing focus on
containing emission levels, increasing renewable power generation, and undertaking afforestation measures.
Figure 146 India's key Intended Nationally Determined Contribution (INDC) targets for the period 2021 to 2030
Under the core missions identified by NAPCC and to achieve the INDC target, India took several major
initiatives in order to curb its overall emission level and promote adoption of clean technologies. Some of
the major initiative towards clean fuel promotion are provided below:
NAPCC
Missions
Eight mission to help India
tackle the climate change and
leapfrog to a low carbon
economy
National Mission for Enhanced
Energy Efficiency
National Mission on Sustainable
Habitat
National Water Mission
National Mission for Sustainable
Agriculture
National Mission for Sustaining
the Himalayan Ecosystem
National Solar Mission
Green India Mission
National Mission on Strategic
Knowledge for Climate Change
Promote the development and use
of solar energy for power
generation
Reduce energy consumption through
demand-side management programs
Promoting energy efficiency as a core component of
urban planning by Energy Conservation Building
Code, fuel economy standards, and using pricing
measures
20% improvement in water use
efficiency through pricing and other
measures
Prevent melting of the Himalayan glaciers and to
protect biodiversity in the Himalayan region
Afforestation of 6 million hectares of degraded
forest lands and expanding forest cover from 23 to
33% of India's territory
Development of climate-resilient crops, expansion
of weather insurance mechanisms, and agricultural
practices
Understanding of climate science, impacts, and
challenges etc.
Reduce the emission intensity
of its GDP by 33-35%by
2030from 2005 level
Achieve 40%cumulative
power installed capacity from
non-fossil based energy
sourcesby 2030
Create additional carbon sink
of 2.5 to 3 billion tonnesof
CO
2equivalent through
additional forest and tree
cover by 2030 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Table 35 Measures adopted by India to curb emission level
Promotion of renewable
energy generation
• In 2015, India set an ambitious target to install 175
GW of renewable energy by year 2022. The target
was in line with its COP21 target to achieve 40%
power generation from non-fossil fuel based sources
by 2030. Further to 175 GW target by 2022, India
announced its intention to reach a target of 450 GW
of renewables by 2030 at the Secretary General’s
summit in New York
45
.
Stringent emission norms
for thermal power plants
and shutting of inefficient
power plants
• In Union Budget 2020, India proposed to shut down
inefficient thermal power plants that have exceeded
their useful life
46
• On December 2015, Ministry of Environment, Forest
and Climate Change brought out new norms for
coal-based power stations to cut down emissions of
particulate matter (PM10), sulphur dioxide (SO2)
and oxides of nitrogen (NOx) to improve the air
quality around power plants.
47
• The Central Pollution Control Board (CPCB) had
directed inefficient thermal power plants to install
flue-gas desulfurisation (FGD) in order to reduce
SO2 emission, failing which, they would be shut
down.
48
Replacing polluting means
of cooking with clean LPG
(Pradhan Mantri Ujjwala
Yojana (PMUY))
• India launched Pradhan Mantri Ujjwala Yojana
(PMUY) on 01 May 2016 with the aim to safeguard
the health of women and children. The primary goal
was to replace carbon emitting cooking methods
such as firewood, coal, dung – cakes etc. with
cleaner LPG. Under the scheme, deposit-free LPG
connection is provided to the woman member of a
Below Poverty Line (BPL) family.
49
Improving the fuel quality
in transportation
• India announced migration from Bharat Stage IV
norms to more stringent Bharat Stage VI norms by
skipping Bharat Stage V norms. While European
countries experienced this transition in almost 10
years, India envisioned it to accomplish in three
years.
• India is also expanding its bio-fuel mixing program
to reduce the share of crude oil used in India. The
country targets 20% blend of bioethanol and 5% of
biodiesel into diesel and petrol mix by 2030
Decarbonising the
transport sector
• In January 2014, India set CO2 emission targets for
Light Duty Vehicles (LDVs) at the equivalent of 130
gm of CO2 per kilometre (gCO2/km) in 2017 and
113 gCO2/km in 2022
• ln August 2017, India published fuel efficiency
standards for commercial heavy-duty vehicles and
45
Report of the Secretary-General on the 2019 Climate Action Summit (access here)
46
India Union Budget 2020-2021 (access here)
47
CEA -Brief review of the new MOEF&CC Environmental Rule (access here)
48
CPCB threatens to shut down 14 coal-fired power plants which failed to limit emissions (access here)
49
About PMUY (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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became one of the first countries in the world to do
so.
Promoting adoption of
electric mobility
• India launched FAME India Scheme (Faster Adoption
and Manufacturing of (Hybrid and) Electric Vehicles
in India) in 2015 to promote demand for electric
vehicles in the country. It subsequently launched
FAME II scheme in 2019 which aimed at continuing
the incentives offered to electric vehicles.
Curbing CO2 emission
through energy efficiency
• The Perform, Achieve and Trade (PAT) scheme was
one of the four initiatives launched under National
Mission for Enhanced Energy Efficiency (NMEEE).
The scheme focused on improving the efficiency of
energy intensive sectors. Till date, the PAT scheme
has helped in avoiding more 62 million tonnes of
CO2
50
.
Reducing emission in
agriculture
• Under National Mission for Sustainable Agriculture
(NMSA), India took several initiatives including
promotion of lower methane emission rice
production, crop diversification, chemical-free
farming and soil health pilot projects.
• In 2005, government made neem coating
mandatory for urea in order reduce nitrous oxide
emissions.
51
Odd-even transportation
policy
• The Government of NCT of Delhi implemented odd -
even scheme with the objective of reducing air
pollution in Delhi. The policy was first introduced for
five days in November 2015.
• Under the policy, odd numbered vehicles were
allowed to move on odd numbered days, while even
numbered vehicles would move on eve n numbered
days.
3.2.2.1 Emission standards in India
India’s journey of adopting emission standards started in the year 1991
52
when India notified the first stage
of mass emission norms for petrol vehicles followed by mass emission norms for diesel vehicles in 1992.
However, it was only in 2000 when India notified its first emission standard i.e. BS I, in line with European
standards. The BS I (India 2000) norm was implemented pan India in year 2000. During this p eriod, BS II
norm was implemented in the National Ca pital Region (NCR). In 2005, the BS II was finally adopted
nationwide, and BS III norm was introduced in thirteen major cities of the country. Similarly BS IV,
implemented in 2010, was initially rolled out in select cities until 2017, post which it was adopted nationwide.
The latest BS standard prevalent nationwide is BS VI which has been made effective w.e.f. April 2020. The
overall timeline for adoption of BS norms in India is provided in Figure 147:
50
PAT (access here)
51
Neem Coated Urea(access here)
52
SIAM - Emission norms (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
148
Figure 147 Adoption of emission norms by India - Timeline
Since the beginning of
Bharat Stage (BS),
India always
implemented BS in
major cities first before
implementing it
nationwide. BS VI
norm, however,
implemented
nationwide directly.
Source: 90 ARAI; BS: Bharat Stage, OBD: On-Board Diagnostic, N: Nationwide, C: Major Cities
Note: From April 2023, phase II of BS VI standards is proposed
The BS VI norms are the sixth stage for vehicular emissions in India and are equivalent to Euro VI standard
with slightly relaxed limits.
Table 36 Similarity in fuel specification for gaoline and diesel in BS VI and Euro 6
Sr.
No.
Fuel Parameter
(Gasoline)
BS VI Euro 6 Fuel Parameter
(Diesel)
BS VI Euro 6
1 Sulfur, ppm, max. 10 10 Sulfur, ppm, max. 10 10
2 Research Octane (RON),
min.
91/95 95 Cetane Number (CN),
min
51 51
3 Olefins, vol%, max. 21/18 18 PAH, mass %, max 11 8
Source: 91 Technical Background on India BS VI Fuel Specifications (access here); PAH: Polycylic Aromatic Hydrocarbon
Although BS VI is adopted from EURO 6, it is still almost five years delayed, as the EURO 6 norm was
enforced in year 2015. Figure 148 showcases the adoption timeline of fuel emission norms in India, EU and
China.
20172010200520002020 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
149
Figure 148 Timeline adoption of emission standards by India, EU and China
Source: 92 SIAM, ARAI, ACEA, DieselNet; For EURO registration date is considered
It can be observed from the above figure that EU was the first adopter of the latest EURO 6 norms, which
was implemented in year 2015. India, by skipping BS V and implementing BS VI from 2020 is now at part
with the EURO 6 norms. China on the other hand has planned the implementation of its CHINA 6 norm
(equivalent to EURO 6) from year 2021 onwards.
From the above timeline, it can be observed that India migrated to BS VI directly from BS IV in only three
years, whereas, EU and China adopted stage 5 norms and took almost ten years in this migration.
Although India had to skip BS V and implement BS VI in very short timeline, this leapfrog from BS IV to BS
VI was vital for India due to following reasons:
✓ First, it aligned Indian emission standards with Euro 6/VI regulations applicable in the European
Union; and,
✓ Second, the fuel emission had direct impact on health of general public; delaying in adoption of BS
VI would put lives of many citizens at risk. For a diesel engine, Particulate matter (PM) limit in BS
VI is 82 to 93 per cent lower than the BS IV level
53
.
In the next section, we will analyse the emission norms under BS VI its comparison with BS IV.
3.2.2.1.1 Emission limits in BS VI
The main pollutants emitted from conventional vehicles are: PM (Particulate Matter), CO (Carbon Monoxide),
HC (Hydrocarbon), NOx (Nitrogen Oxides), and HC along with NOx. In the figures provided below, we would
illustrate as to how the implementation of BS VI has effectively led to tightening of emission standards.
The initial comparison was conducted for 2W and 3W vehicles. These vehicle s are further categorized into
spark ignition and compression ignition.
53
Bharat Stage VI: India leapfrogs today and it is no Fool’s day (access here)
19911992199620002001200520062007 201020112015 2017 20202021
INDIA
BS Major Cities
BS NationwideBS IBS IIBS IIIBS IV BS VI
BS IIBS IIIBS IV
EURO I EURO II EURO III EURO IV EURO VEURO VI
EU
CHINA 1 CHINA 2CHINA 4CHINA 5 CHINA 6
CHINA
NATIONWIDE
CHINA 3
Mass emission norm
Petrol
Diesel Revision
Stage IV to VI –3 years
Stage IV to VI –~10 years
Stage IV to VI –~10 years Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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150
Figure 149 Comparision in emission norms for 2W and 3W under BS IV and BS VI
Spark ignition Compression ignition
Two
wheeler
(Class 1
and
Subclass
2-1)
Three-
wheeler
Source: 93 Indian Emission Regulation Booklet – ARAI (access here)
Note: Class 1- 50cc<D<150cc and Vmax≤50km/h, or D<150cc and 50<Vmax<100km/h Subclass 2-1-D<150cc and
/100≤Vmax<115km/h, or D≥150cc and Vx<115 km/h
BS VI has tightened the acceptable limit for Particulate Matter,
Carbon Monoxide, Nitrogen Oxides (for 2W) and Hydrocarbon-
Nitrogen Oxide
For assessing the changes in emission limits for a light-duty vehicle with gross vehicle weight (GVW) ≤ 3,500
kg, it is further categorized into vehicle categories of M and N where, category M are motor vehicles having
at least four wheels and are meant for the passenger transport, whereas category N are the Power-driven
vehicles having at least four wheels and are meant for goods carriage.
0
1.403
0
0.39
0.79
0.0045
1
0.1
0.06
0
0
0.2
0.4
0.6
0.8
1
1.2
1.4
1.6
PM CO HC NOx HC+NOx
g/km
BS IVBS VI 1.403
1.97
0
0.39
0.79
0.0045
0.5
0.1 0.09
0
0
0.5
1
1.5
2
2.5
PM CO HC NOx HC+NOx
g/km
BS IVBS VI
0
0.94
0 0
0.94
0
0.44
0.35
0.08
0
-0.1
0.1
0.3
0.5
0.7
0.9
1.1
1.3
PM CO HC NOx HC+NOx
g/km
BS IVBS VI 0.0425
0.38
0 0
0.38
0.025
0.22
0.1 0.1
0
-0.1
0.1
0.3
0.5
0.7
0.9
1.1
1.3
PM CO HC NOx HC+NOx
g/km
BS IVBS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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Figure 150 Comparision in emission norms for light duty vehicles under BS IV and BS VI
Positive ignition
(Gasoline equivalent in BS IV norms)
Compression ignition
(Diesel equivalent in BS IV norms)
Category
M and N1
Class I
Category
N1 Class
II
Category
N1 Class
III
Source: 94 Indian Emission Regulation Booklet – ARAI (access here)
Note: N1- Vehicles for the carriage of goods and having a maximum mass not exceeding 3.5 tonnes ; Class I- RW ≤ 1305 kg; Class II-
1305 kg < RW ≤ 1760 kg ; Class III- 1760 kg < RW
There aren’t considerable changes in the emission limit for light duty
vehicles as compared to 2W and 3W vehicles in BS VI
For vehicles with Gross Vehicle Weight (GVW) > 3,500 kg which includes commercial trucks, buses, and on-
road vocational vehicles such as refuse haulers and cement mixers, comparison is given in below figure
NA
1
0.1 0.08
0.0045
1
0.1 0.06
0
0.2
0.4
0.6
0.8
1
1.2
PM CO HC NOx
g/km
BS IVBS VI 0.025
0.5
0.25
0.3
0.0045
0.5
0.08
0.17
0
0.1
0.2
0.3
0.4
0.5
0.6
PM CO NOx HC+NOx
g/km
BS IVBS VI
NA
1.81
0.13 0.1
0.0045
1.81
0.13
0.075
0
0.5
1
1.5
2
2.5
PM CO HC NOx
g/km
BS IVBS VI 0.04
0.63
0.33
0.39
0.0045
0.63
0.105
0.195
-0.1
0.1
0.3
0.5
0.7
0.9
1.1
1.3
PM CO NOx HC+NOx
g/km
BS IVBS VI
NA
2.27
0.16
0.11
0.0045
2.27
0.16
0.082
0
0.5
1
1.5
2
2.5
PM CO HC NOx
g/km
BS IVBS VI 0.06
0.74
0.39
0.46
0.0045
0.74
0.125
0.215
-0.1
0.1
0.3
0.5
0.7
0.9
1.1
1.3
PM CO NOx HC+NOx
g/km
BS IVBS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
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152
Figure 151 Comparision in emission norms for heavy duty vehicles under BS IV and BS VI
Heavy
duty
vehicle
There has been significant
reduction in Nitrogen Oxide
emission limit in BS VI as
compared with BS IV for
heavy duty vehicles
Source: 95 Indian Emission Regulation Booklet – ARAI (access here)
3.2.2.2 Fuel quality standard
The BS VI also regulates the quality of fuel used for transportation i.e. Gasoline (Petrol) and Diesel:
Gasoline
For gasoline, the fuel quality is primarily identified by below four contents:
Benzene Content
Benzene is highly dangerous for human health. It is a substance capable of causing cancer. In
early 2000s, acceptable benzene content was 5% volume max. This limit has now been
reduced to 1% volume max under BS VI .
Sulphur Content
Sulphur is a form of impurity present in gasoline. The BS VI standard has limited sulphur
content to 10 ppm in the gasoline fuel.
Octane Number
The Octane number of gasoline fuel provides a measure of the fuel’s ability to resist the process
of auto-ignition, which can mainly cause engine damage.
Olefin Content
High olefin content in the fuel helps to improve the combustion efficiency, that leads to
reduction in the hydrocarbon emissions (HC) but increase the nitrogen oxide emissions (NOx).
0.02
1.5
0.46
3.5
0.01
1.5
0.13
0.4
0
0.5
1
1.5
2
2.5
3
3.5
PM CO HC NOx
g/km
BS IVBS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
153
Figure 152 Trend in permissible limit for gasoline contents in different BS standards
Source: 96 Centre for High Technology (CHT) (MoP&NG)
There is significant reduction in acceptable sulphur content in
Gasoline under BS VI
Diesel
For diesel the quality is primarily identified by below three contents:
Sulphur Content
Sulphur is a form of impurity present in gasoline. The BS VI standard has limited sulphur
content to 10 ppm in the gasoline fuel.
Cetane Number
The Cetane number is a measure of compression ignition quality of diesel fuel and influences
cold start-ability, exhaust emissions and combustion noise.
Polycyclic Aromatic
Hydrocarbon (PAH)
Content
Polycyclic aromatic hydrocarbons (PAHs) are a group of more than 100 chemicals that are also
called polynuclear aromatic hydrocarbons. Exposure to PAH can lead to irritation of the eyes
and breathing passages and also can be a cause for cancer.
5%
3%
1% 1% 1%
0%
1%
2%
3%
4%
5%
6%
2000 2005 2010 2017 2020
% vol. Benzene
Benzene in Gasoline
BS IBS IIBS IIIBS IV BS VI
1000
500
150
50
10
0
200
400
600
800
1000
1200
2000 2005 2010 2017 2020
ppm
Sulphur in Gasoline
BS IBS IIBS IIIBS IV BS VI
88 88
91 91 91
85
86
87
88
89
90
91
92
93
2000 2005 2010 2017 2020
Research Octane Number (RON)
RON of Regular Gasoline
BS IBS IIBS IIIBS IV BS VI
No limit
21 21 21 21
-7
3
13
23
33
43
53
63
73
83
93
2000 2005 2010 2017 2020
% vol
Olefin in Regular Gasoline
BS IBS IIBS IIIBS IV BS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
154
Figure 153 Trend in permissible limit for diesel contents in different BS standards
Source: 97 Centre for High Technology (CHT) (MoP&NG)
Similar to gasoline, BS VI reduced the limit of sulphur content in
diesel. Sulphur content quantity is now at the same level for both
gasoline and diesel.
3.2.2.2.1 Technology upgrade in BS VI
The BS VI standard is applicable for vehicles such as two-wheelers, three-wheelers; Light-duty vehicles
(category M and N vehicles with gross vehicle weight (GVW) ≤ 3,500 kg)
54
and Heavy-duty vehicles
(category M and N vehicles with gross vehicle weight (GVW) > 3,500 kg). It is expected that adequate
technological upgrades will be required in such vehicles to ensure that the vehicle emissions remain within
the limits as specified in BS VI.
It is expected that the following upgrades would have to be carried out to the engine of an ICE vehicle:-
54
Category M: A Motor vehicle with at least four wheels used for carrying passengers; Category N: A motor vehicle with at least four
wheels used for carrying goods. These vehicles can carry persons in addition to the goods. Please Refer Annexure 6.3 for details on
vehicle categories
2500
500
350
50 10
0
500
1000
1500
2000
2500
3000
2000 2005 2010 2017 2020
ppm
Sulphur in Diesel
BS IBS IIBS IIIBS IV BS VI
48 48
51 51 51
45
46
47
48
49
50
51
52
53
2000 2005 2010 2017 2020
Cetane No.
Cetane No. of Diesel
BS IBS IIBS IIIBS IV BS VI
11% 11% 11%
8%
0
0.02
0.04
0.06
0.08
0.1
0.12
0.14
0.16
2000 2005 2010 2017 2020
Cetane No.
PAH in Diesel
BS IBS IIBS IIIBS IV BS VI Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
155
Table 37 Engine technological upgrades from BS IV to BS VI
Petrol Engine
Diesel Engine
Port and exhaust system redesign
Re-design of ports and improvement in the exhaust
system to achieve more effective scavenging and reduce
mixture short-circuiting
Additional devices to include in the engine
In BS IV, a catalytic convertor was part of the engine.
However, with migration to BS VI, two additional devices
i.e. Diesel Particulate Filter (DPF) and Selective Catalytic
Reduction (SCR) are required to be fit in series (in case
of four wheeler)
Redesigning combustion chamber
Redesigning of combustion chamber and sparkplug re-
location in order to reduce knocking with higher
compression ratios
Improved Piston-design
Improving the piston-design to minimize crevice
volumes and friction losses. Also, adopting
microprocessor based electronic control, and enhancing
the don-board diagnostic system
Use of controlled auto ignition
Charge stratification having controlled auto ignition
along with variable ignition timing. This will help in
improved combustion of fuel.
Source: 98 Technical Challenges in Shifting from BS IV to BS-VI Automotive Emissions Norms by 2020 in India (access here)
In case of two and three-wheeler vehicles under the BS VI norms, conventional carburettor was to be
replaced with fuel injection, under BS VI. Now, Air Assisted Direct Injection (AADI), and High Pressure Direct
Injection (HPDI) are used in spark ignition (SI) vehicles for fuel injection.
3.2.2.2.2 Challenges and opportunity from BS IV to BS VI transition
The transition from BS IV to BS VI required introduction of advanced technologies to limit pollutants emitted
by the vehicles. This transition required changes in the existing engine system and incorporation of diesel
particulate filter (DPF), selective catalytic reduction (SCR) and exhaust gas re-circulation (EGR) technologies.
BS IV required the use of either DPF or SCR. However, BS VI now requires both the technologies to be
present. To develop DPF, the equipment needs 5,000 hours on the test bed and at least 700 tests on the
chassis dynamometer
55
, whereas SCR requires 4,000 hours on the test bed. With such short timeline for
migration (3 years), testing of DPF and SCR itself required close to six months.
Some of the major challenges and opportunities arising from BS IV to BS VI transition are given in below
figure:
55
Chassis dynamometer is a device for measurement and testing to simulate the road on a roller in a controlled environment Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
156
Figure 154 BS IV to BS VI transition – Challenges and opportunities
3.2.2.3 Average fuel consumption standard
In April 2015, MoP issued the fuel consumption standards for cars. The standard was applicable for petrol,
diesel, LPG or CNG based passenger vehicles with gross vehicle weight of up to 3,500 kilograms. The formula
for calculation of average fuel consumption standard is provided below:
??????����??????� ??????��� ??????�������??????�� ??????�������=� ×(�−�)+�
Where: a is the Constant Multiplier
b = Fixed Constant;
c = Fixed Constant;
W = Weighted average of unladen mass in kilogram (kg) of all new said
motor vehicle, manufactured or imported for sale by the manufacture
Values of constants a, b and c along with calculation
formula is provided in below table:
Table 38 Formula for calculation of Average Fuel Consumption
Standard for Manufacturer
Parameter FY18-FY22 FY23 Onwards
a 0.0024 0.002
b 1037 1145
c 5.4922 4.7694
Average Fuel
Consumption
Standard for
Manufacturer
= 0.0024 x (W –
1037) + 5.4922
= 0.002 x (W –
1145) + 4.7694
As shown in Table 38, the average weight of all cars is expected to be 1037 kg for FY18-FY22 with Average
Fuel Consumption Standard of less than 5.49 km/100 liters. From FY23 onward, the standard assumes
an average car weight of 1145 kg, and requires the average fuel consumption to be less than 4.77
l/100km.
Average Fuel Consumption Standard is the
fuel consumption in petrol equivalent liter per
100 kilometer by the manufacturer
Figure 155 Conversion factor of different fuel types
to petrol equivalent
CHALLENGESOPPORTUNITIES
•Developing solution for Indian market focusing on
economy of scale for low-cost emission control
systems and technologies
•Partnering with technology leaders and building
capabilities through joint ventures, domestic OMCs can
move up the value chain
•Lack of competent/ skilled manpower on the new
technology
•Packing DPF, SCR & EGR efficiently in the limited
space without compromising on fuel efficiency
•To integrate and optimize engine/ engine
technology as per Indian driving cycle and calibrate/
validate in given short time frame
•To design cost effective and robust system for
Indian conditions in three years
•Lack of BS VI fuel to test the engine system
Driving cycle -speed of a vehicle versus time
1
2
3
4
5 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
157
Table 39 Average fuel consumption standard for passenger cars in India
Standard 2017-18 to 2021-22 2022-23 Onwards
Expected weight (Kg) 1037 kg 1145 kg
Average fuel consumption (l/100
km)
5.49 l/100km 4.77 l/100km
As per GoI estimates, there is a scope of reduction in fuel consumption to the extent of 22.97 million tons
by 2025 through this standard
56
.
3.2.2.4 Fuel Efficiency
To ensure efficient consumption of fuel, India has notified fuel efficiency standards for passenger vehicles,
heavy duty vehicles (HDV) and light and commercial vehicles (LCV).
Figure 156 Fuel efficiency for vehicles in India
In the below sections, fuel efficiency details on various vehicle categories is elaborated:
3.2.2.4.1 CAFE (Corporate Average Fuel Efficiency) regulations for passenger vehicles
Implemented first in 1970s by USA
57
, the purpose of CAFÉ regulations was to enhance the fuel efficiency of
passenger vehicles in the country. The CAFE regulations require each car manufacturer to meet a standard
for the sales-weighted fuel economy (mpg)
58
for the entire fleet of vehicles sold in each model year.
The CAFE standard prescribes the minimum average mileage per
gallon (mpg) a vehicle class must meet.
In USA, CAFE standards are regulated by US Department of Transportation’s (DOT) National Highway Traffic
and Safety Administration (NHTSA). NHTSA sets and enforces the CAFE standards, while the Environmental
Protection Agency (EPA) calculates average fuel economy levels for manufacturers, and also sets related
GHG standards
59
. Some of the salient features of CAFÉ norms are given below:
▪ Reduces the overall fuel consumption of the economy;
▪ Increase the availability of alternate fuel vehicles;
▪ Promotes advancements in innovative technologies;
▪ Reduces in overall GHG emission of the country and improve air quality;
▪ Provides credit to the auto manufacturers for exceeding the standard requirement;
▪ Penalize the manufacturers for not meeting the minimum standard requirement
In India, the CAFÉ norms were proposed by Minis try of Power in collaboration with Bureau of Energy
Efficiency (BEE) which set the fuel consumption targets for every automaker in the country and aims to
56
Corporate Average Fuel Economy Norms for Passenger Cars (access here)
57
The New CAFE Standards: Are They Enough on Their Own? (access here)
58
Fuel economy is the average mileage a vehicle can travel per gallon of fuel (mpg)
59
Corporate Average Fuel Economy (CAFE) Standards (access here)
Fuel Efficiency
Passenger vehiclesHeavy Duty Vehicles
Light & commercial
vehicles Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
158
improve the overall fuel efficiency of automobiles. The timeline for notification of CAFÉ norms for different
vehicle categories is provided below:
Table 40 Timeline for notification of CAFÉ norms for different vehicle category
2015 2017 2019
CAFC
^
Norms
established for
passenger cars
CAFÉ Norms
established for Heavy
Duty Vehicles (HDV)
CAFÉ Norms
established for light
commercial vehicles
Source: 99 CAFC: Corporate Average Fuel Consumption
The CAFÉ norm was established with two-phase targets for FY
2017–2018 and for FY 2022–2023.
In CAFÉ norms, vehicle manufacturer receives a target in gasoline-equivalent liters per 100 kilometers
(L/100 km) based on vehicle curb weight. However, the actual fuel consumption for compliance is measured
as grams of CO2 emissions per kilometer (g/km) during vehicle type approval. The calculation of CO2 savings
along with India’s target is provided in below figure:
Figure 157 Methodology to calculate CO2 savings under CAFE norms and India’s emission target for passenger cars
Source: 100 BEE - Impact of energy efficiency measures FY19
The regulation also provides super credits to manufacturers producing electric vehicles thereby encouraging
the shift towards electric mobility. India targets cars to be become 30% or more fuel-efficient from 2022,
while 10% or more by 2021.
India has set the target for 113 gm/km of CO2 emissions from passenger cars. An overview of the target
of CO2 emissions from passenger cars, as set by select countries, is provided in Figure 158. It can be
observed that India, China and Japan have CO2 emission targets for year 2020/22, whereas, European Union
and United States of America has emission target for year 2021 and 2025 respectively.
Collecting and freezing the sales data for M1 category
vehicles in India
Calculation of annual CO
2 emission performance, comparing
with the target annual CO2 emission performance and
calculation of fuel savings in petrol equivalent and Mtoe
Calculation of CO2 savings
Step 1
Step 2
Step 3
130g/km
113g/km
20172022
-13%
India’s CO
2emission target for passenger cars Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
159
Figure 158 Global emission targets from passenger vehicles by leading countries
Source: 101 ICCT - Global Comparison of Passenger Car and Light-commercial Vehicle Fuel Economy/GHG Emissions Standards ( access
here)
3.2.2.4.2 Fuel Economy Norms for Heavy Duty Ve hicles (Constant Speed Fuel Consum ption
(CSFC) standard)
60
In August 2017, India published the fuel efficiency standards for commercial heavy-duty vehicles (HDVs).
By doing so, India became one of the first countries in the world to publish a fuel efficiency standard for
HDVs.
Standard applicability: This standards are applicable for Heavy duty commercial vehicles of category M3
and N3 with gross vehicle weight exceeding twelve tonnes.
Category M3: A vehicle used for the carriage of passengers, comprising nine or more seats in addition to
the driver’s seat and having a GVW exceeding 5 ton
Category N2: A vehicle used for the carriage of goods and having a GVW exceeding 3.5 ton but not exceeding
12 ton
As per this standard, manufacturers need to demonstrate compliance by testing their vehicles over the
constant speed fuel consumption (CSFC) test procedure. Under this procedure, trucks are tested at constant
speed on a test track at 40 and 60 kmph, whereas, buses are tested at 50 kmph.
The first phase of the standard (Phase 1) came in effect in April 2018, while Phase 2 is scheduled to be
effective from April 2021. Under the standard, the fuel consumption of each vehicle of a given category must
be less than the fuel consumption value derived from the equation provided in the standard.
The standard, however, is applicable for vehicles complying with BS-
IV standards.
60
Fuel Economy Norms for Heavy Duty Vehicles (access here)
CHINA
Fuel consumption reduction
target: 5L/100km
Target year: 2020
USA
Fuel economy target: 56.2
mpg
Target year: 2025
European Union
CO
2reduction target: 95
gCO2/km
Target year: 2021
INDIA
CO
2reduction target: 113
g/km
Target year: 2022
JAPAN
Fuel economy target: 20.3
km/L
Target year: 2020 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
160
The target fuel consumption is calculated from the formula:
�=� �+�
Where: Y: Normalized value (fuel consumption) in litres/100kms
a and b = Fixed Constants;
X: Gross vehicle weight in tonnes
The standard has provided target fuel consumption formula for M3 and N3 categories at constant speed of
40 kmph and 60 kmph. Target fuel consumption for N3 vehicle at 40 Km/h is provided in below tables:
Table 41 Phase I - Category N3- Rigid vehicles at 40 km/h
N3 Rigid vehicles at 40 km/h
Gross vehicle weight range Axle configuration Equation for deriving target fuel consumption (1/100km)
12.0-16.2 4x2 Y=0.362X+10.327
16.2-25.0 6x2 Y=0.603X+6.415
16.2-25.0 6x4 Y=0.723X+4.482
25.0-31.0 8x2 Y=0.527X+8.333
25.0-31.0 8x4 Y=0.928X-0.658
31.0-37.0 10x2 Y=0.960X-5.100
Table 42 Phase II - Category N3– Rigid vehicles at 40 km/h
N3 Rigid vehicles at 40 km/h
Gross vehicle weight range Axle configuration Equation for deriving target fuel consumption (l/100km)
12.0-16.2 4x2 Y=0.329X+9.607
16.2-25.0 6x2 Y=0.523X+6.462
16.2-25.0 6x4 Y=0.673X+4.032
25.0-31.0 8x2 Y=0.430X+8.780
25.0-31.0 8x4 Y=0.732X+2.558
31.0-37.0 10x2 Y=0.963X-7.753
Similarly, equations for each vehicle category at different speed for calculating target fuel consumption is
provided in Annexure 6.3 section.
3.2.2.4.3 Fuel Economy Norms for Light and Commercial Vehicles (Constant Speed Fuel
Consumption (CSFC) standard)
61
In July 2019, India published its fuel efficiency standards for light and commercial vehicles.
Standard applicability: This standard is applicable for Light and Medium commercial vehicles of category
M2, M3 and N2 with gross vehicle weight between three and a half tonnes to twelve tonnes.
Category M2: A vehicle used for carriage of passengers, comprising nine or more seats in addition to the
driver’s seat, and having a maximum Gross Vehicle Weight (GVW) not exceeding 5 ton
Category M3: A vehicle used for the carriage of passengers, comprising nine or more seats in addition to
the driver’s seat and having a GVW exceeding 5 ton
Category N2: A vehicle used for the carriage of goods and having a GVW exceeding 3.5 ton but not exceeding
12 ton
61
Fuel Economy Norms for Light & Commercial Vehicles (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of policy,
regulation and technical standards for electric mobility and LCPRT
161
Unlike FE norm for HDVs, fuel economy norm for light and
commercial vehicles are applicable to both, BS-IV and BS-VI
compliant vehicles.
The target fuel consumption is calculated from the formula:
??????��� ??????�������??????��=� +��
Where: Fuel Consumption is the normalized value (fuel consumption) in litres/100kms;
a and b = Fixed Constants;
W: Gross vehicle weight in tonnes
The fuel consumption of each vehicle of a particular category must be less than the fuel consumption value
derived from the equation.
For each category and different vehicle weight and testing speed, values of a and b have been provided.
Below table represents the formula for fuel consumption for different vehicle categories and testing speed.
Table 43 Fuel consumption calculation for N2 category vehicles
Gross Vehicle Weight
Range Testing Speed
(Kilometres per Hour)
Equation for Deriving Target Fuel
Consumption (litre per 100km.)
3.5 T to 7.5 T 50 Fuel Consumption = 1.038*W+3.372
7.5 T to 12.0 T 40 Fuel Consumption = 1.080*W+1.708
7.5 T to 12.0 T 60 Fuel Consumption = 1.038*W+6.008
Table 44 Fuel consumption calculation for M2 and M3 category vehicles
Gross Vehicle Weight
Range Testing Speed
(Kilometres per Hour)
Equation for Deriving Target Fuel
Consumption (litre per 100km.)
3.5 T to 7.5 T 50 Fuel Consumption = 1.293*W+ 2.806
7.5 T to 12.0 T 40 Fuel Consumption = 1.399*W+0.381
7.5 T to 12.0 T 60 Fuel Consumption = 1.768*W+0.509
Other than the fuel efficiency norms, Govt. of India has also planned for star labelling of the vehicles. However,
the same is currently under review and pending formal approval. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
162
4. Review of Services and Business Models
in electric mobility
Multiple business models for uptake of EVs have evolved in past few years and several are also in the process
of evolving to respond to the emerging needs at the EV marketplace. An optimal and sound business model
would play a vital role in ensuring long-term sustainability and growth of EVs in the country.
Framework for assessment of
business models
To assess the electric mobility business model,
a framework is prov ided in Figure 159.
Parameters selected in the framework are
adopted from Osterwalder’s business model
canvas
62
.
A business model describes
how the company
communicates, creates,
delivers, and captures value
out of a value proposition.
Value proposition denotes an overall view of
company’s offerings (products and services)
that are of value to the customer. Value
creation signifies transforming resources into
products and services. Value communication
denotes delivery of the value proposition as a
message to the target groups. Value capture
describes the ability of the value proposition to
transform into revenue stream. Value delivery
defines the means by which enterprises establish interactions with the customer in or der to provide the
value.
The report will assess existing business models in electric mobility space using the above -mentioned
framework.
Key business models promoting uptake of electric mobility
An overview of potential areas for business, within electric mobility value chain is provided in Figure 218.
However, for the purpose of this report, primarily, only those business models have been assessed that can
potentially promote uptake of EVs among end-consumer (B2C businesses).
62
Business model canvas (access here)
Figure 159 Business model framework
Source: 102 Adopted from Osterwalder business m odel canvas and
business ecosystem approaches; N. Abdelkafi, S. Makhotin & T. Posselt,
2013, “Business Model Innovations for Electric Mobility”
Value
communication
Value
creation
Value
delivery
Value
capture
Value
proposition
With whom:
Key partnerships
How:
Distribution
channels
Whom:
Customer
segments and
relationships
How:
Key resources
and processes
What:
Story for
communicating
value
How:
Channels for
communicating
value
How:
Cost structure
How:
Revenue stream Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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163
Katja Laurisc hkat, Arne
Viertelhausen, and Daniel Jandt,
in their paper “Business Models
for Electric Mobility”, identified
essential business areas where
substantial value can be delivered
to the customer, within the
electric mobility space. These
business areas are considered as
essential for large scale uptake of
EVs Such areas are provided in
Figure 160.
Businesses need to
invest and build
offerings around:
mobility;
infrastructure; and,
energy
The value-wheel consist of three
major areas – Mobility, Infrastructure, and Energy. Mobility segment includes electric vehicle and traction
battery; infrastructure segment includes charging infrastructure and battery swapping stations; and energy
segment includes electricity used for charging vehicles and storing in EV batteries.
Information and Communications Technolog y (ICT) will remain at the core of the value proposition of any
business concept and will act as an enabler for any business model.
In the sections provided below, we will assess global and Indian business models around the identified areas
for each segment of the value-wheel.
4.2.1 Mobility
Mobility is essentially the most significant area where actual uptake of electric vehicles will take place. This
value area focuses on business models that use EVs or batteries to provide a set of service to the customers.
It focuses on how introduction of EVs or battery services will add value to the customers, and eventually
encourage businesses and customers to adopt EVs. In line with this, the mobility segment is divided into
two categories: electric vehicles, and traction battery. Each section will evaluate how business models under
both the categories would creating value for customers.
4.2.1.1 Electric vehicles
Public perception on shared economy (such as goods, mobility, properties etc.) has changed substantially in
past few years. Customers are increasingly preferring shared/ on-demand vehicles that are highly cost
effective as against personal ownership of vehicles. Customers have shown interest towards business models
and services that offers them an alternative for owning a vehicle along with providing all the facilities/ luxury
of vehicle ownership.
New mobility business models is effectively changing the way people
move.
Overview of this shift from traditional business models to new mobility models and services is presented in
Figure 161.
Figure 160 Value-wheel for businesses to promote uptake of electric mobility
among customers
Source: 103 Katja Laurischkat, Arne Viertelhausen, Daniel Jandt, 2016, “Business Models for
Electric Mobility” (access here); Deloitte analysis; ICT: Information and Communications
Technology
PRODUCTS
SERVICES
Electricity
ICT
Charging
infrastructure
Electric Vehicle
Traction
battery
Battery
swapping
Products & services in
all three value areas Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
164
Figure 161 Evolution of models and services in mobility
Source: 104 Marsh & McLennan Advantage Insights; Marsh; Oliver Wyman; Center for Automoti ve Research (CAR); Deloitte analysis
Sections provided below discuss the new mobility business models in detail, along with its footprint in India.
4.2.1.1.1 Micro-mobility
Micro-mobility provides travelling solutions for short distances to one or two passengers at a time, usually
to cover the first or last mile of a journey. Micro-mobility includes vehicles such as bicycles, skateboards,
electric bicycles, electric scooters, Segway
63
etc. However, worldwide, electric scooters have emerged as a
preferred choice among all vehicle types that facilitate micro-mobility. Characteristics of electric scooters
which enable it to be a preferred choice includes its ease of use, acting as a faster alternative to public
transportation, and easier to use than conventional bicycles
64
.
In micro-mobility, bike sharing has evolved as a prominent business model that has been widely adopted
across many countries. Bike sharing provides affordable access to users for short-distance trips, mostly in
urban areas. Some bike sharing services uses docking stations for drop-off and pickup (e-bike can be picked-
up from and returned to any station or kiosk), while others use smartphone apps to provide a dock -less
option (e-bike can be picked up and left to any location).
There are various companies operating in bike sharing model with different ownership structure such as:
Zypp (India), owned and maintained privately; Capital Bikeshare (Washington), owned and maintained
publicly; CitiBike (New York), publicly owned but privately maintained by the company called Motivate.
Some of the emerging micro-mobility companies in India are:
Business model review of few of the above mentioned bike sharing companies is provided below:
a) ZYPP
Started as Mobycy, Zypp was India’s first e-bike / e-scooter sharing platform that does not utilize a docking
station. The company allows users to book an e-bike with upfront fare estimate based on origin and
destination coordinates.
63
A Segway is a two-wheeled, self-balancing personal transporter (more details)
64
Mobility Revolution: Challenges and Potentials (access here)
Car Ownership Mass transit
TrainCar leasing taxi
Micro-mobility Ride HailingCar Sharing
Car
Subscription
TRADITIONAL MODELSNEW MOBILITY MODELS & SERVICES
E-Roaming Digital Payment
service
Ride Sharing/
Carpooling Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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165
Zypp is a dockless platform and it requires customer to park the bike anywhere after use
65
. The company
provides services such as bike rentals to end-users, delivery of grocery by commercial users as well as
delivery of food items, etc. The company currently operates in Gurugram, Delhi and Noida.
Zypp offers e-scooter renting at Rs. 109 per day and offers battery
swapping at Rs. 10
66
• Station less e-bikes; Fully electric fleet; owns battery
swapping station; low speed vehicles (top speed 25
kmph) exempted from license requirement;
customized plans for customer; maintenance support
Key partnerships: • Spencer’s Retail for last mile delivery
• Partnered with Zomato and Swiggy
• DMRC and local authorities for parking of e-scooters
Key resources: • E-bikes
• Battery swapping station
• Technology
Key processes: • Fleet management
• Battery swapping station management
• Mobile application management
Story/ Channel for
communicating value:
• Social media
• Mobile application based booking and payment
Cost structure: • Bike and battery cost
• Bike maintenance cost
• Maintenance of battery swapping station
Revenue stream: • Rental fees from every ride
• Revenue from last mile delivery
• Revenue from battery swapping
Distribution channels: • Customers to locate nearest pickup point of the ride
Customer segments: • Short distance, on-the-go customers
• Food and grocery delivery business
b) Yulu
Yulu is a Bengaluru-based electric bike sharing platform having partnership with Uber. The company has
over 3,000 electric bikes on its platform that operates through clusters. The company has demarcated “Yulu
zones” from where the customers can pick up and drop their vehicles. It has partnered with the government
bodies and other infrastructure units like Bruhat Bengaluru Mahanagara Palike (BBMP), Directorate of Urban
Land Transport (DULT) and Bengaluru Metro, to access parking space for their vehicles. Yulu offers their
electric vehicle under the name “Yulu Miracle”
67
.
65
Mobycy (access here)
66
Zypp eyes Rs 100 cr in next round (access here)
67
India’s electric bike rental start-up Yulu inks strategic partnership with Bajaj Auto, raises $8M (access here)
Value
proposition
Value creation
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Yulu Miracle pricing: Rs. 10 to unlock the vehicle; Rs. 10 for every
10 minutes; Rs. 5 as pause charges for every 10 minutes
• Fully electric; affordable; convenient commuting; free
battery swapping; no license required
Key partnerships: • With Bajaj Auto for micro-mobility revolution
• With Uber for eBike trial
Key resources: • E-bikes
• Technology
Key processes: • Management of rental zones
• Bike maintenance
• Online support to customers
Story/ Channel for
communicating value:
• Social media
• Company website
• Yulu mobile app
Cost structure: • Bike and battery cost
• Maintenance of e-bikes
• Maintenance of battery swapping station
Revenue stream: • Per booking revenue
• Revenue from long term rentals
Distribution channels: • Bikes kept unattended at Yulu zone; Customer to locate
and start the ride
Customer segments: • Daily short-distance riders
Micro-mobility offers economical solution to cover the distances that are neither walkable nor long enough
to hire expensive taxi ride. This mode of transportation will thus prove to be highly effective in areas where
public transport is either expensive or distance to be traversed is substantial. Moreover, in a country like
India where traffic density is very high, EV enabled micro-mobility has the potential to become the preferred
choice for last mile connectivity as it has the potential to save substantial commuting time.
To provide the adequate boost for increased uptake of EVs in the micro-mobility space, India needs to
provide special infrastructure such as, dedicated EV lanes, common parking lots to the micro -mobility
vehicles, etc. Existing Smart-city missions could embrace the micro-mobility concept and provide the
requisite infrastructure by earmarking dedicated lanes, EV zones etc.
EVs would be key in growth of micro-mobility, as it provides cheaper
and faster alternative for transportation. However, focus on building
complementing infrastructure is equally important for this business
segment to grow.
4.2.1.1.2 Ride Hailing
Similar to Uber or AirBnb, ride hailing business model revolves around creating a two-sided market that
connects the end user with the service provider over a technology enabled platform. On the one hand, it
Value
proposition
Value creation
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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167
facilitates a customer to book a cab at his / her own convenience, and on the other hand, it provides a
source of earning to drivers of private 4Ws. Such business models would also discourage private car
ownership and provide an additional source of income for drivers of private vehicles.
These services rely on smartphone apps to connect willing passengers with drivers who provide rides (for a
fee) in their private vehicles. Transportation Network Companies (TNCs) design and operate these online
platforms. Most TNCs function as digital marketplaces linking self-employed drivers with customers, while
collecting a fee for making the connection. Key examples of the same are Ola, Uber, Lyft, Didi, Get etc.
a) OLA
Ola’s business model revolves around facilitating cab-booking services to the customers through their app.
It integrates city transportation for customers and driver-partners onto the mobile technology platform,
thus, ensuring convenient, transparent, and quick fulfilment of services.
• Affordable pricing scheme; Minimum waiting time; Eco-
friendly mode of transportation; certified drivers
Key partnerships: Financing of e-rickshaws in NCR: Bhartiya Micro Credit
(BMC)
Key resources: • Technology
• Driver partners
• Engaged community
Key processes: • Establishing charging infrastructure
• Fleet management
Story/ Channel for
communicating value:
• Partner channel
• Social media
• Mobile application based booking and payment
Cost structure: • Platform cost
• Sales & Marketing
• Operational cost
• Assets cost
Revenue stream: • Commission based model
• OLA money
• In-cab promotion and advertisement
• Cab leasing
• OLA credit card
• Corporate accounts
• OLA prime play
Distribution channels: • Online booking
Customer segments: • Fixed point to point commute on fixed routes
• Corporates
Value
proposition
Value creation
Value
communication
Value capture
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b) SmartE
SmartE is a 3W—all electric—mobility service provider, which offers services to commuters to meet their
requirement of first & last mile connectivity. Currently, SmartE is providing its commuting services in major
urban cities of India.
• Affordable pricing scheme; Minimum waiting time; Eco-
friendly mode of transportation
Key partnerships: Charging infrastructure: Exicom; Power Grid; NTPC
Battery swapping infrastructure: SUN mobility
Land for parking: Delhi Metro; Rapid Metro Gurgaon
Key resources: • Vehicle (3W) fleet size of 600 in Delhi NCR region
• Pilot of battery swapping model
Key processes: • Fleet management
Story/ Channel for
communicating value:
• Social media
• Mobile application based booking and payment
Cost structure: • Fleet management
• Maintenance of charging infrastructure
• Vehicle parking
Revenue stream: • Rs. 10 for its first pit stop (fixed cost for first 2 km) and
Rs. 5 per km thereafter
• Initially started on a commission based model where it
was charging operating commission from drivers. Now, it
owns and manages vehicles.
• Smart ads: Revenue generation from hyperlocal
advertising on vehicles
Distribution channels: • Online booking; operates on route within range of 5 km
Customer segments: • Fixed point to point commute: Service to and from
metro, bus stations, residential colonies, corporate hubs,
shopping areas
Ride hailing business reduces the cost of owning a vehicle and at the same time ensures convenience to
customers. Inclusion of options for hassle free online payment also increases its adoption by customers.
However, due to the unprecedented COVID -19 outbreak, ride hailing businesses have been severely
impacted, as consumers have been wary of resorting to such services on the backdrop of increased risks of
infection. This has led to disruption in the operations of ride hailing businesses in several cities of India
68
.
During April and May 2020, OLA’s revenue declined by almost 95%
69
. Customers have now shifted to the
traditional method of using own vehicles for commuting.
68
Covid-19 impact: Indian consumers may m ove away from ride-hailing services (access here)
69
How the pandemic has hit Ola, Uber hard in India (access here)
Value
proposition
Value creation
Value
communication
Value capture
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Deloitte study has shown that more than 70% customers wish to
limit their usage of ride-hailing service post COVID outbreak
70
However, it is too early to comment on the future prospects of the ride hailing business in the wake of
COVID. It is expected that with the gradual decrease in infection rate and arrival of immunization /
vaccination, the risk perception of ride hailing services would gradually reduce . This puts additional
consideration for service providers to take into account increased safety precautions in their operations.
71
4.2.1.1.3 Car Sharing
Car sharing follows similar concept as bike sharing, however it is preferred for longer distances. It is a short-
term car rental, hired on either hourly basis or per kilometre basis or hybrid of both. In this type of service,
an electronic systems allow unattended access to the vehicles with fuel and insurance charges bundled into
the rental charges. Car sharing can be round-trip, one-way, free-floating or station-based.
In round trip, user is required return the vehicles to their original pick-up stations after use, whereas, in
one-way system, user can pick-up and park the vehicle at any authorized parking spot. In station-based car
sharing model, user could pick up and return the vehicle at designated rental stations only. Whereas, in
free-floating, user locates the nearest available car using the mobile app, uses it, and then drop-off it at any
location.
Car sharing is enabled through three types of common business models based on the relationship of the
service provider and consumer. These business models include: 1) business to consumer (B2C); 2) business
to business (B2B); and 3) peer-to-peer (P2P).
Figure 162 Car sharing business models based on service provider and consumer relationship
Source: 105 eMaaS – electric Mobility as a Service - eMaaS Consortium – June 2020, Deloitte analysis
Business-to-Consumer (B2C): In a B2C model, the service operator offers individual consumer an access
to a fleet of vehicles through memberships, subscriptions, user fees, or combination of pricing models.
Examples of B2C include Zipcar and Enterprise CarShare (roundtrip); and SHARE NOW (free-floating one-
way).
Business-to-Business (B2B): In a B2B model, the service operators offers access to their vehicles to
employees of a company with which it has entered into a contract for a fixed period of time. The service
operator bills the company through a fee-for-service or usage fees,. Such business models serve the need
of offering convenience to employees in completing work-related trips. Owing to similarity in services
between B2B and B2C models, it is found that the same service operators exist in both B2B and B2C market
70
Deloitte - Global State of the Consumer Tracker - Global Automotive Industry (access here)
71
Deloitte - Last mile delivery after COVID-19: A world of things to solve (access here)
Station basedFree floating
Corporate sharing
(B2B)
Private sharing
(B2C)
Peer-to-Peer sharing
(P2P)
Off-premise
fleet
On-premise
fleet
Round tripOne Way Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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170
segment. However, companies such as Lithium Urban operate only in B2B segmen t by positioning itself as
premier service operator for businesses.
Peer-to-Peer (P2P): The P2P model (sometimes referred to as personal vehicle sharing) is similar to round
trip car sharing. In this model, the vehicle usually consists of private car owners who are willing to rent out
their vehicles when they are not using it. This model offers an additional revenue stream for the vehicle
owners. Drivezy is an example of a car sharing company which offers P2P sharing facility in India.
Some of the major players in car sharing are:
Lithium
Zipcar
Car2go
Enterprise CarShare
a) Lithium Urban Technology
Lithium Urban Technologies owns fleet of Electric Vehicles (EVs) and associated charging infrastructure,
backed by strong technology platform for telemetry, GIS, employee transport management, scheduling,
rostering and analytics based optimisation. The company positioned itself as a premier B2B service operator.
The company operates its fleet through trained and certified drivers.
Eco-friendly mode of transportation; Safe, secure and hassle-free
option for corporate commutation; 24X7 service
Key partnerships: • Collaboration with Mahindra & Mahindra for procurement
of EVs
• Fourth Partner Energy and Lithium Urban Technologies
entered into a partnership to build solar-powered
charging infrastructure
Key resources: • Over 100 charging stations
• Fleet of 500 cabs
Key processes: • Establishing charging infrastructure at corporate office
complexes
• Fleet management
Story/Channel for
communicating value:
• Social media
• Mobile application based booking
Cost structure: • Cost of vehicle
• Fleet management
• Charging infrastructure maintenance
Revenue stream: • Corporates invoiced on monthly basis for the numbers of
cars contracted, irrespective of the miles driven.
Corporates are separately charged for electricity bills of
charging stations
Distribution channels: • Mobile application based booking
Value
proposition
Value creation
Value
communication
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Customer segments: • Fixed point to point commute: B2B with Tesco, Unisys,
Accenture, Adobe Systems, VMware
b) Zipcar
Zipcar focuses on urban areas and college campuses across Europe and North America. The company strives
to offers a wide selection of cars that serve multiple purposes, including moving apartments or hauling office
supplies.
The company has several partners with which it works, to enhance its value proposition. For example, Zipcar
works with local authorities to secure free parking on public streets for its members; it works with city
councils to set up electrification bays for the EV portion of its fleet; it provides its members with discounts
to local businesses that it partners with and it integrates its network with public transport.
Depending on the subscribed package, members pay a monthly subscription fee. In addition, subscriber s
pay for trip fees based on the car usage (time duration for total trips in a month) and overcharge fees, if
any. The company does not require subscriber to pay any upfront security deposits.
Discounts to local business partners; Free street parking; Offers
electric cars; Fuel, city congestion chargers, insurance & 60 miles/
day included in membership; No deposit required
Key partnerships: • Local authorities; city council; local businesses;
academic researchers
Key resources: • Vehicle
• Chip card technology
• Strategic parking on public streets
Key processes: • Maintaining fleet
• Service provision (unlocking cars remotely)
• Platform management
Story/ Channel for
communicating value:
• Social media
• Website
• Smartphone app
Cost structure: • Purchase & maintenance of fleet
• Fuel (as customers don’t pay for the fuel)/ Electricity
charges
Revenue stream: • Monthly subscription fee
• High-risk driver & rule-breaking charges
• Usage fees (minute, hourly & daily rates; per km if over
60 km)
Distribution channels: • Online booking
Customer segm ents: • Services can be availed by anyone having smartphone
and valid licence
• Businesses
• University students
• On-the-go customers (last minute booking)
Value Delivery
Value
proposition
Value creation
Value
communication
Value capture
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c) Car2Go
Launched in Germany in 2009, Car2Go is the world’s first free-floating car sharing service operating across
26 locations in eight countries.
The free-floating business model allows Car2Go members to take one -way trips and park the cars within
specified zones. The company aims at attracting customers who want to drive premium car models including
Businesses/corporates. The organisation has some electric cars available in its fleet as well.
Car2Go’s real-time reservation system allows customer to book cars just 20 minutes in advance. Its value
proposition also provides drivers with free parking in public car lots and awards them with free minutes for
refuelling or recharging cars. Customers pay a small subscription fee plus rates based on both the time and
kilometres driven. The company does not require subscriber to pay any upfront security deposits.
Free parking in public car lots; no deposit required; no insurance,
fuel, electricity cost; 24x7 availability; credit given for refuelling or
recharging the car
Key partnerships: • Public transport operators for digital integration
• Local governments
• Social services for cleaning & maintenance
• Businesses
• Universities
• Car manufacturers
Key resources: • IT platform
• Premium vehicles
• Free parking spaces
Key processes: • Fleet maintenance
• Platform management
• Customer service
Story/ Channel for
communicating val ue:
• Social media
• Website
• Mobile app
• Customer service shop
Cost structure: • Vehicle purchase cost
• Fleet maintenance
Revenue stream: • Subscription fees
• Pick-up & drop charges
• Usage fees (minute, hourly, and daily rates, plus per
km)
Distribution channels: • Online booking
Customer segments: • People on the go with last-minute reservations
• One-way travellers, including drivers headed to/from the
airport
• Businesses
• Eco-conscious individuals
Value
proposition
Value creation
Value
communication
Value capture
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4.2.1.1.4 Ride sharing
Rides sharing is a type of carpooling that allows private non-commercial vehicle owners to pool their ride
with travellers having their destination in the same route. The online platform provided by the service
providers merely acts as a tool to match demand and supply on a particular travel route. However, absence
of any check and balances for safety and security of travellers using such platform is a concern. Instead of
such issues, this business model has been gaining traction among price sensitive travellers.
Some of the companies in ride sharing business are:
a) BlaBlaCar
BlaBlaCar claims to be the world’s leading long-distance carpooling platform provider. Its platform connects
people looking to travel long distances.
• Connects drivers and passengers who travel to the
same destination; economical means of transport;
revenue for drivers/ vehicle owners
Key partnerships: • Vehicle drivers
• Car insurance players
• Hosting/ architecture providers
Key resources: • Driver community and their cars
• Web based platform and apps
Key processes: • Product development
• Marketing and promotion
Story/ Channel for
communicating value:
• Website
• Social Media platforms
Cost structure: • Cost of hosting (servers)
• Marketing
Revenue stream: • Fixed commission from drivers
• Monetizing through implementing Internet payment
system
Distribution channels: • Online apps
Customer segments: • Drivers; Vendors; Passenger
Ride sharing promotes the concept of increased asset utilization, mostly among private vehicle owners. It
is an attractive business model that leverage shared mobility to reduce the cost of travel for both, the vehicle
owner/driver and the co-traveller. As ride sharing is offered by non-corporate entity (vehicle owner), it has
minimum overheads involved compared to car sharing or ride hailing, which is managed an d operated by
corporate firms.
Value
proposition
Value creation
Value
communication
Value capture
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Typical cost of using BlaBla from Delhi to Jaipur (~280 kms) cost INR 450-650, however it cost more than
INR 2500 (Uber/Ola multi-city travel rate) in using ride hailing service.
4.2.1.1.5 Car subscription
Car subscription has gained a lot of traction in last few years, as the behavioural shift has been observed in
personal mobility (consumers are shifting away from owning a vehicle). Traditional subscription models
included personal contracts and long-term leasing arrangement. Now, cu stomers are preferring flexible
monthly contracts inclusive of bundling insurance, maintenance and other costs. Car subscription model
provides customers with an experience of a private vehicle but saves them from paying the heavy upfront
cost for owning the vehicle.
Businesses in car subscription are offering customers wide range of vehicle option s suitable to their
requirement with the flexibility of selecting desired period.
Many OEMs such as Volvo, Porsche and BMW
72
, and other independent platform providers are introducing
new subscription schemes to attract and encourage the customers to experience the personal mobility under
car subscription.
Some of the businesses operating in car subscription are:
a) Zoomcar
Founded in 2013, Zoomcar is India's first 100% self-drive car rental company. It allows the user to rent cars
on hourly, daily, weekly or monthly basis. Zoomcar uses Zap app to help customers to list their car on the
company platform. As per Zoomcar’s business model, the vehicle owner is resp onsible for service,
maintenance and related expenses of the car. For monitoring, Zoomcar uses its proprietary IOT devices to
determine the health of a car on real-time basis.
• Fuel cost covered by ZoomCar; Flexi pricing packages;
24x7 roadside assistance; damage insurance
Key partnerships: • Partnership with Mahindra Electric and Ford
Key resources: • Private car fleet offered
• Data and inventory
• Online platform
Key processes: • Procurement
• Vehicle maintenance
• IT operation/ platform development
• Marketing
Story/ Channel for
communicating value:
• Website
• Social Media platforms
Cost structure: • Fleet maintenance
• Park location rental
• Fuel cost
72
OEMs’ Subscription Plans Could Revolutionize Auto Industry (access here)
Value
proposition
Value creation
Value
communication Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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• Insurance
Revenue stream: • Subscription fees (6, 12, 24 months)
• Rental fees per hour
Distribution channels: • Pickup service
Customer segments: • Drivers, travellers
Car subscription offers economical alternative to long-term car leasing. The car subscription offerings are
highly flexible and economical for the customer. Customers now have the option of accessing the cars even
for their hourly need. This business model will be benefitted from the adoption of EVs, as the reduced
operating cost (vehicle charging cost) would enhance the value proposition of this business model.
Following the COVID outbreak, car subscription business is expected
to increase as it allows customer to lease the vehicle for personal
use without the need of paying hefty amount for the purchase of
vehicle, at the same time it minimizes the risk of sharing vehicles
with anyone (during the contract period).
4.2.1.1.6 E-Roaming
In an EV charging process, the EV
user have direct contact with the
Electro Mobility Service Provider
(EMSP) and Electric Vehicle Supply
Equipment Operators (EVSEO).
Each individual EMSP has an “EVSE
usage contract” with one dedicated
EVSEO. The EVSEO enables the use
of its charging infrastructure by the
EMSP’s client (i.e. EV user) while
the EMSP ensures the payment of
charging service fee to the EVSEO
(illustrated in Figure 163 (ii)).
In some cases, role of EMSP and
EVSEO is played by a single entity;
termed as Charging Service
Provider (CSP) (illustrated in Figure
163 (i)).
Entire charging infrastructure
managed by the CSP/ EMSP with
which EV user has entered into
contract, is considered as “home
network” for the contracted EV
user.
As illustrated in Figure 163, EV users generally sign a contract with the different CSP/EMSP. Under this
arrangement, EV user is allowed to charge his/her vehicles from those ch arging station only that are
managed by CSP/EMSP they have contracted with.
Figure 163 Home network illustration for an EV user
Source: 106 Jure Ratej, Borut Mehle, Miha Kocbek, 2 013, “Global Service Provider for
Electric Vehicle Roaming” (access here)
Value capture
Value Delivery
EMSP
EVSEO
CSP
EVSE
EVSE
Management
Services for
EV user
Charging service
contract
EV user
EVSE
EMSP
EVSEO
EVSE
EVSE
Management
Services for
EV user
Charging service
contract
EVSE Usage Contract
EV user
EVSE
i)ii) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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However, the challenge arises when the customer (EV user) needs to charge vehicle in area where
infrastructure of contracted CSP does not exist. In such cases, the customer needs to sign additional charging
service contracts with multiple CSPs, leading to customer receiving multiple monthly bills. This also requires
the customer to maintain multiple RFID cards for each geographical location/area.
Interoperability appears as an ideal solution for such challenges. In interoperability, service providers engage
in B2B contract with each other, eliminating the need for customer to enter into contract with each service
provider. Such arrangement allows customers to charge their vehicles with any CSP/EMSP (network partner),
eliminating constraints in charging across different geographies. This approach of providing seamless
charging experience to users in their “home network” as well as in “visited networks” (location where
contracted CSP does not own charging infrastructure) is known as e-roaming.
As presented in Figure 7 (i & ii), e-roaming enabled EV users to charge their vehicle from charging stations
that does not belong to their home network. In case the EMSP does not have any usage contract with EVSEO,
all the charging session will be done via roaming (Figure 164 (iii)).
Figure 164 Roaming in EV charging
Source: 107 Jure Ratej, Borut Mehle, Miha Kocbek, 2013, “Global Service Provider for Electric Vehicle Roaming” (access here)
Some of the companies working in e-roaming space are:
a) E-clearing
E-clearing is one of the largest e-roaming platform in Europe, with more than 1,06,000 connected charge
points and 8,80,000 active drivers. The company was setup in October 2014 as a joint venture of Dutch
foundation ElaadNL and smartlab Innovationsgesellschaft mbH from Germany. E -clearing offers an open
B2B-platform to all market players in electric mobility. It enables cross-network interoperability in charging
of electric vehicles and related value added services. Through the offered platform, electric mobility players
can share the data necessary for user authentication, billing, real-time information and other continually
expanding use cases.
EMSP
EVSEO
CSP
EVSE
EMSP
EVSEO
EVSE
EVSE Usage Contract
EV user 1EV user 2
EMSP
EVSEO
EVSE
EV user 3
ROAMINGROAMINGROAMING
No Contract
i)ii)iii) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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• Full autonomy to connect; open business
model (no third parties); open protocol
Key partnerships: • JV of ElaadNL and smartlab nnovationsgesellschaft mbH
• Financial support by the Federal Ministry for Economic
Affairs and Energy (BMWi) and the Dutch Ministry of
Economics (EZ)
Key resources: • Open B2B-platform
Key processes: • Enable communication between parties
Story/ Channel for
communicating value:
• Website
• Social Media platforms
Cost structure: • Platform maintenance
Revenue stream: • Fixed, yearly membership fee
Distribution channels: • Online apps
Customer segments: • Charge Point Operators, Parking spot operators, Electric
Mobility Providers, Navigation Service Providers
E-roaming makes electric mobility convenient as the EV user do not
have to worry about finding home network stations for EV charging.
4.2.1.1.7 Payments services
Cash has been the traditional mode of payment for many decades. However, growth in e -commerce and
widespread use of mobile devices have opened up new avenues for payments via digital means. Mobility
service providers in general, are tying up with payment gateways to offer hassle-free cashless services.
Mobility service providers such as OLA have their own mobile wallet – OLA Money, that allow deduction of
ride charges directly from OLA Money account on availing OLA services. With the increase in shared-mobility,
payment gateways are finding increased significance and usage. With respect to EVs, the payment s ervices
will be used predominantly for two purposes: for utilizing EV mobility service from an operator, and for
charging EV. Potential payment methods used in these two purposes are illustrated in Figure 165.
Value
proposition
Value creation
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Figure 165 Payment methods for enabling electric mobility services
Source: 108 Cashless India, Deloitte analysis; Note: PoS: Point of Sale; UPI: Unified Payment Interface; USSD: Unstructured
Supplementary Service Data
Overview of all the payment methods mentioned in Figure 165 is provided in Annexure 6.4.
4.2.1.2 Traction battery
Batteries contribute to ~40% in overall cost of EV (Chapter 1), therefore, businesses providing service in
battery segment, and delivering value in terms of reducing overall cost of EV, can play huge role in promoting
uptake of EVs. In this section, we will discuss potential services/ processes related to battery that a business
can take up and help in reducing the overall cost of ownership for EV buyers.
4.2.1.2.1 Battery recycling
Technology such as lithium ion, is predominantly
used in EV batteries worldwide. The lithium ion
batteries mainly comprise of rare elements such
as Lithium, Nickel, and Cobalt. With growth in EV
industry, use of these rare elements are expected
to increase, and therefore could lead to supply
chain issues in future as availability of these rare
elements is concentrated in few countries only.
Battery recycling is an effective way to ensure
optimal utilization of such rare elements along
with meeting the rising demand.
Recycling of batteries reduces negative
environmental impact as well as has the potential
to reduce the overall cost of a battery (and
therefore EVs’). Battery recycling provides
strategic benefit to the manufacturer as it uses
materials that are readily available. It is also
understood that, at times, the raw material from
the recycled battery is of higher quality than
original raw materials as they already have gone
through refining processes, and, therefore need
Figure 166 Overview of a battery life-cycle with recycling
Source: 109 Sourcing resources: How efficient battery recycling helps
reduce costs and emissions (access here)
Raw material production
Electrode
production
Battery cell
production
Battery module
production
Battery
recycling
Battery pack
production
PoSCredit/ Debit
card
Mobile
Wallet
QR Code
*99#
USSDMobile
Banking
UPI
Payment
Payment for using EV mobility servicePayment for charging EV Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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less pre-processing.
73
This in-turn helps the manufacturer to produce a cheaper battery and consequentially
increase affordability of EVs.
World Economic Forum (WEF), in their report suggests that battery recycling holds the potential to provide
13% of the global battery demand for cobalt, 5% of nickel and 9% of lithium in 2030.
74
However, the major challenge faced in battery recycling is the “high cost of recycling”. The economic viability
of battery recycling process depends upon factors such as costs of collecting, handling and disassembling
the batteries. Once the recycling process is completed, the viability also depends upon scale of reliability
and material value of batteries recycled.
Policy makers may consider providing financial assistance/
incentives to the high-quality recycling processes, and promote
creation of battery recycling industry in the country
Promotion of battery recycling will encourage evolution of new business models such as, trading of recycled
raw materials in the exchange market, or physical reuse of aged batteries in other applications (e.g., as
energy storage systems).
India, acknowledging the importance of battery recycling, released a draft “Battery Waste Management
Rules, 2020” which laid guidelines on effective recycling of batteries along with responsibility of all value
chain players.
Source: 110 Battery Waste Management Rules, 2020 ( access here)
4.2.1.2.1.1 Battery subscription
Battery Subscription is key to reduce the upfront cost of the electric vehicles (especially e-buses). In Battery
Subscription, batteries are provided to vehicle operators on subscription basis, charging for use on daily or
per kilometre rates.
73
Sourcing resources: How efficient battery recycling helps reduce costs and emissions (access here)
74
A Vision for a Sustainable Battery Value Chain in 2030 (access here)
Box 17: Battery Waste Management Rules, 2020 (Draft)
On February 2020, Ministry of Environment, Forest and Climate Change issued a draft rule on Battery Waste
Management, superseding Batteries (Management and Handling) Rule s, 2001. The draft rule aimed to create an
ecosystem for handling and disposal of batteries in India and ensure safety of the public as well as of the environment.
It covers all types of batteries (rechargeable and non-rechargeable) along with the appliances where batteries are
used.
The rule laid guidelines on recycling of batteries through formal channels in safe manner and seek accountability from
every value chain player including central/ state pollution control boards. The amendment mentioned develop ment
of a computerized system for keeping track of all the activities such as sale, distribution, collection auction, processing
etc. of batteries in the country. The rule also mandated manufacturer, importer, assembler and re -conditioner to
setup collection centers (either individually or jointly) at various places for collection of used batteries from consumers
or dealers.
The rule has directed State Pollution Control Boards (SPCBs) to periodically monitor battery recycling facilities. It also
directed Central Pollution Control Boards (CPCB) to prepare guidelines/ SOPs for bat tery recycling facilities,
standardization of technologies for all types of battery recycling, and establishment of R&D cell for battery recycling. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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A business model concept on battery subscription is prepared by Climate Finance Lab (“T he Lab”) where
barriers such as high upfront costs of electric buses and lack of access to suitable financing were tried to
address.
75
E-buses are 1.5 to 2 times more expensive than conventional diesel
buses
In the proposed subscription based business mode l, the battery subscription facility will setup as a third
party battery service provider, which purchases the battery, and provides them to the bus owners while
charging on a daily or per kilometer basis.
To lease the battery, the subscription facility and the bus operator will jointly purchase the battery and e-
bus from the manufacturer. The ownership of the battery will re main with the subscription facility, and
ownership for the bus will be with the bus operator.
The agreement between the subscription facility and the bus
operator was custom designed to ensure viability to both the
parties.
Figure 167 Sample design of a battery subscription service arrangement
Source: 111 Battery Subscription Facility - Lab Instrument Analysis (access here)
From this business model, the subscription facility will obtain ensured revenue, whereas the bus operator
will enjoy low cost of operation against fluctuating diesel/CNG prices.
The battery subscription model supports the adoption of EV by reducing the upfront cost of EV acquisition.
On 12
th
August 2020, the Ministry of Road and Transport Highways allowed the sale and registration of
electric vehicles without batteries in an effort to delink the cost of battery with the EVs.
75
Battery Subscription Facility - Lab Instrument Analysis (access here)
EQUITY
DEVELOPMENT
FINANCIAL
INSTITUTION
LOCAL FINANCIAL
INSTITUTION
EV owners/ E-bus
operators
SOURCES OF
FINANCE
BATTERY
SUBSCRIPTION
FACILITY
(Battery purchase
and leasing)
Returns
Equity
Debt service
payment for
battery loan
Debt for
battery
Debt service
payments
Long tenor
credit line
Debt for EV
owners/ E-
bus operators
Debt service
payment for
EV/ E-bus
Battery on
subscription
Battery
subscription
charge Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
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4.2.1.2.1.2 Battery-as-a-Service (BaaS)
Battery-as-a-Service (BaaS) is an effective business model to maximize the value of a battery. As per report
by Ronald Berger
76
, Battery-as-a-Service (BaaS) make use of circular economy model in order to maximiz e
asset utilization, and at the same time connects the transport and energy sector.
Manufactured batteries (new) are leased to end-users such as vehicle owners, energy storage project etc.
for usage. Once the battery reaches to near its end-of-life (EoL), the BaaS service provider either refurbishes
the batteries and make them suitable to be used in applications such as energy storage or behind the meter
usage; or, recycles the batteries by extracting the raw material from them to manufacture new batteries.
The process is provided in Table 45.
Table 45 Integrated value chain - BaaS
Battery leasing Refurbishment Energy storage systems Recycling
✓ Battery leasing option
on a monthly fees
✓ Battery returns to OEM
after leasing
✓ Refurbish used batteries
by replacing modules
with insufficient capacity
✓ Integrate used batteries
in industrial and
residential energy
storage systems
✓ Recycle batteries to
extract raw materials as
well as precursor
material
Source: 112 Ronald Berger
Source: 113 Nio launches Battery-as-a-Service (BaaS) with CATL (access here)
4.2.2 Infrastructure
Lack of public charging infrastructure has been one of the key barriers in large scale adoption of electric
mobility in India. Therefore, it is important for India to have a robust backbone of charging infrastructure,
across the length and breadth of the country with due consideration to traffic and population density. In the
following sections, we will assess players responsible for setting up charging stations and business models
adopted by them.
4.2.2.1 EV charging infrastructure
With growth in adoption of EVs, the charging business have also evolved, globally. International experience
suggests that various stakeholders / institutions have engaged themselves in planning and development of
EV charging infrastructure. The various stakeholder / participants are provided below:
76
E-mobility index 2019 (access here)
Box 18: Nio—Battery-as-a-Service (BaaS) with CATL
In 2020, Nio, a Chinese car manufacturer partnered with CATL, a leading battery manufacturer, targets to separate
the costs of battery from the purchase price of its vehicles through “Battery as a Service (BaaS)” business model.
The Baas enabled Nio to reduce its vehicle prices by 70,000 yuan (~ 8,530 euros).
To implement the Battery-as-a-Service, Nio, CATL and two other partners, founded a Battery Asset Company. Each
partner had invested 200 million yuan (~ 25 million euros) in the company. The Battery Asset Company is proposed
to purchase the batteries, and lease those using concepts of BaaS business model, with CATL supplying the cells.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Figure 168 Players involved in charging infrastructure business
Source: 114 Deloitte analysis
Among all players listed in Figure 168, charging infrastructure manufacturer and charging station operators
have and the most important role in developing and operating EV charging stations. The following section
provides details on these two players only. For other players, brief note is provided in Annexure 6.4.
a) Charging infrastructure manufacturers
The major revenue of a charging infrastructure manufacturer is generated from manufacturing and selling
EV charging equipment. These players provides EV infra hardware solutions in two ways: first, standalone
delivery – to install at home, workplace or for public charging; and, second, in partnership with vehicle
manufacturers, offering the hardware as a part of vehicle
The charging infrastructure manufacturer provides complete charging points solution for public and private
charging and including the hardware and software installation. These players also provides services such as
maintenance of the hardware as well as additional support services. Some of the major charging
infrastructure manufacturers are:
i. Alfen
Alfen is an Electrical & Electronic Manufacturing company which offers a range of 3.7-22KW smart charge
points for home, work and public areas. Along with the product, the company also provides services around
your charging points, ranging from smart charging to back-end management and remote control of c harge
points.
• EV charging with renewable energy; intelligent
charging solutions
Key partnerships: • Innovators: supplying smart charging equipment to
Vandebron, a company who is working on an EV
blockchain project.
• Governments & municipalities: delivering equipment
to the European Commission in Brussels and hundreds of
municipalities.
Value
proposition
Value creation
Public
authorities
Power Utility Charging Infra
Manufacturers
Charging station
Operator
Location owners/
Real estate
Vehicle
Manufacturers/
Fleet operators
EV charging station owners
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Key resources: • Skilled employees: retention and attraction to keep up
with growth.
• In house production: resulting in maximum flexibility
and rapid adaption to a highly innovative and potentially
disruptive EV market.
Key processes: • Charging station management
• R&D: Grid system and EV charging equipment
development are key to maintain the strong market
position Alfen has in the EV market.
Story/ Channel for
communicating value:
• Social media
• Company website
Cost structure: • Scalable factories: as rapid growth is anticipated,
investments to keep up with future demand are made.
• Material cost: cost of c.a. 68% of revenues in 2017,
material cost have a large impact on profits.
Revenue stream: • Individual charging equipment sale: offering smart
and connected EV chargers for use at home, office and
public locations.
• Projects: Offering turnkey solutions. Example: The
Hague stadium; Alfen delivered a fully integrated energy
solution for the stadium consisting of an EV charging
hub, energy storage system and local smart grid.
Distribution channels: • Alfen has authorized dealers; customer can find the
nearest dealer to install the charging station
b) Charging station operators
Charging station operators (CSO) generate revenue by operating a network of chargers. They provide variety
of services such as EV charging, customer support, network solution (standalone or in partnership with a
Network Service Provider) etc.
The CSO adopts pricing mechanism such as Time-based fees, Energy-based fees, fixed fees, Membership
fees etc. to charge EV users. The CSO sometimes partner with NSPs that provides services such as software
solution, user interface, user solution etc. The CSO offers different solution for home charging, workplace
charging, and public charging.
Some of the companies working as CSO are:
i. Fastned
Founded in 2012, Fastned is a Dutch company that owns and operates EV charging stations in Netherlands,
Germany, and the United Kingdom.
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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• Payment software; Country presence
(Netherlands); Tesla compatibility
Key partnerships: • Albert Heijn: a large supermarket chain who agreed to
cooperate with Fastned to place chargers in front of their
stores.
• Governments & Municipalities: in an attempt to bring
down air pollution in cities and to decrease CO2
emission, they have granted subsidies and “cheap” land
to promote EV’s.
Key resources: • Scalable high traffic locations: to be able to scale up
when EV sales increase, without having to reinvest in
property in the same area.
• Property: strategic plots of land are key to further
expand the charging network.
Key processes: • Creating a European network that allows for fast
charging for both commercial and professional usage,
like truck and taxi.
Story/ Channel for
communicating value:
• Social media
• Mobile App
• Company website
Cost structure: • Acquiring new plots of land: mostly near cities and
busy highways making it costly.
• Developing software: new charging and payment
software development requires substantial investments.
Revenue stream: • Guests: individual payments, no additional services
(€0.59 per kWh).
• Members: with registration, plus extra service, like auto
charge and charge history (€0.59 per kWh)
• Gold members: with registration and subscription
(€0.35 per kWh & €11.99 per month).
Distribution channels: • Drivers to navigate and reach to the nearest Fastned
charging station to charge their vehicles
Customer segments: • Households; Real estates; EV owners; Fleet operators
In India, EESL is the one of the prominent players in EV charging development. The company acts as an
aggregator and partners with multiple value chain players to develop EV charging infrastructure. Business
model review of EESL is provided below.
Value
proposition
Value creation
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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a) EESL (Energy Efficiency Services Limited)
EESL is the largest EV charging station aggregator in India. Till date, the company has installed 92 public
charging stations along with 488 captive chargers across India
77
. The company also deployed India’s first
public charging plaza at Chelmsford Club, New Delhi.
EESL works on demand aggregation model where it purchases EV chargers in bulk through open competitive
bidding. The selected contractor/vendor is responsible for providing end-to-end support (from planning, to
commissioning) for the charging station. The vendor is also responsible for operation and maintenance of
the charging station for a definite period of time.
Figure 169 EESL business model
Source: 115 Deloitte analysis
• Large network, low system cost
Key partnerships: • In partnership multiple municipalities, DISCOMs, Metro
Corporations, Government departments
Key resources: • EV charging stations
Key processes: • Demand aggregation
• Floating tenders for public procurement
Story/ Channel for
communicating value:
• Public procurement
• Advertisements
Cost structure: • Purchase of EVSE through public procurement
• Operation & Maintenance
77
EESL – EV Charging (access here)
Value
proposition
Value creation
Value
communication
Public EV charging demand
aggregation
Partneringwith value chain
players in catering the
demand
EVSE
manufacturing
EVSE
installation
EVSE
O&M
Payment & energy
platform provider
Network service
provider
EESL purchase
EV chargers in
bulk using open
competitive
bidding
EESL selects
implementing
partner for
installation of
chargers through
open competitive
bidding
The implementing
partner will be
responsible for
operating the
charging station
EESL selects
partner for
enabling payment
mechanism
EESL selects Network
service provider for
providing cloud/data
service for day-to-day
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Revenue stream: • Fixed payment in case of ESCo model
• Payment from EV charging service
Distribution channels: • Customer needs to locate EESL public charging station to
charge their vehicle
Customer segments: • Government organizations, EV users
Note: To understand the feasibility of charging infrastructure business in India, financial analysis on a single
charger project is done for 10 year project life. Project assumptions, outputs and sensitivity is provided in
Annexure 6.4
Based on the route of deployment of EV charging station, business models in EV infrastructure business can
be classified into four categories:
Figure 170 Business models in deployment and operation of EV infrastructure
Source: 116 Deloitte analysis
Independent model ▪ Private players set up EVSE by taking licenses from governments or municipalities.
They may appoint EV service providers for charging operations and payment
settlements who ensure certain level of interoperability amongst different NSE
network owners. Major countries which are using this model are UK and Netherlands.
Utility Installations -
Own & through PPP
▪ In China, the State Grid Corporation of China and China Southern Power Grid in
partnership with many OEMS have opened charging stations, largely limiting their
role to power supply only.
▪ In Germany, power companies, including RWE, Vattenfall, EON and EnBW, account
for of all public charging Stations (Hall and 2017)
Integrated Model ▪ Utility owns the EV Charging infrastructure, operate it either Own or through their
third party Contractors.
▪ EVSE assets forms part of the assets of utility, who are responsible for distribution of
as well as operation and maintenance of the EVSE. Major country that run this model
is Canada.
▪ Advantage of model is that utility need not to worry about the low volume of
business in Starting phase, as assets are created under regulated capex route.
Charging
infrastructure as
secondary business
▪ By own installations , Tesla has built a network of fast-charging Superchargers along
highways throughout North America, Europe, and Asia, which Roadster, Model S and
Model X owners for free. In addition, the company has built over 9,000 destination
charging connectors similar to Tesla Wall Connectors. 400 kWh supercharger credits
are awarded annually to the car owners, after which they are charged based on
either per kWh or per minute.
Value capture
Value Delivery
Independent modelUtility installations Integrated model EV charging as secondary
business
e.g. Solely by either of the value
chain player
e.g. In partnership with
power utility
e.g. Collaboration between any of
the parties: EV charging
manufacturers, EVSE operators,
Location players, Public authority
e.g. Automakers, Location
players
1234 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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▪ The leading automobile companies’ viz. BMW, Daimler, Ford, Volkswagen have
created a JV to develop ultra-fast, high-power charging stations in Europe. The JV
sets an initial target of ~400 charging stations by partnering with service providers,
for e.g. BMW partnered with ChargePoint, to allow its users to access the
ChargePoint’s network through a smart card. Similarly, Nissan partnered with EVGo
to provide two years of complimentary access to its vehicle to participating stations
of EVGo for public DC fast and Level 2 charging.
Business models in EV charging infrastructure segments are limited. However, with growth in the industry,
more business models in EV charging space are expected to evolve. Details about potential future business
models in electric mobility are provided in the section below.
4.2.2.2 Future EV charging business models
The commercial development phase of EV charging industry can be segregated into three phases:
introductory phase, growth phase and maturity phase
Figure 171 Business innovation in EV charging vis-à-vis market development stages
Source: 117 FSR - charging up India’s Electric vehicles (access here); Deloitte analysis
Introductory stage is the initial stage of the product (here “charging infrastructure”) when it is deployed
in the market. The product during the introduc tory stage is under continuous R&D while the market/
customers are still gaining awareness/ knowledge about it. During this stage, the sales/ deployment of the
charging infrastructure is slow, and the players invest significant capital to bring the product to the market
(particularly with the interest to take first-mover advantage).
The next stage is the growth stage when the market is fully aware and is adopting the product rapidly.
During this stage, the market share of the products starts to grow, and several new players start entering
into the market. Profits/ margins of the product in this stage is very high as compared to the introductory
phase. Players with strong market share in the introductory phase enjoys early entrant advantage and earns
high profits.
At maturity stage, the rate of adoption of technology starts becomes either stagnant or declining. The
market share of the company stabilizes. There are very few innovations took place d uring this stage and
companies target to earn constant revenue from the product.
India’s EV charging market is currently at introductory phase where limited players with limited business
models are serving the market. In the above sections, we have reviewed existing state of India’s EV industry,
business models, players etc. However, as the electric mobility industry grow, there will be change in existing
business processes to adapt concurrent changes in EV landscape.
Table 46 lists expected changes in electric mobility industry and it’s probable impact on EV charging
businesses when it transit from introductory phase to growth or maturity stage.
Introductory stageGrowth stageMature stage
Adoption rate
of technology
Time Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Table 46 Shape of EV charging industry - Present and future
Present Future (2025 & beyond) Business impact
Low EV Penetration High EV penetration More charging stations; need for fast
charging
Less competition High competition Innovative business model to retain
customer, cost competitive business
model, bundled model – product with
services
Focus on urban areas EV charging expanding to Tier 2 & Tier 3
cities
Suitable business model for price
sensitive customers in semi-urban
and local areas, high volume and low
prices based business models, e-
roaming
More focus on product Service will be key in attracting
customer
Need for innovative services, co-
located charging, bundled services
Short range vehicle/ less distance
travel
Long range vehicle/ long distance
capable batteries
Need for fast charging facility;
charging zone
Conventional vehicles Smart, autonomous, connected vehicles Need for smart charging
“Charging” is the only service Energy feed back to the grid during from
vehicle during unused hours
Need for Vehicle-to-Grid (V2G)
facility, participation in demand
response, Virtual power plants
No managed charging facility Active and passive managed charging in
place
Increased role of DISCOMs and third
party service providers in managing
the grid, smart charging
Less cyber threat High cyber threat More investment in data security,
secure data communication
Single business-led Partnership-led Win-win partnership collaboration,
co-located charging stations,
charging zones with public amenities
such as food zone, recreational
activities
With the change in the market dynamics, business model s will transform when we proceed to the growth-
stage. For the purpose of this report, business models that may evolve at maturity stage are not covered as
it would be too early to predict the market forces that may shape up the business models as maturity stage.
The likely business models that may evolve in growth-stage in a response to change in operating business
environment are highlighted below:
Figure 172 Business innovation in EV charging in the growth stages
Source: 118 FSR - charging up India’s Electric vehicles (access here); Deloitte analysis
Details about business innovations in the growth stage is mentioned below:
Introductory stageGrowth stageMature stage
Adoption rate
of technology
Time
Innovative
subscription offering
Service innovation to gain
new customers
Customer centric Business
innovations
Win-win partnership
with value chain
players
Adoption of technologies
supporting Smart Charging
Innovative business models
to utilize V2G charging
New business models with
increased access Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Smart charging
• Smart charging is considered as a charging technology that along with charging the vehicle,
communicates with external entities such as utility, charging operator etc. This technology will
help in active managed charging by utilities.
V2G charging
• V2G charging will allow feeding power back to the grid from EV battery. This will help in
providing power to the grid in case of shortage and also allow EV owner to earn revenue by
selling the EV power.
Business model
with increased
access
• As the electric mobility industry is growing, charging infrastructure will expand to Tier-2 &
Tier-3 cities. Operators will need to ensure that EV users have access to charging even in
places outside their home-network. Business models around e-roaming system will be key for
providing access to the EV user.
New partnership
with value chain
players
• As electric mobility grows, it will not be possible for a single business to maintain a
competitive edge. Partnership with other players in the value chain will help offering a
complete solution to the consumer.
Innovative
subscription
offering
• To overcome acquisition cost hurdle, new form of subscription models may evolve, offering
electrical vehicle ownership by paying monthly rental. Tata Motor for its Nexon model have
already launched such offer to generate volume for business by reducing price barriers.
Similarly, battery subscription models would also be evolved with standardization of technical
standards and battery parameters compatible with wide range of electric vehicle.
Service
innovations
• During the growth stage, as the competition will increase, profit margin would shrink. Focus
would shift from product offering to service offering as a bundle of product and service. It
could be lifetime free maintenance, unlimited/limited battery changes, free access to range of
charging station etc. Revolt a Gurugram based start-up has already launched such scheme at
nominal additional prices for limited time period.
Business
innovation
• With the increase in electric vehicles on road, new business concepts would evolve as a
response to problems that may emerge with increase in vehicle volume. For example, to avoid
waiting time at charging stations concept of anywhere-charging may evolve. Ubitricity in UK
are offering smart cable and smart meter to enable consumer to charge from electricity poles
of any DSO and send monthly bill as energy charge with nominal subscription fee (Please
refer to Box – 14 for detailed case study on Ubitricity business model).
4.2.3 Energy
A private vehicle stands idle for an estimated 95% of its lifetime
78
The premise for energy as a value area comes from the above stated fact on level of underutilization of
private vehicles for transportation purpose. Battery in EVs stores electricity, and when not in use for
commuting, EV owners can trade/ sell/ utilize the stored power and can earn additional revenues. In the
sections provided below we will understand how energy stored in the EV batteries can provide value to its
owner, and areas where business can evolve in utilizing power from EV batteries.
Interconnection of EVs with grid is conducted using two main technologies: V1G and V2G.
Vehicle-to-Grid (V1G) is also known as smart charging or managed charging technology. This type of
charging provides feature such as dynamic modification of the charge rate or the charge time of the vehicle.
V1G is highly effective with grids that follow Time-of-use (ToU) tariffs. Modification in charging rate and time
allows power utilities to decrease peak loads or smooth frequency deviations.
Other than V1G, there are other advanced interconnection technologies for transfer of power. Some of these
technologies are given in Figure 173.
78
Moving Forward Together – Enabling Shared Mobility in India (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Figure 173 Electric vehicle connection technologies to end-user
Source: 119 Deloitte analysis
A step further than V1G, in a Vehicle-to-Grid (V2G) system, additional power in the vehicle can be fed
back to the grid (bidirectional). With V2G technology, it is possible to control the time, magnitude and
direction of charging/ discharging power. Using this technology, an electric vehicle can feed power to the
home (V2H) or building (V2B) as well. V2G technology helps in applications such as short-term storage for
renewables, higher capacity for frequency regulation, and for off-grid applications.
Vehicle-to-home (V2H) and Vehicle-to-building (V2B) are the subsets of V2G and operates in a similar
manner. However, it is to note that V2H caters to a home power need, whereas V2B operates at a much
larger scale such as for buildings or commercial places. In both the technologies, home owner or building
owner uses the bi-directional power flow capability in order to optimize energy consumption in the home or
building, provide emergency backup power or supplement grid electricity supply in extreme cases. The key
difference between V2G and V2H or V2B technologies is that utility may not be directly involved in the bi-
directional electricity flow in case of V2H/ V2B.
Vehicle-to-Load (V2L) is used to provide emergency backup in event of electricity outage or power to
rural areas with limited energy availability. V2L is also used in providing energy to critical equipment in
hospitals, research centers etc.
4.2.3.1 Virtual Power Plant (VPP)
A virtual power plant is a cloud-based distributed power plant that aggregate s the capacities of
heterogeneous distributed energy resources (DER) such as solar power equipment, batteries, EVs etc.,
Figure 174 illustrates basic outline of a virtual power plant aggregating powers of electric vehicles.
Figure 174 Virtual power plant for aggregating power from EVs
Source: 120 Virtual Power Plant (TOPMOST) - Durham University (access here)
Virtual power plant provides an efficient way of utilizing power from electric vehicles in grid balancing or
trading in the electricity market (at peak time for energy arbitrage). This concept has opened up a new
avenue for revenue generation for fleet operators, bus operators etc. that can play a role in VPP architecture.
Vehicle-to-Everything (V2X)
Vehicle-to-Grid (V2G)
Vehicle-to-Home (V2H)Vehicle-to-Building (V2B)
Vehicle-to-Load (V2L)
VPP Platform
Energy MarketSystem operationConsumer services
Communication networks Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
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Virtual power plant, however, will require a power network integrated with secured communication network,
protocols for data sharing and cyber security etc. to operate, which, with reference to India, could be possible
in a medium to long term horizon.
Source: 121 Promoting Virtual Power Plants (VPPs) Using Electric Vehicles (EVs) While Adding Value to EV Ownership
(access here)
4.2.4 E-Buses
4.2.4.1 Procurement model for E -buses
Procurement and operation of buses in India is largely done through PPP (Public Private Partnership)
framework. There are multiple models available under PPP framework that differs in terms of degree of
operational control, allocation of risk and investment contribution.
For procurement of conventional buses, Gross Cost Contract (GCC) and Net Cost Contract (NCC) have been
commonly adopted by several Indian cities. Ahmedabad (AMTS and BRTS bus services), Surat (BRTS bus
services) Delhi (DIMTS bus services)
79
have adopted GCC contracting, whereas Rajkot, Vadodara, Indore
and Delhi Metro Feeder Buses
80
operate their buses on NCC basis.
For e-buses also, the similar approach of GCC and NCC has been widely adopted. In addition to these models,
hybrid GCC and hybrid NCC contracts are also used in several countries to address the shortcomings of
conventional GCC & NCC contracts.
Figure 175 PPP models in city bus private operations
79
Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here)
80
Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here)
Box 19: Toyota Tsusho – Nuvve – Virtual Power Plant partnership
In 2017, Toyota appointed Nuvve to support in expansion of the virtual power plant (VPP). Nuvve operates a V2G
system that controls the charge and discharge of the batteries in EVs connected to charging stations based on the
electrical supply-and-demand balance of electrical grids.
“The V2G technology that Nuvve offers allows parked EVs to become part of an electric grid while connected to the
charger. Depending on the supply-demand balance in the grid, the company's platform can control the charge and
discharge of multiple parked EVs - becoming a virtual power plant.”
Gross Cost
Contract (GCC)
Hybrid Gross
Cost Contract
Hybrid Net
Cost Contract
Net Cost
Contract (NCC)
PPP Models
12
34
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4.2.4.1.1 Gross Cost Contract (GCC)
In GCC contractual structure, the authority takes a major role in managing the network whereas the
operations & maintenance is carried out by the private player (bus operator). The authority makes payments
to the bus operator on kilometerage
81
cost, minimum cost or cost per passenger cost.
In GCC, authority carries the revenue risk, plans overall services, manages the contract for level of service
and quality, and is responsible for customer service, whereas, the operator only carries the operational risk.
The operator, however, holds the responsibility for service frequency (no missed trips) and compliance with
quality and safety standards (bus quality, cleanliness, driver behaviour, safety etc.).
Figure 176 Snapshot of Gross Cost Contract (GCC) PPP model
Source: 122 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
This contract is suitable if the authority wishes to take a dominant role, undertake service planning and
assume the revenue risk. A city which has low ridership / routes and where the operator may perceive higher
revenue risk would be suitable for adoption of such a model.
In GCC, authority holds greater control as it sets overall Minimum Service Levels (MSL)/Key Performance
Indicators (KPIs) for the operator and also conducts close monitoring of these parameters.
The GCC model has several advantages and disadvantages for the authority and bus operators, as mentioned
in Figure 177.
81
Kilometerage: Distance travelled between two points
Payment as per quoted cost of operation (per bus
kilometers/ per bus/ per service hour etc.)
Bus operatorAuthority
Collection from
commuters
PlanningImplementationO&M
Monitoring
Demand assessment
Route planning
Setting service standards
Operation planning
Tariff fixation/ structuring/ revision
Investment planning and funding
Deciding length of contract
Procurement of fleet and permits
Setup control room
Marketing and branding
Service quality monitoring
Operation of buses
Revenue collection
Operation of control room
Bus fleet maintenance
A C T I V I T Y
Authority Operator Either entity
LEGENDS Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
193
Figure 177 Advantages and disadvantages of GCC for authority and bus operators
Source: 123 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? ( access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
Though widely adopted in Indian cities, GCC holds several disadvantages for both, authority as well as bus
operator. To overcome this, a hybrid mode l was introduced in several cities across the globe including
London, Santiago (Chile) etc.
4.2.4.1.2 Hybrid GCC
In GCC, whilst the authority has full control on the services, the bus operator tends to maximise operational
distance with least focus on improving the consumer services, causing revenue loss to the authority. In
order to provide safeguard against such losses, Hybrid GCC model has been innovated.
Under a hybrid contract, the agency still carries the responsibility for passenger service outcomes and sets
overall Minimum Service Levels (MSL)/Key Perfo rmance Indicators (KPIs) but incentivises the operator
through additional payment for ridership growth. This model, thus, enables risk sharing between the agency
and the operator. The model also incentivises the operator for garnering additional ridership through
improvement in service levels.
The authority provides fixed payments (per km fee) along with bonuses, which are linked with growth in
ridership. The operator needs to quote its cost of operation (fixed per-km fee) and the variable fee per
passenger for additional ridership over base figures.
Figure 178 Snapshot of Hybrid Gross Cost Contract (GCC) PPP model
Bus operatorAuthority
•Full control on route and bus frequency
•Controls the levers of supply, price, and service quality and
system performance.
•Retention of surplus revenue
•Exposure to revenue risk
•Requires close monitoring; higher administration and
monitoring cost
•No revenue risk; receives agreed payment even when
demand reduces
•Easy access to finance due to no revenue risk
•Exposure to O&M cost risk
•No incentive on providing quality service
Payment as per quoted cost of operation along with
performance based incentives for ridership growth
Bus operatorAuthority
Collection from
commuters
PlanningImplementationO&M
Monitoring
Demand assessment
Route planning
Setting service standards
Operation planning
Tariff fixation/ structuring/ revision
Investment planning and funding
Deciding length of contract
Procurement of fleet and permits
Setup control room
Marketing and branding
Service quality monitoring
Operation of buses
Revenue collection
Operation of control room
Bus fleet maintenance
A C T I V I T Y
Authority Operator Either entity
LEGENDS Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
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Source: 124 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
In Hybrid GCC, the bonus payment acts an additional revenue for the operator, and does not hurt its target
revenue, which is assured by the authority. This increases the chances of improved customer services.
This contracting model finds its suitability for cities that require the characteristics of GCC (Authority/STU in
a dominant role) as well as where the city authority would want to share the revenue risk with Operator
(with intention to improve customer services). However, t he model still holds some advantages and
disadvantages for both authority and operator.
Figure 179 Advantages and disadvantages of Hybrid GCC for authority and bus operators
Source: 125 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems (access here); Deloitte analysis
A Hybrid GCC suits situations where the operators are more skilled and experienced in the bus service
business.
4.2.4.1.3 Net Cost Contract (NCC)
Under NCC, the authority permits the private operator to carry out business through designated routes or
service areas in return for a monthly fee or payment of grant (VGF). In this case, the authority performs a
more regulatory role, and the operator carries the entire revenue risk.
In NCC, service planning is mostly done by the operator, although an MSL and Quality KPIs are set as
conditions for awarding the NCC. The operator cross-subsidises non-profitable routes with profitable ones.
However, this business model has an inherent risk of reduced control by the authority on the operator which
may lead to drop in the quality of customer service provided by the bus operator.
Bus operatorAuthority
•Lower revenue risk than GCC
•Full control on route and bus frequency
•Controls the levers of supply, price, and service quality and
system performance.
•Requires close monitoring; higher administration and
monitoring cost
•Avenue to increase revenue
•Share in revenue risk
•Exposure to O&M cost risk Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
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Figure 180 Snapshot of Net Cost Contract (NCC) PPP model
Source: 126 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
In India, one of the major impediment to NCC is that the operator provides services within the framework
of a regulated fare scale established by the city, which is rarely revised upwards due to socio-political factors.
This hampers the operator’s ability to recover its operational cost. Other advantages and disadvantages of
NCC model is given in Figure 181
Figure 181 Advantages and disadvantages of NCC for authority and bus operators
Source: 127 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? ( access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
The NCC option is more preferable where the authority wishes to be involved minimally and relies more on
the private bus operator to deliver services. In cities such as Surat and Delhi that had earlier adopted NCC
model, the quality of services provided by the bus operator significantly deteriorated
82
. This decline in service
quality included lack of adherence to schedule, minimal or no attention on maintenance of buses, etc.
In India, it is difficult to project revenues under NCC as the public buses, sometimes, tend to operate at
socially relevant but uneconomical routes, causing revenue and opportunity loss for the bus operators. It is
in this context that private bus operators have shown less interest in responding to NCC contracts.
82
Gross cost contract v/s net cost contract: What should Indian cities opt for? (access here)
PlanningImplementationO&M
Monitoring
Demand assessment
Route planning
Setting service standards
Operation planning
Tariff fixation/ structuring/ revision
Investment planning and funding
Deciding length of contract
Procurement of fleet and permits
Setup control room
Marketing and branding
Service quality monitoring
Operation of buses
Revenue collection
Operation of control room
Bus fleet maintenance
A C T I V I T Y
Authority Operator Either entity
LEGENDS
Payment as per quoted VGF (per route/ per bus etc.)
Bus operatorAuthority
Collection from
commuters
OR, Payment as per quoted premium
Bus operatorAuthority
•Limited financial commitment and steady income
•Limited administrative cost
•High risk of safety; operator may compromise with safety
in order to transport more passengers
•Incentive to operate efficiently
•Flexibility to modify/ change/ close routes and frequency
•High revenue & operation risk
•High dependency on fare revision to earn revenue Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
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4.2.4.1.4 Hybrid NCC
As observed in NCC, bus operators may need to provide service in uneconomical but socially relevant routes
resulting in loss of revenue and opportunity cost. To support bus operators in such situations, Hybrid NCC
model has been developed.
In Hybrid Net Cost Contract, the authority supports non-commercial and unprofitable routes where service
on the routes needs to be provided as a public service obligation (PSO). The Hybrid NCC requires a higher
level of involvement by the authority (as against NCC model) in service planning as the model involves
financial support on selected non-commercial routes.
The authority sets the overall Minimum Service Levels (MSL)/Key Performance Indicators (KPIs) along-with
being involved in the continuous monitoring of these parameters. The level of control by the Authority, in
this model, is still less than GCC contracts.
Figure 182 Snapshot of Hybrid Net Cost Contract PPP model
Source: 128 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? ( access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
Figure 183 Advantages and disadvantages of Hybrid NCC for authority and bus operators
Source: 129 Gross Cost Contract v/s Net Cost Contract: What should Indian cities opt for? (access here); PPP arrangements in urban
transport (access here); Guidelines for participation by private operators in the provision of city bus transport services (access here);
Deloitte - Public Private Partnership Models for Development of Sustainable Urban Transport Systems ( access here); Deloitte analysis
PlanningImplementationO&M
Monitoring
Demand assessment*
Route planning
Setting service standards
Operation planning
Tariff fixation/ structuring/ revision
Investment planning and funding
Deciding length of contract
Procurement of fleet and permits
Setup control room
Marketing and branding
Service quality monitoring
Operation of buses
Revenue collection
Operation of control room
Bus fleet maintenance
A C T I V I T Y
Authority Operator Either entity
LEGENDS
Payment as per quoted VGF (per route/ per bus etc.)
including lost revenue from uneconomical routes
Bus operatorAuthority
Collection from
commuters
OR, Payment as per quoted premium
* Includes demand on socially relevant but uneconomical routes
Bus operatorAuthority
•Limited financial commitment and steady income
•High risk of safety; operator may compromise with safety
in order to transport more passengers
•High monitoring cost
•Reduced revenue risk as compared to NCC
•Incentive to operate efficiently
•Additional compensation for operation in unprofitable
routes
•Exposure to operation risk
•High dependency on fare revision to earn revenue
•Less access to finance Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Hybrid NCC ensures payment for unprofitable routes to the operator and therefore elicits better participation
than the pure NCC model.
4.2.4.1.5 Selection of right PPP mode l
Above sections discussed about PPP models for e-buses city operation. Summary of key parameters for each
model is provided in Table 47:
Table 47 Features of PPP city bus operation models
Parameter GCC Hybrid GCC NCC Hybrid NCC
Suitability
Authority wants to
retain control and is
financially strong to
assume revenue risk,
has strong
monitoring capacity
Authority wants to
retain operational
control and intends
that operator shares
some revenue risk
Competent operators
willing to assume
revenue risk exist
and demand is
relatively certain
Authority is willing to
reduce control over
operations, while
financially
compensating for
unviable routes
Revenue risk
Authority Shared: Base cost by
authority; Ridership
increase by
operators
Operator Operator: Subsidy by
authority on unviable
routes
Degree of
operator’s
incentive to
increase ridership
Low
Fixed payment
irrespective of
ridership
High
Bonus on increase in
ridership
High
Revenue directly
linked to ridership
High
Revenue directly
linked to ridership
Monitoring and
penalty regime
Requires strong and
consistent
monitoring with
penalty for service
below benchmark
performance
Higher level of
monitoring than
GCC because of
greater economic
incentive for
performance
Less monitoring
Only service quality
parameters
monitored
Level of
monitoring is
higher than NCC
In addition to service
level parameters,
monitoring of
movement of bus on
un-viable routes
Access to finance
(Bankability of
project)
High
Guaranteed income
reduces credit risk
High
Part of income
assured; decreases
risk
Low
Revenue risk borne
by operator.
Increases credit risk
especially if no track
record or demand is
uncertain.
Medium
Since credit
worthiness is
increased as non-
commercial routes
are supported.
Operational
efficiency
Medium
Since operators are
assured of revenue
and can focus only
on operational
efficiency
High
Since operators
revenue is
guaranteed, while
incentives exist for
increased ridership
Low
Since operators bear
the revenue risk and
may skip
trips/reduce
frequency in case of
low ridership
High
Since operators’ gets
revenue from un-
viable routes also
High on viability
from the bus
High on viability
from the bus
High on viability
from the authority’s
perspective
High on viability
from the authority’s
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Parameter GCC Hybrid GCC NCC Hybrid NCC
Project viability operator’s
perspective
operator’s
perspective
As also stated in above sections, the hybrid models resolves some of the issues of the base PPP models and
are expected to bring more participation, if adopted. However, selection of best model for adoption of e-
buses will vary from city to city. Figure 184 mentions key parameters that will help in selection of best PPP
model for city bus operation.
Figure 184 Contract selection framework parameters
1 Load factor on routes 2 Overlap of routes 3
Authority's control over service
and network plan
4 Integration of different modes 5 Competing Modes 6
Fund Allocation for the entire
term of contract
7 Provision of dedicated funding 8 Credit Rating 9 Creation of SPV
10
Adequacy of Staff for Bus
Transport
Source: 130 Guidelines for participation by private operators in the provision of city bus transport services (access here)
Note: Details about each parameter is provided in Annexure 6.4
4.2.4.2 Financing mechanism for e -bus
It has been established that adoption of electric buses have positive impacts on health and environment and
therefore, efforts have been made globally to induct e-buses in shared mobility fleet by respective city
administration. However, e-buses offers a significantly higher cost of adoption when compared with its ICE
counterpart. Acquiring e-buses as a standalone physical asset is not possible as it requires a complementary
infrastructure supportive of its usage. Such an infrastructure comprises of batteries, land for charging
stations, adequate power supply, possible upgrades to transformers or distribution lines, retrofitments to
existing bus depots, etc.
Nonetheless, there are emerging financing mechanism s to enable the adoption of e-buses.
Figure 185: Financing options for e-buses
However, in practice, these individual approaches suit a particular business model. For instance, operators
may purchase buses from grants and enter into legal arrangement to lease batteries. Although most public
electric buses are still paid for by government grants, there is a growing need for affordable finance to help
tackle the up-front investment gap and achieve scale.
Grant received from
State/Central
Government0201 03
Debt financing
By way of entering
into legal arrangement
that share finances as
well as commercial
risk
Three options of financing E-buses Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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4.2.4.2.1 Grant received from State/Central Government
This has been the traditional and predominant approach for financing of e-buses or any capital intensive
asset that is intended to be used by the public. The
grant may be offered as capital expenditure grant or
operational expenditure grant or combination of
both. Globally, there are multiple ways to arrange
fund for the grant. This includes provisioning for
dedicated funds in annual public budget or creating a
pool that collects taxes and penalties being levied on
using conventional fuel vehicle, termed as fee-bate
concept and funding the grant mechanism from such
pool.
The mechanism of provision of grants as per the
FAME scheme is a similar example. Similarly, State
EV Fund provisioned under Delhi EV policy is an
example of a pool created on a fee-bate concept that
would be funded through levy of additional taxes,
cess, fee etc. on inefficient or polluting vehicles.
Source: 131 United States Department of Transportation
Further, there are multiple ways in which the grants could be utilized. For example Shenzhen Bus Company
in China has converted its entire fleet into e-bus from the grant and subsidy support of National and local
government. Below provided box (Case Study – Shenzhen Bus Company, World’s first fully electric bus fleet
company) presents the case study of Shenzhen Bus Company highlighting extent of grant and subsidy
support provided by Chinese Government. The subsidy provided by Chinese Central Government is provided
in the table provided below. The precise amount of subsidy offered by Local Government is though not
available, but literature review suggests that the Local Governments match the subsidy amount received
from Central Government
83
.
Table 48 Subsidy provided by China for e-buses
Year Subsidy Amount
2009-2012 Pure battery electric bus and fuel cell bus with a length of more than 10 meters - 64,000 euros and
77,000 euros respectively per vehicle.
Hybrid bus - 54,000 euros to 64,100 euros per vehicle determined by fuel saving ratio, battery
type and maximum electric power rate.
2013-2015 Pure battery electric bus - 38,000 euros to 64,000 euros depending on the size of the bus.
Plug-in hybrid busses with a length of more than 10 meters - 32,000 euros
Fuel cell bus - 64,000 euros
2016-2020 Standard electric buses with a length of 10 to 12 meters - 120,000 rmb (15156 euros
84
) to 500,000
rmb (63153 euros) depending on the electric driving range and energy consumption rate.
Fuel cell bus - 64,000 euros
83
Trends and challenges in electric-bus development in China (access here)
84
Converted at the rate of 1 RMB = 0.13 Euro, as on 9
th
October 2020
Allocation from Public
Budget
Taxes and levies on
conventional fuel
vehicles
Fund
Grant
Box 20: Case Study – LoNo Program in USA
The U.S. Federal Transit Administration (FTA) established the Low or No Emission Vehicle (LoNo) Program. The
Program provides funding for transit agencies for capital acquisitions and leases of zero emission and low-emission
transit buses, including acquisition, construction, and leasing of required supporting facilities such as recharging,
refuelling, and maintenance facilities In Philadelphia, United States, the transit agency received $2.6 million through
this program for electric buses in 2016 to purchase 25 Proterra buses. Under the FAST Act, for LoNO program $55
million per year is available until fiscal year 2020.
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Another approach of utilizing government grant and subsidy support is by way of permitting Private
Operators to purchase buses and operate service on behalf of the STU. GCC model unde r FAME scheme
utilize the same principle in India.
Source: 132 Shenzhen's silent revolution: world's first fully electric bus fleet quietens Chinese megacity (access here); Financing electric
and hybrid-electric buses: 10 questions city decision-makers should ask, WRI
Under the JnNURM scheme (2009) of Government of India, Ministry of Urban Department (MoUD),
Government of India, announced detailed guidelines for funding purchase of buses for urban transport
systems. The guidelines for funding for purchase of buses, under the scheme, was linked with reform
conditions to be fulfilled by States. MoUD recommended the creation of a dedicated Urban Transport Fund
(UTF) at both the state and the city level for utilizing the same for funding urban transport initiatives. Similar
such innovative initiatives could also be explored to make the purchase of e-buses viable for the state
authorities. A case study on Rajasthan Transport Infrastructure Development Fund (RTIDF) is provided below
to highlighting its feature and area of support in developing urban transport in Rajasthan.
Source: 133 Final Operations Document for Urban Transport Fund in Jaipur (access here); Rajasthan Transport Infrastructure Development
Fund (RTIDF) (access here); Scheme for Utilization of Urban Transport Fund (access here)
The State and Central Government may extend the utilization of such funds created under JnNURM to provide
support through either grant or concessional loan for procurement of e-buses by the State or City transport
Authorities.
Box 21: Case Study – Shenzhen Bus Company, World’s first fully electric bus fle et company
The Shenzhen Bus Company, in China, is a state owned bus operator. The company receive financial support from
the public budget for converting its fleet to e-buses. The company has transformed its entire fleet of 16,000 buses
in Shenzhen as e-buses. More than half of the cost of the bus is subsidised by government as capital subsidy. In
terms of operation there is another subsidy: if the company runs buses for a distance of more than 60,000 km they
receive approximately 500,000 yuan [£58,000] from local government. This subsidy is put towards reducing the
cost of the bus fares. To keep Shenzhen’s electric vehicle fleet running, the city has built around 40,000 charging
piles. Shenzhen Bus Company has 180 depots with their own charging facilities i nstalled. Most of the buses we
charge overnight for two hours and then they can run their entire service, as the range of the bus is 200km per
charge.
Box 22: Case Study - Rajasthan Transport Infrastructure Development Fund (RTIDF)
Government of Rajasthan created RTIDF in 2012, with the objective of providing organized, safe public transport.
Its main aim was to fund viability gap in operations and to provide loan to assist local bodies for creation of better
transport system in the urban cities, among multiple other objectives. The main sources funding for RTIDF include
a cess on motorized vehicles, green tax and cess on stamp duty, funds received from industries to carry out social
Responsibilities, apart from funds from the Central and State Government. RTIDF is managed by a fund management
committee under the chairmanship of Chief Secretary of the State.
The funds have been utilized in following initiatives to improve urban transportation:
• Jaipur City Transport Services Limited (JCTSL) and Ajmer City Transport Services Limited (ACTSL) are
provided with capital subsidy support towards purchase cost of buses (30% to JCTSL and 10% to ACTSL)
• The funds for construction of 100 Bus-Que-Shelters in Jaipur city worth Rs. 9 Crore have been provided to
JCTSL.
• The funds of Rs. 12 Crore have been provided for creation of two Depots for maintenance and parking of
buses of JCTSL
• Fund of Rs. 20cr. provided from RTIDF for purchase of 79 Buses to improve public transport system in Kota
and Jodhpur
• Funding for setting up new traffic signals and Area Traffic Control System (ATCS) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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4.2.4.2.2 Debt Financing
Debt financing can be utilized by State Transport Utility or bus operators to pay for the high up-front costs
of e-buses. However, purchase entirely on debt financing basis is still not widely used for electric buses.
However, other mechanism such as concessional loans, municipal bonds and green bonds do exist for such
purposes. With the growing maturity of EV technology in the future, debt-financing may, however, become
common.
4.2.4.2.2.1 Soft loan or Concessional loans
Soft loan or Concessional loans are provided by a financial institution at favourable lending conditions,
including lower interest rates and/ or longer repayment schedules. International development funds or
multilateral development banks under their development mission can potentially offer such financial
instruments to lower down the financing cost of e-buses. Two case studies have been presented below
showcasing the role of such banks in extending support through concessional loan towards acquiring clean
mobility solutions.
Source: 134 CTF Proposal (access here), Deloitte Analysis
In September 2020, KfW granted loan of Rs. 1,5 80 Crore to Government of Tamil Nadu State to acquire
2,213 new BS- VI buses and 500 electric buses. The State Government has plan to take total loan of Rs. 5,
890 Crore from KfW to purchase 12,000 new BS -VI buses and another 2,000 electric bus
85
85
Tamil Nadu – KfW: State to get 500 more electric buses (access here)
Box 23: Case Study – Technological transformation program for Bogota’s Integrated Public
Transport System (SITP)
In 2010 Colombia presented its investment plan to the Clean Technology Fund (CTF) to obtain support for
transformational projects that will lower carbon emissions. In this plan, US$40 million were assigned to the
Integrated Public Transportation System (SITP) of Bogotá, to be implemented by the IADB
The main objective of SITP was to improve public transportation in Bogotá. To fund purchase of clean technology
buses (hybrid and e-bus) under SITP, the Inter-American Development Bank (IADB) had offered $40 million
concessional loan to Banco de Comercio Exterior de Colombia S.A. (Bancóldex – The Colombia’s National
Development Bank) at interest rate of 0.25% with grace period of 10 years and amortization period of 30 years.
The Republic of Columbia was guarantor for the loan amount.
Under this concessional loan program, Bancóldex have extended the loan provided by IADB to the local financial
institutions (IFL), which in turn had directly finance SITP concessionaires firms through credit lines. Under this
program, Bancóldex and the IFLs had co -finance each one of the vehicles in equal parts. This means that the
US$40 million of this program had leverage an equal amount, for a total of US$80 million. Loan were offered with
attractive financial conditions and contributed to compensate the price difference regarding the starting cost of
clean technologies. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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4.2.4.2.2.2 Green bonds
Green bonds are often identical in structure, risk, and return to
traditional bonds, except that the capital raised from a green bond
funds clean energy, energy efficiency, low carbon transport, smart
grid, agriculture & forestry, natural resource mitigation or similar
projects/ initiatives/ programs. Green bonds are marketed as
“green” at the time of issuance. Green bonds share all the same
financial features as other bonds, however as an internationally
accepted practice, at least 95% of green bond proceeds are linked
to green assets or projects86. (Climate Bonds Initiative 2018).
Nobina, the Nordic region’s largest operator of public bus transport
services have issued green bond of SEK 500 million (~ $ 57 million)
in February 2019 to arrange funds fo r procurement of electric
buses, bio-fuel buses and development of charging infrastructure.
Below provided box (Case Study – Nobina Green Bond (SEK 500
Million, Feb 2019)) presents case study of Nobina’s Green Bonds.
Similarly, the city of Umea, in northern Sweden, has invested in a development of a sustainable system for
local transport, based on ultra rapidly-charged electric buses (10 min. charging – 30 min. driving). The city
has issued SEK 77 million (~ $ 8.8 million) green bonds in January 2012 to pur chase electrical buses. In
April 2016, the city had 9 electric buses and two fast charging stations built from the proceeds of green
bond
87
.
Source: 135 Nobina AB Green Bond 2019 - Impact report (access here); Nobina Green Bond Framework January 2019 ( access here)
4.2.4.2.2.3 Municipal bonds
Similar to green bonds, globally Municipal bonds are also being used by municipalities and transit agencies
to fund large capital cost involved in purchase of electric buses. Dallas Area Rapid Transit (DART) in Texas
had issued a bond for the purchase of electric buses in 2016. The bond was issued at interest rate of 5.0%
86
China green bond market 2018 (access here)
87
Supporting local government climate action through Green Loans & Green Bonds ( access here)
Box 24: Case Study – Nobina Green Bond (SEK 500 Million, Feb 2019)
Nobina is the largest and most experienced public transport company in Nordic region. Every day, Nobina ensures
that almost one million people get to work, school or other activities by delivering contracted public transport in
Sweden, Norway, Finland and Denmark. Yearly revenue of Nobina is about S EK 9 billion, and it currently employ
around 11,000 people.
Nobina AB (publ) issued a green bond of SEK 500 million on February 13, 2019, with a tenor of 5 years and a floating
rate coupon of STIBOR 3 months plus 155 basis points, which corresponded to an initial coupon of 1.47 percent.
The bond was listed on the Nasdaq Stockholm Sustainable Bonds List on March 12, 2019. Nobina’s issuance of a
green bond framework is a natural part of the Company’s sustainability profile and the green bond framework
strengthens Nobina’s focus on achieving positive environmental impacts.
Proceeds from Nobina’s Green Bonds are intended to be used to finance or re-finance the Eligible Green Assets (in
part or in full), providing distinct environmental benefits in accordance with the below defined main categories for
Clean Transportation:
• Fossil free vehicles such as electric or vehicles powered by biofuels
• Charging infrastructure for buses
As of 2020-02-29, SEK 456 million has been invested in 140 new fossil-free buses and another four fossil-free buses
are on order. Also, 45% of the Green Bonds proceeds are invested in Bio-Fuel vehicle and 55% are invest in Electric
Buses. Green Bond
At least 95% of
green bond proceeds
should be linked to
green assets or
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and maturity period of 20 years. As on July 2018, the bond ha d raised the required capital, enabling the
agency to unveil seven new electric buses. The purchase of the buses was also supplemented by a grant
from the Federal Transportation Administration. The funds raised covered the cost of the buses as well as
two overhead charging stations for on-route charging
88
.
4.2.4.2.3 Legal arrangements as financing option
Legal arrangements, although not a pure financing mechanism for e -bus procurement, offer legal solution,
through contracting, to reduce the upfront cost of the electric bus and associated infrastructure. It apportions
the financial obligation on multiple interested parties thereby reducing the risk associated with the adoption
of new technology. Leasing is the most prominent legal arrangement to arrange financing for the electric
buses, batteries and charging infrastructure.
Leasing arrangements have multiple variants such as component leasing (e.g., batteries), operation leasing
etc. Under leasing arrangement, typically a third party (who is not the operator) owns som e or all of the
legal rights over the assets and assumes some of the risks associated with the investment. The third party
could be a bus manufacturer, a service provider or a specialized financial services company. Globally, leasing
has emerged as an important model for managing the investment costs and risks involved with electric and
hybrid-electric bus investments for both public and private operators. This is because leasing reduces the
financial burden for the operator and transfers technology and/or credit risk onto the third party.
4.2.4.2.3.1 Component leases (battery leases)
Under component leasing, the e-buses are sold without batteries in order to reduce the upfront cost of the
bus. The batteries are owned by the manufacturer (or third party) during the lease term and replaces them
as and when required in accordance with the contractual obligation. Proterra, a bus company, entered into
the battery leasing contract with Park City Transit Company in USA. The contract, typically called an electric
bus battery service agreement, is based on the fact that the transit agency/transport utility can use the
operational savings that accrue over the life of the electric bus (compared to a diesel bus) to cover the
battery lease. Box provided below presents a case study of Park City Transit and Proterra company battery
leasing arrangement.
Source: 136 Park City Transit Department (2017); Federal Transit Administration (2018) - Fiscal Year 2017 Low or No-Emission (Low-No)
Bus Program Projects (access here); The U.S. Electric Bus Transition: An Analysis of Funding and Financing Mechanisms, Dexter Liu
88
Paying for electric Bus, 2018 U.S. PIRG Education Fund
Box 25: Case Study – Battery Leasing (Park City Transit and Proterra)
In 2017, Park City Transit obtained FTA Low-No grants worth $4.4 million (across two years) to deploy
Proterra buses. In order to maximize the value of these funds, Park City Transit agreed to enter a battery lease
agreement with Proterra, where Park City Transit would own the electric buses, charging infrastructure, depot, and
storage sites. On the other hand, Proterra will own and service the batteries on the bus. The Proterra electric bus
price with battery typically cost around $750,000. However, the bus prices determined under battery leasing
arrangement were established at maximum price of $614,679 pe r bus ($460,350 for the bus, $147,054 for
configuration options, and $7,275 for spare parts).
The battery were leased for twelve (12) years, with the option to sign a 12-year agreement or an initial duration of
four years plus two renewal periods of four years each. The renewal of the contract is legally expected as long as
Park City Transit is able to reasonably source funds to continue the lease arrangement. Proterra guaranteed that its
batteries would operate at above 70% of their original nameplate capacities. Proterra is responsible for maintenance
of the batteries to ensure this level of performance and is allowed to replace or service its batteries at any point
after coordination with the customer. However, the Proterra provided the guarantee of the battery performance on
subjective usage condition of battery i.e., the bus batteries needs to be maintained between 20% and 90% state
of charge at all times, with ten exceptions provided for falling to the 10-20% range across any five-year period. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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4.2.4.2.3.2 Operating leases - Third Party Owns (Manufactures or Purchases) Buses and Leases
Them to Operators (Public or Private)
Under operating lease, the contract allows manufacturers and other asset owners to provide options to
Transport Utility (Public or Private) to lease buses rather than buying them. The contract does not allow
transfer of ownership of the vehicle. The leasing of assets is based on the third party’s ability and willingness
to take on some of the risks related to new technologies. Manufacturers or specialized companies offer the
option to retain legal ownership of the asset, while conferring the rights to the Transport Utility for the use
of the bus against payment on monthly or quarterly basis or as per the agreed terms and condition of the
contract. Under such arrangement responsibility of paying for taxes and insurance is either taken by the
Manufacturer or the Transport Utility as per the agreed deal or negotiation.
Operation and Maintenance is often covered separately in a different service contract with the manufacturer
or another provider. Operating leases are sometimes offered as lease-to-buy schemes in which the operator
has the option to purchase the assets at the end of the lease period to benefit from their residual value.
The GCC model adopted in India for procurement of e-bus is a close example of an operating lease. Multiple
variants are possible with regards to transfer of asset after end of contract period, operation of bus,
development of charging infrastructure, maintenance of the bus/ charging facility etc. The typical model
adopted in India is shown below:
Figure 186: Operating lease arrangement in GCC model in India under FAME scheme
4.2.4.3 Review and analysis of Model Concession Agreement for procurement of e -Buses
FAME – II scheme earmarked Rs. 3545 Cr. (~USD 486 Million) to provide demand incentive to a maximum
of 7090 e-Buses during the scheme period i.e., up to FY 2021-22. Department of Heavy Industry had invited
the Expression of Interest (EoI) from million plus cities, smart cities, State/ UT capitals and cities from
special category states for submission of proposal for deployment of Electric Buses on operational cost basis.
In response thereof, 86 proposals from 26 States/ UTs for the deployment of 14988 e-Buses were received.
On the advice of Project Implementation and Sanctioning Committee (PISC) the Government sanctioned
total 5,595 e-buses which included 5095 electric buses to 64 Cities / State Transport Corporations for intra-
city operation; 400 electric buses for intercity operation and 100 electric buses for last mile connectivity to
Delhi Metro Rail Corporation (DMRC)
89
.
Under Fame-I, e-buses were allowed to be procured under two models – Outright Purchase (Capex model)
and Gross Cost Contract (Opex model). Five cities (Bangalore, Mumbai, Hyderabad, Ahmedabad, and Jaipur)
89
DHI - Sanction of electric buses under Phase-II of Faster Adoption and Manufacturing of Electric Vehicles in India Scheme (access
here)
Electric Bus
Charging
Infrastructure
STU
Third Party
Procure,
Operate and
maintain
Ownership at end
of contract*
Ownership at end of
contract
Develop and
maintain
Banks
*Not clearly specified in MCA/ RFP Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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have adopted Gross Cost Contract (GCC) model and rest 5 cities (Indore, Lucknow, Kolkata, Jammu and
Guwahati) have adopted Outright Purchase model fo r procurement of e-buses. However, under FAME – II,
the government mandated the purchase of e -buses on GCC model to avail subsidy.
Subsequently, NITI Aayog issued a Model Concession Agreement (MCA)
90
in January 2019 to support electric
bus procurement under FAME II. The MCA outlines the OPEX model (or GCC) o f procurement of e-buses.
The focus of the document is to assist cities with the contract award under Gross Cost Contract (GCC) mode
of procurement. The snapshot of key features of MCA are outlined below:
Contract Period:
– 16 Years
Asset transfer: Operator to transfer the Maintenance Depots to the
Authority upon Termination of the Agreement
Key scope covered:
• Supply of buses conforming to the
Specifications and Standards
• Operation and Maintenance of
Buses
• Setting up and Operation and
Maintenance of Maintenance Depots
Bus charging methodology:
Operator is free to choose any charging methodology
Route and Schedule:
Authority have the exclusive right to determine routes,
frequency and schedule of the Buses as part of
Deployment Plan through the Contract Period
Key obligations of Authority (STU):
• provide the routes to be undertaken by the Operator
• provide land, free from Encumbrances, on license for
setting up and operating Maintenance Depots
• provide road connectivity at any location on the
boundary of the Maintenance Depots
• provide reasonable support to the Operator in procuring
electric transmission lines and sub-station, at any
location situated within 500 m of the boundary of the
Maintenance Depots
• upon written request from the Operator, assist the
Operator in obtaining access to all necessary
infrastructure facilities and utilities, permits etc. for
construction and operation of Maintenance Depot
• upon written request from the Operator, provide the
Operator with competent and trained employees to
assist the Operator in carrying out its duties under the
Agreement
Key obligations of Operator:
• Procure, operate and maintain
buses for contract period
• Design, engineering,
procurement, construction and
operation of the Maintenance
Depots for the maintenance of
Buses
• Procure/ arrange all permits,
rights, license, permission,
agreements etc. for discharging
duties under the contract
• Develop Charging Infrastructure
at the Maintenance Depots
including adequate
infrastructure for metering of
consumption of electricity at
each of the individual charging
stations.
Performance security:
Operator to provide an irrevocable
and unconditional guarantee from a
Bank within 30 days from date of
Agreement. Amount of performance
security is kept as 3% of total project
cost.
Development of road connection with
Maintenance Depot by Authority : within 1 year
from Appointment Date
Completion of construction of Maintenance Depot
by Operator: within 180 days from Appointment Date
Procurement of Buses:
Procure 1st prototype Bus within 180
days from Appointment Date. Upon
approval of prototype bus, Operator
to procure bus as per Procurement
Schedule provided by Authority in
RFP.
Invoicing of fees:
The Operator shall be paid for Bus Kilometre plied by
the total number of Buses operational for that
particular day, at Per KM Fee quoted by the Operator
in its Bid.
Annual Assured
Kilometer:
Bus Kilometer Comprises of:
• Total distance travel on operational route
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Authority shall Commit
to provide Annual
Assured Kilometer for
payment of fees
• Total distance travel from Maintenance Depot to First point of
loading and from last point of loading to Maintenance Depot
• Any other distance travelled which have prior approval from
Authority
Revision of fees:
Operator is entitled for fees revision on every six months if price
of electricity increased by 10% and CPIIW and WPI varies by
more than 4% within six months
For 1st revision:
Indexed Fee = Fee * [1 + (0.2 * CPI IW) + (0.6 * 0.4 * WPI) +
(0.2 * (price per kWh of electricity on the date of submission of
the statement - price per kWh of electricity on the Base Index
Date)/ price per kWh of electricity on the Base Index Date) /
100)]
For subsequent revision:
Indexed Fee = Fee * [1 + (0.2 * CPI IW) + (0.6 * 0.4 * WPI) +
(0.2 * (price per kWh of electricity on the date of submission of
the statement - price per kWh of electricity on the preceding Fee
Revision Date)/ price per kWh of electricity on the preceding Fee
Revision Date) / 100)]
Payment of fees:
The Authority shall within a
period of 15 days from
receipt of the invoice,
subject to verification of the
invoice against the records
that it has in relation to the
Bus Service, make the
payments.
Delay in payment of fees:
The Authority shall pay
Damages at the rate of 3%
(above the Bank Rate) per
annum calculated for each
day’s delay in making the
payment subject to
maximum of one month of
period from the date they
become payable to the
Operator.
Key performance indicators:
• Reliability– Reliability to be calculated on quarterly basis for entire fleet as quotient of the cumulative
distance travelled by all Buses divided by the aggregate number of Breakdown of all such Buses
multiplied by 10,000. Reliability should be more than 1
• Operation of bus – lighting arrangement inside bus, temperature, cleanliness, operability of seats,
windows, doors and all fixtures in the Buses (no objective KPI has been defined except lighting system
that needs to be available for minimum 98% in a month
• Punctuality – Start Punctuality (90%) and Arrival Punctuality (80%). Punctuality measured on a
quarterly basis in terms of the percentage of on-time start of trips/on-time arrival to the total number
of trips operated on a daily basis
• Frequency: Trip Frequency (94%) and Bus Km Frequency (94%). frequency of operati on of Buses
shall be measured on a quarterly basis in terms of percentage of the cumulative trips travelled by all
Buses to the aggregate number of scheduled trips (“Trip Frequency”) and a percentage of the
cumulative Bus Kilometres operated to the aggregate scheduled Bus Kilometres (“Bus Kms
Frequency”), respectively
• Safety of Operations: General Safety and Severe safety (equal to or more than 1). The General
Safety and Severe Safety shall be calculated in terms of cumulative Bus Kms operated divided by
number of accidents multiplied by One lakh and cumulative Bus Kms operated divided by number of
fatalities multiplied by Ten lakh, respectively.
• Certification: Operator to obtain and maintain ISO 9000:2005, ISO 14000:2004, ISO 18000:2007
and ISO 50000:2011 during entire Contract period
Penalty for failure to
achieve Key Performance
Indicators: 0.1% of the
Performance Security for
such shortfall in any such
performance indicator. No
maximum limit has been
defined. No cumulativeness
of KPIs for penalty
calculation has been defined.
Incentive for over
achievement of Key
Performance Indicators:
0.05% of the Performance
Security for exceeding any
such performance indicator.
No maximum limit has been
defined. No cumulativeness of
KPIs for incentive calculation
has been defined.
Reporting of KPI:
The Operator shall,
no later than 7
days after the end
of each month,
furnish to the
Authority a report
stating the KPI of
each Bus as
measured on a
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Deposit by Authority in Escrow account:
• balance of at least an amount equivalent to two
months’ estimated Fee payable to the Operator
• all grants, payments and financial support
received by the Authority from the State
Government and/or GoI
• all payments by the Authority including
insurance claims, if any, received;
• dues towards Termination Payment to the
Operator; and
• any other revenues or capital receipts from or in
respect of the Project
Deposit by Operator in Escro w
account:
• all funds constituting the Financial
Package;
• all the revenues generated and all the
income accruing from the Project
including but not limited to the,
advertising revenue [and proceeds
from the Real Estate Development],
rentals, deposits, capital receipts or
insurance claims; and
• all payments to the Authority towards
Damages
Termination for Operator default (key events):
• Operator fails to replenish or provide fresh
Performance Security (in case it has been
encashed by Authority), within a Cure Period of
30 days
• the Operator fails to supply the Prototypes buses
within the period
• Operator is in material breach of the
Maintenance Requirements or the Safety
Requirement
• a material breach of any of the Project
Agreements
• Change in Ownership has occurred
• occurrence of any Insolvency/Bankruptcy Event
• False representation of any information
Termination for Authority default (key
events):
• the Authority commits a material
default in complying with any of the
provisions of this Agreement and such
default has a Material Adverse Effect
on the Operator;
• the Authority has failed to make any
payment to the Operator within the
period specified in this Agreement; or
• the Authority repudiates this
Agreement or otherwise takes any
action that amounts to or manifests
an irrevocable intention not to be
bound by this Agreement
Payment upon termination (Opera tor default):
• 90% of the Debt Due less Insurance Cover; and
• 70% of the amount representing the Additional
Termination Payment
Provided that if any insurance claims forming
part of the Insurance Cover are not admitted
and paid, then 80% (eighty per cent) of such
unpaid claims shall be included in the
computation of Debt Due.
Authority shall deduct any subsidy received by
the Operator pursuant to Applicable Laws for
implementation of the Project, for computation
of Termination Payment
Payment upon terminatio n (Authority
default):
• Debt Due;
• 150% of the Adjusted Equity; and
• 115% of the amount representing the
Additional Termination Payment.
Authority shall deduct any subsidy
received by the Operator pursuant to
Applicable Laws for implementation of
the Project, for computation of
Termination Payment
4.2.4.3.1 Gaps in Model Concession Agreement (MCA)
Below are the gaps identified in the Model Concession Agreement:
Contract tenure is more
than asset useful life
The Model Concession Agreement recommends a contract duratio n
of 16 years which is longer than the life of a typical e-bus. This
poses risk to both Operator and Authority (STUs) alike.
(i) Risk to Operator – Since the contract period is more than useful
life of the asset, the Operator may either needs to replace the asset
or have to invest huge amount in maintenance, after using the e-
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bus for its maximum useful life, in order to oblige the SLAs specified
in MCA
This would also lead to higher quotation in response to the bid.
(ii) Risk to STUs –The e-bus technology is at evolving stage and
such a long commitment to the current technology may restrict
STUs from taking advantage of upcoming/better technologies.
Transfer of asset(e-
buses) is not specified
MCA clearly specifies that the maintenance Depot along with its
entire infrastructure needs to be transferred to STUs by Operator
upon termination of the Contract.
However, it doesn’t provide clarity on transfer of e-buses to STU
upon termination of the Contract.
Technical Specifications
suitable for ICE buses are
specified
As per MCA, the e-buses would need to conform to the Urban Bus
Specification (UBS)-II issued by the Ministry of Housing and Urban
Affairs (MoHUA) in April 2013. While UBS II covers many relevant
aspects, it was developed for Internal Combustion Engine (ICE)
based buses and does not capture many of the e-bus related
specifications like batteries and charging infrastructure.
MCA could have specified the common bus specification for
procurement. This would be helpful for OEMs to standardize their
assembly lines. City wise variants would cause issues in
standardization of assembly line, obtaining approvals etc. leading to
lost opportunity of cost saving in manufacturing.
Charging technology Operator can choose any charging technology as per the
requirement. However, MCA does not put any obligation on STU to
facilitate the Operator in case he wish to put Pantograph Charging
or wireless charging methods. MCA confined the premises of
assistance up to Depot charging.
This has limited the convenience of Operator to trade-off with
respect to battery size, capacity and cost that becomes available
with different charging methodologies for e-bus.
Development of Charging
Infrastructure at each
Maintenance Depot
Development of Charging Infrastructure is a capital intensive
exercise. MCA makes its mandatory for Operator to develop
Charging Infrastructure at each Maintenance Depot, irrespective of
number of buses plying from the Depot (i.e., even for Depot that
would have low capacity utilization of charging infrastructure,
Operator are still mandated to develop charging station).
Instead MCA could have provided the flexibility to Operator to
develop optimal Charging Infrastructure at suitable Depots to
optimize the overall CAPEX requirement.
Inappropriate division of
responsibility among
Operator and STU
MCA requires the Operator to complete construction of Maintenance
Depot within 180 days from Appointment Date. However, it
provisioned 1 year for Authority from Appointment Date for
completion of road up to the Maintenance Depot.
Availability of road up to Depot is an enabler for timely completion
of the construction work at Depot. Therefore, instead of
Appointment Date, MCA should have to link the due date of
completion of construction work at Maintenance Depot with date of
availability of road connectivity up to Depot.
Gap 2
Gap 3
Gap 4
Gap 5
Gap 6 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Inefficient way of
provisioning for
Performance Security
MCA requires Operator to provide Performance Security (based on
value of Contract) for the entire duration of the Contract.
However, to reduce the cost of financing of Operator, provision for
yearly reducing Performance Security could be made, whereby the
amount of Performance Security decreases (in same ratio of amount
for which services were successfully rendered) with each completed
year of satisfactory performance of Contract Obligation by the
Operator.
Damage liability for delay
in meeting Conditions
Precedent to Agreement,
among Operator and STU
is unjustified
Upon not meeting the Conditions Precedent to Agreement, the STU
is liable to pay an amount calculated at the rate of 0.1% of the
Performance Security for each day’s delay, whereas it is calculated
at the rate of 0.25% of the Performance Security for each day’s
delay for Operator
Escrow Mechanism could
be a financial burden for
some STUs
MCA provides for maintaining ESCROW account wherein the
Authority shall always, throughout the Contract Period, maintain a
balance of at least an amount equivalent to 2 months’ estimated fee
payable to the Operator. Given the financial condition of STU, this
provision could offer significant financial burden on STUs that have
poor financial health.
Instead of it, two-month revolving letter of credit from state
Government could be provisioned.
No provision to have
system generated SLA s
Manual calculation of SLAs are susceptible to human error and
misrepresentation at times. Therefore, an IT enabled system could
be warranted in the MCA to create system generated SLAs. Further,
MCA has not specified any process for verification of SLAs calculated
and provided by the Operator.
Ambiguity in penalty and
incentive provisions
w.r.t. SLAs
MCA specified Six SLAs, however, it is not clear in the document
whether incentive/penalty is to be provided separately for each SLA
or on achievement/non-achievement of any of single SLA. Further,
maximum ceiling of incentive and penalty is not provided in MCA
Bankability of Project is
not considered
The operation of fleet depends on the availability of adequate
charging infrastructure. However, the risk of arranging for upstream
power network up to Maintenance Depot is provided with Operator
and role of STU is kept limited to providing assistance to Operator in
arranging for such connectivity.
Inappropriate risk sharing that has an impact on entire business
model and revenue stream of the Operator may lead to reduce d
bankability of the Project.
Further, to fund the project, operator would borrow form
commercial banks that may offer loan at high interest rate owing to
factors discussed above. Such high cost of financing will be passed
on to city authorities. Alternative approach of profitable transport
utilities (e.g. PMPML
91
) raising money, possibly at lower interest
rate, has not been explored.
Termination payment is
not covering the entire
debt due, which is
MCA provides termination of Contract under Force Majeure which
encompasses non-Political events, Indirect Political events and
Political event.
91
PMPML – P&L Statement (access here)
Gap 7
Gap 8
Gap 9
Gap 10
Gap 11
Gap 12
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further reducing the
bankability of the Project
In case of non-Political event, the payment upon termination covers
only 90% of the Debt-due less insurance cover.
Restricting innovation in
e-bus procurement
FAME –II guidelines provides for transfer of demand incentive to
OEM/ Operator. Further, MCA specifies the modus operandi for e-
bus procurement using Opex based GCC model. Defining of
boundary conditions have put restrictions on cities to innovate any
new procurement/operation methodology that could be better than
GCC model or any other model prevalent today.
Other issues i. MCA provide that an open bidding process with RfQ followed by
RfP. However, it doesn’t provide any guidance on
• Minimum technical and financial qualification criteria for
bidders
• Clarity on allowing International Competitive Bidding
ii. Doesn’t provide guidance on minimum technical specification
requirement for e-buses
iii. Guidance on timeline for completion of bidding process
iv. MCA does not provide the guidance on the clauses that cannot
be changed by States. This leads to inconsistent modification of
MCA across States (Review of RFP covering wide variation of
MCA clauses is provide
v. STU to pay Termination payment to operator even if termination
is on account of Operator’s default
4.2.4.3.2 Review of state RFPs for e-buses procurement
Under FAME-II many STUs have floated RFPs for procurement of e-buses. The Model Concession Agreements
(MCA) for these RFPs are broadly based on the standards issued by NITI Aayog with certain modifications
according to the city’s local needs. The variability in RFPs and MCAs combined with changes in of some key
clauses like escrow mechanism and compensation in lieu of delay in payment of fees has increased the risk
perception of the projects thereby reducing their bankability and increasing in cost of financing. The review
of three major RFPs (under FAME – II) with procurement size of more than 300 e-buses is provided below:
Table 49 Review of Uttar Pradesh, Gujarat & Maharashtra e-bus procurement RfP
Particular
Uttar Pradesh
(600 e-Buses)
Gujarat
(300 e-Buses)
Maharashtra
(340 e-Buses)
Contract Duration 10 years 10 years, subjected to
condition assessment of
buses after Eight years (8
years) from COD
10 years
Performance
Security
3% of estimated project cost
(i.e. ~ 27 Crores)
3% of estimated project cost
(i.e. ~ 3.75 Crores)
Rs. 50,000 per e-bus
Charging
Technology
Operator is free to choose
any charging methodology
Operator is free to choose
any charging methodology
Operator is free to choose
any charging methodology
Minimum Daily Run 180 - 200 km on actual
conditions with AC (with
passengers and considering
the traffic).
190 – 220 km No such provision in RFP
Assured Annual
Kilometre
63,000 km 70,000 km Monthly assured Kilometre of
4750 kms for SD AC and
Gap 14
Gap 15 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Particular
Uttar Pradesh
(600 e-Buses)
Gujarat
(300 e-Buses)
Maharashtra
(340 e-Buses)
4200 kms for Midi AC
Electric buses
Payment basis Per kilometre basis (termed
as Per Kilometre O&M Fee,
PKOMF)
Per kilometre basis (termed
as Per Kilometre Fee, PK
Fee)
Per kilometre basis
Payment of
unutilised
kilometre (i.e.,
short of Assured
Annual Kilometre)
Annual Assured Payment
Amount = 25% x (Tm –
Ta) x PKOMF
Annual Assured Payment
Amount = 50% x (Tm –
Ta) x PK Fee
Annual Assured Payment
Amount = 50% x (Tm –
Ta) x Per KM fee
Payment of excess
Bus kilometre
Annual Assured Payment
Amount for Excess Kms =
75% x (Ta – Tm) x
PKOMF
Annual Assured Payment
Amount for Excess Kms =
50% x (Ta – Tm) x PK
Fee
Annual Assured Payment
Amount for Excess Kms =
70% x (Ta – Tm) x Per
KM fee
Payment condition Authority shall pay within 15
days of receipt of invoice.
Authority shall pay within 15
days of receipt of invoice.
70% of payment within 7th
of the month in which
invoice is raised.
30% of payment within 7th
of the next month in which
invoice is raised.
Delay in payment
of fees
The Authority shall pay
Damages at the rate of 2%
(above the Bank Rate) per
annum calculated for each
day’s delay in making the
payment subject to
maximum of one month of
period from the date they
become payable to the
Operator.
No such provision in RFP No such provision in RFP
Revision of fees Yes Yes Yes
Formula for fees
revision
Same as provided in Niti
Aayog’s MCA
Indexed Fee = PK Fee * {1
+ [(10% * (Ref.ET –Base
ET/ Base ET)) + (10% *
(Ref.CPI-IW –Base CPI-IW /
Base CPI-IW)) + (30%
*(40% *(Ref.WPI –Base WPI
/ Base WPI )))]}
For SD AC Bus:
Revised Rate/km.(R) =
Quoted Rate + Change in
electricity rate per
unit/0.90* + Quoted base
rate (R) x {(CPI Month – CPI
Base)/ CPI Base} x 0.05 +
Quoted base rate x {(MW
month – MW base)/ MW base} x
0.15
*1.06 for Midi AC Bus
Minimum duration
for revision
Same as provided in Niti
Aayog’s MCA
12 months 2 months Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Particular
Uttar Pradesh
(600 e-Buses)
Gujarat
(300 e-Buses)
Maharashtra
(340 e-Buses)
Escrow mechanism Yes
Authority to keep a balance
of at least an amount
equivalent to 3 (three)
month’s estimated Fee
payable to the Operator as a
revolving fund
No such provision in RFP Yes.
Same as provided in Niti
Aayog’s MCA
SLA Same as provided in Niti
Aayog’s MCA
Same as provided in Niti
Aayog’s MCA
Breakdowns - Below 0.5 per
10,000 km
Accidents - Below 0.01 per
10,000 km
Availability of buses – 100%
Passenger complaints/
Report by BEST officials
against drivers - Below 0.02
per bus per month
Serious nature of
breakdowns – Nil
No. of late turn out of buses
- 5 instances of more than
15 minutes per 100 buses
per month
No. of not out of buses – 1
per 100 buses per month
Incentive/Penalties
w.r.t. SLA
0.1% of the Performance
Security for such
shortfall/over achievement
in any such performance
indicator
Same as provided in Niti
Aayog’s MCA
No incentive/penalties
mentioned.
Where the Successful Bidder
has failed to cure the breach
within the Cure Period of 30
days, STU shall, without
prejudice to any of its other
rights and/or remedies
under this Agreement, be
entitled to issue the
Termination Notice for The
Successful Bidder’s Event of
Default.
Damages for delay
or non-fulfilment of
Conditions
Precedent
0.05% of the
Performance Security for
each day’s delay subject to a
maximum of 3% of the
Performance Security
Same as provided in Niti
Aayog’s MCA
Non-fulfilment by
Operator – STU is entitled
to encash Security Deposit
cum Performance Guarantee
Non-fulfilment by STU –
No penalty provision in RFP
Responsibility of
setting-up
upstream charging
infrastructure
STU Not clearly specified in the
bid document
Discom/ STU Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Particular
Uttar Pradesh
(600 e-Buses)
Gujarat
(300 e-Buses)
Maharashtra
(340 e-Buses)
Selection criteria L1 or Lowest Bidder L1 or Lowest Bidder L1 or Lowest Bidder
Tm = Annual Assured Bus Kilometres x Available Fleet
Ta = Actual Bus Kilometres Operated by all Contracted Buses
PK Fee: Per km rate provided in the Letter of Award;
Base ET: Base Electricity Rate is the Electricity Tariff applicable for Charging of Electric Buses of 7 days prior to last date of Bid submission;
Ref. ET: Reference Electricity Rate is the Electricity Tariff applicable for Charging of Electric Buses as on the date of submission of the
statement
Base CPI-IW: Base Consumer Price Index for Industrial Worker which is last monthly index available 15 days prior to the Bid Due Date;
Ref. CPI-IW: Reference Consumer Price Index for Industrial Worker which is last monthly index available 15 days prior to revision date
as per the provisions of the Agreement;
Base WPI: Base Wholesale Price Index for All Commodities which is last monthly index available 15 days prior to the Bid Due Date;
Ref. WPI: Reference Wholesale Price Index for All Commodities which is last monthly index available 15 days prior to revision date as per
the provisions of the Agreement.
CPI Base = Index value issued by Government o f India’s Labour Bureau’s Consumer Price Index for Industrial Workers ( CPI- IW ) in
Mumbai of bid end date
CPI Month = Index value issued by Government of India’s Labour Bureau’s Consumer Price Index for Industrial Workers ( CPI - IW ) in
Mumbai for particular month when the price variation is applicable.
MW Base= Minimum wages applicable at the time of bid end date for skilled category (applicable for drivers)
MW month = Minimum wages for skilled category (applicable for drivers) for particular month, noti fied by the Labour department,
Maharashtra state.
Source: 137 Deloitte analysis
4.2.4.3.2.1 Gaps in States’ e-bus procurement RfPs
The table above illustrates the wide variations in the RFP clauses across States. While it is desirable to
amend the NITI Aayog’s MCA to suit the local requirement, however it should not be done at the cost of
overall bankability of the contract. The key gaps in the RFPs are provided below.
L1 or lowest bidder basis
for selection
While NITI Aayog’s MCA does not specify the basis for selection of
successful bidder, the states have invariably resorted to selection
based on L1 method.
Since progress and success of these projects would lay down the
foundation for future uptake of e-buses demand in India, therefore
selection of bidders should be carried out based on Quality-cum-
Cost Basis Selection (QCBS). EV technology is emerging, and bidder
who has demonstrated its capacity to successfully deliver these
projects could have been given more weightage in the selection.
While L1 basis is the economical way of executing such projects but
the same may not be suitable for undertaking projects involving
emerging technologies such as EV and associated e-bus charging
methodologies.
No safeguard for
Operator against delay in
payment
Assurance of time-bound payment against the services rendered is
one of the vital factors considered for bankability of a contract. The
RFPs issued under FAME-II have not provisioned for damages
caused to Operator in case of delayed payment. This has increased
the risk perception from the operator point of view.
No Escrow Mechanism or
alternative mechanism to
ensure timely payment
Escrow mechanism was provisioned in NITI Aayog’s MCA, with an
objective to ensure timely payment to Operator. Cities like
Ahmedabad have not only removed such provision but also haven’t
provided any alternative mechanism such as Letter of Credit etc. to
ensure timely payment to Operator and to increase bankability of
the Contract.
Unequal sharing of risk In RFPs issues by cities such as Mumbai, the risk sharing between
STU and Operator is as the same. For example, in case of default in
meeting conditions precedent to Contract within prescribed timeline,
Gap 1
Gap 2
Gap 3
Gap 4 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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Operator is liable to pay damages/penalty however STU has not
provisioned to compensate Operator in case of default from their
end.
Such terms and condition increases the project risk and resultant
cost of financing.
Wide variation in payment
against assured kilometre
While in all RFPs, STUs are willing to assure minimum kilometres,
they have however shown wide variations in payment conditions.
Whereas UP is paying only 25% of bid rate for any kilometre short
of assured kilometres specified in RFP, Ahmedabad and Mumbai
have provisioned to pay 50% of bid rate. The same variation is
observed in payment against each kilometre above the assured
kilometre level.
Such variation have sensitivities on determination of fare bid prices
because of variability in perceived risk by bidders and financiers.
Charging Methodolog y These RFPs have also not envisaged for opportunity charging,
pantograph charging, wireless charging etc. The RFPs have no
clause that favours Operator to explore and provide other charging
methods apart from overnight depot charging.
High performance
security amount
The high amount of performance security as a percentage of
Contract value has been retained by these RFPs. None of the RFP
has adopted favourable mechanism for Operator for providing
performance security that could reduce their financial cost.
Provision for yearly reducing Performance Security could be made,
whereby the amount of Performance Security decreases with each
completed year of satisfactory performance of Contract Obligation
by the Operator.
Review of charging infrastructure lan dscape in India
Availability of adequate charging
infrastructure is a key to faster adoption of
electric vehicle. To accelerate the adoption
of electric vehicles in India, the Ministry of
Power has taken various measure. There
was lot of apprehension about licence
requirement for setting-up of charging
station. EV charging industry considered the
same as a major roadblock in development
of charging infrastructure. Therefore, MOP
vide letter no. 23/08/2018-R&R
92
dated 13th
April 2018 provided clarification on charging
infrastructure or electric vehicles with
reference to the provisions of the Electricity
Act, 2003.
Further, MoP vide letter no. 12/2/2018-EV
dated 1st October 2019 has establis hed
standards for charging infrastructure
development with the objective of enabling
faster adoption of electric vehicles. This is to
ensure a safe, reliable, accessible and
92
Clarification on charging infrastructure for electric vehicles with reference to provision of the Electricity Act 2003 (access here)
Gap 5
Gap 6
Gap 7
It is clarified that during the activity of
charging of battery for use in electric
vehicle, the charging station does not
perform any of the activities namely,
transmission, distribution or trading of
electricity, which require license under the
provision of the Act, hence the charging
of batteries of electric vehicles
through charging station does not
require any license under the provision
of the Electricity Act, 2003.
– Ministry of Power (letter no. 23/08/2018-R&R dated
13th April 2018 amended vide letter no. 12/2/2018-EV
dated 1st October 2019 and 12/2/2018-EV dated 8th
June 2020 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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215
affordable charging network, promoting affordable tariff for EV owners and chargin g station owners and
operators. The guidelines envisaged development of public charging infrastructure in two phases. In phase
1 (1-3 years), public charging stations will be set up in all mega cities with population of 4 million plus as
per census 2011, including all expressways connected to mega cities and important highways connected to
these mega cities. In phase 2, (3-5 years), public charging infrastructure in state capitals, UT headquarters
and highways connected with these cities will be set up. Vide letter no. 12/2/2018-EV
93
dated 8th June 2020,
MoP has further introduced amendments to specify maximum capping on tariff for supply of electricity to EV
Public Charging Station. By this amendment, MoP also included the definitions of Battery Swapping Station,
Captive Charging Station, Battery Charging Station, Public Charging Station and Electric Vehicle Supply
Equipment.
The Government of India has also earmarked Rs. 1,000 crore (~ USD 137 Million) for subsidizing
development of public charging infrastructure. Further, with view to ease out implementation, the
government also provisioned to have State Nodal Agency in each State, nominated by State Government to
facilitate rolling out of charging infrastructure in respective State, with the help of Implementing Agency.
The Implementing Agency selected by Nodal Agencies are entrusted with responsibility of installation,
operation and maintenance of public charging infrastructure. As on 15th August 2020, total 26 States and
UTs have appointed SNAs
94
. Few of the SNAs have appointed REIL, EESL, Exicom, Delta Electronics etc. as
the Implementing Agencies, however, limited traction has been witnessed in the development of public
charging infrastructure. The Central government has approved setting up 2,636 electri c vehicle (EV)
charging stations across 62 cities in 24 states and Union Territories of India under Phase-II of FAME India
scheme, the roll-out of the same is under process.
In India, the existing charging infrastructure is being developed under following routes:
Figure 187 Routes for development of EV charging infrastructure
Source: 138 Deloitte analysis
4.3.1 Development of public charging infrastructure through competitive bidding basis
The entities such as EESL, REIL, and NTPC etc.
are developing public charging infrastructure
through competitive bidding basis. These
entities are collaborating with the urban local
bodies to have access to land
95
at suitable
location within the cities and floating tender to
select agencies such as Fortum, Exicom etc. to
deploy charging infrastructure. The ownership
and responsibility of operation of charging
stations rests with the employer (e.g. EESL,
REIL etc.). There are a few variations in the
tender conditions though. For instance, REIL
has mandated that bidders should open an
authorized service centre equipped with
93
Amendment in the revised Guidelines and Standards for Charging Infrastructure for Electric Vehicles (access here)
94
State Nodal Agencies under the provisions of “Charging Infrastructure for Electric Vehicles – Guidelines and Standards” (access here)
95
Economic Times (access here)
Public Charging
Infrastructure
through competitive
bidding basis
e.g. EESL, REIL at various
cities
Charging
Infrastructure by
collaboration or JV
e.g. IOCL in collaboration
with Fortum at Hyderabad
Captive development
by fleet operators and
OEMs
e.g. Ola Electric, Ather
Energy
Home and Workplace
Charging
e.g. Magenta Power,
Exicom
Battery Swapping
Station
e.g. Ola Electric, E-charge-
up, Sun mobility
12345
Competitive bidding basis is opted by
entities for development of charging
stations on turnkey basis with scope
covering location survey, planning,
engineering, manufacturing, supply,
erection and commissioning.
Ownership and the liability of operation
of the charging station lies with the
employer floating the tender. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
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required spares and technicians before the installation of charging stations. NTPC require the selected bidder
to provide ten years of maintenance service of the charging infrastructure
96
.
This mode of development of public charging infrastructure has emerged as a suitable mechanism for mass
deployment of charging infrastructure.
Allotment of land and availability of electrical
infrastructure are prime consideration s in
setting-up of charging infrastructure. Entities
like EESL, REIL and NTPC etc. being owned by
government, find it relatively easier in getting
access to land and requisite power
infrastructure as compared to any private
entity. This model acts on the strength of each
party suitably in development of charging
infrastructure wherein the tendering entities
bring in infrastructure support and the
contractor brings-in technical expertise and
know-how of development.
4.3.2 Development of charging infrastructure th rough collaboration or MoUs
Recently lot of traction has been witnessed in
development of charging infrastructure through
collaboration and MoU. Several players having
unique strengths are joining hands to
collaborate with each other to leverage their
core competencies or access to infrastructure to
develop charging infrastructure. Key examples
includes:
i. Tata Power has signed MoUs for setting
up commercial EV charging stations at
fuel outlets owned by Hindustan
Petroleum Corporation Limited, Indian
Oil Corporation Limited, and
Indraprastha Gas Limited
97
. Tata power
has also signed MoU with MG Motors to
set up fast-charging stations at its
select dealerships across India.
ii. NTPC is associated with IOCL, HPCL, DMRC and vehicle aggregators - Ola, Lithium, Shuttl, Bikxie,
Bounce, Electrie and Zoom Car for development and utilization of public charg ing infrastructure.
IOCL and NTPC are developing charging station in Greater Noida21
98
.
iii. EESL has tied-up with private and public companies such as Apollo Hospitals, BSNL, Jaipur Metro,
Chennai Metro, Maharashtra Rail Corporation Limited, BHEL and HPCL, amon g others, to set up
public charging infrastructure
99
.
iv. Indian Oil Corporation and Fortum partnered to launch Electric Vehicle public charging stations. The
duo have opened their first charging station in Hyderabad. They have plan to open 50 such stations
at IOCL retail outlets in upcoming years
100
.
v. Exicom and BHEL sign MoU on EV charging infrastructure. Under the partnership, projects will be
sought on nomination as well as through competitive bidding. Exicom shall also help state-owned
96
Auto Economics Times (access here)
97
Tata Power (access here), Tata Power (access here), Hindustan times (access here)
98
NTPC (access here) and Mercom Communications India (Access here)
99
EESL (access here)
100
Fortum (access here)
Figure 188 EESL Exicom's AC-DC charging stations for EVs
Source: 139 TERI (access here)
Primarily Oil Marketing Companies
(OMCs) are taking this route to leverage
availability of land at suitable location
and manpower to operate the charging
station. This model has enabled OMCs
to add additional revenue stream in
their business portfolio by capitalizing
existing assets.
Metro Rail Corporations are among
other major players that are leveraging
their parking space for developing
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Bharat Heavy Electricals Limited (BHEL) to set up electric vehicle (EV) charger manufacturing facility
for electric mobility business
101
.
vi. Tata Power partners with Tata Motors to develop charging stations in Maharashtra
102
.
vii. Tata power is also partnering with Hotels, Malls, Shopping outlets of Tata Group to set-up charging
stations that would provide convenience to their customer of charging vehicles.
viii. IOCL has joined hands with Sun Mobility to set up battery swapping facility at Chandigarh
103
.
ix. BSES and Ola Electric signed MoU to install battery charging stations in Delhi. As part of the
agreement, Ola Electric will manage and operate these stations through a cloud -based software
system. BSES will facilitate in identification of strategic locations for battery swapping (and charging)
stations
104
.
Although MoUs are not legal commitment but
fructification of them in future needs to be closely
observed. Since these MoUs are not available in
public domain, the ownership structure and
operational mechanism (BOO, BOOT etc.) is not
known. The charging station set-up by IOCL and
Fortum is on BOOT basis, details of the tie-up is provided in the box below:
Source: 140 Fortum (access here)
4.3.3 Captive development by fleet operator and OEMs
Captive development of charging station to provide exclusive access to vehicles of own fleet is also emerged
as another approach in developing charging infrastructure. OLA is said to be the pioneer of this concept in
India. OLA partnered with carmaker Mahindra & Mahindra to launch an “electric mass transport project” in
Nagpur to build charging infrastructure and bring 200 electric vehicles—including cars and auto-rickshaws—
on to its app. OLA under its co-creating infrastructure strategy, broke the chicken and egg problem
associated with development of charging infrastructure and adoption of EV. It has inducted EVs in its fleet
and also created the charging infrastructure to provide exclusive access for charging to its fleet. On a pilot
basis, it has developed charging station and battery swapping stations in Nagpur and Gurugram and has
101
Exicom and BHEL sign MoU on EV charging infrastructure (access here)
102
Tata Power – Media releases (access here)
103
IOC launches battery swapping facility for quick recharge of electric vehicles (access here)
104
BSES, Ola Electric to jointly install battery charging stations in Delhi (access here)
Box 26: Case Study – Indian Oil’s first electric vehicle charging station for general public, in
collaboration with Fortum India Pvt ltd
Indian Oil Corporation Limited envisions exploring newer avenues that are presented by alternative and renewable
energy sectors and be part of the evolving energy landscape. Taking this forward, Retail Team -TAPSO successfully
negotiated with Fortum India for setting up of first public charging stations at retail outlets in the city of Hyderabad
on exclusive basis. Fortum has developed a Charging Station at Goldstrike Fuel and Services fuel station of IOCL,
Rajbhavan Road, Hyderabad.
Details on the Tie-Up between Indian Oil and Fortum India:
• Initially, the charging stations are being set up at 2 Retail Outlets on pilot basis and thereafter it would be
expanded to 50 Retail Outlets in subsequent years.
• Established on BOOT basis for 7 years, the charging stations will have two DC charge points each of 10 KW
or 15 KW charging capacity.
• The smart charger can be accessed by EV user using either Fortum Charge & Drive Mobile App or RFID.
Payment shall be processed electronically through Credit card or debit card initially.
• Based on the efficacy of the proposed model, it will be taken up by other Service Outlets.
Easy availability of land at strategic and
convenient locations is driving the MoU
route of developing charging
infrastructure. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
218
plan to expand in other cities as well. It has taken multiple strategy to develop charging infrastructure in
Nagpur (the pilot city) which includes:
i. Partnered with ACME Group to develop charging station and battery swapping station across Nagpur
city
ii. Developed and owned charging stations at Airport, dedicated zone for OLA
iii. Developed charging station in partnership with IOCL
In Gurugram, OLA owns and operate battery swapping unit
for e-rickshaws. The station has around 14 battery -
swapping units with 20 battery packs per unit powering
100+ e-rickshaws
105
.
Similarly, B2B mobility service provider company, Lithium
Urban has developed its own charging infrastructure.
Lithium has developed charging station under following
three ways:
i. Developed charging stations on client premises;
ii. Partnered with commercial real estate developers
such as Brookfield Properties and RMZ to set up
charging stations on their properties;
iii. Developing “Charging hub” completely powered by solar energy that is run by Lithium and Fourth
Partner Energy, a 100% rooftop solar company based in Hyderabad, as a joint venture.
Lithium has developed the first charging hub in Gurugram. The Fourth Partner Energy are responsible for
delivering clean and cheap power to Lithium Urban and Lithium ensures that fleet will be charged at the hub.
The company has 25-30 charging stations at the hub where 30 cars can be charged simultaneously. The
company has also plan to open a charging hub in Pune in short-term with medium to long term aim to have
20-25 such hubs across the country
106
.
OEMs are also actively playing role in development of charging station to promote their vehicle sales and
increase brand presence.
MG Motors
107
• MG Motors in partnership with Fortum developing 4 fast-charging stations in Delhi-NCR. First
50 kW DC charging station is unveiled at MG’s showroom at Gurugram on November 2019.
• AC fast charger are provided and installed by MG India at home or office, free of cost on
purchase of EV
• MG owner can access DC super-fast chargers available at MG Dealerships
• MG owner can AC fast chargers available at MG Dealerships, along key routes in satellite cities
• MG Motors provide road side assistance for mobile charging support, available 24x7 in case of
an emergency
• To promote adoption of EVs, Ather is developing its own charging station across selected cities
(Chennai, Bangalore and Delhi). The company call the
charging stations as Ather Grid that offers fast charging
capabilities. Any non-Ather vehicle can also be charged
at Ather Grid using compatible connectors.
• In addition to the access to the Ather Grid, the Ather’s
vehicle also gets AtherDot home charger that can be
installed at apartments, bungalows and shared parking
spaces. A portable charger that uses a standard 5V plug
point is also provided with the vehicle.
105
Battery Swapping: The Way Forward for Early Adoption of Electric Vehicles (EVs) in India (access here)
106
India’s Lithium Urban shows the way in running a profitable all-electric taxi fleet (access here)
107
MG Motors (access here), MG Motor India and Fortum announce installation of the first public 50 kW DC fast charging station in
Gurugram (access here)
Source: 141 IndianWeb2 (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
219
Ather Energy
108
• During the launch offer, charging facility through Arther Grid was offered free of charge. They
have partnered with restaurants, cafes, shopping malls, tech parks, gyms etc. to install the
charging points and according to the company, the charging points will be made available no
more than the 4km driving distance from each other.
4.3.4 Home and workplace charging – collaboration with real estate developers
Although limited traction has been seen in this front, there are players who are providing solutions towards
developing charging stations at residential complexes, commercial spaces, malls and hotel, etc.
Real estate developers are tying up with charging infrastructure developers to make their property EV ready.
Magenta Charge Grid – Lodha Group collaboration and PlugNgo – DLF case studies provided in the box
below.
Source: 142 ChargeGrid (access here), Economics Times (access here); Economic Times (access here), Car and Bike (access here)
108
Ather Energy (access here), Indian Auto Blogs (access here), Fonearena (access here)
Box 27: Case Study I – Magenta Power developing Lodha Group properties as EV ready
Magenta Power under their brand name ‘ChargeGrid’ offers solutions home charging and commercial charging.
ChargeGrid provides services under four category, Destination Charging – Housing societies, offices; Opportunity
Charging – Parking lots, Malls; Enroute Charging – Solution to develop station at highways; Commercial charging –
Fleet charging, bus charging.
Lodha Group, a prime property developer has tied-up with ChargeGrid to install end to end electric mobility charging
solutions in their upcoming realty projects at Dombivli and Thane. Under the partnership, ChargeGrid will install its
EV charging solution - ChargeGrid Pro Chargers. The company will provide installation to charging support, round the
clock service, maintenance support and remote vehicle charging monitoring & e -payments through the ChargeGrid
Mobile application based on iOS & Android platforms.
Case Study II – PlugNgo joins hand with DLF, Delta electron ic and ABB to develop charging
stations in DLF cyber city
PlugNgo (an EV Motors Company), is developing DLF cyber city
complexes and commercial spaces as EV ready. It is under their long
term plan to 6500 EV charging station across India in next five years.
In DLF area, The chargers will be assembled at malls and commercial
complexes which will be networked and connected to PlugNgo cloud
based integrated software program.
DLF Cyber City buildings are LEED Platinum certified, and therefore
company has tied up with PlugNgo to make their buildings EV ready as
well. The PlugNgo platform will also deliver customized installation
support, round clock service, maintenance support and remote vehicle
charging monitoring and e -payments through PlugNgo mobile
application which is available on the iOS and Android platforms.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Review of Services and
Business Models in electric mobility
220
4.3.5 Battery Swapping Stations
With the increased value proposition of electric vehicles in commercial segment, the country has recognized
the need for battery swapping stations in order to minimize the downtime of commercial vehicles.
Battery swapping stations are useful for 2W, 3W, 4W
– fleets and e-buses. In addition to providing services
to the electric vehicle, battery swapping stations also
provides an opportunity for enabling batteries to
participate in demand response services
109
in the
wholesale power market.
Many established players as well as start-up firms are
venturing into the arena. Sun Mobility has partnered
with Uber and Pune-based Piaggio Vehicles to provide
swapping solutions for their EVs fleet. Sun-mobility has also assisted IOCL in setting-up of battery swapping
station for 3W in Chandigarh.
The company is also pioneering in using information technology to provide user an ease to access the battery
swapping station. It has developed an IOT enabled keychain to access the dock to place the drained
battery, pay for energy consumed and pick up a charged battery . Further, to overcome the problem
of battery standardization, the company is manufacturing its own modular Sma rt Batteries
TM
that are
adaptable to different vehicle platforms.
E-Chargeup, a Noida based start-up, is also providing IoT enabled solutions for battery swapping to e-
rickshaw. The company is providing battery swapping facility for only Li-ion batteries manufactured by
Gurugram based Greenfuel Energy Solutions. Amara Raja has established battery swapping stations for fleet
of e- Autos in Tirupati city
110
.
Panasonic is conducting pilot programmes on battery swapping in Delhi NCR. Similarly, Ola Electric is
planning to develop battery swapping station in Delhi NCR in collaboration with BYPL and BRPL
111
.
Given the huge requirement of up-front capital in setting-up of battery swapping station this business model
are observed to be concentrated in limited geographies (areas with high EV penetration) and players are not
scaling up to other places, at least until capacity utilization is increased with increased EV adoption.
Together with the growth in EV charging, there have been several challenges as well in the industry. List of
key challenges around development of EV charging infrastructure is provided in Annexure 6.4.
109
A new method to plan the capacity and location of battery swapping station for electric vehicles considering demand side management
(access here)
110
E-Chargeup (access here), Amara Raja (access here)
111
Ola Electric (access here), Panasonic (access here)
Sun mobility has installed an
automated battery swap station
equipped with a robotic arm to
swap the 600 Kg battery within 3
minutes to cater 18 Ashok Leyland
electric buses in Ahmedabad. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
221
5. EV ecosystem enablers and barriers
5.1. Electric mobility stakeholder consultation
To understand the enablers and challenges in uptake of electric mobility in the country, Deloitte conducted
stakeholder survey as a part of this study, where 42 individual experts across electric mobility industry,
responded with their inputs. Summary of the survey output is provided below:
EV mandate could provide confidence in manufacturer/charging infra developer/
investors in long-term prospects of EV and payback certainty
Figure 189 Priority for policy measures to fast track EV adoption in India
Public awareness is key in providing thrust to EV uptake
Figure 190 Ranking major challenges for EV adoption in India
23%
26%
29%
3%3%
16%
26%
13%
3%
26%
13%
16%
3%
6%
23%
16%
16%
16%
13%
10%
13%
3%
23%
13%
26%
10%
13%
3%
23%10%
19%19%
6%
19%
23%
3%
10%
13%13%
13%
26%
6%
10%10%10%10%
26%
29%
Launch of Charge ready
infrastructure
programme
National/ State level
policy for incentivizing
Distribution Utility
investments in EV
charging infrastructure
Policy and clear
mandate on target EVs
on road by 2030 for
each vehicle type
Policy & clear mandate
on GHG emission
reduction for country
and states
Amendments in Tariff
Policy to accommodate
rate basing of EV
Charging infrastructure
Dis-incentivize
conventional vehicle
purchase
Promote battery
recycling and reuse
Priority 1 Priority 2 Priority 3 Priority 4 Priority 5 Priority 6 Priority 7
44%
22%22%
4%
7%
19%
19%
30%
22%
4%
7%
4%
33%11%
22%
22%
7%
15%
11%
22%
26%
15%
11%
11%
15%
11%
15%
30%
19%
7%
4%
11%
22%
56%
Perception of public about EV
(Anxiety around range,
mileage, power, service,
charging infrastructure etc.)
Inadequate charging
infrastructure
Insufficient government
support in providing financial
incentives for demand
creation
Insufficient government
support in providing financial
incentives for reduction in
manufacturing cost
Lack of R&D support in
reducing battery prices
leading to higher TCO for EVs
(Capex + Opex)
Concern around safety
standards of EV and
Charging Infrastructure
Rank 1 Rank 2 Rank 3 Rank 4 Rank 5 Rank 6 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
222
Raising public awareness is essential to educate people to make them to adopt
EV. Their impactful role in making the environment clean, needs to be
communicated to have wider participation
Figure 191 Priority areas for policy makers to catalyze EV adoption
62% respondents believes that creating facilities such as zero
emission zones will help in uptake of electric mobility.
Feebate concept is largely missing in the existing policies/ schemes. Such
innovative promotional mechanism needs to be adopted in India to have
increased EV uptake.
97% respondents suggested that government should sponsor
more system modelling/ EV charging -grid integration related pilot
demonstration project.
High uptake of EVs would certainly have huge impact on electricity grid. It is
prudent to be prepare for extremities by developing sufficient knowledge of grid
behaviour in all possible scenarios of EV integration to enable smoother
transition towards EV.
23%23%
19%
6%
29%
19%
32%
35%
6%
6%
10%
16%
23%
32%
19%
32%
19%
10%
26%
13%
16%
10%
13%
29%
32%
Expand EV model availability Improve EV cost competitiveness Develop charging infrastructure
network
Accelerate EV deployment across
different fleets
Raise public awareness (Education
and skills training, Mass
communication etc.)
Priority 1Priority 2Priority 3Priority 4Priority 5 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
223
Understanding of grid behaviour should be a prime concern while making effort
for high EV adoption. Grid resilience would be crucial for EV transition
Figure 192 Priority technical interventions to promote uptake of electric mobility
Identification of suitable location and allotment of land are two major issues
causing delay in development of charging infrastructure. Administrative
mechanism or institutional solution needs to be developed to avoid such delays
Figure 193 Ranking challenges faced in setting up EV charging station
Minimizing
administrative hurdles
by providing single
window clearance
facility could act
favourably for EV
adoption
Figure 194 Pan India single window clearance facility
37%
19%
30%
7%7%
7%
22%
33%
4%
19%
15%
15%
15%
11%
41%
11%
7%
7%15%
19%
19%
22%
19%
15%
15%
4%
33%
30%
4%
19%
15%
4%4%
11%
48%
Undertaking modelling and
simulation studies
Enabling communication
between EV charging
Stations (EVCS)
Enabling interoperability in
EV charging stations
Database management and
notifications to utilities
Enabling communication
system between EVCS and
distribution utility
Enabling Vehicle to grid
integration
Priority 1 Priority 2 Priority 3 Priority 4 Priority 5 Priority 6
41%
19%
15%
11%
4%
7%
4%
11%
37%
15%
7%
15%7%
7%
15%
15%
26%
19%
11%
15%
22%
4%
19%
33%
19%
0%
4%
19%
4%
4%
33%
30%
11%
4%
19%
7%
15%
30%
26%
11%
4%4%
19%
4%
11%
48%
Choosing appropriate
locations for placement
of EVSE
Allotment of land Receiving clearances
and approvals for
manufacturing facility
Technical issues in
integration with
Distribution network
(Voltage Stability and
Harmonics)
Administrative issues in
taking electricity
connection
Bureaucratic
interference
Supply of raw material
Rank 1 Rank 2 Rank 3 Rank 4 Rank 5 Rank 6 Rank 7
59%
13%
28%
0%
Extremely
important
Good to have Important Not required Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
224
Discoms to play a major role in development of charging infrastructure. PPP is
the best mechanism to leverage technical capabilities of Discom and financial
capabilities of private developer. Suitable Modus-operandi for PPP needs to be
developed on priority to have high penetration of charging infrastructure in
India
Figure 195 Policymaker's priority for developing charging infrastructure
Enabling Discoms
through regulatory
measures to develop
charging infrastructure
is need of the hour
Figure 196 Regulatory measures for promoting charging infrastructure
development in the country
75% of respondents suggested that complimentary grant for
open access or rebate in cross-subsidy surcharges/ wheeling charge should
be provided to the charging station which is availing power from RE sources.
Availability of adequate greener power would be the key to attain the envisaged
benefit of EV in pollution control. Suitable regulatory measures to be studied
and adopted to embed RE with EV charging.
38%
19%
12%12%
4%
15%
35%
19%
8%
15%
8%
15%
4%
8%
15%
27%
23%
23%
8%
31%
15%
8%
19%
19%
12%
15%
23%
23%
12%
15%
4%
8%
27%
15%
35%
12%
Developing framework for
public private partnerships/
franchisee agreements for
developing EV Charging
stations
Develop a framework for
Managed/ coordinated
charging to mitigate
distribution network impacts
and facilitate RE integration
Provision to include
investments in EV charging
infrastructure in the retail
tariff
Identify the tariff structure
for EV charging (e.g., ToD
tariff, special EV charging
tariffs for EV users)
Adoption of smart grid
capabilities, such as smart
metering, “smart” charging
Specifying connectivity
standards and technical
standards for EVSE
equipment
Prioirity 1 Prioirity 2 Prioirity 3 Prioirity 4 Prioirity 5 Prioirity 6
52%
12%
26%
10%
Extremely
important
Good to have Important Not required Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
225
There is need to have
state coordination
forum to have
orchestrated
development in EV
front across Country
State Coordination Forum can
act as a common platform for
state representatives to frame
unified policies, regulatory
measures, specification,
standardization, data sharing
protocols, incentives,
mechanism for single-window
etc.
Figure 197 Need for a state coordinated forum as a common platform for
state representatives to promote electric mobility
90% of respondents consider formulation of a National IT
Committee important for creating an ecosystem for electric mobility.
The National IT committee will create national data standards,
formulate rules for data sharing, monitoring etc.
52%
12%
26%
10%
Extremely
important
Good to have Important Not required Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
226
5.2. Key barriers in EV charging infrastructure
Uncertainty around EV penetration in India
Central and State Governments are equally promoting EVs.
However, none of the governments have provided mandate for EV
adoption. The capacity utilization and hence revenue assessment is
largely dependent on number of EVs being served by the charging
infrastructure. In case of uncertainty around rate of EV penetration
in India, the business risk overshoots manifolds, causing developer
to shy away from putting resources in development of charging
infrastructure.
To bolster the confidence
of charging infra
developer to be able
recover cost of finance,
government must
portray certainty around
EV adoption
Lower capacity utilization
For early payback of capital invested in the business, it is required
to have high utilization of assets. However, in India, since EV on
road are not significant, the asset utilization remains critically low
leading to multiple issues such as delay in payback, non-recovery of
operating expenses, default in bank loan etc. Thus, under-utilization
of the charging assets does not substantiate the business case for
development of charging infrastructure and acting as a major
barrier
Only higher rate of EV
adoption can offer a
plausible business case
for charging infra
development. It will
remain as a chicken-egg
problem, unless
government mandate
Discoms to take
responsibility of
development of charging
infrastructure
EV charging
barriers
Uncertainty around EV penetration
in India
Lower capacity utilization
No mandate for Discom to develop
charging infrastructure
Fixed demand charges in EV
tariff
No mechanism for socializing the cost
of power infrastructure development
Lack of Managed Charging Framework
and functions
No regulatory framework for charging
service provider to participate in power
market for demand response
High cost of finance
Land identification and allocation
Issues related to administrative
clearances
02
01
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02 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
227
High cost of finance
This issue is interrelated with issues presented in above points. The
cost of finance has direct relationship with the perceived business
risk by the financial institution. EV is an evolving technology and
charging business model is not matured enough in India therefore,
financial institutions are shying away from providing loans to the
developer or even if it has been provided the cost of finance is high
considering the risk factors involved. This is leading to insufficient
scaling-up of EV charging business in India.
Policy measures to make
available concessional
loan or government
guarantee backed loan
should be taken to
ensure viability of
business and sufficient
scaling-up of charging
infrastructure in India
No mandate for Discom to develop charging
infrastructure
Globally Discoms are playing key role in development of charging
infrastructure. In China, State Owned Grid Utilities are investing
hugely in development of charging infrastructure. Similarly, in USA
electric utilities have to mandatorily file transportation electrification
proposal. However, in India, Discoms are not obligated with the
responsibility of development of charging infrastructure.
EV adoption and development of sufficient charging infrastructure is
a classic example of chicken-egg problem. However, the existing
policies have not adequately addressed this issue. In absence of any
established business model, lower charging infrastructure
utilization, and uncertainty around EV adoption (due to no EV
adoption mandate), the private players perceiving huge risk in
entering into charging business. Therefore, particularly in Indian
context, it becomes important to delegate responsibility of
developing charging infrastructure to Discoms.
Discoms to be mandated
to develop charging
infrastructure, at least in
initial years, to provide
sufficient confidence in
EV adopters related to
refuelling
Fixed demand charges in EV tariff
15 states and UTs (out of 22) such as Gujarat, Haryana, Karnataka,
Maharashtra etc. have announced demand cha rges for EV charging
stations. Electricity demand charges are fixed charges levied on
charging station operator based on connected load irrespective of
usage of the charging station facility.
In case of low asset utilization, levy of the electricity demand
charges makes it difficult for charging station operator to achieve
break-even.
There is need to design a
suitable tariff that
increases feasibility of
operation of charging
infrastructure facilities at
even low asset utilization
level
No mechanism for socializing the cost of
power infrastructure development
Regulators in US allow utilities to undertake investment in “make-
ready” infrastructure for EVSE integration as well as EVSE
infrastructure and recover the cost through rate-basing. Rate basing
is a mechanism to allow recovery of expenses incurred by utilities in
developing of grid network suitable to provide make-ready
Regulators should
encourage utilities to
carry out such
investments and provide
pathway to cost recovery
through rate basing.
Forum for Regulators
03
04
05
06
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and barriers
228
infrastructure for EV charging stations, through regulatory means of
tariff determination. This allows utilities to undertake costly
investment and socialize the cost of setting up “make-ready”
infrastructure for EVs. Such a proactive approach creates an eco-
system for setting up EV charging infrastructure.
While several states in India have introduced EV policies, state
utilities and regulators are yet to facilitate large-scale investments
in “make-ready” infrastructure for EVs. In the absence of regulatory
clarity on allowing expenses incurred in development of upstream
network in tariff, utilities are demanding cost of development of
requisite grid infrastructure from the charging infrastructure
developer. Such a huge investment impacting the overall business
proposition.
may draft a mechanism
for rate basing in India
Lack of Managed Charging Framework and
functions
Utilities in western countries with significant levels of EVSE
penetration have focused on developing a managed charging
framework so as to efficiently manage the additional stress on
distribution system network on account of EV charging. This entails
setting up various communication and hardware protocols to
implement a managed charging framework as well as creating
various incentives for consumers to participate in managed charging
initiatives.
In the Indian context, absence of standardized protocols for EV
managed charging limits the discoms ability to control the charging
of EVs. Therefore, in such a scenario, utilities have to upgrade and
design the network for peak system demand, which is a capital-
intensive affair and is posing as a major barrier in rapid scaling up
of EV charging infrastructure
While EV growth is still at
a nascent stage in India,
utilities and regulators
will need to plan for
implementing a managed
charging framework with
a long-term perspective.
No regulatory framework for charging
service provider to participate in power
market for demand response
To take advantage of flexibility from managed operation of EV
charging, ancillary markets in developed countries have provisions
for demand response providers to participate in the ancillary
market. This provides additional revenue stream to demand
response sources and allows utilities to better manage its demand-
supply position.
This is particularly important in the scenario where capacity
utilization of existing charging infrastructure is critically low,
additional revenue stream by participating in power market would
increase feasibility of the business.
Regulator should
establish a mechanism
for demand response
products in the ancillary
market wherein charging
service provider could
participate
07
08
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228 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
229
However, in India there is no mechanism exist that allow charging
service provider to participate in power market for demand
response
Land identification and allocation
Identification and allocation of the suitable land is critical in the
entire value proposition of EV charging business. Some State EV
policy have although recognized this as an issue and offered
assistance in identification and allocation of land, however, our
interaction from industry participants suggest that there are
administrative challenges involved in land acquisition and in case of
lease, uncertainty involves around the lease rental on long-term
basis.
In a survey conducted by Deloitte as a part of this study reveals
that identification of suitable location for setting-up of charging
station and allotment of land are among key barriers in the
development of charging infrastructure.
Government should
develop an online portal
to provide transparent
information on
availability of suitable
land for development of
charging infrastructure
Further, government
should mandate Oil
Marketing Company to
offer land available at
their retail outlets for
development of charging
infrastructure as most of
the retail outlets are
suitably placed within the
city provided approval is
granted by Petroleum
and Explosives Safety
Organization (PESO) for
change in layout plan for
setting up PCI
Issues related to administrative clearances
In a survey conducted by Deloitte as a part of this study reveals
that there is requirement for establishment of Single Window
Clearance System for providing time-bound technical and
administrative approval, for matters related to land allocation,
electricity connection and other issues.
Availing administrative clearances are posing significant delays in
development of charging infrastructure.
Government should
develop a District Level
Implementation
Committee chaired by
District Collector to
review the status of
time-bound clearance
provided to charging
infrastructure developer
under single window
system
09
10
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229 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
230
5.3. Key challenges and barriers in adoption of EV
No mandate for EV adoption
ICE vehicle have served all the stakeholders for many decades
therefore there is inherent inertia for any change. Without mandate
it would be very difficult to provide thrust for EV adoption as nearly
all stakeholders are comfortable with the current state of using ICE
vehicles and do not see a need for change to meet their travel
needs. As for end user’s perspective, any change means a learning
curve and changing current ways of transportation, refuelling,
servicing and maintenance. Manufacturers are heavily invested in
current set of manufacturing facilities for ICE vehicles and any
change in technology will need significant additional investments.
Oil companies are also invested up to neck in upstream and
downstream oil infrastructure. Retail outlet/fuelling stations will
also have to lose their investments or will have to invest in
charging/swapping facilities as a new line of business. There is a
large auto repair industry that stands to lose business as electric
vehicles have fewer parts. As a result, there is resistance to change
and unwillingness to get out of the current comfort zone. Therefore,
unless there shall be mandate for EV adoption or huge taxes on
conventional vehicle, the inertia of owning and using ICE vehicles
would be difficult to stop.
Globally, EV mandate
and heavy taxes on ICE
vehicles have played an
important role in rapid
EV adoption
Insufficient charging infrastructure
EV adoption and development of sufficient charging infrastructure is
a classic example of chicken-egg problem. However, the existing
policies have not adequately addressed this issue.
Wider availability of
adequate charging
infrastructure is vital for
EV uptake in India
High cost of EVs and dependence on imported batteries
Absence of adequate financing
support
Lack of public awareness
Inadequate availability of suitable
models for EVs
Stringent conditions for
availing subsidies
Insufficient charging infrastructure
No mandate for EV adoption
Barriers & Challenges
in e-mobility
02
02
01
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem
enablers and barriers
230 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
231
The range anxiety and limited availability of on-route charging
infrastructure are the main concern of people shying away from
purchasing EVs. Further, policies have not provided sufficient focus
on promotion of development of home charging/ workplace charging
infrastructure that could potentially offer a convenient alternative to
on-route charging infrastructure for vehicle owner. Further, concept
such as e-roaming are still not evolved in India that could provide
flexibility and interoperability in charging across multiple location.
Stringent conditions for availing subsidies
The subsidies on EV purchase were announced to bridge the gap
between the prices of EV and ICE vehicles. However, various riders
placed around eligibility conditions for availing subsidies have
largely defeated the purpose of extending subsidy support. For end-
users riders were put on minimum range per charge and minimum
top speed. Similarly, OEM are mandated to undergo re-certification
process for conformity check to obtain certificate of ‘FAME II India
Phase II eligibility fulfilment’ from approved testing agencies in
India.
Such riders are posing significant barriers in utilization of subsidy
utilization and EV adoption.
Purpose of the subsidies
should be to have more
and more EVs on road.
Riders and other
conditions may be
postponed till EV
ecosystem become
sustainable in medium to
long term horizon
High cost of EVs and dependence on
imported batteries
One of the major barriers for switching to EVs is its cost. Although,
there have been significant reduction in battery prices over last few
years; still EVs are not able to achieve cost parity with their ICE
vehicle equivalent.
Further, due to unavailability of raw material in India for battery
manufacturing, there is continuous overarching risk of price change
and availability of batteries owing to geo-political conditions. This is
also imposing sense of uncertainty in assessing long-term operating
cost of EVs that is the main proponent for its adoption.
Boosting of local
manufacturing
capabilities for battery
and EV auto-component
would help EVs in
achieving cost parity with
their ICE equivalents
Absence of adequate financing support
Particularly for e-bus there is no suitable financing support exist,
except FAME –II subsidy that too available for limited no. of e-
buses. Facility such as concessional loan, government guarantee
backed loan, funding through green bonds, municipality bonds etc.
are not available for procurement of e-buses leading to inadequate
uptake of the same in shared-mobility space.
Innovative financing
mechanism should be
explored to arrange
finance for e-bus
procurement
Lack of public awareness
Electric vehicles technology is still evolving and details about its
performance, ease of use and maintenance are relatively unknown
Many State EV policies
have provisioned to have
campaign and drive to
raise awareness on EV
03
04
05
06
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem
enablers and barriers
231 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | EV ecosystem enablers
and barriers
232
to the public at large. People do not know what its benefits and
challenges are. They are not aware of why it is important to make
the transition. There are myths and concern about availability of
spare parts and ease of availability of mechanics for repair works.
Further, the vehicle owner does not know the concept of Total Cost
of Ownership (TCO), therefore, purchase decisions are largely
governed by upfront purchase cost only. Further, availability of
subsidy scheme on purchase of EV is known to limited segment of
society.
among public. EV
adoption largely depends
on meticulous
implementation of such
policy measures
Inadequate availability of suitable models
for EVs
OEMs of ICE vehicles have invested hugely over the years in R&D
and developed variety of models with varying performance
parameters to cater almost all consumer segment in a society.
However, this is not true with EVs. There are limited models
available for consumer to choose from, that restrict their ability to
select suitable model of their choice. This issue is particularly more
prominent among 2W and 4W consumer segment.
Unless there exist
mandate for EV adoption,
OEMs would not
significantly invest in EVs
development. With
limited choices, EVs are
less likely to be adopted.
07
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in Ind ia | EV ecosystem
enablers and barriers
232 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
233
6. Annexure
Chapter 1 As-is state of passenger road transport system in India
1. Automobile export
Figure 198 Category-wise vehicle export trend in India from FY15 to FY20
2. Import dependency of India
Figure 199 India's crude oil production, import, consumption
and import dependency (FY13-FY19(P))
Source: 143 Indian Petroleum and Natural Gas Statistics 2018-19
Figure 200 India's natural gas production, import,
consumption and import dependency (FY13 -FY19(P))
Source: 144 Indian Petroleum and Natural Gas Statistics 2018-19
3. Public v/s Private buses
Figure 201 Total no. of buses - public and private (FY11-FY17)
Source: 145 Road Transport Year Book (2016-17)
“Private buses have
significantly dominated
Indian bus market. They
account for more than
90% share in the overall
market, and have grown
at a CAGR of 2.57% from
FY11 to FY17”
India has high import dependency for crude oil
consumption. This puts India at high exposure for
geo-political risk.
India is well placed to cater more than half
of its natural gas requirement from domestic
production Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
234
Figure 202 Fuel-wise share in sales of buses in India
Source: 146 Vahan dashboard
“Sales trend for last
three year suggests that
diesel is most preferred
fuel technology for
buses in India”
4. State-wise deployment of EVs as on July 2020
Table 50 State-wise total number of EVs (as on Jul'20)
# State/UT 2W 3W 4W Other Total
1.
Andaman and Nicobar Islands 0
0 0 0 0
2. Andhra Pradesh 0 0 0 0 0
3. Arunachal Pradesh 9 1 6 0 16
4. Assam 176 24,605 8 27 24,816
5. Bihar 1,447 24,988 19 15 26,469
6. Chandigarh 74 646 33 0 753
7. Chhattisgarh 2,624 3,136 117 92 5,969
8. Dadra and Nagar Haveli &
Daman and Diu
32 36 13 1 82
9. Delhi 4,792 89,493 2,082 42 96,409
10. Goa 320 39 88 3 450
11. Gujarat 3,224 1,056 555 260 5,095
12. Haryana 3,197 10,282 217 116 13,812
13. Himachal Pradesh 22 120 78 59 279
14. Jammu and Kashmir 152 34 16 44 246
15. Jharkhand 868 6,225 137 73 7,303
16. Karnataka 14,021 754 1,348 101 16,224
17. Kerala 369 441 60 -21 849
18. Lakshadweep 0 0 0 0 0
19. Madhya Pradesh 0 0 0 0 0
20. Maharashtra 19,905 3,706 1,674 231 25,516
21. Manipur 61 331 3 0 395
22. Meghalaya 15 3 6 4 28
23. Mizoram 9 1 7 0 17
24. Nagaland 39 0 2 0 41
25. Odisha 3,681 893 63 194 4,831
26. Puducherry 885 23 87 10 1,005
27. Punjab 1,708 957 112 43 2,820
28. Rajasthan 5,374 18,906 141 10 24,431
29.
Sikkim
1 0 20 0 21 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
235
# State/UT 2W 3W 4W Other Total
30. Tamil Nadu 13,223 351 4,049 1,600 19,223
31. Telangana 0 0 0 0 0
32. Tripura 58 3,687 10 0 3,755
33. Uttar Pradesh 9,997 1,74,063 359 42 1,84,461
34. Uttarakhand 1,109 16,599 14 1 17,723
35. West Bengal 1,218 29,192 4,118 543 35,071
India 88,610 4,10,568 15,442 3,490 5,18,110
Source: 147 Vahan dashboard (accessed on 25
th
July 2020)
5. Category-wise vehicle sales growth
Figure 203 Trend in sales of 2W, 3W and 4W segments from FY12 to FY20
Source: 148 Vahan dashboard
6. Fuel categorization
Figure 204 Fuel wise break of annual vehicle sales
Source: 149 Vahan dashboard
“2-wheelers have been the preferred mode of
transportation among Indians, as confirmed
from 2011 Census of India. Growth in the
two-wheeler segment in the last decade
corroborates the findings of the survey” Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
236
Figure 205 YoY sales trend in key vehicle fuel technologies
Source: 150 Vahan dashboard
“Looking at the
last three
years, EVs and
CNG vehicles
have started
gaining
momentum in
the Indian
market”
7. Adoption of e-buses
Figure 206 Trend of e-bus adoption and its share in overall bus sales
Source: 151 Vahan dashboard
8. Growth in OEM sales
Figure 207 Total vehicles sold by key electric mobility OEMs (Cumulative)
Source: 152 Vahan dashboard
9. Key initiatives by automobile players in EV space
In the last two years, OEMs have
experienced substantial increased
in sale of EVs; industry expects the
growth to continue Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
237
Table 51 Key actions by auto players in India
S.No. Operator Vehicle
category
(4w,3w,2w,
buses)
Key models Key Initiatives
1 Mahindra
Electric
4w eSupro (2)
e20 Plus
eVerito
• Zoomcar partners with Mahindra Electric to offer
self-drive
• EV cars in Mumbai, Hyderabad, Mysore.
• Mahindra Electric has joined hands with Meru
Cabs to deploy electric vehicles.
• LG Chem is Mahindra Electric’s Lithium battery
technology partner.
• Signs MoU with Government of Maharashtra for
EV manufacture and deployment.
• Partnered with Ola for Nagpur pilot.
• New EV SUV models are under design stage and
to be launched soon.
2 Tata Motors
4W Nexon EV,
Tigor EV
• Lithium Urban Technologies has given an order
of 500 EVs to Tata Motors
• Tata Motors announced to separate its
passenger vehicles arm from the commercial
vehicle wings, and merges Electric and
Passenger Car Entities
3 Maruti Suzuki
4W WagonR EV • In September 2017, Suzuki announced
partnership with Denso and Toshiba for Lithium
battery technology.
• In November 2017, partnered with Toyota Motor
Corp to benefit from its electric car technology
for Indian market.
• Plans to invest US$14.5 billion for the
development of EV technology.
• Maruti Suzuki deferred launch of Wagon R EV in
2020 due to lack of charging infrastructure in
India
4 Honda
4W Honda EV
Plus
• Honda enters in a partnership with GM to build
its two new electric vehicles using GM’s flexible
EV platform with its Ultium-branded improved
battery packs
5 Hyundai
4W Kona EV • Hyundai Motor India Limited (HMIL) plans to
launch its electric SUV in 2020
• Hyundai plans to launch its first India-made
electric SUV by 2022
6 MG Motors
4W ZS EV • MG Motors launched their first electric car in
India in January 2020
7 Ashok
Leyland
Buses/ Trucks - • Ashok Leyland is looking to enter into a
partnership with multinationals to start a joint
venture in the electric mobility space Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
238
S.No. Operator Vehicle
category
(4w,3w,2w,
buses)
Key models Key Initiatives
• Ashok Leyland setup its electric vehicle (EV)
facility in its Ennore plant.
8 Eicher
motors
Buses - • VE Commercial Vehicles (VECV), a joint venture
of Volvo Group India Pvt. Ltd and Eicher Motors
Ltd, is developing a new line of products,
including a complete range of electric vehicles
for public transportation
9 Olectra-BYD
Buses K9 • Olectra – BYD launches electric buses in
Hyderabad
10 Bajaj
2W, 3W Chetak • Bajaj launched its first EV, Chetak, in January
2020
11 TVS
2W iQube • TVS plans to expand its electric vehicle portfolio
in the coming years in a phased manner
12 Hero Electric
2W ES series, E5
series, E2
series
• Hero Electric has aggressive investment plans to
ramp its electric scooter production capacity up
the 5 lakh units annually in the next three years
• Hero Electric targeting 1,000 dealer touchpoints
across India by 2020 end
13 Toyota
4W Camry
(Hybrid)
• Toyota is in collaboration with Suzuki Motor
Corporation (SMC) to develop electric vehicles in
India
10. Vehicle technology
1. Conventional technology
As mentioned above, the Indian vehicle industry is heavily dominated by conventional fuel technologies such
as petrol and diesel vehicles. These technologies have contributed to ~97% of passenger vehicle sales in
last five years. In the forthcoming sections, we will discuss the conventional technologies in brief.
a. Petrol vehicles
Petrol based vehicles are one of the oldest fuel
technologies and is also the most preferred fuel
technology in the Indian market.
In its propulsion system, the petrol vehicle has a
fuel tank for petrol storage and a spark-ignited
internal combustion engine (IEC) that provides
mechanical power to the transmission enabling the
vehicle to move.
Figure 208 Propulsion system of a petrol vehicle
Fuel tank
Internal combustion
engine Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
239
In petrol vehicles, fuel is injected into the combustion chamber and combined with air. Using the spark plug,
a spark is generated by the air and fuel mixture. The gases that are generated from the combustion pushes
the piston, which in turn rotates the crankshaft. This ultimately provides mechanical power to the
transmission enabling the vehicle to move.
Petrol contains carbon and hydrogen atoms. During combustion, the carbon (C) from the fuel combines with
oxygen (O2) from the air to produce carbon dioxide (CO2). The CO2 impacts the environment which is one
of the reasons why the world is now looking beyond petrol vehicles for transportation.
b. Diesel vehicles
Diesel is second most preferred fuel type in India
after petrol. Similar to petrol, diesel vehicles also
use an internal combustion engine (ICE). However,
unlike petrol, they have compression -ignited
injection based ICE rather than spark-ignited ICE.
In the compression-ignited injection, diesel fuel is
injected into the combustion chamber of the
engine and is ignited by the high temperatures
achieved when the gas is compressed by the
engine piston. Once there is ignition, mechanical
power is transferred to the transmission and the
vehicle moves.
Similar to petrol vehicles, diesel vehicles also contribute to the CO2 emission in the environment and warrant
exploration of low-carbon fuels for transportation.
2. Non-conventional technology
a. CNG vehicles
Compressed Natural Gas, also known as CNG, is
methane stored at a high pressure. Italy was the
first country to use Natural gas as vehicle fuel in
the 1920s. GAIL (India) Limited initiated the pilot
program in 1992 to use CNG as vehicle fuel in India
in collaboration with Indian Institute of Petroleum
in 3 cities namely Delhi, Mumbai and Baroda.
Since then, 1730 CNG stations
112
have been set-
up with a total of 33.47 lakh CNG vehicles
113
on
road (as on 31
st
March 2019). A simple
Hydrocarbon structure (CH4) with less C atoms,
makes CNG a cleaner fuel. Higher Octane allows
use of higher Compression Ratio in spark ignition engines that provides better fuel efficiency. Likewise,
lighter density with respect to air and high self -ignition temperature contribute to its cleanliness
characteristic
114
.
There are are three types of CNG vehicle technologies available in India:
i. Dedicated CNG eng ine - Dedicated CNG vehicles have Spark Ignition (SI) engines that are
operated only on CNG.
ii. Bi-fuel retrofitted gasoline engine - Bi-fuel vehicle can run on either CNG or gasoline. Such
vehicles have regular Internal Combustion Engine. The vehicle can be operated on any fuel type by
flipping a switch on the dashboard. Any existing gasoline vehicle can be converted to a bi -fuel
vehicle.
112
Indian PNG Statistics 2018-19 (access here)
113
Indian PNG Statistics 2018-19 (access here)
114
Gaseous Fuels for Transport Sector (access here)
Figure 209 Propulsion system of a diesel vehicle
Figure 210 Propulsion system of a CNG vehicle
CNG tank
Internal combustion
engine
Fuel tank
Internal combustion
engine Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
240
iii. Dual-fuel diesel engine - Dual-fuel vehicle are based on Compress ed Ignition (CI) engine
technology. They run either on diesel only or utilize a mixture of natural gas and diesel, with the
natural gas/air mixture ignited by a diesel pilot injection system.
i. Operating principle
The operation of Compressed Natural Gas (CNG ) vehicles are similar to gasoline-powered vehicles with
spark-ignited internal combustion engines. CNG is stored on-board the vehicle under pressure in the fuel
storage cylinder to a maximum pressure of approximately 200 bar115, typically at the back of the vehicle.
The CNG fuel system transfers high-pressure gas from the fuel tank through the fuel lines, where a pressure
regulator reduces the pressure to a level compatible with the engine fuel injection system. Finally, the fuel
is introduced into the intake manifold or combustion chamber, where it is mixed with air and then
compressed and ignited by a spark plug.
ii. Developments in India
Uniquely, the thrust for rollout of CNG in India wasn’t initiated by a policy push. Instead, it was a judiciary
initiative. Supreme Court in 1998 issued a directive calling for the conversion of all buses, taxis and three-
wheelers to CNG in Delhi in the wake of rising air pollution. Subsequently, Government of India announced
the National Auto Fuel Policy on 6
th
October 2003. The policy recommended the use of CNG/LPG in cities
that are affected by higher vehicular population. Additionally, it also recommended to have a planned
development of natural gas infrastructure. Government of India vide notification dated 31.3.2006 enacted
the Petroleum and Natural Gas Regulatory Board Act 2006 for establishment of Petroleum and Natural Gas
Regulatory Board (PNGRB). The PNGRB started functioning w.e.f. 1.10.2007 and its first regulations came
in March 2008 for City Gas Distribution and CNG infrastructure. So far, CNG stations, CNG sales and CNG
vehicles have grown a CAGR of 16.16%, 10.85% and 11.00% respectively during the last five years.
b. Hydrogen Fuel Cell Vehicles
i. Developments in India
Indian Oil Corporation limited (IOCL) and Society of Indian Automobile Manufacturer (SIAM) in Oct 2005
have collaborated to undertake a pilot project (funded by MNRE) to setup a Hydrogen and Compressed
Natural Gas (HCNG) dispensing station.
In the following year (2006), India notified National Hydrogen Energy Road Map (NHERM) in bid to make
itself a hydrogen based economy. The road map proposed 1 Mn Hydrogen based IC Engines and fuel cells
vehicles by 2020.
In September 2007, MNRE supported a project for demonstrating Hydrogen up to 30% with CNG in 7
automobiles (3 buses, 2 cars and 2 three-wheelers) to Society of Indian Automobile Manufacturers SIAM).
However, after that, there hasn’t been any significant progress recorded in Hydrogen mobility space.
It was only in June 2017, when Tata Motors, in association with ISRO (Indian Space Research Organisation),
announced the launch of India’s first hydrogen-powered automobile bus. Tata later flagged off the trial run
of the vehicle in partnership with IOC in 2018.
11. EV Charging technology
Technical aspects of EV charging
a. Classification of EVSE
Electric Vehicle Supply Equipment (EVSE) is an equipment or a combination of equipment which provides
dedicated functions of supplying electric energy from a fixed electrical installation or supply network to an
EV for the purpose of charging. There are different ways to classify an EVSE depending on power supply (AC
or DC), power rating levels, speed of charging and communication and connector type.
115
study and analysis of CNG/LPG conversion system (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
241
b. Classification by EVSE output – AC and DC
In AC charging, the vehicle has an on-board charger to convert AC from the grid into DC to charge the
vehicle. A DC charger, on the other hand, can be used to charge the vehicle directly using the Battery
Management System. An AC EVSE comes in different power ratings ranging from 3.3 kW to 43 kW. A DC
EVSE is able to supply higher power rating ranging from 10 kW to 240+ kW.
c. Classification by power rating and charging speed
There are three levels of charging stations available with each successively providing faster charging
capability and associated costs of charging. These are as follows:
Table 52 Various levels of charging and rated capacity (power)
Charging station Voltage (V) Power (kW) Type of Vehicle Type of compatible
charger
Level 1 (AC) 240 <= 3.5 kW 4W, 3W, 2W Type 1, Bharat AC-
001
Level 1 (DC) >= 48 <= 15 kW 4W, 3W, 2W Bharat DC-001
Level 2 (AC) 380-400 <= 22 kW 4W, 3W, 2W Type 1, Type 2,
GB/T, Bharat AC-001
Level 3 (AC) 200-1000 22 to 43.5 kW 4W Type 2
Level 3 (DC) 200-1000 Up to 400 kW 4W Type 2, CHAdeMO,
CCS1, CCS2
Further, an EV consumer will also need to decide on the type of charger available at a specific charging
station along with the level of charging station. The table showcases the type of chargers which are
compatible with each of the charging station type. Usually EV charging network services providers provide
apps on which consumers can easily figure out the type of charging station and chargers available in a
network. Level 1 charging stations are more suitable for 2W and 3W while Lev el 2 and Level 3 are more
suitable for 4W.
EV consumers can decide their choice of charging station level based on the time required and associated
cost of charging. An example of charging experience of a 2017 Chevy Bolt with an approximate range of 220
miles of range with a 60 kilowatt-hour (kWh) in US provides more insight. The table below provides the time
required to charge the Chevy bolt at each level of charging station:
Table 53 Charging time for a Chevy Bolt
Charging station Charging Time of Chevy Bolt
Level 1 40 hours
Level 2 9 hours
Level 3 1 hour, 20 mins
Source: NRDC – EV charging 101 (access here)
A level 1 charging station would take 40 hours to charge the battery, while a level 2 charging station fill up
the whole battery in 9 hours (25 miles/hour charge), and a level 3 charging station can charge the same in
1 hour and 20 mins (150 miles/hour charge). Correspondingly, the cost of using a level 3 charging station
is USD 30
116
. While the charging time in level 3 is low, the corresponding cost of charging is also high. In
current scenario, level 2 is a suitable for charging a 4W for most of the instances given a US car owner
116
NRDC - Electric Vehicle Charging 101 (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
242
drives about 31 miles a day. Level 3 charging station may be more suitable for quick top up or during long
range journey. With
awareness on how to optimize charging behaviour, EV consumers can benefit from cost savings and choosin g
right options which suit their need.
Key features and functions of a Charger:
Charging infrastructure standards provide a description of the physical conductive electrical interface
requirements between the Vehicle and EVSE. The description under the ASI138 (Part 1) standard for IEC
62196 is provided below:
Table 54 Various contacts in a charging gun
Contact
Number
IEC 62196 Function
1 Three Phase, 63 A L1
2 Three Phase, 63 A L2
3 Three Phase, 63 A L3
4 Three Phase, 63 A Neutral
5 Rated for Fault Protective Earth
6 - Control Pilot
7 - Proximity
While several functions are self-explanatory, the Control Pilot is the control conductor in the cable assembly
connecting the in-cable control box or the fixed part of the EVSE, and the EV earth through the control
circuitry on the Vehicle. It is a key part of the charger. It can be used for managed charging of the EV. For
example, Control Pilot signal can be used to command the battery management system in the EV to change
the rate of charge. A simplified circuit for control pilot is provided below:
All chargers do not have such functionality. Functions for IEC 60309 charger connection points are provided
below:
Table 55 IEC 60309 charging connector
Contact
Number
IEC 60309 Function
1 Single Phase, 15 A L Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
243
Contact
Number
IEC 60309 Function
2 Single Phase, 15 A Neutral
3 Rated for Fault Protective Earth
Charging functions
The AIS standards for DC charging list the following functions to be performed by a charging system:
- Verification that the vehicle is properly connected;
- Protective conductor continuity checking;
- Energization of the system;
- De-energization of the system;
- DC supply for EV;
- Measuring current and voltage;
- Retaining / releasing coupler;
- Locking of the coupler;
- Compatibility assessment;
- Insulation test before charging;
- Protection against overvoltage at the battery;
- Verification of vehicle connector voltage;
- Control circuit supply integrity;
- Short circuit test before charging;
- User initiated shutdown;
- Overload protection for parallel conductors (conditional function);
- Protection against temporary overvoltage
- Emergency shutdown.
The charging station is a specialised equipment with wide functionalities. Combined with a charging
management system, the EVSE can be operated without manual input. In addition to the above functions,
the EVSE is also capable of accepting payments and accessing the payment gateway to settle the financial
transactions.
d. Technical standards of EV charging equipment
Technical specifications for EV chargers vary across Level 1, Level 2, and Level 3 charging stations across
different countries. Table below showcases the mapping of different charger specification in different
countries.
Slow charging
In North America and Japan, most electric vehicles use the SAE J1772 connector, which contains five pins
and a mechanical lock. In Europe, Level 2 charging uses the Type 2 or Mennekes connector, which has seven
pins and takes advantage of the three-phase alternating current grid. China also requires a variant of the
Type 2 plug, although legacy vehicles and charging stations have not yet been converted.
The exception to this regional breakdown is Tesla, which uses a proprietary connector for its vehicles sold
in North America, although adapters to SAE J1772 are available. In Europe and Asia, Tesla vehicles have a
Type 2 plug. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
244
Source: International Council on Clean Transportation
Fast charging
For DC fast charging, connector types vary by automakers in addition to regional variations. For instance,
Nissan and Mitsubishi created and promoted the CHAdeMO (Charge de Move) fast charging standard
beginning in 2011. This type is majorly used by Nissan, Mitsubishi, Kia, Citroën, and Peugeot.
In contrast, several automakers from the United States and Europe focus on Combined Charging System
(CCS), which uses the SAE J1172 or Mennekes AC plugs along with two additional DC pins for fast charging.
This has now been adopted by BMW, Daimler, Ford, Fiat Chrysler, Ge neral Motors, Honda, Hyundai, and
Volkswagen.
As in the case of Level 2 charging, Tesla uses its proprietary plug for its DC Supercharger stations in the
United States, although the company also makes Tesla-to-CHAdeMO adapters. China has recently mandated
the use of a new standard (GB/T 20234.3-2015) for all new vehicles and fast charging infrastructure; Tesla
vehicles sold in China will also use this standard.
Source: International Council on Clean Transportation
Tables suggests that technical specifications of EV chargers for Level 1 AC charging stations vary widely
across countries. For Level 2 and Level 3 AC charging stations, IEC 62196 -2 Type 2 chargers are most
common. CCS and CHAdeMO are most common for Level 3 DC charging stations.
Table 56 Charger characteristics
Conventional
plugs
Slow chargers Fast chargers
Level Level 1 Level 2 Level 3
Current AC AC AC, Three-
phase
DC
Power <= 3.7 kW >3.7 kW and <= 22
kW
> 22 kW and
<= 43.5 kW
Currently < 400 kW Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
245
Conventional
plugs
Slow chargers Fast chargers
Australia Type 1 IEC 62196-2 Type 2 Accepts all IEC 62196-3
standards (CCS Combo
2, CHAdeMO). Tesla has
its own connector.
China Type 1 GB/T 20234 AC Requires GB/T 20234
DC.
European Economic
Area
Type C/F/G IEC 62196-2 Type 2 IEC 62196-2
Type 2
Requires CCS Combo 2,
(IEC 62196-3) and
accepts all IEC, 62196-3
standards (including
CHAdeMO).
Tesla has its own
connector.
India Type C/D/M IEC 62196-2 Type 2
and IEC 60309
(Bharat AC-001)
(<10 kW)
Bharat DC-001
(<15 kW)
IEC 62196-
2 Type 2
Requires CCS Combo 2
and
CHAdeMO (IEC 62196 -
3).
Japan Type B SAE J1772 Type 1
Tesla has its own
Connector.
Accepts all IEC 62196-3
standards
(CCS Combo 1,
CHAdeMO).
Tesla has its own
connector.
Korea Type A/C IEC 62196-2 Type 2 CCS Combo 1 (IEC
62196-3) and
accepts all IEC 62196-3
standards
(including CHAdeMO).
Tesla has its own
connector.
New Zealand Type 1 IEC 62196-2 Type 2 IEC 62196-
2 Type 2
Requires CCS Combo 2
and
CHAdeMO (IEC 62196 -
3).
North America Type B; SAE
J1772 Type 1
SAE J1772 Type 1,
Tesla has its own
connector.
SAE J3068 Accepts CCS Combo 1
(SAE J1772
and IEC 62196-3) and
CHAdeMO
(IEC 62196-3).
Tesla has its own
connector.
Singapore Type G IEC 62196-2 Type 2 IEC 62196-
2 Type 2
Requires CCS Combo 2
(IEC
62196-3).
Thailand Type A/B/C/F IEC 62196-2 Type 2 Accepts all IEC 62196-3
standards (CCS Combo
1, CCS
Combo 2, CHAdeMO).
Tesla has its own
connector.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
246
There have been notable recent developments in consolidating charging standards for ultra-fast charging
standards such as between the Japanese CHAdeMO Association signing a memorandum with China Electricity
Council (GB/T Standard). The new standard is called as Chaoji. The goal
is to design a new common plug and vehicle inlet that can support up to
600A at up to 1,500V for a total power of 900 kW. This compares to the
CHAdeMO 2.0 specification to support 400A at up to 1,000V or 400 kW.
China’s GB/T DC charging standard has supported 250A at up to 750V
for 188 kW. Following are the key aspects of the Chaoji specifications:-
• Control pilot circuit harmonized with new GB/T and CCS (and IEC
61851-23-1)
• Backward compatible with CHAdeMO GB/T and CCS
• Covers currents up to 600 A with liquid cooling
e. Key Technical specifications for Managed charging
Utilities can decide which managed charging control strategy to implement based on factors such as
customer preferences, level of EV penetration in network, and infrastructure available to implement passive
and active controls. While passive charging management can induce customers to shift their EV charging
loads, a sudden onset of EV charging loads during the off-peak period can lead to steep surge in load on the
distribution transformer at the onset of the off-peak period. Ideally, this concern can be addressed by
staggering charging times using an intelligent assessment of charge status of vehicles, obtaining desired
departure time of vehicles, the charge rate, and other factors, thus distributing the charging across a wider
time window. This is essentially referred to as managed charging. The following are the pre-requisites for
implementation of managed charging:
• Setting of User preferences: A vital input
to managed charging is driver preferences
for charging
• Signalling of utility DR events: The
signals which utility would send to EVs and
vehicle chargers combines messaging, or
application, protocols (e.g., OpenADR 2.0,
OCPP) and transport layer protocols, also
known as network communication
interfaces (e.g., Wi-Fi, cellular).
• Assessment of vehicle parameters:
Manage charging will work through an
intelligent assessment of charge status of the vehicle, incorporating customers’ desired “charge by”
times, the charge rate, and other grid factors. The charging time could be distributed across a large
time window
• Determining the charging levels: Different EV charging levels offer different potential for
managed charging. Long- duration of charging with Level 1 or Level 2 provide more time for
managed charging events and flexibility for deferring customer charging. Alternatively, the high
power demand of DC Fast Charging (DCFC) may be less attractive
• Communication Pathways: Communication between the EV user - EV / EVSE, utility-/grid-
operator, aggregator, EVSE provider, EVSE and the vehicle itself are critical factors for effective
managed charging.
The various communication protocols for managed charging are highlighted below: -
Table 57 Communication protocol for managed charging
Medium Details
Wi-Fi Wi-Fi signal can be sent directly to the EVSE via Control Pilot (CP) Smart Adapter or sent directly
to the car by using a telematics link or on-board diagnostic interface (OBD2).
Source: fleetcarma Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
247
Medium Details
AMI Utility AMI backhaul link to a smart meter, using Power Line Carrier (PLC) protocols (e.g., Green
PHY), and wireless networking protocols (e.g., Wi-Fi, ZigBee) which send signals directly through
power lines.
Cellular
network
Cellular broadband signal can be sent to the EVSE by using Global System for Mobile
communications (GSM), which sends data via code division multiple access (CDMA) low
bandwidth wireless connections (data speed requirements for EVSE can also vary, e.g., 2G, 3G,
4G, LTE) or general packet radio service (GPRS). Cellular signals can also be provided to the
vehicle through onboard integrated communications
Radio
network
FM radio broadcast through a Radio tower to embed digital information directly to the vehicle or
the EVSE.
Ethernet Ethernet also called as Local Area Network (LAN) connection to the EVSE
Messaging Protocol: In EV managed charging, messaging protocol signifies the rules, formats, and
functions for exchanging messages between EV, charging station, and charging station network.
Following are two types of messaging protocols widely used in managed charging
Table 58: Protocols and uses
Type of
protocol
Details
Open
source
• For managed charging, it is vital that uniform and non-proprietary communications /
messaging protocols are used between the EVSE and EV, for e.g. ISO/IEC 15118 that enables
the managed charging
functionality in an EV and can give
an improved EV consumer
participation.
• The Electric Power Research
Institute (EPRI) is synchronizing a
software application (Open Vehicle
Grid Integration Protocol) that
connects EVSE and EVs to various
nodes to allow utilities to more
dynamically manage charging
activity that could help with a
variety of grid applications.
• The standards followed by the
OVGIP are IEEE 2030.5,36
ISO/IEC 15118, and telematics with utility standard interface protocols (i.e., OpenADR 2.0b,
IEEE 2030.5) and EV charger application program interfaces (i.e., ISO/IEC 15118, OCPP, and
industry applied standard and proprietary APIs) through a common platform.
Proprietary GPS tagging
• Vehicles can be managed through an on-board diagnostic interface (OBD2) which has built-in
capabilities, like GPS location software, which can be managed according to the local grid
circuit
Programming capabilities
• Currently multiple EVs already have the ability to program their charging window that would
enable the user to align charging with TOU or other EV rates. A more advanced way to
strength, these vehicles would for the utility or aggregator to send price, emissions, or grid
stress signals directly to the vehicle, so that the EV’s charging program could use the
information to modify its schedule of charging the vehicle time.
• Some examples that are using Proprietary protocol are eMotorWerks JuiceNet, Siemen’s
VersiCharge platform, and Itron/ClipperCreek’s OpenWay network.
Source: Elaadnl, EV related protocol study
12. Total cost of ownership (TCO) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
248
Table 59 Total cost of ownership calculation of fuel technologies
Particulars Tata Tigor EV Tata Nexon EV Petrol Ford
Ecosport
Diesel Ford
Ecosport
CNG Maruti
Suzuki Ertiga
Vxi
BHP 40.2 127.0 120.7 99.0 91.0
Ex showroom
Price (in Rs.)*
9,85,000.00 15,99,000.00 11,56,000.00 11,71,000.00 8,95,000.00
Fuel consumed
in running 1
km
0.101 0.097 0.068 0.046 0.038
Fuel cost Rs. 8.5/unit Rs. 8.5/unit 80.43/litre 81.94/litre 46.60/Kg
Cost of fuelling
for per 1 km
run (Rs.)
0.86 0.82 5.47 3.78 1.78
Duration of
Ownership
(years)
5.00 5.00 5.00 5.00 5.00
Total running
in 5 year (km)
- 50 km per
day
91250.00 91250.00 91250.00 91250.00 91250.00
Cost of
refuelling
7902.59 7267.02 33963.80 15878.50 6194.64
Average
Maintenance
for 5 years
(Rs.)*
7500.00 7500.00 23670.00 30525.00 26955.00
Cost of running
for 5 year (Rs.)
10,00,402.59 16,13,767.02 12,13,633.80 12,17,403.50 9,28,149.64
Source: 153 Deloitte analysis
Chapter 2 Review and assessm ent of electric vehicle and charging infrastructure
stakeholder landscape
13. Review of central level initiatives in electric mobility space
a. Central level policies
Electric mobility initiatives in India, initially, were led by the Ministry of Heavy Industries and Public
Enterprises (MoHIPE) which launched National Electric Mobility Mission Plan (NEMMP) in 2013 and
Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles in India (FAME India) scheme in
2015.
a.1. National Mission on electric mobility
As a first step towards electric mobility, the Government of India approved the National Mission on Electric
Mobility in 2011. Primarily governed by Department of Heavy Industry (DHI), NMEM aims to resolve
challenges in EV adoptions due to high EV cost, battery technology etc. The primary objective of the mission Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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is to resolve barriers by government intervention and adopting mission mode approach f or fast decision-
making and ensuring collaboration among various stakeholders. This comprises of form ing empowered
bodies at apex level in form of National Council for Electric Mobility (NCEM) and National Board for Electric
Mobility (NBEM) for formation of policies and frameworks for increased EV adoption.
The mission focused on curbing depletion of petroleum resources and minimize the impact of vehicular
pollution on the environment by providing incentives and drawing a policy landscape. However, due to lack
of concrete framework and limited focus on pilot programs, NMEM got dissolved in 2013 and was su cceeded
by the National Electric Mobility Mission Plan (NEMMP) 2020.
a.2. NEMMP
The National Electric Mobility Mission Plan (NEMMP) was unveiled in 2013 and provides for the development
of mission plan and roadmap for promoting electric mobility solutions in India. NEMPP outlines incentives
along four priority areas for EVs viz. demand incentives, manufacturing of EVs, charging infrastructure
development and Research and Development. The Mission aims to achieve 6 to 7 million on road electric
vehicles by 2020.
In terms of the assessment made by the joint Government -Industry study, the total investment needed for
setting up the required infrastructure up to 2020 (both power and charging infrastructure), vehicle segment
wise, is summarized in following table:
Table 60 NEMMP Targets
Area 4W 2W 3W Buses LCV Total
Additional
generation
Capacity
(MW)
150-225 600 10-15 <5 10-20 775-865
Power
Infrastructure
(Rs Crore)
1,200-1,300 3,300-3,400 75-85 20-30 90-100 4,685-4,915
Charging
Infrastructure
(Rs Crore)
950-1000 - 70-80 10-20 115-125 1,145-1,225
Source: Department of Heavy Industries. 2013. “National Electric Mobility Mission Plan 2020”
It is expected that GoI will support the development of electric vehicle charging infrastructure in the initial
stages of development when the pilot projects will be rolled out for cities and during the phase when the
business model will be at a nascent stage. Subsequently, private sector participation will be required to set
up country wide charging infrastructure. Moreover, there will be a phased roll out of the EV charging
infrastructure as follows:-
• Phase I (first year): This will involve detailed and in-depth evaluation of various options, prioritization
and putting in place the required frameworks and models for EVSE adoption, enabling policies, charging
infrastructure standards, laws and undertaking detailed studies that will facilitate the roll out of the
optimum EV infrastructure.
• Phase II (Year 1 - 3): The activities in the medium time frame would build on the initial basic work
done and include deeper impact assessment studies and programs, pilot projects in vario us cities, EV
infrastructure consortium building activities, development of possible business models, etc.
• Phase III (Year 3 to 2020) : This will include the following activities:-
a) Ensuring availability of reliable and regular electricity supply,
b) Making available adequate recharging facilities with convenient access,
c) Development of EV charging as a viable business entity,
d) Well established and synergic linkage between EV charging infrastructure with renewable energy
generation infrastructure,
e) Development of public recharging infrastructure that includes opportunities for rapid recharging
through either setting up of optimal number of fast recharging centres or by use of batteries
swapping stations that allows quick replacement of discharged battery packs with charged ones. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
250
a.3. Department of Heavy Industries – FAME
Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles (FAME) programme was launched by
DHI in 2015. It is the flagship scheme under the NEMMP 2020 mission plan of Central government to enhance
hybrid and electric technologies in India. The overall scheme is proposed till FY 2022 to support market
development for EVs. Phase 1 of the scheme has been implemented over a two -year period starting from
FY 2015-16 to FY 2016-17 and was extended till FY 2018-19. Phase 2 of the scheme has been launched
from FY 2019-20 till FY 2021-22. In March 2019, the ministry notified FAME –II scheme with increased layout
of Rs 10,000/- crores, which includes a spill over from FAME-I of Rs 366 Cr.
Scheme phasing
Allocation of funds in Phase II
Government of India has released its policy document on “Transformative mobility for All” in 2017 with a
vision for the future of India’s mobility system. Spread over three phases (I 2017-19, II 2020-23, III 2024-
32), the plan entails taking near-term actions to build political and market confidence followed by phase two
which involves refining of regulatory incentives and policy measures along with continued expansion of
charging network and scaling up of domestic manufacturing. In phase three market forces are allowed to
drive full scale expansion along with the introduction of regulatory mechanisms to capture full grid value of
EVs.
a.4. National Mission on Transformative Mobility and Storage
The aim of the mission is to drive strategies for transformati ve mobility and Phased Manufacturing
Programmes for EVs, EV Components and Batteries. Following are the key roles: -
• Creating a Phased Manufacturing Program (to localize production across the entire EV value chain
• Details of localization will be finalized by the Mission with a clear Make in India strategy for the electric
vehicle components as well as battery
• The Mission will coordinate with key stakeholders in Ministries/ Departments/states to integrate various
initiatives to transform mobility in India
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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a.5. Ministry of Power’s notifications on Public Charging infrastructure
The Ministry of Power, Government of India on 14 December 2018 released the guidelines on EV charging
infrastructure which addresses the need for adequate availability of charging stations. These guidelines have
subsequently been revised and updated on 01 October 2019. The guidelines and standards aim to enable
faster adoption of EVs in India by ensuring safe, reliable, accessible, and affordable charging infrastructure
and ecosystem along with promoting affordable tariffs, creating standard guidelines for EV charging
business, and encouraging utilities and other parties to be prepared for adopting EV charging infrastructure.
Key aspects of the notification are highlighted below:
Other requirements are specified below:
• An exclusive transformer and related substation equipment, 33/11 kV lines, appropriate civil works,
space for charging and entry / exit of vehicles, etc.
• Charging stations are required to tie up with at least one online Network Service Provider (NSP) to
enable advance remote/online booking of charging slots by EV owners.
• EVSE shall be type tested by an agency/lab accredited by the National Accreditation Board for Testing
and Calibration Laboratories (NABL) periodically.
• Captive charging for 100% internal use of a company will not come under the purview of this.
The minimum technical requirements for fast and slow charging stations in the guidelines are shown below.
Table 61 Technical requirement of slow and fast chargers
Charger Type Charger
Connectors
Rated
Voltage(V)
No. of charging
Points/No of
connector guns
Charging vehicle
type (W=Wheeler)
Fast CCS (min 50kW) 200-1000 1/1 CG 4W
CHAdeMO (min
50kW)
200-1000 1/1 CG 4W
Type-2 AC (min
22kW)
380-480 1/1 CG 4W, 3W, 2W
Slow/Moderate Bharat DC-001
(15kW)
48 1/1 CG 4W, 3W, 2W •Setting up and operation
of Public Charging
Stations (PCS) was
made a deregulated
activity
•PCS to be provided
connections on a priority
basis by distribution
companies
•Charging stations/group
of charging stations can
procure electricity directly
from generators through
open access
Setting up a Charging
Station
Location of PCS
•A PCS is required in every
3 km X 3 km grid and
every 25 km on roads
•A fast charging station
every 100 km on both
sides of highways/roads
•Additional EV charging
stations to be set up only
after meeting initial
requirements
•Governments may give
priority to existing Retail
Outlet of Oil Marketing
Companies
Priority Rollout of
Charging Infra.
•Phase I (2019-2021):
Targeting all cities with
more than 4 million
population and major
roads connecting these
cities
•Phase II (2021-2024):
Big cities such as State
Capitals, Union Territory
headquarters and all
major road/highways
connecting these cities
•A Central Nodal Agency
will coordinate with all
governments and other
such stakeholders to roll
out charging infra
Other Key
Features
•e-Database:CEA will
maintain online database
of all PCS through
distribution companies
•Tariff for PCS:
Appropriate commissions
will determine tariffs not
more than 15% of
average supply cost
•Service Charges for
PCS: Service Charges for
PCS will be in accordance
to Ministry of Power
guidelines Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
252
Charger Type Charger
Connectors
Rated
Voltage(V)
No. of charging
Points/No of
connector guns
Charging vehicle
type (W=Wheeler)
Bharat DC-001
(15kW)
72 or higher 1/1 CG 4W
Bharat AC-
001(10kW)
230 3/3 CG of 3.3 kW
each
4W, 3W, 2W
In addition, any other fast / moderate /slow charger as per appro ved BIS standards whenever notified,
Note: Type-2 AC (min 22 kW) is capable of charging e -2W/3W with the provision of an adapter
Source: Ministry of Power, 2019, “Charging Infrastructure for Electric Vehicles – Revised Guidelines and Standards”
The Ministry of Power issued a clarification on EV charging in April 2019, namely that charging of an EV
battery by a charging station is a service consisting of electricity consumption and hence should earn a
revenue for this specific service. The value of the electricity is realized through a charging station operator,
and hence is distinct from a typical sale of electricity. As such, EV charging does not fall under the purview
of the Electricity Act of 2003 and is not subject to the other conditions of electricity retail distribution; this
clarification has paved the way for participation of private players.
a.6. Amendment in the revised Guidelines and Standards for Charging Infrastructure for
Electric Vehicles
In June 2020, Ministry of Power notified amendment in the revised guidelines and standards for charging
infrastructure for electric vehicles. Key notified amendments are provided below:
Figure 211 Key amendments in revised charging infrastructure guidelines and standards
Source: 154 Amendment in the revised Guidelines and Standards for Charging Infrastructure for Electric Vehicles – reg
(access here)
a.7. MoHUA guidelines
Ministry of Housing and Urban Affairs has notified Amendments in Model Building Bye-Laws (MBBL) - 2016
for EV charging infrastructure in February 2019. Key provisions of the same are highlighted below:
Table 62 MoHUA guidelines for public charging stations
Particulars Details
Parking bays for EV charging Residential and commercial buildings to allot about 20% of their
parking space for EV charging infrastructure.
Power load for EV charging Building premises should have additional power load equivalent to
the power required for all charging points to be operated
simultaneously with a safety factor of 1.25.
Key amendments in the revised guidelines and standards for charging infrastructure
Tariff for EV charging will be determined by the state electricity regulatory commission, and the tariff will not be higher than the
average cost of supply plus 15%
Recognition to “Battery Swapping Stations” as a station where any electric vehicle can get its discharged battery or partially
charged battery replaced by a charged battery
1
2 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
253
Particulars Details
No of slow and fast chargers
4W 3W 2W PV (Buses)
One slow charger for
3 EVs
One fast charger for
10 EVs
One slow
charger for 2
EVs
One slow
charger for 2
EVs
One fast
charger for 10
EVs
Source: Ministry of Housing and Urban Development(MoHUA), February 2019, “Amendments in Building Bye -Laws (MBBL-2016) for Electric
Vehicle Charging Infrastructure”
b. Rollout plan for EV charging infrastructure
It is expected that this procurement round shall ensure that most selected cities shall have an EV charging
station in a grid of 3 Km x 3 Km (MOP Guidelines). Similar incentives for large scale procurement of EV
charging stations shall enable the EV ecosystem and also help in building the back-bone of EV transition.
a. Charging Station Technology: This mandates the mix of fast and slow charging stations that will be
required and highlights any optional chargers that can be deployed at PCS.
Types of
Charging
Stations
Minimum number
of charging guns
Minimum number
of EVs to be
charged
simultaneously
Types of
charges-
Mandatory
Optional Charges
(Any number in
combination of one or
more type of chargers)
Slow Charging
Stations
10 10 Bharat AC 001
10KW (3 guns of
3.3 kW each)
• Bharat DC 001(15 KW) 1
Gun
• Type II AC Charger
Fast Charging
Stations
6 6 CCS II and
CHAdeMO 50 kW or
higher capacity
• Bharat DC 001 (15 KW) 1
Gun
• Type 2 AC 22 kW or
higher capacity
b. Charging Location: Charging location has been classified into three categories based on the nature of
the location where charging station will be set up. These are:
Category A Category B Category C
• Commercial Complexes
• Example: Municipal Parking lots,
Petrol stations, Malls, Market
Complexes, Airports, Railway
stops etc.
• Stations for Captive use
• Example: Charging station in
Udyog Bhawan, PSU office
complex etc.
• Aggregator based charging
stations
• Example: EV Charging Stations
for taxies, Co-operative societies.
c. Performance Monitoring: Selected agency for the development of charging stations has to tie up
with at least one real time EVSE Network Management Software Platform provider to enable
advance remote/ online booking of charging slots by EV owners.
c. Incentives for EV public charging infrastructure deployment
A range of pilot projects deploying EV charging infrastructure have been underway across India in the past
two to three years. National, state, and city level agencies as well as private EV charging service providers
have taken up initiatives to install a first set of EV charging stations on an experimental basis. A large-scale
deployment across a city or nationally, which can lead to consolidation and a sustainable network of EV Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
254
charging stations, is yet to take place. As national and state EV frameworks gradually take shape and as
corresponding incentives energize the EV landscape in India, achieving this objective is not far from reach.
Capital subsidies for setting up of EV charging stations is a key incentive provided under state and national
policy. Amongst various programs, FAME II scheme is playing a pivotal role in large scale deployment of EV
charging infrastructure. Department of Heavy Industries has recently approved setting up of 2,636 electric
vehicle charging stations across 62 cities in India. Public and Private entities shall avail financial incentives
under the FAMEII scheme for setting up charging stations. Commercial purpose EV charging stations shall
receive 50-70% of the cost of EVSE under the scheme. Distribution of the selected 2,363 approved projects
out of the received EOI of 7,000 EV charging stations is as follows:
d. Initiatives taken by various PSUs and other Govt bodies
Over the past few years, public and private entities have taken up pilot projects in installing EV charging
stations. While large scale EV charging infrastructure pilot projects are still under planning and
implementation stage, there has been a steady increase in standalone charging station pilot. Some of these
examples are shown below:
Table 63 City-wise developments
S No City/ State Implementing Agency Detail
1 Nagpur
(Maharashtra)
Nagpur Municipal
Corporation
200 electric cars, buses, e-rickshaws, and four public
charging stations launched as part of the ‘Multi-Model
Electric Vehicle Project’ in 2017.
2 Delhi NITI Aayog 55 locations shortlisted across Gurgaon-IGI-South Delhi-
Noida Corridor for installing 135 EV charging stations (46
– DC Fast, 89 – AC Slow). Project is still under planning
and implementation stage
3 Mumbai
(Maharashtra)
Magenta Power Installed DC Fast charging infrastructure in 2018 in
Turbhe Mumbai and also launched an APP wh ich provides
consumers with location of chargers, status, and type.
4 Jaipur
(Rajasthan)
MNIT Jaipur Five charging stations installed at different locations in
MNIT Jaipur under the FAME scheme in 2018.
5 Hyderabad
(Telangana)
Telangana Municipal
Corporation and Urban
Development
The Municipal Corporation and Urban Development
Corporation launched EV smart parking and charging
station on 18, March 2019
6 Kochi (Kerala) Bharat Petroleum Installed 3 charging stations in Kochi. Charging station
installed at least 6 meters away from fuel vending
machine due to safety reasons. Both direct charging and
battery swapping facilities are available.
7 Kolkata (West
Bengal)
New Town Kolkata
Development Authority
(NKDA)
New Town Kolkata Development Authority (NKDA) has
installed 10 public charging stations for e-scooters and e-
cars. These have been installed near the Kolkata gate,
Tata medical centre, and eco parking area gates in 2018.
8 Bengaluru
(Karnataka)
BESCOM BESCOM has installed a total of 5 no. of charging at
different locations across the city.
9 Vishakhapatnam
(Andhra
Pradesh)
NTPC NTPC has installed a charging station at Simhadri which is
capable of charging 3 numbers of EV simultaneously.
10 Jammu and
Kashmir
J&KSRTC J&K Road Transport Corporation is planning to
commission six charging stations for supporting its fleet
of 30 electric buses provided by TATA Motors.
11 Guwahati
(Assam)
Assam Power Distribution
Company Limited
(APDCL)
APDCL has set up charging infrastructure for 15 e-buses
procured under the FAME scheme
12 Hyderabad Hyderabad
Metro Rail
Fortum, a Finnish Government-owned company has
already installed EV charging points at 8 places at Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
255
S No City/ State Implementing Agency Detail
Limited (HRML) Begumpet, Kukatpally, KPHB, Moosapet, Stadium,
Tarnaka, Mettuguda, and Habsiguda Metro Stations.
Apart from Fortum, Power Grid Corporation of India, a
government of India has installed 3 charging stations at
Miyapur and Balanagar Metro stations.
Source: 155 GTG India EV White Paper (access here); Proposal for a Quick Pilot on EV Charging Infrastructure (access
here); NITI Aayog for deployment of charging stations (access here)
14. Home v/s Public Charging - Cost benefit analysis
To conduct the cost benefit analysis, Hyderabad was considered as the sample c ity. Other inputs and
assumptions for the analysis is provided in the below table:
Table 64 Inputs and assumptions for cost benefit analysis
Sr. No. Particular Unit Home Charging Public Charging Remarks
1 Cost of charger (L2) INR 55,000 NA
2 Cost of charging INR per unit 6.00 12.99 TSERC FY19 Tariff order
& Fortum charging rate
in Hyderabad
3 EV battery capacity kWh 39 39 Hyundai Kona EV
4 EV battery range Km 452 452 Hyundai Kona range
5 Average monthly run Km 2000 2000
6 Charging cost per
month
INR 1,035 2,242
It is further assumed that the charging rates for home and public charging will remain same in future years.
Also, any cost incurred towards maintenance of home charger is not considered.
Figure 212 Assessment of overall cost of charging through home and public chargers
0
20,000
40,000
60,000
80,000
1,00,000
1,20,000
1,40,000
1,60,000
Year 1 Year 2 Year3 Year 4 Year 5
Total cost (INR)
Home Charging Public Charging
Break-even achieved in Year 4
at 91,192 km Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
256
Initially, the cost of home charging will be higher as it includes
purchase of charger. However, with the assumed charging rates and
average monthly run, home charging turns out to be the profitable
option for the longer run.
15. EV charging stations in India by 2030
To determine the quantum of charging stations by 2030, firstly, the overall growth of automobile industry
is determined. It is expected that the EV sales will depend on the overall performance of automobile industry.
Therefore, to project the EV sales, we have assumed the following three scenarios of automobile industry
growth:
a) As-is growth (BAU- Business As Usual): It is assumed that the sales of vehicles will follow the
CAGR of the past five years.
b) High growth: In this scenario it is assumed that sales of vehicles will increase fuelled by availability
of cheaper (and economical EVs) and conducive environment by the policy makers.
c) Low growth: In this scenario it is assumed that the sale of vehicle would see a flattening effect
mostly due to non-availability of suitable infrastructure and change in consumer behaviour.
Impact of COVID 19: Due to the ongoing lockdown and economic slowdown, the auto industry will take 2-
3 years to recover. During this period, the growth will be subdued and minimal. It is assumed that till FY23,
the growth would remain subdued and from FY24 onwards only, the sector would witness normal growth
patterns. We have considered the above three scenarios post FY23.
Once the growth of the automobile industry is determined, sales of EVs were projected. For that, penetration
levels by 2030 were taken from NITI Aayog-RMI report
117
: 4 Wheelers – 50%, Buses – 40%, 3 Wheelers –
80%, 2 Wheelers – 80%. Based on the penetration levels, expected sale of EVs by 2030 is calculated and
provided in below figure:
Figure 213 Expected EV sales by 2030
To determine the quantum of charging stations, Vehicle-to-Charging Station ratio is assumed for 4-Wheelers
and E-buses. For 4-Wheelers, by FY 30, it is assumed that for every 10 4-wheeler EVs, there will be one
standalone public charging station. Whereas, for e-buses, by 2030, there would be one public charger for
50 e-buses.
For 2-Wheelers, only a portion of the owners is expected use a public charging station and charge their
vehicles at their respective residences as charging unit at home is cheaper. For 3-Wheelers, it is assumed
that the owners will use their own charging stations or shared charging stations at their depots. By 2030, it
is expected that there will be one charging station/ charger for every two 2 & 3-Wheelers, however, only
117
India’s Electric Mobility Transformation (access here) 22
28
0.38
35
-
5
10
15
20
25
30
35
40
FY 21 FY 22 FY 23 FY 24 FY 25 FY 26 FY 27 FY 28 FY 29 FY 30
No. of EVs (Mn)
Year-wise EV sales
Low Growth
BAU
High Growth
COVID Impact Phase
Expected cumulative EV sales by 2030
112 Mn –151 Mn
97 Mn –132 Mn
5 Mn –6 Mn
9 Mn –12 Mn
0.58 Mn –0.90 Mn Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
257
marginal of that will be public charging. To calculate public charging for 2 & 3-Wheelers, it is assumed that
0.5% of total chargers/ charging station will be public charging.
Based on the above assumptions, below are the expected number of public charging stations by 2030:
Table 65 Expected public charging stations in India by 2030
2 & 3-Wheelers
4-Wheelers
E-buses
TOTAL
0.22 Mn – 0.30 Mn 0.68 Mn - 0.90 Mn ~15,000 – ~24,000 0.92 Mn to 1.23 Mn
16. Setting up EV charging infrastructure in India
State Nodal Agencies for setting up EV charging infrastructure
BEE has appointed about 25 State Nodal agencies as per the directions of the MoP.
Table 66 BEE appointed State Nodal Agencies (SNA) for EV charging infrastructure
State State Nodal Agency Category of Organization
Andhra Pradesh New and Renewable Energy Development
Corporation of Andhra Pradesh (NREDACAP)
SNA for EE and RE
Gujarat Gujarat Energy Development Corporation
(GEDA)
SNA for RE and EE
Himachal Pradesh Himachal Pradesh State Electricity Board
Limited
Discom
Karnataka Bengaluru Electricity Supply Company
(BESCOM)
Discom
Meghalaya Meghalaya Power Distribution Corporation
Limited
Discom
Mizoram Power and Energy Department Discom
Punjab Punjab State Power Corporation Limited Discom + Genco
Rajasthan Jaipur Vidyut Vitaran Nigam Limited Discom
Uttarakhand Uttarakhand Power Corporation Limited Discom
Telangana Telangana State Renewable Energy
Development Corporation Limited
SNA for EE and RE
West Bengal West Bengal State Electricity Distribution
Company Limited
WBSEDCL
Delhi Delhi Transco Limited Transmission Company
Lakshadweep Lakshadweep Energy Development Agency SNA for RE and EE Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
258
State State Nodal Agency Category of Organization
Jammu EM and RE Wing Department (Discom)
Kashmir EM and RE Wing Department (Discom)
Ladakh EM and RE Wing Department
Kerala Kerala State Electricity Board Integrated Discom
Madhya Pradesh Madhya Pradesh Power Management
Company Limited
Power trader/Holding company
Haryana Uttar Haryana Bijli Vitaran Nigam Limited Discom
Andaman and
Nicobar
Directorate of Transport Transport Department
Sikkim Power Department Sikkim Integrated Discom
Arunachal Pradesh Central Electrical Zone, Department of
Power
Department in Discom
Bihar Transport Department Transport Department
Tamil Nadu Tamil Nadu Generation and Distribution
Company
Discom + Genco
Puducherry Electricity Department Discom
Source: BEE Website
In addition, the state nodal agencies listed by BEE, the Urban Local Bodies (ULB) and Municipalities are also
major stakeholders in installation of PCI.
17. Delay in installation of Charging infrastructure
A. Additional time required to provide electricity connection:
(i) Supply where distribution mains require extension:
Sl. Particular Line length Days
(i) LT Line 15days
(ii) 11 KV Line Up to first 5 Km 30days
Next 5 Km each 15days
(ii) Supply where augmentation of transformer sub-station capacity is required:
Sl. Particular Days
(i) 11/0.4 kV S/S 15 days
(ii) 33/11 kV S/S 60 days
(iii) 132/33/11 kV S/S 6 months
18. Key observations in the EV charging landscape
a. Standardization Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
259
EV standards and t echnical specifications have increasingly moved towards standardization and
encouraging interoperability in developed countries. Standardization of equipment, design and technical
standards promotes investor confidence and encourages investments in the sec tor. While, there have
been certain progress in issuing various guidelines on technical specifications, institutions such as CEA/
BIS/ARAI, etc. shall further have to play a coordinated role in standardization of the EVSE equipment
specifications. As the technology is still evolving, it is necessary that the standards prescribed are flexible
to accommodate innovations and improvements in technical standards and specifications.
b. Cost recovery through rate-basing “make-ready” infrastructure
Utilities in US are encouraged to invest in EV
infrastructure through a range of legislative
mandates such as for clean air and reducing
overall emissions from transportation sector.
Regulators allow utilities to undertake
investment in “make-ready” infrastructure for
EVSE integration as well as EVSE infrastructure
itself and recover the cost through rate-basing.
This allows utilities to undertake costly
investment and socialize the cost of setting up
“make-ready” infrastructure for EVs. Such a
proactive approach creates an eco-system for
setting up EV charging infrastructure. While
several states in India have introduced EV
policies, state utilities and regulators are yet to
facilitate large-scale investments in “make-ready” infrastructure for EVs. A first step would be for
regulators to encourage utilities to carry out such investments and provide pathway to cost recovery
through rate basing.
c. Managed Charging Framework and functions
Utilities in advanced power markets with significant levels of EVSE penetration have focused on developing
a managed charging framework. This has allowed them to efficiently manage the additional stress on
distribution system network on account of EV charging. It entails setting up various communication and
hardware protocols to implement a managed charging framework as well as creating various incentives
for consumers to participate in managed charging initiatives. While EV growth is still at a nascent stage
in India, utilities and regulators will need to plan for implementing a managed charging framework with a
long-term perspective.
Absence of standardized protocols for EV managed charging is a major barrier in the Indian context.
Managed charging will involve adequate coordination between various stakeholders viz. utility, grid
operator, aggregator, EV user, network operator, etc. and therefore there is need to formulate adequate
systems and infrastructure which would allow proper coordination. The concept of aggregators is still being
explored in India. Moreover, robust electricity grid and network infrastructure are vital for effective
functioning of managed charging in India.
d. Pilots on managed charging of EVs
From the international case studies, it can be observed that many of the new technology related to
managed charging of EV has been introduced first using a pilot platform. The results for these pilots are
then used to carry out large scale deployment of technology. While standards and guidelines introduced
in India do provide provisions for communication protocol between EVSE and oth er stakeholders, there
has been no pilot initiative on large-scale managed charging pilots. Utilities and regulators across India
need to take initiative on introducing pilot projects which can demonstrate the benefits of managed
charging of EVs.
e. EV tariffs and incentives Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
260
It has been observed that having dedicated tariffs and incentives for EV encourages adoption. While few
states in India have taken EV policy initiatives, a large number of states are yet to introduce EV specific
tariffs for public and home charging as well as incentives under state policies for purchasing EVs and
setting up home and public charging stations.
f. Scientific modelling studies of the network and investments by all distribution utilities
It is imperative for all the electricity distribution utilities to undertake scientific modelling studies to
understand potential growth of Electric vehicles in the long run and understand how it would lead to
changes in loading patterns of distribution network infrastructure (Distribution tra nsformer and
distribution lines), voltage and frequency fluctuations, etc. Significant business focus and priority should
be given to EVs as an additional load in the system along with consumer load growth and scenario
planning-/-prioritization strategy needs to be developed for the following:
• Peak load management
• Reducing technical losses in the distribution system by controlled EV charging
• Reducing system costs by enabling RE based generation sources to be utilized for EV charging
instead of resorting to costlier conventional sources
Distribution utilities should develop multiple system cost scenarios with/-without storage systems and
managed charging etc., to effectively design the network and address future load conditions. In certain
cases, it is possible that some areas of the distribution network can get overloaded during peak times,
however for rest of the time it could be lightly loaded. Hence, utilities need to analyse and model their
respective load profiles and simulate scenarios to determine the most cost-effective solutions (given
below) for managing EV load:
• Active managed charging
• Passive managed charging like TOU tariff structures-/-Demand Side Management incentives
• Charging through distributed RE sources
• De-congesting the network and-/-or charging through local Battery Energy Storage System
(BESS) installations in the grid, etc.
• Undertaking optimal investments to augment network infrastructure
Managed charging can present significant opportunity for load shifting of EVs and avoid / defer network
investments to cater to increased loading due to EVs. To enable a framework for managed charging,
utilities should initiate a dialogue and represent to concerned regulators for justification and subsequent
introduction of managed charging practices, TOU tariff pricing, etc.
• Managed charging can provide significant means to mitigate overloading of the distribution system
at times of peak demand by modulating the charging rate of EVs and delaying the charge over a
larger timeframe
• There could be certain pockets where managed charging may not be attractive due to variations
in EV charging profile by the users or absence of time periods for charging to be delayed and
staggered. Passive mechanisms like TOU tariffs can act as suitable incentive for users to shift their
EV charging to off-peak periods.
g. Demand Response Market
To take advantage of flexibility from managed operation of EV charging, ancillary markets in developed
countries have provisions for demand response providers to participate i n the ancillary market. This
provides additional revenue stream to demand response sources and allows utilities to better manage its
demand-supply position.
CERC has introduced a discussion paper on market -based procurement of tertiary services in India.
Currently there is no established mechanism for demand response products in the ancillary market
wherein aggregators can participate.
19. Development by power utilities in EV space Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
261
Table 67 Power utilities in the field of EV charging
Sr. No. Operator Notes
1 TATA Power
• Tata Power and Tata Motors have partnered to install 300 fast charging
stations by the end of the FY20, across key five cities namely Mumbai, Delhi,
Pune, Bangalore, and Hyderabad.
• Has already installed 100 fast charging stations in various cities, including
Delhi, Mumbai, Bengaluru, Pune and Hyderabad, which it plans to take to 300
by March 2020.
• Tata Power has also signed MoUs for setting up commercial EV charging
stations at HPCL, IOCL, and IGL retail outlets; plans for setting up of home
charging as well as public charging at metro stations, shopping malls,
theatres, and highway, among others
• May also look at installing charging stations that will adhere to 30-50 kW
standards as demand grows
• Tata Power will provide charging solutions to Jaguar Land Rover in India
2 Bangalore Electricity
Supply Company
Ltd. (BESCOM)
• Readied 80 EV charging stations which have 126 charging units
• Has drawn a plan for setting up 678 electric vehicles (EV) charging stations
across the state of Karnataka. The proposed plan has 100 charging stations
proposed for Bangalore.
• Charging stations at corporate office to be integrated with solar rooftop
3 BSES
• MoU with Indian Railways
• This will be a pilot project. Indian Railways will pay 8 cents/kWh as charging
tariff once approved by the regulator.
• MoU with EV Motors India Pvt ltd to set up EV charging stations in Delhi
• Plans to set up 150 charging stations, 50 by end of 2020
4 NTPC
• NTPC – IOCL commissioned first EV charging station at IOC petrol pump in
Greater Noida, Uttar Pradesh.
• NTPC has entered into agreements with fuel retailers, Delhi Metro Rail Corp
and state government entities for providing electric mobility solutions.
20. EV charging station inspection checklist
Table 68 Inspection checklist of an EV charging station
Criteria Reference Standard Verification Remarks
Overall
Condition of
Service
Delhi Electricity Supply Code and
Performance Standards Regulation,
2007
Connecting voltage: 415V, TP, LT or 11kV, TP, HT
Frequency : 50Hz
Protection CEA (Technical Standards for
Connectivity of the Distributed
Generation Resources) Regulations,
2013, as amended from time to
time.
Detection of various faults/ abnormal conditions
and provision of appropriate means to isolate the
faulty equipment or system automatically.
Ensure that fault of charging equipment or
charging system does not affect grid adversely.
Harmonic
Current
IEEE 519 – 2014
CEA (Technical Standards for
Connectivity of the Distributed
Generation Resources) Regulations,
2013, as amended from time to
time.
Harmonic Current Injections from the generating
system do not exceed the limit specified in IEEE
519.
DC Injection IEEE 519 – 2014
CEA (Technical Standards for
Connectivity of the Distributed
Generation Resources) Regulations,
2013, as amended from time to
time.
Prosumer shall not inject direct current greater
than 0.5% of rated output at the interconnection
point.
Voltage Sag,
Voltage Swell,
Flicker,
Disruptions,
etc.
Relevant BIS standards or as per
IEC / IEEE standards if BIS not
available.
Power Quality parameters
Overload CEA (Measures relating to Safety
and Electric Supply) Regulations,
2010, as amended from time to
time.
All EV charging stations shall be provided with
protection against the overload of input supply and
output supply fittings.
Installation
Height
CEA (Measures relating to
Safety and Electric Supply)
Regulations, 2010, as amended
from time to time.
All EV charging stations shall be installed so
that any socket-outlet of supply is at least 800 mm
above the finished ground level. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
262
Criteria Reference Standard Verification Remarks
Cord extension
set or second
cable assembly
CEA (Measures relating to Safety
and Electric Supply) Regulations,
2010, as amended from time to
time.
A cord extension set, or second cable assembly
shall not be used in addition to the cable assembly
for the connection of the EV to the Electric Vehicle
Charging Point. A cable assembly shall be so
constructed so that it cannot be used as a cord
extension set.
Adaptors CEA (Measures relating to Safety
and Electric Supply) Regulations,
2010, as amended from time to
time.
Adaptors shall not be used to connect a vehicle
connector to a vehicle inlet.
Maximum Cable
Length /
Parking Space
CEA (Measures relating to Safety
and Electric Supply) Regulations,
2010, as amended from time to
time.
Maximum length of the supply lead is 5m / Parking
Place shall be within five meter from the electric
vehicle charging point.
Portable socket-
outlets
CEA (Measures relating to Safety
and Electric Supply) Regulations
Portable socket-outlets are not permitted to be
used for EV charging.
Lightning
Protection
CEA (Measures relating to Safety
and Electric Supply) Regulations.
IS/IEC 62305
Suitable lightning protection system shall be
provided for the EVs charging stations as per
IS/IEC 62305.
Protective
device
CEA (Measures relating to Safety
and Electric Supply)
Regulations.
The EVs charging stations shall be equipped with a
protective device against the
uncontrolled reverse power flow from vehicle.
Disconnection
of EV from the
supply
CEA (Measures relating to Safety
and Electric Supply) Regulations.
IEC 60950
One second after having disconnected the EV from
the supply (mains), the voltage between accessible
conductive parts or any accessible conductive part
and earth shall be less than or equal to 42.4 V
peak (30 V rms) , or 60 V D.C., and the stored
energy available shall be less than 20 J (as per IEC
60950).
A warning label shall be attached in an appropriate
position on the charging stations in case voltage is
greater than 42.4 V peak (30 V rms), or 60 V D.C.,
or the stored
energy is 20 J or more.
Locking of the
coupler
CEA (Measures relating to Safety
and Electric Supply) Regulations.
A vehicle connector used for D.C. charging shall be
locked on a vehicle inlet if the voltage is higher
than 60 V D.C.
The vehicle connector shall not be unlocked (if the
locking mechanism is engaged) when hazardous
voltage is detected through charging process
including after the end of charging.
In case of charging system malfunction, a means
for safe disconnection may be provided.
Protection
against
overvoltage at
the battery
CEA (Measures relating to Safety
and Electric Supply) Regulations.
The D.C. EV charging point shall disconnect supply
of electricity to prevent overvoltage at the battery,
if output voltage exceeds maximum voltage limit
sent by the vehicle.
Verification of
Vehicle
Connector
Voltage
CEA (Measures relating to Safety
and Electric Supply) Regulations.
The EV Charging station shall not energize the
charging cable when the vehicle connector is
unlocked. The voltage at which the vehicle
connector unlocks shall be lower
than 60 V.
Residual
Current Devices
(RCDs)
CEA (Measures relating to Safety
and Electric Supply) Regulations.
All Residual Current Device (RCDs) for the
protection of supplies for EVs shall a) have a
residual operating current of not greater than 30
mA, b) shall operate to interrupt all live
conductors, including the neutral and c) have a
performance at least equal to Type A and be in
conformity with IS 732-2018
These shall be permanently marked to identify
their function and the location of the charging
station or socket outlet they protect.
Where required for service reasons, discrimination
(selectivity) shall be maintained between the
residual current device protecting a connecting
point and a residual current device installed
upstream.
The owner of the charging station shall ensure that
the tests as specified in the manufacturer’s Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
263
Criteria Reference Standard Verification Remarks
instructions for the residual
current device and the charging station have been
carried out
Overcurrent
Protection
device
CEA (Measures relating to Safety
and Electric Supply) Regulations.
Each EV charging station shall be supplied
individually by a dedicated final sub-circuit
protected by an overcurrent protective device
complying with IEC 60947-2, IEC 60947-6-2 or the
IEC 60269 series.
The overcurrent protective device shall be part of a
switchboard.
Co-ordination of various protective device shall be
required.
Voltage
independent
RCD
CEA (Measures relating to Safety
and Electric Supply) Regulations.
All EV charging stations shall be supplied from a
sub-circuit protected by a voltage independent RCD
and also providing personal protection that is
compatible with a charging supply for an electric
vehicle.
Earth Continuity
Monitoring
system
CEA (Measures relating to Safety
and Electric Supply) Regulations.
All EV charging stations shall be provided with an
earth continuity monitoring system that
disconnects the supply in the event that the
earthing connection to the vehicle becomes
ineffective.
Earthing IS – 732 Earthing of all EV charging stations shall be TN
system as per IS 732.
Cable CEA (Measures relating to Safety
and Electric Supply) Regulations.
The cable may be fitted with an earth-connected
metal shielding. The cable insulation shall be wear
resistant and maintain flexibility over the full
temperature range.
Power supply cables used in charging station
or charging points shall conform to IEC 62893-1
and its relevant parts
Detection of the
electrical
continuity by
the protective
conductor
CEA (Measures relating to Safety
and Electric Supply) Regulations.
A protective earth conductor shall be provided to
establish an equipotential connection between the
earth terminal of the supply and the conductive
parts of the vehicle.
The protective conductor shall be of sufficient
rating to satisfy the requirements of IEC 60364-5-
54.
Firefighting
System
CEA (Measures relating to Safety
and Electric Supply) Regulations.
Firefighting system for EVs Charging Stations shall
be as per relevant provisions of CEA (Measures
Relating to safety and Electric Supply) Regulations
2010.
Enclosure CEA (Measures relating to Safety
and Electric Supply) Regulations.
Enclosure of charging stations shall be made of fire
retardant material with self-extinguishing property
and free from
Halogen.
Alarm and
Control System
CEA (Measures relating to Safety
and Electric Supply) Regulations.
Fire detection, alarm and control system shall be
provided as per relevant IS.
Insulation
Resistance
IEC: 61851 – 1 All apparatus of EV Charging Station shall have the
insulation resistance value as stipulated in the
relevant IEC 61851-1.
Energisation of
Charging
stations
CEA (Measures relating to Safety
and Electric Supply) Regulations.
Every charging station shall be tested and
inspected by the owner or the Electrical Inspector
or Chartered Electrical Safety Engineer before
energisation of charging stations.
Periodical
Maintenance
CEA (Measures relating to Safety
and Electric Supply) Regulations.
An electric vehicle charging station operator shall
arrange periodic test/ inspection of an EV charging
station or EVSE should be carried out by electrical
inspector/CESE in every year in the initial period of
first three years after the energisation of charging
station and in every four years thereafter.
The owner/operator shall establish and implement
a safety assessment programme for regularly
assessing the electrical safety of EVSE, conductors
and fittings.
Ingress
Protection
IEC 60529 Where the connection point is installed outdoors, or
in a damp location, the equipment shall have a
degree of protection of at least IPX4 in accordance
with IEC 60529. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
264
Criteria Reference Standard Verification Remarks
Maintenance of
Records
CEA (Measures relating to Safety
and Electric Supply) Regulations
(1) The owner of the charging station shall keep
records in regard to design, construction and
labelling to be compatible with a supply of standard
voltage at a nominal frequency of 50 Hertz of the
charging station.
(2) The owner of the charging station shall keep
records of the relevant test certificate as indicated
in these regulations and as per IEC 61851.
(3) The owner of the charging station shall keep
records of the results of every inspection, testing
and periodic assessment and details of any issues
observed during the assessment and any actions
required to be taken in relation to those issues.
(4) The owner of the charging station shall retain a
copy of all records, as specified in sub regulation
(1), (2) and (3) of above, either in hard form or in
electronic form, for at least
seven years and shall provide a copy of the records
to the officials during the inspection.
International
Standards for
Charging
stations
CEA (Measures relating to Safety
and Electric Supply) Regulations
(1) The safety provisions of all Alternating Current
charging stations shall be in accordance with IEC
61851-1, IEC 61851-21 and IEC 61851-22.
(2) The safety provisions of all Direct Current
charging stations shall be in accordance with IEC
61851-1, IEC 61851-21, IEC 61851-23 and IEC
61851-24.
21. State-wise EV tariff
Figure 214 Energy charge tariff for EVs in Indian states (INR/kWh)
Source: 156 State tariff orders; * - kVAh
22. Development by key fleet operators in India
Table 69 Key fleet operators in India
Sr. No. Operator Notes
1 OLA
• Partnered with Mahindra Electric to pilot EV in Nagpur
• India’s first charging station was established by Ola in Nagpur.
• Plans to add 10,000 EV in one year, majority being e-2w and 3w.
• Has inked a partnership with India’s leading power distribution companies,
BSES Yamuna Power Limited (BYPL) and BSES Rajdhani Power Limited (BRPL)
to build a network of charging and swapping stations in Delhi NCR (mainly for
2w, 3w)
5.00 5.00
4.50
4.00
6.20
5.00 5.06
5.90
4.20
6.00 6.00
5.90 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
265
Sr. No. Operator Notes
2 TATA Power
• Tata Power and Tata Motors have partnered to install 300 fast charging
stations by the end of the FY20, across key five cities namely Mumbai, Delhi,
Pune, Bangalore and Hyderabad.
• Has already installed 100 fast charging stations in various cities, including
Delhi, Mumbai, Bengaluru, Pune and Hyderabad, which it plans to take to 300
by March 2020.
• Tata Power has also signed MoUs for setting up commercial EV charging
stations at HPCL, IOCL, and IGL retail outlets; plans for setting up of home
charging as well as public charging at metro stations, shopping malls, theatres
and highway, among others
• May also look at installing charging stations that will adhere to 30-50 kW
standards as demand grows
• Tata Power will provide charging solutions to Jaguar Land Rover in India
3 Ather
• Signed an agreement with Sanmina Corporation, a leading integrated
manufacturing solutions company headquartered in San Jose, California.
• Sanmina will exclusively manufacture Ather’s charging system, battery
management systems and dashboards at its state -of-the-art manufacturing
facility in Chennai, India.
• 6500 charging points across the country by 2022
4 Lithium Urban
cabs
• Lithium Urban has incorporated a joint venture to set up EV charging hubs
from early 2020
• 10 charging hubs with the facility to charge e-buses and electric cars to be
setup.
• Plans to expand to cities like Pune, Hyderabad, Chennai and Mumbai and put
close to 500 additional fast electric chargers in these cities.
5 SmartE cabs
• Partnership with Delhi Metro to rollout e-rickshaws.
• Signed partnership with more than 15 organizations.
• Served more than 20 million passengers in the first two years of operation
6 Hyderabad
Metro Rail
Limited (HRML)
• Partnered with L&T and PGCIL to establish fast charging stations
7 Fortum (Finnish
Clean Energy
Company)
• Fortum signed MoU with NBCC (India) for developing changing infrastructure
across India in an upcoming project.
• Plans to setup 150 charging stations in the next 12-18 months.
8 Sun Mobility
• Indian Oil Corporation Limited (IOCL) and SUN Mobility announced the launch
of a battery swapping facility for electric vehicles (EVs) at IOCL petrol pumps,
offering to replace discharged batteries with fully charged ones in a procedure
that would take only a few minutes.
23. Network Service Providers and charging infrastructure OEMs
The network service providers perform a gamut of functions. Some of them are shown in the diagram below: Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
266
Figure 215 Functions of a network service provider
Source: 157 Deloitte analysis
There are various other organizations in the country who have developed prototype products complying with
existing standards. Organization who are in the business of power electronics, solar plant components and
battery services have easy access to the technology of developing the hardware for EV charg ing stations.
Selected network service providers and OEMs operating in India in the business of EV charging stations are
listed below:
• Magenta Power (Charge Grid): They have developed solutions to remotely manage network of
charging stations. In addition, Charge grid has also developed few models of AC charging stations. Some
of their charging stations are installed in Mumbai and in Mumbai Pune Expressway.
• Fortum – Charge and Drive: Fortum has installed around 70 charging stations in India (Both Public
and Private). Most of the charging stations are located in Hyderabad (42 Nos)
118
the company has also
developed a web platform (SaaS) to commercially manage network of Charging station. Globally the
company has installed more than 3000 stations worldwide
119
.
• TecSo ChargeZone (P) Ltd – Charge+Zone: The company is into manufacturing of charging stations
along with network solutions for fleet operators. They have developed an open network for linking OCPP
compliant charging station to their network.
120
• Tvesas Electric Solutions (P) Ltd – Volttic: The company is into manufacturing of various types of
charging stations including CCS, CHAdeMo, Bharat chargers (Bharat AC 001 a nd Bharat DC 001). They
have also developed cloud based CMS and Mobile app for Electric Vehicle Charging stations.
121
• Ather Energy – Ather Grid: They have installed about 40 charging stations in Bangalore and Chennai.
The company started with manufacture of Electric 2 Wheelers and have now forayed into network of EV
chargers. They have also developed an app for managing the network of EV chargers.
Some global organizations have developed dedicated software for managing EV networks. Some of them
are listed below:
• Greenlots: They have developed SKY
TM
EV Charging network Software with various features like Grid
Balancing, Smart Charging and Optimization and Fleet Charging solutions
• Driivz: This software is also used for managing EV Charging network with feat ures like energy
optimization and chare management
118
Fortum Website (access here)
119
Top EV charging networks in India (access here)
120
Charge+Zone website (access here)
121
Volttic (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
267
• Kitu Systems: This software has site management, access control and is delivered as s SaaS model.
• Etrel: The website of this software shows that more than 25,000 active users are subscribed to this
Chapter 3 Review of policy, regulation and technical standards for electric mobility and
LCPRT
24. National Green Tribunal (NGT)
The National Green Tribunal (NGT) was established as a specialized body to address challenges related to
environmental protection, and conservation of forests and natural resources from a multidisciplinary
approach. It has the power to intervene on substantial questions related to environment and is also
responsible for the enforcement of legal rights. It comprises experts from legal, scientific and technical
backgrounds, and considers principles of sustainable development, precautionary principle and polluter pays
principle in decision-making. The tribunal has the powers of a civil court in executing a decision. It deals
with issues related to environment, and disputes arising from questions related to environmental and
pollution laws. The NGT interventions with respect to vehicle air pollution cases, including restriction of old
vehicles and restriction on the number of vehicles. In the eco-sensitive area of Rohtang Pass, Himachal
Pradesh, in an attempt to reduce the impact of air pollution, the NGT has ordered the banning of diesel
vehicles and has also restricted the number of vehicles to 1,000 per day for a period of 3 months. It has
also ordered an environment tax of INR 1,000 for petrol vehicles and INR 2,500 for diesel vehicles entering
the tourist area. As a pollution mitigation measure, the Tribunal suggested the state government to explore
CNG vehicles. In NCR, Delhi, the NGT ordered heavy diesel vehicles more than 10 years old off the road. In
an attempt to mitigate air pollution, the Tribunal also ordered the regional transport authorities to not
register diesel vehicles that were older than 10 years old and petrol vehicles older than 15 years old.
25. National Urban Transport Policy (NUTP)
The National Urban Transport Policy (NUTP) and the Jawaharlal Nehru National Urban Renewal Mission
(JNNURM), which can be considered as precursors to the Atal Mission for Rejuvenation and Urban
Transformation (AMRUT) and Faster Adoption and Manufacturing of Electric Vehicles (FAME) schemes, set
the trend for sustainable urban transport planning in India. The NUTP encouraged greater use of public
transport and non-motorized transport. It also called for the establishment of quality-focused integrated
multimodal public transport systems in urban areas. The fiscal incentives from the central government
through the JNNURM focused on the provision of inventory in terms of buses to urban areas to meet the
public transport demand. Although the JNNURM provided funding for fleet augmentation, it did no t provide
for operating costs, something that FAME/AMRUT might want to incorporate. Similarly, any initiative
regarding urban transport must address issues of sustainability (e.g., the ASI framework). This would require
a sustained policy intervention toward promoting public transport projects – and, specifically, non-polluting
technologies such as pure EV technology.
26. Atal Mission for Rejuvenation and Urban Transformation (AMRUT)
Yet another policy that can be a finance vehicle in the transition toward public transport through adoption
of EVs is the AMRUT scheme. Under this scheme, the central government proposed to spend INR 1 lakh
crores during its tenure (2014–2019). Projects selected under the scheme would have special focus on urban
infrastructure development. AMRUT adopts a project approach to ensure basic infrastructure services related
to water supply, sewerage, transport and development parks, to name a few sectors under the initiative.
The mission will be implemented in 500 cities and towns each with a population of 1 lakh and above. Under
this mission, states get the flexibility of designing schemes based on the needs of identified cities, and in
their execution and monitoring. States will only submit the State Annual Action Plans to the center for a
broad concurrence, based on which funds will be released. Special-Purpose Vehicles (SPVs) will be created
for each selected city and the respective states will be responsible to ensure that adequate resources are
made available to the SPVs. The center will extend funding to the extent of 50% for cities with a population
of up to 10 lakhs and a third of the project cost for cities with a population of above 10 lakhs. Given the fact
that each city and town is unique, and has its own priorities for development, the center proposes an “area-
based” approach to development that will cover retrofitting or redeveloping as per the local plan. Therefore, Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
268
all state planning committees could plan projects on a need basis across the transportation, sanitation,
housing and other sectors. Like its predecessor – the National Urban Renewal Mission – which financed the
purchase of buses by city transport corporations, which led to a rejuvenation of public transport in Indian
cities – AMRUT presents itself as an ideal platform for city bus transport corporations to leapfrog technologies
and contribute positively toward air quality, energy security and job creation through the adoption of EV
technology.
27. National Heritage City Development and Augmentation Yojana (HRIDAY)
Yet another scheme that has been launched in tandem with the initiatives mentioned above is HRIDAY. The
duration of the HRIDAY scheme was 4 years starting December 2014. The ob jective of this scheme was to
preserve the rich and diverse natural heritage areas. This scheme has been implemented by the center with
100% funding by the central government. Cities were required to prepare a Heritage Management Plan for
identified projects for availing assistance under this scheme. These schemes present a different approach to
bringing about holistic development of states and have a component of timely project reviews by the center,
which will ensure that projects are implemented efficiently.
28. Smart City Mission (SCM)
The intention of building smart cities in India has been pursued by previous governments at the center and
the states, although through seemingly disjointed initiatives such as smart townships along the Delhi –
Mumbai Industrial Corridor and the GIFT city in Gujarat. In early 2014, a budgetary allocation of INR 7,060
crores for the development of “100 Smart Cities” in India was introduced. Over the past years, various city
governments signed a Memorandum of Understanding with va rious external and foreign agencies to secure
both technical and financial assistance in making their cities smart. The Smart Cities Mission Statement and
Guidelines released by the Ministry of Urban Development (MoUD) identifies 10 core infrastructure elements,
where “sustainable development” and “public transport” are also listed. Thus, adoption and deployment of
EVs can become a significant strategy in potential smart cities. The guidelines also seek to ensure
convergence between SCM, AMRUT and HRIDAY. A dhering to a common reference framework becomes
particularly significant in drawing this convergence, which has remained one of the major challenges in
attaining India’s urban goals. For example, the goals of AMRUT and SCM cannot be treated as mutually
exclusive and the habitations under AMRUT shall need as much “smart solutions” as cities under the SCM.
29. Clean fuel initiatives
The concern for environment in India has gained momentum with 42
nd
amendment of the Indian constitution
in 1976. Among many additions and alterations made to the Indian constitution through this amendment,
inclusion of Article 48A and Sub-clause (g) of Article 51A is regarded as one of the landmark initiatives of
Government of India towards protection of environment, forest, and wildlife.
In India, CPCB is the apex body in country for pollution control and act as a technical wing of Ministry of
Environment, Forest, and Climate Change (MoEF&CC). As its primary function, CPCB advise the Central
Box 28: Provision made to protect environment, forest, and wildlife through 42
nd
nstitutional
Amendment
In the Chapter of Directive Principles of State Policy, a new Article 48A was inserted which state as follows:
“Article 48-A: Protection and Improvement of Environment and safeguarding of Forests and Wildlife. -
The State shall endeavour to protect and improve the environment and to safeguard the forests and
wildlife of the country.”
As Article 51A “Fundamental Duties” inserted in Indian Constitution, Sub-clause (g) of Article 51A is provides:
“Article 51A (g): It shall be the duty of every citizen of India to protect and improve the natural
environment including forests, lakes, rivers and wildlife, and to have compassion f or living creatures.” Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
269
Government on any matter concerning prevention a nd control of water and air pollution and improvement
of the quality of air.
30. Air Quality monitoring
✓ List of all AQI stations along with current AQI level can be accessed from here
✓ List of operating stations under National Air Quality Monitoring Programme (NAMP) can be
accessed from here
31. National Ambient Air Quality Standards (NAAQS)
Table 70 Comparison of norms specified under NAAQS and WHO guidelines
Sl. Pollutant
Time
Weighted
average
NAAQS as per CPCB notification of 2009
122
WHO
guidelines,
2005
123
Industrial, Residential,
Rural and Other Area
Ecologically
sensitive area
1
Sulphur Dioxide (SO2),
μg/m3
Annual* 50 20 -
24 hours** 80 80 20
2
Nitrogen Dioxide (NO2),
μg/m3
Annual* 40 30 40
24 hours** 80 80 -
3
Particulate Matter size less
than 10 μm) or
PM10μg/m3
Annual* 60 60 20
24 hours** 100 100 50
4
Particulate Matter size less
than 2.5 microns) or
PM2.5 μg/m3
Annual* 40 40 10
24 hours** 60 60 25
5 Ozone (O3) μg/m3
8 hours ** 100 100 100
1 hour ** 180 180 -
6 Lead (Pb) μg/m3
Annual* 0.5 0.5 -
24 hours** 1 1 -
7
Carbon Monoxide (CO)
mg/m3
8 hours** 2 2 -
1 hour** 4 4 -
8 Ammonia (NH3) μg/m3
Annual* 100 100 -
24 hours** 400 400 -
9 Benzene (C6H6) μg/m3 Annual* 5 5 -
10
Benzo (a) Pyrene (BaP) –
particulate phase only
ng/m3
Annual* 1 1 -
11 Arsenic (As) ng/m3 Annual* 6 6 -
12 Nickel (Ni) ng/m3 Annual* 20 20 -
Norms lesser stringent norms than WHO guidelines; Norms at par with or more stringent than WHO guidelines
* Annual arithmetic mean of minimum 104 measurements in a year at a particular site taken twice a week 24 hourly at uniform intervals
** 24 hourly or 8 hourly or 1 hourly monitored values, as applicable, shall be complied with 98% of the time in a year. 2% of the time,
they may exceed the limits but not on two consecutive days of monitoring.
32. City-wise break-up of attainment cities across States
122
National Ambient Air Quality Standards (access here)
123
WHO - Ambient (outdoor) air pollution (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
270
33. AQI
Below figure provided AQI data for 31st March 2020 is compared with data of 2019 for same day of month.
Figure 216 AQI data for 31st March 2020 and 2019
Source: 158 Note 1: Out of 221 Stations, data for 38 Stations in March 2020 and 84 stations in March 2019 was not available/recorded
5 5
1
3
1
2
7
2
1
4
6
17
1
2
6
9
5
1
3
15
2
1
3
State-wise non-attainment cities
13%
54%
16%
0%
17%
31st March 2020
0-50 51-100 101-200 201-300 Data NA
0% 9%
44%
10%
38%
31st March 2019
0-50 51-100 101-200 201-300 Data NA
Box 29: Brief overview of methodology for calculation of AQI
Primarily two steps are involved in formulating an AQI:
1. formation of sub-indices (for each pollutant); and
2. aggregation of sub-indices to get an overall AQI
The AQ sub-index and health breakpoints are evolved for eight pollutants (PM10, PM2.5, NO2, SO2, CO, O3, NH3,
and Lead (Pb)) for which short-term (up to 24-hours) National Ambient Air Quality Standards are prescribed.
Based on the measured ambient concentrations of a pollutant, a sub-index is calculated, which is a linear function of
concentration (e.g., the sub-index for PM2.5 will be 51 at concentration 31 μg/m3, 100 at concentration 60 μg/m3,
and 75 at concentration of 45 μg/m3)
Unlike other international AQI calculation methodology, which aggregates the sub-indices to get an overall AQI, (e.g.
weighted additive method or Root-Sum-Power Form or Root-Mean-Square Form), India adopted the worst sub-index
to determine the overall AQI. This means that the highest sub-index among each sub-indices for individual pollutant
forms the overall AQI. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
271
It can be inferred from above graphs that availability of data at monitoring stations have been improved
over the year. Whereas in March 2019 data was not available for 38% of the stations, it was only 17% in
March 2020.
Since data of significant number of stations are not available in March 2019, the comparison of trend of AQI
would not be prudent. With the strengthening of air quality monitoring system as envisaged under National
lean Air Programme, it is expected that availability of data would be improved that could enable drawing of
logical conclusions from AQI trends and able to help policymakers to take informed decisions.
34. State-wise details of action plan
State
No. of
Cities
Action plan identified
Total
Trans
port
Indu
stry
Po
wer
Clean Construction and Road
dust Management
Agric
ulture
Waste
Manageme
nt
Indoor
Other
measu
res
Andhra
Pradesh
5 290 40 45 105 45 15 15 35 590
Assam 5 36 10 0 55 0 10 15 35 161
Chandigarh 1 12 3 0 9 4 0 0 3 31
Chhattisgarh 3 26 11 0 30 0 6 3 16 92
Delhi 1 50 6 12 5 3 8 3 6 93
Gujarat 2 24 6 0 19 1 6 1 10 67
Himachal
Pradesh
7 98 56 0 63 0 49 0 28 294
Jammu and
Kashmir
2 30 10 0 22 0 4 4 22 92
Jharkhand 1 9 5 0 13 0 1 0 9 37
Karnataka 4 48 7 0 43 0 9 0 18 125
Madhya
Pradesh
6 67 30 0 54 0 18 6 36 211
Maharashtra 17 268 108 20 142 1 88 28 33 688
Meghalaya 1 11 4 0 10 0 5 0 6 36
Nagaland 2 22 10 0 18 0 8 0 12 70
Orissa 6 360 51 47 101 0 60 18 72 709
Punjab 9 116 42 0 92 0 29 0 50 329
Rajasthan 5 85 20 0 65 0 36 0 35 241
Tamil Nadu 1 18 5 5 18 0 5 0 6 57
Telangana 3 46 13 0 27 0 12 0 23 121
Uttar
Pradesh
15 261 115 0 232 0 105 0 151 864
Uttarakhand 2 16 6 0 16 2 8 0 18 66
West Bengal 1 23 3 3 5 0 5 3 6 48
Bihar 3 46 14 4 26 0 15 13 33 151
Total 102 1962 575
13
6
1170 56 502 109 663 5173
35. Action-points for each sector under NCAP
Action Points identified under NCAP for key components segregated
across – Mitigation Actions, Knowledge and Database Augmentation,
and Institutional Strengthening
I. Mitigation Actions
A. STRINGENT ENFORCEMENT THROUGH THREE TIER MECHANISM FOR REVIEW OF MONITORING, ASSESSMENT
AND INSPECTION Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
272
1. Web-based system on the above-mentioned lines to be evolved in association with the NIC and other relevant
national and international agencies.
2. Adequate manpower will be made available for strengthening, monitoring, and inspection.
3. Intensive training of all the stakeholders involved in implementation of this web based system.
4. Mandating use of this three tier mechanism in 102 cities.
B. EXTENSIVE PLANTATION DRIVE
1. Plantation initiatives under NCAP at pollution hot spots in the cities/towns to be undertaken under GIMs with
Compensatory Afforestation Fund (CAF) being managed by National Compensatory Afforestation Management
and Planning Authority (CAMPA).
2. Development of plantation plans for the non-attainment cities/towns.
3. Execution of city-specific plantation plans.
4. Institutes as Indian Institute of Forest Management (IIFM), Universities as Delhi University and other Research
Organizations and institutions with expertise in plantation to be involved for evolving these plans and for
implementation of these plans in these 102 cities.
5. Planation target to be indicated in city-specific plantation plans.
6. 6. Scheme on agroforestry to be prioritized and strengthened.
C. TECHNOLOGY SUPPORT
1. Clean Technologies with potential for air pollution prevention and mitigation will be supported for R&D, pilot scale
demonstration and field scale implementation.
2. The mechanism for such support will be formulated as an action plan.
D. REGIONAL AND TRANSBOUNDARY PLAN
Regional
1. Various measures specially implementation of pollution abatement policies as Transport - Auto fuel policy for
stringent norms for fuel and vehicles, road to rail/waterways, fleet modernization, electric vehicle policies, clean
fuels, bye-passes, taxation policies, etc.; Industries—stringent industrial standards, clean fuels, clean
technology, enforcement (continuous monitoring); and biomass– enhanced LPG penetration, agricultural burning
control and management need to emphasized through regional level inter-state coordination specifically for the
Indo-Gangetic plain. A comprehensive regional Plan to be formulated incorporating the inputs from the regional
source apportionment studies.
Transboundary
1. Linking NDC’s target of additional forest and tree cover of 2.5 to 3 billion tonnes of CO2 equivalent by 2030 to
NCAP. There needs to be more focus on the western regions of India (Rajasthan and Gujarat) for enhanced tree
cover, which will reduce wind-blown dust within the country and will also act as barriers for trans-boundary dust.
2. The initiatives under United Nations Convention to Combat Desertification (UNCCD) to be integrated for
addressing the issue of transboundary dust.
3. Air quality management at South-Asia regional level by activating the initiatives under ‘Male Declaration on
Control and Prevention of Air Pollution and its Likely Transboundary Effects for South Asia’ and South Asia
Cooperative Environment Programme (SACEP) to be explored.
4. 4. A comprehensive Transboundary Plan to be formulated.
E. SECTORAL INTERVENTIONS
POLLUTION FROM ROAD DUST AND C&D
1. Introducing mechanical sweepers on the basis of feasibility study in cities.
2. Evolve SOP for addressing the specific issue of disposal of collected dust from mechanical sweeping, taking into
consideration all the above cited factors.
3. Stringent implementation of C&D Rules, 2016, and Dust Mitigation notification, 2018, of Government of India.
4. Wall-to-wall paving of roads to be mandated. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
273
5. Stringent control of dust from construction activities using enclosures, fogging machines, and barriers.
6. Greening and landscaping of all the major arterial roads and national highways after identification of major
polluting stretches.
7. Maintenance and repair of roads on priority.
8. Sewage treatment plant-treated water sprinkling system along the roads and at intersecting road junctions and
spraying of water twice a day before peak traffic hours.
POWER SECTOR EMISSIONS
1. Stringent compliance by all TPPs with respect to the emission norms according to the timelines up to December
2022 and as per the action plan prescribed in the direction dated December 2017 issued under EPA 1986.
2. CGD network distribution shall be taken up on priority within the country, emphasizing on 102 non-attainment
cities.
3. There is need for optimizing the use of the existing power plants by prioritizing capacity utilization of natural
gas/ clean fuel-based thermal power plants.
4. Phasing out older coal-based power plants and converting specific coal based power plants to natural gas.
5. Emphasis on improved power reliability in urban areas to eliminate the operation of DG sets.
6. Emphasizing the expansion of renewable power initiatives prioritizing the use of existing framework of NAPCC in
non-attainment cities.
7. Need to explore the possibility of Fly ash utilization in extensive way in 102 non-attainment cities.
INDUSTRIAL EMISSION
1. Introduction of gaseous fuels and enforcement of new and stringent SO2/ NOx/PM2.5 standards for industries
using solid fuels.
2. Stricter enforcement of standards in large industries through continuous monitoring.
3. Full enforcement of zig-zag brick technology in brick kilns.
4. Elimination of DG set usage by provision of 24x7 electricity.
5. Control by innovative end of pipe control technologies.
6. Evolve standards and norms for in-use DG sets below 800 KW category.
7. For DG Sets already operational, ensure usage of either of the two options:
a. use of retrofitted emission control equipment having a minimum specified PM capturing efficiency of at
least 70%, type approved by one of the 5 CPCB recognized labs; or (b) shifting to gas-based generators
by employing new gas-based generators or retrofitting the existing DG sets for partial gas usage.
8. Utilize the Gujarat case study for a compelling case for other states to adopt third-party audits for polluting
industries for enhancing Implementation (States)
TRANSPORT SECTOR EMISSION
In Use Vehicle
1. Stringent implementation of BS VI norms all over India by April 2020.
Green Mobility
1. Stringent implementation of National Biofuel Policy with respect to ethanol and biodiesel blending target of 20%
and 5%, respectively by 2030.
2. City action plans to review the extension of MRT in cities/towns.
3. Improvement and strengthening of inspection and maintenance system for vehicles through extension o f I&C
centres.
4. Stringent implementation of PUC certificate through regular inspection and monitoring.
5. Fleet modernization and retro-fitment programmes with control devices.
6. Reducing real-world emissions by congestion management.
7. Review the Green Corridor Project and feasibility of its extension with reference to 102 cities.
8. To review the scaling up of Pilot project of MoPN G for introducing CNG in 2-wheelers and ensure timely
implementation.
9. Scaling up of R&D on use of Hydrogen as transport fuel. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
274
Electric mobility
1. Formulation of a national-, state-, and city-specific action plan for electric mobility.
2. Rapid augmentation of charging infrastructure in the country focusing on 102 cities.
3. Central government offices fleets older than 15 years to be shifted to electric vehicles.
4. Government-run buses for public transport, private buses, and 3-wheelers to be converted to EVs.
5. Gradual transition to electric mobility in the 2-wheeler sector.
6. Specific allocations for creating a venture capital fund.
7. Investment in R&D and pilots focusing on the indigenization of battery manufacturing, cheap alternate resource
to lithium and cobalt, resource efficiency associated with a circular economy, re-use and recycling for lithium
batteries, etc.
AGRICULTURAL EMISSION
1. Evaluate the status of implementation of the above scheme in the states and impact on reduction of air pollution
in Delhi and the NCR.
2. Evaluate the socio-economic feasibility for implementation of ex-situ options like production of Prali-Char,
biochar, pellets, briquettes, bioCNG, bioethanol, etc., as ex-situ solutions for management of crop residue
burning especially with NPB in place.
3. Extending the initiatives for addressing the issue of crop residue burning from the NCR to other part of the
country and from paddy to sugarcane and other crops.
4. Coordination with ISRO for regular availability of Remote Sensing Monitoring data for crop burning by the
farmers.
5. Evolve plan for management of agricultural emissions from fertilizers and livestock waste on the basis of strong
R&D. The R&D for the purpose to be supported.
6. Implement plan for management of agricultural emissions
7. The capacity-building initiatives for Krishi Vigyan Kendra (KVK) shall be strengthened
EMISSIONS FROM UNSUSTAINABLE WASTE MANAGEMENT PRACTICES
1. Use the smart cities framework to launch the NCAP in the 43 smart cities falling in the list of 102 non-attainment
cities.
2. Transform our centralised waste disposal infrastructure to a sustainable decentralized system in 102 cities.
3. Source segregation into dry and wet waste to be made mandatory through involvement of municipalities and the
RWA.
4. Mandatory Training and capacity building of municipalities and the RWA.
5. Transitioning towards a zero-waste pathway through an integrated solid waste management strategy, including
targeting waste prevention, recycling, composting, energy recovery, treatment, and disposal.
6. Waste reduction schemes such as ‘polluters pay’ principle, recycling projects, composting, bio methanation, RDF
plants and co-processing to be supported under an integrated solid waste management strategy.
7. Construction of decentralized compositing plant, bio methanation plant and C&D waste plants.
8. Deployment of fixed compactor and doing away with dhalaos.
9. Focus on training municipalities and SPCBs to be on national and international technologies for integrated waste
management options.
10. In line with the National Biofuel Policy, promote technologies which can convert waste/plastic, MSW to energy
resulting in reduction of traditional fuel use.
11. Stringent implementation and monitoring for extended producer responsibility for e-waste and plastic waste.
12. Strict implementation of existing six waste management’s rules on solid, Hazardous, Electronic, Bio-medical,
Plastics and C&D waste.
13. The Swachh Bharat Mission and National Mission on Sustainable Habitat to be used as a platform to push the
objectives under this sector.
INDOOR AIR POLLUTI ON MANAGEMENT
1. Building specific guidelines and protocols on monitoring and management of indoor air pollution.
2. Extend PMUY in 102 cities/towns and the associated village areas. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
275
3. 3. Guidelines and provisions for building designs that define proper ventilation, clean cooking, and living areas
to maintain healthy air quality inside the house to be integrated with the Pradhan Mantri Awas Yojana (PMAY).
F. CITY SPECIFIC AIR QUALITY MANAGEMENT PLAN FOR 102 NON -ATTAINMENT CITIES
1. Preliminary city-specific action plans to be formulated for 102 non-attainment cities.
2. City-specific action plans to be taken up for implementation by State Government and city administration.
3. City-based clean air action plans are to be dynamic and evolve based on the available scie ntific evidence,
including the information available through source apportionment studies.
4. A separate emergency action plan in line with GRAP for Delhi to be formulated for each city for addressing the
severe and emergency AQIs.
G. STATE ACTION PLAN FOR AIR POLLUTION
1. Preliminary State Action Plan for Air Pollution to be formulated for all 23 states which harbour 102 non-attainment
cities;
2. State Action Plan for Air Pollution to be taken up for implementation by State Government and city administration;
3. The State Action Plan to have detailed funding mechanism.
II. Knowledge and database augmentation
A. AIR QUALITY MONITORING NETWORK
1. Manual monitoring stations
With reference to existing 4000 cities in the country, 703 manual monitoring stations in 307 cities reflects limited number
and need augmentation. It is proposed to augment it to 1500 stations from existing 703 stations.
2. CAAQMS
Recognizing the need to monitor real time and peak concentration levels of critical pollutants avoiding the time lag, more
specifically with reference to the AQI, it is proposed under the NCAP to augment the existing number of Continuous
Ambient Air Quality Monitoring Stations (CAAQMS). Presently, there are 134 CAAQMS stations in 71 cities and 17 States.
Acknowledging the fact that air pollution in India has regional ramifications and the Indo -Gangetic plain, spanning
approximately 45–50 cities spreads across the states of Assam, Bihar, Haryana, Jharkhand, Madhya Pradesh, Punjab,
Rajasthan, Uttarakhand, Uttar Pradesh, and West Bengal, is the main region impacted by air pollution; the expansion of
real-time monitoring stations would mainly focus on this region, and approximately 150 CAAQMS with an average of 2–3
stations in each city is to be decided on the basis of population, industrial activities, etc., will be targeted.
Further, impetus will be on low-cost indigenous real-time monitoring stations. Real-time monitoring in other cities will be
taken up with identification of these low-cost sensors.
3. Satellite based monitoring
Application of Aerosol Optical Depth (AOD) from satellite-based observations is being widely accepted for the assessment
of ambient particulate matter levels. This is significant considering the extensive monitoring needs and required resources.
The NCAP proposes to use this technique to supplement its monitoring network. Under the programme, capacities will be
strengthened to develop indigenous satellite-based products and techniques to derive useful air quality information. The
required algorithm to correlate AOD values with ground-level PM concentrations over the Indian regions will be derived
from an indigenous database. Other satellite-based products also need to be explored to assess gaseous pollutant
concentrations.
4. Identification of alternative technology for real time monitoring
CPCB is to steer the process of identifying and for developing/validating alternative cost-effective technology for source
and ambient air quality monitoring in consultation with the IIT, CSIR, and other such institutes as NEERI. Mobile air quality
monitoring network are to be made part of these alternative technologies. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
276
5. Rural Monitoring Network
Air quality in rural areas remains a neglected issue so far. The common belief is that rural areas are free from air pollution.
On the contrary, air quality in the rural areas all over the world and particularly in the developing countries may be more
polluted than some of the urban areas. Rural areas suffer from outdoor air pollution as well as indoor air pollution. Major
sources of outdoor air pollution are indiscriminate use of insecticides/pesticides sprays and burning of wheat and paddy
straw. Atmospheric concentration of ozone has been observed higher in rural areas as compared to urban areas. Since
rural areas have not been covered under NAMP it is proposed to set up 75 such stations in rural areas.
6. Protocol for setting up of monitoring stations and monitoring
Guidelines for Ambient Air Quality Monitoring has been issued by the CPCB in 2003 for assisting and taking decision with
respect to the setting up of monitoring stations. However, it is noted that the guideline needs revision in reference to
sound decision making in selection of pollutants, selection of locations, frequency, duration of sampling, sampling
techniques, infrastructural facilities, manpower, and operation and maintenance costs. The network design also depends
upon the type of pollutants in the atmosphere through various common sources. Accordingly, it is planned to review the
existing guideline and issue protocol for setting up of monitoring stations and monitoring.
7. Monitoring of PM2.5
Particulates are the deadliest form of air pollutants due to their ability to penetrate deep into the lungs and blood streams
unfiltered, causing various health issues. The smaller PM2.5 are particularly deadly, as it can penetrate deeper into the
lungs and blood stream. The monitoring data also indicates higher concentration of PM2.5 in major cities. Accordingly, in
order to evolve a comprehensive mechanism for the management of PM2.5, it is proposed to augment the number of
monitoring stations for PM2.5 from the existing 167 in 80 cities to all stations under NAMP.
8. Setting up of 10 city Super Network
This network may capture the overall air quality dynamics of the nation, impact of interventions, trends, investigative
measurements, etc. The cities may be identified for capturing possible variations (e.g., metro city, village, mid-level town,
coastal town, controlled background location, industrial town, etc.). Each city may have one well-equipped monitoring
station representing the city background. In addition to the notified 12 pollutants, constituents of PM1, particle number,
etc., may be monitored. It should generate highly-quality controlled data and will represent national air quality dynamics.
The plan for this network to be formulated and implemented in consultation with the CPCB.
9. Super sites as representative sites in cities and rural areas
These representative monitoring sites are to be selected to assess the background level and major sources so as to draw
a scientific statistically sound assessment of pollution and its impact on health.
B. EXTENDING SOURCE APPORTIONMENT STUDIES TO ALL NON -ATTAINMENT CITIES
1. Unified guideline for source apportionment study will be formulated and updated (centre).
2. Source apportionment studies to be extended to all 102 non-attainments (centre).
C. AIR POLLUTION HEALTH AND ECONOMI C IMPACT STUDIES
1. Study on the National Environmental Health Profile to be completed in time.
2. Response study and cohort study programme to be undertaken.
3. Ministry of Health to actively take up environmental health for ensuring regular health profile or database for
assisting decision making.
4. Studies on health and economic impact of air pollution to be supported.
5. Framework for monthly analysis of data w.r.t health to be created. The data from mapping of industry; tabulation
of daily AQI, PM2.5 and PM10 measurements (24 hours average); metrological parameters; deaths due to heart
attacks, strokes, respiratory arrest, following the existing respiratory ailments, trends in lung cancer if available
with respect to all cities to be fed in to a central computer and to be analysed every month by people trained in
environmental health for correct interpretation.
6. Awareness and orientation workshops to be undertaken focussing on a target audience Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
277
7. Media is to be used for wide dissemination of information and the precise information to be shared has to be
carefully worked out by a team of experts in air pollution and environmental health.
8. Training researchers in study design through holding workshops in epidemiology, toxicology, and biostatistics
D. INTERNATIONAL COOPERATION INCLUDING SHARING OF INTERNATIONAL BEST PRACTICES ON AIR POLLUTION
1. International scientific and technical cooperation in the area of air pollution will be established in accordance with
national priorities and socio-economic development strategies and goals.
2. Modalities of such cooperation may include joint research and technology development, field studies, pilot scale
plants and field demonstration projects with active involvement of academia, research institutions and industry
on either side.
E. REVIEW OF AMBIENT AIR QUALITY STANDARDS AND EMISSION STANDARDS
1. The CPCB to come up with guidelines with respect to the periodicity of review of such standards.
2. The existing standards need to be strengthened periodically and new standards need to be formulated for the
sources where standards are not available, based on extensive scientific evidence with reference to protection of
public health and environment.
F. NATIONAL EMISSION INVENTORY
1. Comprehensive National Emission Inventory which is still lacking in the country will be formalized under the
NCAP.
III. Institutional Strengthening
A. PUBLIC AWARENESS AND EDUCATION
1. City-specific awareness programme targeting key stakeholders to be formulated and taken up for
implementation. This could include awareness generation in general public for prevention of adverse effects of
air pollution.
2. Sensitization of the media for right interpretation of international reports and data as well as for disseminating
information on measures being taken by the government for the abatement of air pollution to be undertaken.
B. TRAINING AND CAPACITY BUILDING
1. Extensive capacity-building programmes for both the CPCB and SPCBs with reference to both manpower and
infrastructure augmentation.
2. Intensive training, comprising national and international best practices and technological options, of all the
associated stakeholders.
C. SETTING UP AIR INFORMATION CENTRE
1. Plan accordingly for setting up of these centres will be formulated.
2. Air information centres at the central level and regional level will be set up in some of the identified institutes.
D. CERTIFICATION SYSTEM FOR MONITORING INSTRUMENTS
1. To operationalize the NPL-India Certification Scheme (NPL-ICS) at the central and regional levels to cater to the
country’s needs with respect to the online monitoring of air pollution.
2. To evolve an action plan for the need of certification agencies for air pollution mitigation equipment in addition
to monitoring equipment.
E. AIR QUALITY FORECASTING SYSTEM
All the ongoing and future initiatives under SAFAR will be integrated with the NCAP for taking all preventive measures to
draw the benefits for addressing the air pollution issue from available information. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
278
1. The efforts will be to extend it to 102 non-attainment cities under NCAP.
2. Hotspot-based forecasting to be taken up moving ahead from city-specific forecasting in 102 cities
3. The satellite data available through the satellite network of ISRO to be integrated for monitoring and forecasting
under the NCAP.
F. NETWORK OF TECHNICAL INSTITUTIONS KNOWLEDGE PARTNERS
1. A detailed action plan for the setting up of the network integrating with the existing network under the NAPCC
needs to be formulated.
2. System of a regular web-based online interaction mechanism will be evolved to ensure continuity of interactions.
G. TECHNOLOGY ASSESSMENT CELL
1. A detailed action plan for this cell is to be formulated.
2. The Technology Assessment Cell will be created involving the IITs, IIMs, the major universities, industries, and
using the existing mechanisms and programme of the DST, India Innovation Hub, etc.
H. INSTITUTIONAL FRAMEWORK
Centre level
1. National Apex Committee at the MoEF&CC
2. Five sectoral working groups on a co-chairing basis
3. Technical Expert Committee at the MoEF&CC
4. National-level Project Monitoring Unit (PMU) at the MoEF&CC
5. National-level Project Implementation Unit (PIU) at the CPCB
State level
1. State-level Apex Committee under the chief secretaries in various states
2. City-level Review Committee under the municipal commissioner
3. DM-level Committee in the districts
4. State-level Project Monitoring Unit (PMU) at the SPCBs
36. Policies in India supporting Alternate Fuel
Timeline Action Remarks
Ethanol Blending Program
January 2003
The Ministry of Petroleum and Natural Gas
made mandatory – 5 percent bending of
ethanol with petrol across nine major sugar
producing states and five Union territories in
India.
Partially implemented due to unavailability of
ethanol (due to low sugarcane production in
2003/04 and 2004/05).
October 2008
Third phase of implementing EBP envisaged
blending ratio to be increased to 10 percent.
Since there was no official notification released, oil
marketing companies have not started 10 percent
ethanol blending.
August 2010
Government fixed an ad-hoc provisional
procurement price in Indian Rupees (INR) of
27 per litre of ethanol by Oil Marketing
Companies (OMC) for EBP program.
Decision was taken to constitute expert
committee under Chairmanship of Dr.
Choudhary, Member of Planning
Expert Committee in March 2011 had
recommended that ethanol be priced 20 percent
lower than gasoline price. No consensus yet on
pricing policy of ethanol. In any event when
ethanol supply runs short, government proposed
to reduce import duty on alcohol and molasses.
OMC stipulated that alcohol or molasses could not Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
279
Timeline Action Remarks
Commission, to recommend a formula for
pricing ethanol.
be imported for EBP but must be exclusively
sourced from domestic-produced molasses.
November 2012
In a bid to renew its focus and strongly
implement the EBP, the Cabinet Committee
on Economic Affairs (CCEA) on November
22, 2012, recommended five-percent
mandatory blending of ethanol with gasoline
(the blending target was already decided by
the CCEA in the past).
Henceforth, the procurement price of
ethanol shall be decided by between the
OMC and suppliers of ethanol (CCEA
recommendation).
According to one of the CCEA
recommendations, in the case of any
shortfall in domestic availability, the OMCs
and chemical companies were free to import
ethanol for EBP. Since OMCs were falling
short by more than 820.3 million liters of
ethanol, they floated a global tender in the
third week of January to augment remaining
supplies.
The Union government under the Motor Spirits Act
on January 2 notified that a few states such as
Uttar Pradesh, Delhi, Haryana, Punjab, Karnataka
and Goa can even achieve up to 10 percent
ethanol blending target, but the overall average
for the country as a whole should reach five
percent by end of June 30, 2013.
The interim (ad-hoc) price of INR 27 per liter
would no longer hold as price would now be
decided by market forces.
The fuel ethanol blend rate that could be achieved
then was 1.6 percent.
CY 2014
GOI considered raising the EBP program
target from five to 10 percent in near
future.
On December 10, 2014, GOI announced a
price control schedule for fuel ethanol
procurement for OMCs. The program fixes
landed-ethanol prices at OMC depots from
INR 48.50 to INR 49.50 per liter ($0.76 to
$0.77/liter), a three to five percent increase
over the previous price.
Total quantity accepted by OMC was thus 247 +
53 million liters = 300 million liters. Assuming that
OMC shall come out with another tender soon for
ethanol procurement for CY 2015, Post anticipated
that OMC shall procure another 50 million liters in
December 2014.
The cumulative volumes likely to be accepted by
OMCs for blending with gasoline will be 350 million
liters, which translates to market penetration at
1.4 percent.
This will likely accelerate India’s EBP, infuse cash
into the local sugar industry, help millers pay down
debts, and curtail (by some estimates) upwards of
$750 million in crude oil imports. In previous
years, Post has observed that India has the
capacity to fulfil its ethanol blending mandate,
provided there are equal incentives for both the
producers and blenders.
April 2015
GOI removed 12.36 central excise duty
levied on ethanol supplied for blending with
gasoline.
The excise duty exemption will be applicable for
ethanol produced from molasses generated during
the next sugar season (October 2015-September
2016) and supplied for blending with gasoline,
Press Information Bureau (PIB) Press Release.
Industry sources claim that sugar mills are Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
280
Timeline Action Remarks
expected to benefit to an extent of INR five per
liter on sale of ethanol for blending.
National Biodiesel Mission
April 2003
Phase I (Demonstration) from 2003 – 2007:
Ministry of Rural Development appointed as
nodal ministry to cover 400,000 hectares
under Jatropha cultivation. This phase also
proposed nursery development,
establishment of seed procurement and
establishment centers, installation of trans-
esterification plant, blending and marketing
of biodiesel.
Public and private sector, state government,
research institutions (Indian and foreign) involved
in the program achieved varying degrees of
success.
October 2005
The Ministry of Petroleum and Natural Gas
announced the biodiesel purchase policy.
OMC to purchase bio diesel from 20
procurement centers across India at INR
26.5/liter
Cost of biodiesel production higher (20 to 50
percent) than purchase price. No sale of biodiesel.
October 2008
Phase II (Self Execution) from 2008 to
2012:
Targeted to produce sufficient biodiesel for
20 percent blending by end of XI (2008-12)
five-year plan
Lack of largescale plantation, conventional low
yielding Jatropha cultivars, seed collection and
extraction infrastructure, buy-back arrangement,
capacity, and confidence building measures among
farmers impeded the progress of this phase.
October 2014
GOI deregulated diesel prices in line with
gasoline.
The retail price will now be decided by the market
forces and GOI will no longer have to compensate
OMCs for selling diesel below market prices. This
step will incentivize firms engaged in biodiesel
production in India.
CY 2015
In January, Union Cabinet chaired by the
Prime Minister, Shri Narendra Modi, gave its
approval for amending the motor spirit (MS)
and high-speed diesel (HSD) Control Order
for Regulation of Supply, Distribution and
Prevention of Malpractices dated
19.12.2005.
The Cabinet has also decided to suitably
amend Para 5.11 and 5.12 of the National
biofuel policy for facilitating consumers of
diesel in procuring directly from private
biodiesel manufacturers, their authorized
dealers and Joint Ventures (JV) of OMCs
authorized by the MoPNG. This decision will
encourage the production and use of
biodiesel in the country.
The amendment will allow private biodiesel
manufacturers, their authorized dealers and JVs of
OMCs authorized by the Ministry of Petroleum and
Natural Gas (MoPNG) as dealers and give
marketing and distribution functions to them for
the limited purpose of supply of biodiesel to
consumers.
The investment and production conditions (as
applicable) specified in the marketing resolution
dated March 8, 2002, of MoPNG will also be
relaxed and a new clause added to give marketing
rights for pure biodiesel (B100) to the private
biodiesel manufacturers, their authorized dealers
and JVs of OMCs authorized by the MoPNG for
direct sales to consumers. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
281
Timeline Action Remarks
On August 10, GOI had issued notification
to allow the sale of Biodiesel (B100) by
private manufacturers to bulk (Gazette
Notification No. General Statutory Rules
(GSR) 621 (E)). The order is called the
Motor Spirit and High-Speed Diesel
(Regulation of Supply, Distribution, and
Prevention of Malpractices) Amendment
Order, 2015.
On August 11, 2015, Minister of State (I/c),
Petroleum and Natural Gas, launched sale of
B-5 Diesel on World Bio Fuel Day. (Source:
News Release, IOC).
Bids were invited until August 19. The policy is
meant to help with local price discovery ahead of a
potential 20 percent blend for biodiesel in 2017. A
20 percent blend for ethanol has also been
proposed but is unlikely since the current 5
percent blend has yet to be reached.
Federal government may permit the sale of
biodiesel (B100) for blending with HSD to bulk
consumers such as Indian Railways, State
Transport Undertakings and other bulk consumers
having minimum requirement of biodiesel for their
own consumption by a tank truck load supply
which shall not be less than twelve thousand liters.
As part of the initial run, B-5 was expected to be
sold to customers at some retail outlets in New
Delhi, Vijayawada, Haldia, and Vishakhapatnam.
The Biodiesel Purchase Policy was announced in
October 2005 and became effective January 2006.
March 2017
The Cabinet Committee on Economic Affairs
has approved closure/winding up of the
biofuel venture between Chhattisgarh
Renewable Energy Development Agency
(CREDA) and Hindustan Petroleum
Corporation Limited (HPCL) called CREDA
HPCL Biofuels Ltd (CHBL) and the one
between Indian Oil CREDA called Indian Oil
CREDA Biofuels Ltd (ICBL).
The offices of CHBL/ICBL have been closed. Joint
Ventures (JV) between CREDA HPCL Biofuel Ltd
(CHBL) and Indian Oil-CREDA Biofuels Limited
(ICBL) were formed for carrying out energy crop
(Jatropha) plantation and production of biodiesel in
2008 and 2009 respectively. The CREDA, an arm
of Chhattisgarh state government, had provided
wasteland to CHBL and ICBL through Land Use
Agreement for plantation of Jatropha. Due to
various constraints such as very poor seed yield,
limited availability of wasteland, high plantation
maintenance cost etc. the project became unviable
and
Jatropha plantation activities were discontinued.
National Policy on Biofuels
September
2008
5 percent blending mandatory across all
states in the country
GOI deferred the plan again due to short supply of
sugarcane and sugar molasses in 2008/09.
37. Amendment to Rule 115D of Central Motor Vehicles Rules, 1989
The Central Motor Vehicle Rules, 1989 were laid down as per the provisions of Central Motor Vehicl e Act,
1988 that came into being in 1st July 1989. The Act has been divided into 15 Chapters, Central and State
Governments are conferred with power under each chapter to make rules under the Act.
In exercise of the powers conferred by section 110 of the Motor Vehicles Act, 1988 (59 of 1988), the Central
Government have amended rule 115D of the CMVR, 1989 to allow, “Retro -fitment of hybrid electric system
or electric kit to Motor Vehicles”. Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
282
The draft notification was issued on 6th January 2016, however it took nearly three years in finalization of
the amendment rule and it published on gazette notification on 1st March 2019. In the absence of vehicle
scrappage incentives in most of the States, the said amendment is said to be a welcome move in context of
EV adoption in country.
Through this amendment following category of vehicle are permitted for
i. Retro-fitment of Hybrid Electric System Kit
ii. Conversion of motor vehicles for pure electric operation with fitment of Pure Electric Propulsion Kit
by replacing the engine of Motor Vehicles
However, such vehicle needs to conform to the compliance standard mentioned under AIS -123 (Part 1)/
(Part 2)/ (Part 3) as per applicability.
The manufacturer or supplier of hybrid electric system kit or pure electric system kit are held liable for
obtaining the type approval certificate from a test agency specified in CMVR 126 for conforming to the AIS
standard mentioned above.
38. Amendments to Model Building Bye -Laws, 2016
Ministry of Housing and Urban Affairs has notified Amendments in Model Building Bye-Laws (MBBL) - 2016
for EV charging infrastructure in February 2019. Key provisions of the same are highlighted below:
Table 71 MoHUA guidelines for public charging stations
Particulars Details
Parking bays for EV charging Residential and commercial buildings to allot about 20% of their
parking space for EV charging infrastructure.
Power load for EV charging Building premises should have additional power load equivalent to
the power required for all charging points to be operated
simultaneously with a safety factor of 1.25.
No of slow and fast chargers
4W 3W 2W PV (Buses)
One slow charger for
3 EVs
One fast charger for
10 EVs
One slow
charger for 2
EVs
One slow
charger for 2
EVs
One fast
charger for 10
EVs
Source: Ministry of Housing and Urban Development(MoHUA), February 2019, “Amendments in Building Bye -Laws (MBBL-2016) for Electric
Vehicle Charging Infrastructure” Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
283
39. CEA Stakeholders for forming EV charging regulations
Figure 217 CEA stakeholders for forming EV charging regulations
40. Vehicle categories
Table 72 Vehicle categories and description
Sr. No. Category Description
1. Category A Agricultural Tractor; Means any mechanically propelled 4-wheel vehicle designed to work
with suitable implements for various field operations and / or trailers to transport
agricultural material. Power tillers are included in this category.
2. Category C Construction Equipment Vehicle; Means rubber tyred (including pneumatic tyred), rubber
padded or steel drum wheel mounted, self-propelled, excavator, loader, backhoe,
compactor roller, dumper, motor grader, mobile crane, dozer, fork lift truck, self-loading
concrete mixer or any other construction equipment vehicle or combination thereof
designed for off-highway operations in mining, industrial undertaking, irrigation and
general construction but modified and manufactured with “ on or off” or “ on and off”
highway capabilities
3. Category L1 Motorcycle with maximum speed no t exceeding 45 km/h and engine capacity not
exceeding 50cc if fitted with thermic engine or motor power not exceeding 0.5 kilo watt if
fitted with electric moto
4. Category L2 Motorcycle other than Category L1
5. Category L3 Two-wheel motorcycle with an engine cylinder capacity in the case of a thermic engine
exceeding 50 cm3 or whatever the means of propulsion a max. design speed exceeding
50 km/h. with more than 50 cc and speed of more than 50 kmph
6. Category L5 A three wheeled motor vehicle with maximum sp eed exceeding 25 kmph and engine
capacity exceeding 25 cc if fitted with a thermic engine, or motor power exceeding 0.25
kW if fitted with electric motor. This vehicle is normally used for:
✓ carrying persons; or,
✓ carrying goods
7. Category
L5M
Passenger carrier (Auto rickshaw) and Gross vehicle Weight is equal to 1500 kilograms. A
three-wheeler on account of its technical features intended to carry passengers.
8. Category
L5N
A three-wheeler on account of its technical features intended to carry goods.
9. Category M A Motor vehicle with at least four wheels used for carrying passengers
GencosOMCsTranscoDiscomsMunicipal
Corporation
EV OEMs
Charging Infra
OEMs Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
284
Sr. No. Category Description
10. Category M1 A vehicle used for carriage of passengers, comprising not more than eight seats in
addition to the driver’s seat
11. Category M2 A vehicle used for carriage of passengers, comprising nine or more seats in addition to
the driver’s seat, and having a maximum Gross Vehicle Weight (GVW) not exceeding five
ton
12. Category M3 A vehicle used for the carriage of passengers, comprising nine or more seats in addition
to the driver’s seat and having a GVW exceeding 5 ton
13. Category N A motor vehicle with at least four wheels used for carrying goods. These vehicles can
carry persons in addition to the goods.
14. Category N1 A vehicle used for carriage of goods and having a GVW not exceeding 3.5 ton
15. Category N2 A vehicle used for the carriage of goods and having a GVW exceeding 3.5 ton but not
exceeding 12 ton
16. Category N3 A vehicle used for the carriage of goods and having a GVW exceeding 12 ton
17. Category T1 A Trailer having a maximum weight not exceeding 0.75 ton
18. Category T2 A trailer having a maximum weight exceeding 0.75 ton but not exceeding 3.5 ton
19. Category T3 A trailer having a maximum weight exceeding 3.5 ton but not exceeding 10 ton
20. Category T4 A trailer having a maximum weight exceeding 10 ton
21. Category T5 A semi-trailer intended to be drawn by a three-wheeled haulage tractor
Source: 159 AIS-053: 2005 (Amendment 07 (08/2018)) - Automotive Vehicles -Types –Terminology (access here)
41. Fuel efficiency for Heavy Duty Vehicles (HDVs)
I. Phase I – Effective from 1st April 2018
Table 73 Category N3- Rigid vehicles at 60 km/h
N3 Rigid vehicles at 60 km/h
Gross vehicle weight range Axle configuration Equation for deriving target fuel consumption (l/100km)
12.0-16.2 4x2 Y=0.788X+9.003
16.2-25.0 6x2 Y=0.755X+9.546
16.2-25.0 6x4 Y=1.151X+3.122
25.0-31.0 8x2 Y=0.650X+12.160
25.0-31.0 8x4 Y=0.968X+7.692
31.0-37.0 10x2 Y=0.650X+12.160
Table 74 Category N3- Tractor Trailer vehicles at 40 km/h
N3 Tractor Trailer at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
35.2-40.2 4x2 Y=0.986X-7.727
40.2-49.0 6x2 Y=0.628X+6.648
40.2-49.0 6x4 Y=1.255X-18.523 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
285
Table 75 Category N3- Tractor Trailer vehicles at 60 km/h
N3 Tractor Trailer at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
35.2-40.2 4x2 Y=0.208X+32.198
40.2-49.0 6x2 Y=0.628X+15.298
40.2-49.0 6x4 Y=1.342X-13.390
Table 76 Category M3- Vehicles at 40 km/h
M3 Vehicles at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0 and above 4x2 and 6x2 Y=0.509X+11.062
Table 77 Category M3- Vehicles at 60 km/h
M3 Vehicles at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0 and above 4x2 and 6x2 Y=0.199X+19.342
II. Phase II – Effective from 1st April 2021
Table 78 Category N3– Rigid vehicles at 40 km/h
N3 Rigid vehicles at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0-16.2 4x2 Y=0.329X+9.607
16.2-25.0 6x2 Y=0.523X+6.462
16.2-25.0 6x4 Y=0.673X+4.032
25.0-31.0 8x2 Y=0.430X+8.780
25.0-31.0 8x4 Y=0.732X+2.558
31.0-37.0 10x2 Y=0.963X-7.753
Table 79 Category N3– Rigid vehicles at 60 km/h
N3 Rigid vehicles at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0-16.2 4x2 Y=0.600X+9.890
16.2-25.0 6x2 Y=0.515X+11.271
16.2-25.0 6x4 Y=0.932X+4.515
25.0-31.0 8x2 Y=0.382X+14.598
25.0-31.0 8x4 Y=1.318X-5.148
31.0-37.0 10x2 Y=1.043X-5.913
Table 80 Category N3– Tractor Trailer vehicles at 40 km/h Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
286
N3 Tractor Trailer at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
35.2-40.2 4x2 Y=0.826X-3.165
40.2-49.0 6x2 Y=0.630X+4.732
40.2-49.0 6x4 Y=1.008X-10.480
Table 81 Category N3– Tractor Trailer vehicles at 60 km/h
N3 Tractor Trailer at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
35.2-40.2 4x2 Y=0.260X+27.888
40.2-49.0 6x2 Y=0.2364X+28.838
40.2-49.0 6x4 Y=0.563X+15.728
Table 82 Category M3– Vehicles at 40 km/h
M3 Vehicles at 40 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0 and above 4x2 and 6x2 Y=0.659X+6.582
Table 83 Category M3– Vehicles at 60 km/h
M3 Vehicles at 60 km/h
Gross vehicle weight range Axle
configuration
Equation for deriving target fuel consumption
(l/100km)
12.0 and above 4x2 and 6x2 Y=0.340X+14.300
42. Innovations to curb air pollution
Table 84 Innovation to curb CO2 emission
Air Ink by Graviky Labs
• Graviky Labs have developed “Air Ink” which is made entirely out of pollution. They
capture air pollution with their retrofit technology from diesel generators, other
fossil fuel chimney stacks, ambient air etc. It can be customized for all sizes and
use-cases for outdoor pollution capture.
124
Odd-even policy by Govt. of
NCT of Delhi
• The Government of NCT of Delhi implemented odd -even scheme with the objective
of reducing air pollution in Delhi. The policy was first introduced for five days in
November 2015.
• Under the policy, odd numbered vehicles would move on odd numbered days, while
even numbered vehicles would move on even numbe red days.
124
Graviky (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
287
From pollution to product
by Chakr
• Chakr Innovation have developed world’s first retro-fit emission control device for
diesel generators. It captures ~90% of particulate matter emissions from the
exhaust air without reducing energy efficiency. The diesel soot captured from the
exhaust is converted into inks and paints.
125
Solar Ferry by NavAlt
• Founded in 2013 NavAlt Solar & Electric Boats Pvt. Ltd envision towards efficient
water transport system which doesn’t use fossil fuels. The company build India’s
first solar ferry, ADITYA for Kerala State Water Transport Department. This ferry is
the first commercially viable mode of transport powered by solar energy in India
and the world.
126
Energy efficient radiant
heat gas burners by
Agnisumukh
• Agnisumukh has built an energy efficient burner system that reverses the
conventional gas fuel mechanism. The burner not only suits the cook pot but also
emits flameless horizontal radiant heat at a low gas pressure without producing any
carbon soot. Their burners are flameless, smokeless, noiseless, and produce
uniform radiant heat. The device has been tested and certified by LERC at a thermal
efficiency, under IS 14612, between 65-68.9% as against conventional commercial
gas burners with efficiency rating between 36-45%.
127
Carbon capture to
concerete by Blue Planet
• Blue Planet’s technology uses CO2 as a raw material for making carbonate rocks.
The carbonate rocks produced are used in place of natural limestone rock mined
from quarries, which is the principal component of concrete. CO2 from flue gas is
converted to carbonate (or CO3=) by contacting CO2 containing gas with a water-
based capture solution. Using this method, they produce lightweight coarse and fine
aggregate, available for residential and commercial construction, sack concrete,
roofing granules, high solar-reflective cool pigments, titanium oxide and many
others.
128
43. Vehicle safety standards and regulations
Domestically manufactured vehicles in India required to comply with Indian Standards (IS) and Automotive
Industry standards (AIS). The safety standards are divided into two parts: Active safety and passive safety.
Active Safety Systems provides advance warning or additional assistance to the driver in steering/ controlling
the vehicle. Whereas, Passive safety system, does not actively participate in continuous assistance but
comes to action only when needed.
125
Chakr (access here)
126
NavAlt (access here)
127
Agnisumukh (access here)
128
Blue Planet (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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Some examples of Active safety systems are ABS (Anti -lock braking system), ESC (Electronic Stability
Control), ACC (Adaptive Cruise Control), LDW (Lane Departure Warning) etc. Examples of Passive safety
system are Airbag, seat belt, Child Safety Systems (CSS)
Table 85 Active and passive safety standards
Active Safety
1. Steering Gear CMV Rule – 98, IS:11948
2. Horn Performance CAA/ Rule-119, IS:1884
3. Horn Installation CMV Rule-119, AIS-014
4. Drivers Field of Vision CMV Rule-124-34, AIS:021
5. Speedometer CMV Rule-117, IS:11827
6. Rear View mirror Performance CMV Rule-125, AIS-002
7. Tyre Performance CMV Rule-96, AIS:044
8. Tyre Installation CMV Rule-95, AIS:061
9. Condition of Tyres CMV Rule-94
10. Brakes Fitment CMV Rule-96
11. High Speed Brake Requirements CMV Rule-96B
12. Brakes Requirements CMV Rule-96, IS:1852
13. Lighting Signalling Installation CMV Rule-124-20, AIS
14. Lighting Signalling Performance CMV Rule-124-20, AIS:012
15. Hydraulic Brake Hose CMV Rule-123-2, IS 18654
16. Wheel Rims CMV Rule-123-8, IS 9436
17. Wheel nut disc & Hub caps CMV Rule-124-14, IS-13941
18. Hood Latch CMV Rule-124-17, IS 14226
19. Tell Tale Symbols and Control CMV Rule-124-15, SS:12.1
20. Acc. Control System CMV Rule-124-15, 14283
21. Windscreen Wiper CMV Rule-101, AIS:019
22. Wheel Guards CMV Rule-124-13, IS:13843
23. Bumpers CMV Rule-124-41, AIS:006
24. Arrangement of Foot Controls CMV Rule-124-45, AISL035
25. Gradeability CMV Rule-124-23, AIS:003
26. EMI CMV Rule-124-21, AIS 004
Passive Safety
1. Safety Belt CMV Rule-125,AIS:005
2. Safety belt, Anchorages CMV Rule-125, AIS:015
3. Seats, their Anchorages and Head
Restraints
CMV Rule-125, AIS:016
4. Exterior Projections CMV Rule-124-11, IS:13942
5. Fuel Tank- Non Plastic CMV Rule-124-7, IS:12056
6. Interior Fittings CMV Rule-138-a, IS-15223
7. Safety Glass CMV Rule-100, IS:2563 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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8. Steering impact GVW up to 1.5t CMV Rule-124-5, IS:11939
9. Side door impact CMV Rule-124-6, IS:12009
10. Door Locks & retention components CMV Rule-124-16, IS:14225
11. Fuel Tank Plastic S.O. 1431 dt. 20
th
Aug 2007, IS: 15547
Source: 160 SIAM
Along with these standards, India has mandated airbags, anti-lock
braking system (ABS), speed limit indicators all new vehicles
Chapter 4 Review of Services and Business Models in electric m obility
44. EV charging business model
As the market of electric mobility will develop, business operating in the segment will also evolve. In the
chapter, we discussed business models that are promoting uptake of EVs within the customers. However,
for investors and business operating in the electric mobility segment, there are multiple potential revenue
streams within the EV ecosystem which can be explored. Some of such revenue streams are provided in the
figure below.
Figure 218 Potential revenue streams for business in the electric mobility ecosystem
Source: 161 F&S - 360 Degree Perspective of the Global Electric Vehicle Market Opportunities and New Business Models (access here)
Charging
stations
Batteries
Electric
vehicles
Electricity
Telematics &
other services
Manufacturing
& sales
Installation &
maintenance
Charge payment
program/ subscription
based services
Revenue from
value added
services
Premium revenues
via renewable energy
vs non-renewable
energy
Premium revenues
via peak power vs
off peak charging
Level 1 vs
level 2 vs
level 3
charging
Battery leasing Refurbishing Recycling
Battery second
life
Battery
swapping
Extend to other
e-mobility
solutions
Battery
integration
Energy
subscription
packages
Extended e-
mobility
solution such as
vehicle sharing
After sales
services
Market green
solutions such as
solar panels to e-
mobility client base
Recycling and
refurbishing
Subscription
based energy
service scheme
Load
management
Investment in
renewable
energy and gain
carbon credit
Premium
revenues vis
peak power vs
off peak charging
Premium revenues
via renewable
energy vs non-
renewable energy
Data
aggregator
Battery
management
services
E-mobility IT
platform
V2V and V2G
communication
Added value
services
ServicesPossible revenue streams Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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45. Payments services
Figure 219 Payment methods for enabling electric mobility services
Source: 162 Cashless India, Deloitte analysis
Note: PoS: Point of Sale; UPI: Unified Payment Interface; USSD: Unstructured Supplementary Se rvice Data
A. Card payments
Card payments are one of the widely used mode for transaction in India. Cards are categorised into two
categories: Debit card & Credit card.
A debit card is a payment card in which money is deducted directly from the customer’s ban k account to
pay for a purchase, whereas credit card enables the cardholder to borrow funds from the financial institution
for the payment towards purchase of goods and services.
These cards eliminate the hassle of carrying cash and are convenient for making transaction. These can be
used at PoS (Point of Sale) machines, ATMs, Micro ATMs, Shops, wallets, online transactions, and for e -
commerce websites.
B. PoS (Point of Sale) payment
This type of payment is done using Point of Sale (PoS) machine, generally
placed at merchant stores. In PoS payment, customer prefers to pay for the
goods and service digitally using card or mobile and the merchant, using the
PoS machine process the transaction.
In the PoS machine, transaction is done either by swiping the card or by
using NFC (Near Field Communication).
In swipe transaction, the card is inserted into the machine and the PoS
machine reads its magnetic fields and matches it with the customer’s bank
account information.
Whereas, In NFC (Near field communication), contactless communication
takes place between the PoS machine and NFC card or smartphone. Her e the
customer one needs to wave the card/ smartphone over the NFC compatible
PoS device to send information without needing to touch the devices
together. Example of NFC based payment is Samsung NFC Payment; ICICI
touch and Pay etc.
C. Mobile Banking payment
Mobile banking is a digital payment method used by customers to pay for the purchased goods and services.
In mobile banking, customers make financial transactions with the help of mobile apps developed by banks/
financial institutes. Some of the example of mobile banking apps are SBI YONO , ICICI iMobile, Standard
Chartered SC Mobile etc.
D. Digital Wallet payment
Figure 220 Swipe transaction at
PoS
Figure 221 Transaction using
NFC at PoS
PoSCredit/ Debit
card
Mobile
Wallet
QR Code
*99#
USSDMobile
Banking
UPI
Payment Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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A mobile wallet is a virtual wallet that stores user’s money electronically and use it when needed. Mobile
wallet needs a smartphone and internet connected to operate. It is one of the most convenient option to
pay online for the purchase of goods/ service.
Mobile wallets are categorized into three categories: Open wallet; Closed wallet; and, Semi-closed wallet
Open wallet Open wallet allows user to carry multiple operations such as purchase of goods and services,
withdraw of cash at ATM, deposit money, fund transfer etc.
E.g. M-Pesa by ICICI Bank and VMPL (Vodafone M -Pesa Limited)
Closed wallet In this wallet, amount of money is locked with the merchant to place order, use in case of a
cancellation or return of the order, or gift cards.
E.g. MakeMyTrip Wallet
Semi-closed
wallet
This wallet does not permit cash withdrawal but allows users to buy goods and services at the
listed merchants.
E.g. Paytm, OLA Money
E. UPI payment
Unified Payments Interface (UPI) is a system which connects multiple bank accounts into a single mobile
application for immediate money transfer through mobile device round the clock 24x7 and 365 day s. It uses
a single mobile application for accessing different bank accounts.
Electric mobility service providers can use UPI apps for receiving payments for their services from the
customer.
E.g. BHIM app
F. QR code paym ent
Quick Response Code (QR code) is a 2D matrix barcode that stores encoded
information such as hyperlinks to website pages, app downloads, etc. Users can
decode it simply by scanning the QR code image using any device with built-in camera
and QR code reader application installed.
Bharat QR, developed by NPCI (National Payment Council of India), is the widely used
QR solution in India. Electric mobility merchants can display these QR codes at their
premises and customers can pay through linked account by scanning these QR codes
via Bharat QR enabled application.
G. USSD (Unstructured Supplementary Service Data) payment
Launched in 2012, USSD is a mobile banking service catering to immediate low value
remittances. Unlike other mobile banking services, USSD doe s not require internet service and works on
network provided by telecom operator. In USSD, customers access financial services by dialling *99# from
their mobile number registered with the bank.
46. Summary of mobility business models
In Chapter 4, we have reviewed various business models in the mobility space. Each of the business model
is unique in its own way. Some of them are tailored for short distance ride, while in others, customer may
use vehicle for long journeys and can even keep the vehicle for months.
Figure 222 QR
payment
Source: 163 Payment
expert
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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In the figure provided below, summary of mobility business models is represented:
Figure 223 Summary of mobility business models
As noticed from above figure, electric vehicles hold strong potential to add value in the existing mobility
business models.
Growth in the mentioned business models is expected to trigger
higher adoption of electric vehicles.
47. EV charging infra business mo dels
Figure 224 Snapshot – Key global EV charging business models
Source: 164 Deloitte analysis
Micro-mobility Ride Hailing Car Sharing
Ride Sharing/
Carpooling
Car Subscription
Value proposition
Vehicle ownership
Travel distance
Cost & convenience
Customers
Disadvantage
Affordable short
distance trips
Company
Short
Low
Short distance
travelers;
Delivery
-
Convenient, safe,
and affordable
transportation
Driver
Short-Medium
High
Daily commuters;
Corporates
Costly
Short-term car
rental
Company; Private
owners
Medium-Long
Medium
Point to point
commuters;
Corporates
Less flexible; Costly
Economical travel
Private owners
Short-Medium
High
Daily commuters
No personal
mobility experience
Personal mobility
experience
Company; private
owner
Medium-Long
High
Travelers
Expensive for
longer tenure
Value addition by EVHighHighMedium-HighMediumMedium-High
1
2
3
4
5
6
7
Particular
Integrated
charging
provider
Infrastructure planning
Installation, management and
ownership
Investment financing
Third parties (e.g. hotels, shopping centres)
Auto manufacturers (as secondary business)
Hardware manufacturers
Public authorities
Power companies/Utilities
Hardware manufacturers
Utility
Independents (Private players)
Public
Public authorities
Hardware manufacturers
Independents (Private players)
Public authorities
N/A
Operators Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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A. Public authority
Public authority plays vital role in development of EV infrastructure, especially during the early stage of
adoption. The authority uses its budget to plan for the infrastructure and deploy charging stations in public
place using public procurement process. In some cases, the authority however contracts out specialist
companies to manage the charging network. NDMC (Delhi) and BBMP (Bengaluru) are good example of
them.
B. Power utility
Power utility is an essential player in EV charging ecosystem. It is the public utility that provides
connectivity to the charging stations as it requires significant power output from the grid. Growth in adoption
of EV charging business is beneficial for utilities as they may experience growth in their revenue stream.
Internationally, it is observed that other than providing connectivity to the charging stations, utilities are
joining hands with EV charging ecosystem players and investing in development of EV c harging stations.
Utilities are adopting three key business models to participate in EV charging business: Franchisee model;
Power Supplier model; Lease model
C. Vehicle manufacturers
Players in vehicle manufacturing provides customers with charging solutions. Many EV manufacturers are
actively working on development of public charging solutions by partnering with CPOs, fleet owners,
dealerships and/ or charging hardware manufacturers.
These players offer integrated charging services with the purchase of the EV. This includes access to public
charging networks at a reduced price and includes a private charging wall box with the purchase of the
vehicle.
Pricing models usually used by these players in charging infrastructure includes discounting charging as part
of the vehicle or including access to a closed or public charging network with the purchase.
Some of the major EV manufacturers with focus on EV charging business are:
Tesla
Nissan
Renault
BMW Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
294
Source: 165 Image: teslarati
D. Location owners
Location owners can be divided into two types: governmental locational owners and private owners.
Local government provides its spaces for development of EV charging station and in turn encourages its
public to use EV.
Private players are mostly the retail businesses aiming at the B2C market. Typically, these players enter in
the electric mobility market from partnerships with charging point operators or hardware players to give
access to a location where the charging point equipment can be installed. The locational players rent, sell or
partners with charging service providers to provide customers with a charging service in addition to their
core service offering of the co-located retail business.
E. Indian players
Fortum India
Fortum, an electricity retailer in the Nordics, ventured in India in 2012. The company brought their “Charge
& Drive” offering in India, outside Europe for the first time. Fortum Charge & Drive is highly advanced
solution for operating a charging network. The compa ny operates a widespread DC fast public charging
network. It also offers cloud based EV charger management system. Fortum is currently present in selected
cities such as Delhi, Noida, Gurugram, Hyderabad, Ahmedabad, Mumbai, and Bengaluru. The company
operates in 40 locations, with 43 chargers and 73 charging points
129
.
129
Fortum Charge & Drive (access here)
Box 30: Case Study – Tesla Supercharger Network
The Tesla Supercharger network
of fast-charging stations was
introduced beginning in 2012. As
of March 2020, Tesla ope rates
~16,000 Superchargers in 1,826
stations worldwide. Tesla has
installed Superchargers in urban
areas where city dwellers and out
of town visitors can charge their
EVs. These stations are placed
through partnerships at
convenient locations viz. grocery
stores, commercial centres,
restaurant chains, shopping
complexes, etc.
Independent of the Superchargers, Tesla also has Destination chargers. As of September 2019, Tesla has distributed
23,963 destination chargers to locations (such as hotels, restaurants, and shopping centers) worldwide. These
chargers are slower (typically 22kW) than Superchargers and are intended to charge cars over several hours. These
chargers are typically free to Tesla drivers who are customers of the business at the location.
The benefits of offering credits to superchargers results in EV buyers to buy Tesla models more rather than from a
lower cost competitor who does not have a robust charging network. Increased sales cover the costs of installation
and maintenance of Tesla superchargers. Consumers then prefer to buy less of non-Tesla models since Tesla models
offer mileage and convenience of fast charging along various locations.
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• Fast DC charging; IT enabled network; cloud-based
charger management
Key partnerships: • Partnership with MG for installation of DC fast charging
Key resources: • DC fast chargers
Key processes: • Turnkey installation/ operation/ maintenance
• Customer service
• End-user operation
Story/ Channel for
communicating value:
• Website
• Mobile App
Cost structure: • Operation and maintenance of charging station/ charger
Revenue stream: • Energy charge (INR/ kWh) for vehicle charging (Pay-as-
you-Go basis)
Distribution channels: • Mobile app to navigate driver to nearest charging point
Customer segments: • EV owners
48. Contract decision framework parameters
Table 86 Decision framework to selected suitable PPP contract for e-bus procurement
Sr. No. Parameter Definition
1. Load factor on routes This parameter takes into account the average load factor cumulatively on
all the routes.
2. Overlap of routes This parameter pertains to the presence of multiple bus operators in a
city, often leading to deployment of multiple operators on a route or
overlapping of multiple routes.
3. Authority's control over
service and network plan
The contracting authority’s ability to make changes to the service and
network plan varies with the type of contract
4. Integration of different
modes
There may be multiple modes of transport in a city. Integration among
these modes of transport and coordination among the various agencies
responsible for respective mode is important to provide seamless public
transport to users.
5. Competing Modes Competing modes refer to the presence of multiple modes such as metros,
BRTS, intermediate public transport (IPTs), etc. Higher number of
competing modes lead to a higher score since competition leads to less
load factor on buses. However, as IPTs are prevalent in every city in India,
the minimum score will be one (1).
6. Fund Allocation for the entire
term of contract
It is important to demonstrate the allocation of funds by the contracting
authority to undertake city bus private operation for the entire term of the
contract, which covers initial financing as well as financing during the
operational period. If the envisaged funds are to be provided by a
government entity other than the contracting authority, approval from
such entity shall also be obtained prior to initiating the bidding.
7. Provision of dedicated
funding
To provide an additional level of comfort to the operators and their
lenders, it is preferable to provide for dedicated funding arrangements
Value
proposition
Value creation
Value
communication
Value capture
Value Delivery Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
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Sr. No. Parameter Definition
such as Urban Transport Fund or any other alternative mechanisms to
undertake the project.
8. Credit Rating Credit Ratings assess the financial health including debt repayment ability,
ability to recover the cost of services and track record of service delivery
among other things. This should cover the contracting authority, municipal
body or any other government entity responsible for financing city bus
operations, either in full or part. A higher rated agency is better able to
cover its liabilities.
9. Creation of SPV Incorporation of SPV that is fully functional to undertake public bus
transport in the city.
10. Adequacy of Staff for Bus
Transport
Adequate staffing of the contracting authority to undertake the project for
tasks such as contract management, monitoring the project, technical
staff to verify physical conditions at depot, etc. A well-staffed contracting
authority shall have employees for control room functions, monitoring
functions and project administration functions.
Note: Using the above listed parameters, most suitable PPP contract can be determined. Please refe r to Guidelines for participation by
private operators in the provision of city bus transport services (access here) to under the calculations in detail.
49. Charging of E-buses
Charging technologies for e -buses
Globally, there are multiple charging technologies deployed for charging e-buses, there could be multiple
ways to segregate the charging technologies on the basis of method of electricity transfer, power output
levels, control and communication capabilities, etc. However, broadly the charging methodology differs in
way electricity transfer from grid to the electric bus. It can be majorly classified as plug-in charging
(dominant), battery swapping, and inductive charging technologies.
Figure 225 Classification of e-bus charging methodologies based on way of electricity transfer
Source: 166 Deloitte analysis
Based on the charging speed and capacity, charging technologies could also be categorized as fast and slow
charging. The definitions of fast and slow charging may differ by country, but the speed can be measured
by C-rates, or the rate of charge and discharge as compared to the capacity of the battery. Based on the
location of usage, charging can be classified as depot/terminal charging and on -route or opportunity
charging. Depot charging usually occurs overnight for hours or during the day for around an hour during
bus shift. Terminal charging usually occurs after the bus finishes one trip and normally takes only minutes
to partially recharge. Plug-in charging is most commonly used for depot/terminal charging. On -route or
Opportunity charging can be plug-in or inductive. Plug-in chargers use an automatic connection that may
link buses to high-capacity overhead chargers (used in Berlin, Germany). Inductive chargers are wireless
and use specially equipped pads on the road and underbelly of the bus to transfer electricity (used in Gumi,
South Korea, and in Turin, Italy). Opportunity charging allows buses to remain in use without returning to
an off-route service centre for battery charging throughout the day. Further, ABB have developed flash
E-bus charging technologies
ConductiveInductive (wireless)Battery Swapping
AC Charging
(Slow or Fast)
DC Charging
(Slow or Fast)
DC Plug-inDC Pantograph Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
297
charging method as well, that has been deployed in Geneva and is said to fully charge the e-bus in 15-20
seconds
130
.
Deployment of charging stations in a meticulous way is critical for a bus service provider to achieve smooth
operation of its e-bus fleet and make the corresponding electrification investment worthwhile. In order to
make a seamless transition to electric mode, it is imperative that the establishment of required charging
infrastructure is planned in advance and with enough due diligence. Among the different operating factors,
the range of an e-bus and charging time could potentially impact the service of a public bus fleet.
AC conductive Charging
An EV can be charged by conductive AC charging technology provided the e -bus has an on-board charger
that can convert AC supply from grid to DC power for charging the vehicle battery. AC charging is the most
prevalent type of charging since the grid supplies the electricity in AC. Further, AC charging technology
offers better cost advantage over DC charging, where the cost of the converter and other auxiliary equipment
adds to the charger cost. However, AC charging is only possible when the vehicle has an on-board charger,
and the capacity of the on-board charger limits the capacity of AC charging. AIS 138 (Part 1) prescribes the
specifications for performance and safety for AC charging Stations for EV and HEV application for Indian
conditions. The Ministry of Power vide its letter no. 12/2/2018/EV dated 1st October 2019, prescribed fast
charging station for public charging infrastructure with at least two charger of minimum 100 kW (200-750
V or higher) each of different specification (CCS/CHAdeMO or any fast charger approved by DST/BIS for
above capacity) with single connector gun
131
.
DC charging
On the basis of design of the charging systems, DC chargers are classified as plug-in or pantograph. This
categorisation is irrespective of the charging power level. A key advantage of DC charging over AC charging
is the DC charging does not require on-board charger in the e-bus. Only in case of continuous charging via
catenary, on-board chargers would be required.
130
Flash-Charging Electric Public Transport: TOSA Buses, Centre for European Policy Studies
131
Ministry of Power - Charging Infrastructure for Electric Vehicles (EV) - Revised Guidelines (access here) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
298
Source: 167 Siemens eBus Charging Infrastructure (access here); Innovative Electric Buses in Vienna (access here)
DC plug-in charging
DC plug-in charging enable DC charging by a plug -in connection. AIS 138 (Part 2) prescribes the
specifications for performance and safety for DC charging Stations for EV and HEV application for Indian
conditions. Fast chargers for electric vehicles make use of DC charging; they convert the power before it
enters the vehicle. After conversion, the power goes directly into the car battery, bypassing the car’s
converter.
A DC installation requires more power (as compared to AC installation) from the grid (around 125 A)
132
. This
makes its costs (production, installation, and operation) quite high, resulting in higher tariffs for charging.
A DC charging station is technologically much more complex and many times more expensive than an AC
charging station (a study
133
suggest that deployment of DCFC station cost $64,158, for AC charging station
it cost $12,875). In addition, a DC charging station requires to communicate with the car instead of the on-
board charger in order to be able to adjust the output power param eters according to the condition and
capability of the battery.
However, as it usually allows for much faster charging, it is the preferred charging method to quickly
recharge during long-distance trips.
DC pantograph charging
This category includes DC charging via pantograph with on -board bottom-up or off-board top-down
configuration. DC pantograph charging technology is expensive and requires auxiliary infrastructure
including distribution transformer (DT), associated LT and HT switchgear, cables, protection system, SCADA
system. Such type of charging is suitable for opportunity charging.
132
AC Charging vs DC Charging (access here)
133
Electric Vehicle Charging Infrastructure Deployment Guidelines British Columbia (access here)
Box 31: Case Study – Vienna on board DC charger: on -line charging via catenary
Vienna is striving to be a leader in green transport. In its e-mobility
strategy of 2012, it sets the aim to reduce personal motorised transport
to less than 20% in 2025. Wiener Linien is the company running most of
the public transit network in the city of Vienna, Austria. In October 2012,
Wiener Linien has started commercial operation of e-buses in two bus
routes with 12 buses which are charged continuously via catenary. The
buses recharge at their end stations by hooking up to the overhead lines
of the Viennese tram using an extendable pantograph, an arm on the roof.
The overhead lines from the tram system supplies direct current, however
alternating current is required to recharge the bus. As the bus needed to
connect to the power lines without additional equipment, both the charger
and inverter were requested to be included in the bus – a feature which
had not been available on the market until then. Siemens provided the
solution; the direct current is converted to alternating current by an IGBT
power inverter included on the bus. Each bus with 96 kWh battery
reportedly takes 6 - 8 minutes for charging per cycles, during which
passengers can get off and on the bus. At night, the ba tteries are
recharged at the depot.
With this recharging technique, it is possible to install a smaller battery
system (nine lithium iron phosphate batteries with a total capacity of 96
kWh instead of the 180 kWh electric buses usually need).
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Opportunity charging (low/high power) consists of charging the bus along the line, either at selected bus
stops or at the head/end of the line using inductive or conductive charging. Both technologies allow quick
charging through high power. The bus can either charge when needed along the line at the available charging
points or is required to charge along the line at pre-identified charging points. Batteries need to fully recharge
overnight as well. This charging strategy enables the operator to use small batteries, but they have to be
suitable for high power.
The ABB has developed and installed flash charging system as opportunity charging for e-buses in Geneva.
In the time e-bus takes for passengers to get on and off the bus, a laser-guided arm sends 600 kW straight
into on-board lightweight batteries with flashing technology developed by ABB. The charge allows for the
propulsion until the next bus / next charging statio n. Box provided below represents details of DC
pantograph-based flash charging technique for en-route opportunity charging.
Source: 168 ABB’s innovative flash-charging technology ushers in a new era of sustainable public transpo rtation (access here); Flash-
Charging Electric Public Transport: TOSA Buses, Centre for European Policy Studies
Inductive Charging
Inductive charging is also used as opportunity charging method like DC pantograph charging technique.
However, in inductive charging there is no physical contact established between electric bus and the power
source. The inductive charging category includes all charging technologies which achieve wireless transfer
of electricity, either by static or dynamic induction. As far as economics is concerned, inductive charging
technology using underground power delivery systems are found to be expensive, although the required
area for installation is minimal (in Sweden, ElectReon is developing 11 million
134
Euros smart road project
covering 4.1 km of road, enabling trucks and buses on highway to get inductively charged). These systems
134
Will Inductive charging be the future of EV charging (access here)
Box 32: Case Study – Flash-Charging Electric Public Transport: Opportunity charging
TOSA (Trolleybus Optimisation Système Alimentation) flash
charging technology has been developed by ABB and it is in
operation in Geneva. The city of Geneva employs DC
pantograph-based technology for charging trolley e-buses.
In July 2016, ABB has been awarded orders totalling more
than $16 million by Transports Publics Genevois (TPG),
Geneva’s public transport operator, and Swiss bus
manufacturer HESS, to provide flash charging and on-board
electric vehicle technology for 12 TOSA fully electric buses.
ABB piloted e-buses on the route connecting the city’s airport
to suburban areas of Geneva.
There are two types of chargers along the route:
1.Flash-charging stations at selected stops, which provide a short high-power boost at 600 kW for 15 to 20
seconds.
2.Terminal feeding stations, which deliver prolonged charges of 4-5 minutes at 400 kW to fully top-up the
on-board batteries
When Bus stops at charging stations equipped with a converter, fed by alternating current (AC) from the utility
grid and delivering direct current (DC) to the e-bus, a laser-controlled arm on the roof connects in less than a
second to an overhead receptacle built into the bus shelter. The connection provides a high-power charge – using
a feed of up to 600 kilowatts. The boost recharges the battery enough to let the bus continue on its way. To ensure
public safety, the high-voltage overhead connectors are energized only when the battery is being recharged.
TOSA buses can use much smaller, lighter-weight batteries as a result of the flash charges along the route. There Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
300
require auxiliary infrastructure including special high- frequency transformer, associated LT and HT
switchgear, cables, protection system, SCADA system, vehicle alignment m onitoring system, etc.
This technology is still evolving and very few examples exist worldwide of using wireless technology for
electric bus charging. It has been successfully deployed in Gumi, South Korea. Few examples also exist in
USA. Below box provides the case study of inductive charging technology deployed at Gumi.
Source: 169 South Korea - Wireless Charging Powers Electric Buses (access here); Wireless Charging of Electric Bus in Gumi (access here);
Economic Analysis of the Dynamic Charging Electric Vehicle (access here); The first 200-kW wireless charging system for electric buses is
deployed (access here)
Battery Swapping
In conventional electric vehicles, the battery is charged inside the vehicle as needed, usin g direct or
alternating current. However, battery swapping provides alternative route for refuelling - the drained
batteries are replaced with freshly charged ones. This alternative is particularly useful for commercial
vehicles that would like to minimize their downtime to the extent possible for refuelling of vehicles.
Battery swapping system consists of the battery charging system and the battery swapping mechanism.
Hence, the technical parameters for a battery swapping system would depend on both the ch arging point
for batteries and the swapping infrastructure.
India’s first battery swapping station for public buses (with capacity to charge 12 batteries at a time) has
been set up at Ranip, a central spot on Route 1, in Ahmedabad. Bus manufacturer, Asho k Leyland has
collaborated with the energy service provider, Sun Mobility to implement the battery charging infrastructure
and swapping system. Swapping the 600 kg battery after each trip takes just 3 -4 minutes. By reducing
battery size while using swapping en-route swapping arrangement, the space inside the bus could be
increased to accommodate more passengers.
Snapshot of e-bus charging technologies categorized on the basis of method of electricity transfer is provided
in table below:
Box 33: Case Study – Korean OLEV system: inductive charging
The city of Gumi, South Korea have deployed in e-buses in 2014, where
the fleet is charged via induction. The Korea Advanced Institute of
Science and Technology (KAIST) developed the Online Electric Vehicle
(OLEV) platform used for charging e-bus batteries under a $69 million
funding from the government. Every On -Line Electric Vehicle (OLEV)
e-bus is equipped with a special receiver which can collect electric
power wirelessly from the underground power supply while in motion
or at the stationary condition. When an induction-capable bus passes
over that charging plate, the two magnets become "tuned," and current
flows to charge the on-board battery.
The route is although 15 miles on which this technique is operational.
It is using 100 kW charging system. However, in USA Momentum
Dynamics Company is working on 200 kW and 300 kW charging system
as well. With a 6.7-inch gap between the road and the bus, there's 85
percent charging efficiency reported in Gumi.
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
301
Table 87 E-bus charging technologies
Technology Key features Potential advantages Potential Disadvantages
Electric: plug-in
charging
Plug-in charging uses a
physical connector that
engages power source with
electric bus
• Can be used in a depot or
on the route (opportunity
charging)
• On-route charging leaves
buses in operation without
needing to return to off
route depots for recharging.
• Using fast-charge
technology increases
operational capacity
• Requires careful route
optimization
• Requires investment in
embedding on-road
charging technology or in
overhead chargers
• May affect grid reliability
Electric:
inductive
charging
Buried underground and
connects wirelessly to
special coils underneath
the buses.
This is at evolution stage
and is not commercially
available on a large scale
till date
• Less obtrusive and
minimally exposed to
damage or vandalism than
other charging technologies
• Operators can have on-
route battery top-up that
keep buses near full charge
for the entire route and
extends their range
• Requires careful route
optimization
• Reduces flexibility of route
design
• Relatively expensive
Battery
swapping
Battery swapping system
consists of the battery
charging system (normally
plug-in arrangement) and
the battery swapping
mechanism (for e-bus, due
to heavy weight of
batteries, robotic arms are
used as swapping
mechanism)
• Provide flexibility of
refuelling within few
minutes
• In case of availability of
sufficient on-route swapping
stations lower battery size
could be used leading to
lesser bus weight and cost
• Battery health can be
monitored better, and slow
charging would prolong
battery life as compared to
fast charging
• Costly, particularly for e-
buses, due to requirement
of mechanized swapping
system
• Reduces flexibility of route
design, bus may need to
travel off-route for battery
swapping
• Range anxiety
50. Modeling of EV charging station
To understand the feasibility of an EV charging station in India, a sample financial model was prepared with
assumptions relevant to Indian context.
Following were the assumption of the model:
Table 88 General assumptions
Parameters Assumptions
General assumptions
Charger type Bharat DC001
Charger Output 15 kW
Charger life 10 years
Charger operation Unmanned
Capex assumptions
Gross equipment (EVSE) cost INR 4,50,000
Civil cost, aux equipment, power
infrastructure
INR 1,80,000
Labour INR 45,000
Total Cost of Installation INR 6,75,000
Opex assumptions
1
st
Year CUF 10%
10
th
Year CUF 16% (YoY increase @5%)
Land leasing INR 1500/ month Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
302
Parameters Assumptions
Software, CCTV, network charges etc. INR 12000/ month
O&M expense INR 1,688/ month
O&M escalation 3% per annum
Retail tariff cost (1
st
Year) INR 4.5/ kWh (No demand charge)
YoY change in Retail tariff +2%
Revenue assumptions
Energy sales price INR 12.99/ kWh
Escalation 0%
Financing assumptions
Debt : Equity 70:30
Interest on loan 10.5%
Loan tenure 10 years
Moratorium period NO
Return on Equity 16% (post tax)
Project WACC/ Discount rate 9.58%
DHI in its subsidy for EV charging station, under Fame II scheme provides 70% subsidy to Category A
135
chargers.
Note: Although the eligibility of the subsidy requires minimum five chargers in the charging station whereas
the model considers only one charger; as ideal assumption of 70% subsidy on EVSE cost is considered.
Charging station subsidy 70% on EVSE cost
The model was simulated for 10 years of life of the charging station and below were the outputs:
135
Charging stations established at public places for commercial purpose to charge electric vehicles and are available to any individual
without any restrictions for charging their vehicles; and are installed as per MoP notification dated 14th Dec 2018 and its amendment
thereof. (e.g., EV Charging station established in at Municipal Parking Lots, Petrol Stations, Streets, Malls, and Market Complexes etc.) Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
303
I. Profit & Loss Statement
Figure 226 Profit & Loss statement
EV Charging infrastructure
Profit & Loss StatementYear 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
No. of operating days in yeardays 365 365 365 365 365 365 365 365 365 365
CUF10% 11% 11% 12% 12% 13% 13% 14% 15% 16%
Operating income
Total units sold in the yearkWh 131401379714486.8515211.1915971.7516770.3417608.8618489.319413.7620384.45
Revenue per unit of energy soldINR/kWh 12.9912.9912.9912.9912.9912.9912.9912.9912.9912.99
Total revenue from sale of powerINR Lakh 1.71 1.79 1.88 1.98 2.07 2.18 2.29 2.40 2.52 2.65
Operating expenses
Per unit power purchase costINR/kWh 4.50 4.59 4.68 4.78 4.87 4.97 5.07 5.17 5.27 5.38
Total cost of power purchaseINR Lakh 0.59 0.63 0.68 0.73 0.78 0.83 0.89 0.96 1.02 1.10
Charge for the areaINR Lakh 1.80 1.80 1.80 1.80 1.80 1.80 1.80 1.80 1.80 1.80
WagesINR Lakh - - - - - - - - - -
Software feesINR Lakh 1.44 1.44 1.44 1.44 1.44 1.44 1.44 1.44 1.44 1.44
O&M excl. of wagesINR Lakh 0.11 0.11 0.11 0.12 0.12 0.13 0.13 0.13 0.14 0.14
Total operating expenseINR Lakh 3.94 3.98 4.03 4.08 4.14 4.20 4.26 4.33 4.40 4.48
EBITDAINR Lakh -2.23 -2.19 -2.15 -2.11 -2.06 -2.02 -1.97 -1.93 -1.88 -1.83
(Less) Depreciation/AmortizationINR Lakh 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36
EBITINR Lakh -2.59 -2.55 -2.51 -2.47 -2.42 -2.38 -2.33 -2.29 -2.24 -2.19
(Less) InterestINR Lakh 0.26 0.25 0.23 0.21 0.19 0.16 0.14 0.11 0.08 0.04
EBTINR Lakh -2.86 -2.80 -2.74 -2.68 -2.61 -2.54 -2.47 -2.40 -2.31 -2.23
(Less) TaxINR Lakh - - - - - - - - - -
PATINR Lakh -2.86 -2.80 -2.74 -2.68 -2.61 -2.54 -2.47 -2.40 -2.31 -2.23
End of sheet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
304
II. Balance Sheet
Figure 227 Balance sheet
EV Charging infrastructure
Balance SheetYear 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
No. of operating days in yeardays 365 365 365 365 365 365 365 365 365 365
Assets
Fixed assetINR Lakh 3.24 2.88 2.52 2.16 1.80 1.44 1.08 0.72 0.36 -
CashINR Lakh -2.65 -5.26 -7.83 -10.36 -12.84 -15.28 -17.68 -20.02 -22.32 -24.57
Total assetsINR Lakh 0.59 -2.38 -5.31 -8.20 -11.04 -13.84 -16.60 -19.30 -21.96 -24.57
Liabilities
Equity share capital INR Lakh 1.08 1.08 1.08 1.08 1.08 1.08 1.08 1.08 1.08 1.08
Reserve and surplus INR Lakh -2.86 -5.66 -8.40 -11.08 -13.69 -16.24 -18.71 -21.10 -23.42 -25.65
DebtINR Lakh 2.37 2.20 2.01 1.80 1.57 1.31 1.03 0.72 0.38 -
Total liabilities INR Lakh 0.59 -2.38 -5.31 -8.20 -11.04 -13.84 -16.60 -19.30 -21.96 -24.57
Check- - - - - - - - - -
End of sheet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
305
III. Cash Flow Statement
Figure 228 Cash flow statement
EV Charging infrastructure
Cash Flow StatementYear 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
No. of operating days in year days 365 365 365 365 365 365 365 365 365 365
Cash from operation
PATINR Lakh -2.86 -2.80 -2.74 -2.68 -2.61 -2.54 -2.47 -2.40 -2.31 -2.23
Adjustment for non-cash and non-operating expenses
Add: amortization expense INR Lakh 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36
Add: interest paid INR Lakh 0.26 0.25 0.23 0.21 0.19 0.16 0.14 0.11 0.08 0.04
Cash flow from operating activitiesINR Lakh -2.23 -2.19 -2.15 -2.11 -2.06 -2.02 -1.97 -1.93 -1.88 -1.83
Cash from investing
Capex-3.60 - - - - - - - - -
Cash flow from investing-3.60 - - - - - - - - -
Cash from financce
Issue of equity share capital1.08 - - - - - - - - -
Add: Debt raised2.52 - - - - - - - - -
Less: Debt repayed-0.15 -0.17 -0.19 -0.21 -0.23 -0.25 -0.28 -0.31 -0.34 -0.38
Interest paid-0.26 -0.25 -0.23 -0.21 -0.19 -0.16 -0.14 -0.11 -0.08 -0.04
Cash flow from financing activities3.18 -0.42 -0.42 -0.42 -0.42 -0.42 -0.42 -0.42 -0.42 -0.42
Beginning cash balance- -2.65 -5.26 -7.83 -10.36 -12.84 -15.28 -17.68 -20.02 -22.32
Add: Cash Generated during the year-2.65 -2.61 -2.57 -2.53 -2.48 -2.44 -2.39 -2.35 -2.30 -2.25
Closing cash balance-2.65 -5.26 -7.83 -10.36 -12.84 -15.28 -17.68 -20.02 -22.32 -24.57
End of sheet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
306
Output of the model
Figure 229 NPV - Basecase
Project feasibility
Table 89 Model output on project feasibility
Parameters Assumptions
Project feasibility
Project NPV INR -19.78 Lakh
Project IRR No positive cash flow
Payback period NA
It can be observed that even after 70% subsidy on EVSE cost, the project is not viable. To understand the
sensitivity of the project NPV & IRR, sensitivity analysis has been done based on certain input parameters.
Input parameters selected for sensitivity are:
1. Annual utilization of charging station
2. Retail tariff of electricity for the operator
3. EV charging tariff operator charges from the customers
To assess the sensitivity, above output on Project NPV an d IRR was considered as basecase. Selected
parameters for assessing sensitivity in the basecase scenario is mentioned below:
EV Charging infrastructure
OutputYear 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
No. of operating days in yeardays 365 365 365 365 365 365 365 365 365 365
EBITINR Lakh -2.59 -2.55 -2.51 -2.47 -2.42 -2.38 -2.33 -2.29 -2.24 -2.19
TaxINR Lakh - - - - - - - - - -
NOPATINR Lakh -2.59 -2.55 -2.51 -2.47 -2.42 -2.38 -2.33 -2.29 -2.24 -2.19
Add: Depreciation INR Lakh 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36 0.36
Less: CapexINR Lakh -3.60 - - - - - - - - -
FCFFINR Lakh -5.83-2.19-2.15-2.11-2.06-2.02-1.97-1.93-1.88-1.83
Add: Debt raised INR Lakh 2.52 - - - - - - - - -
Less: Debt repaid INR Lakh -0.15 -0.17 -0.19 -0.21 -0.23 -0.25 -0.28 -0.31 -0.34 -0.38
Less: Interest paid INR Lakh -0.26 -0.25 -0.23 -0.21 -0.19 -0.16 -0.14 -0.11 -0.08 -0.04
FCFEINR Lakh -3.73 -2.61 -2.57 -2.53 -2.48 -2.44 -2.39 -2.35 -2.30 -2.25
Cumm. FCFF-5.83-8.02-10.18-12.28-14.35-16.37-18.34-20.27-22.15-23.98
Payback period0 0 0 0 0 0 0 0 0 0
Project NPVINR Lakh -16.24
End of sheet Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
307
Figure 230 Parameters considered to assess sensitivity of the project
On the above-mentioned parameters, four scenarios were created where YoY growth in selected parameters
were changed:
Base case Scenario I Scenario II Scenario III Scenario IV
Subsidy: 70%
YoY change in:
Utilization: 5%
Retail tariff: 2%
EV charging tariff:
0%
Subsidy: 70%
YoY change in:
Utilization: 5%-65%
Retail tariff: Basecase
EV charging tariff:
Basecase
Subsidy: 70%
YoY change in:
Utilization: Basecase
Retail tariff: 0%-6%
EV charging tariff:
Basecase
Subsidy: 70%
YoY change in:
Utilization: Basecase
Retail tariff: Basecase
EV charging tariff: 0%-
6%
Subsidy: 0%
YoY change in:
Utilization: 5%-65%
Retail tariff: Basecase
EV charging tariff:
Basecase
Scenario I
Utilization YoY growth gradually increased from 5% to 65%. Below is the impact on Project NPV & IRR:
Figure 231 Project sensitivity w.r.t charging station utilization
Source: 170 Non-discounted payback period
CUF has significant impact on project viability. With the current assumption, CUF YoY growth of 30% will
make project profitable with payback period of 9.33 years. Year-wise % utilization of the charging station
at 30% YoY growth is provided below:
Year 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
Base-case
Subsidy70%
Utilization (%) %10% 11% 11% 12% 12% 13% 13% 14% 15% 16%
YoY change5%
Retail Tariff INR/kWh 4.50 4.59 4.68 4.78 4.87 4.97 5.07 5.17 5.27 5.38
YoY change2%
EV charging tariff INR/kWh 12.9912.9912.9912.9912.9912.9912.9912.9912.9912.99
YoY change0%
NPVINR Lakh-16.24
-16.24
-14.48
-12.24
-9.12
-4.74
0.73
5.31
9.12
12.20
14.69
16.90
19.03
20.39
-17%
0%
11%
18%
23%
27%
31%
34%
38%
40%
-20%
-10%
0%
10%
20%
30%
40%
50%
-20.00
-15.00
-10.00
-5.00
0.00
5.00
10.00
15.00
20.00
25.00
5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60% 65%
IRR (%)
NPV (INR Lakh)
% YoY growth in charging station utilization
Project achieve breakeven at 30%
YoY growth in charging station
utilization
Payback period: 9.33 Years
NPV
IRR Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
308
Figure 232 Year-wise charging station utilization at 30% YoY growth
Project viability output in Scenario I is provided in the below table:
Figure 233 Model output - Scenario I
Parameters Assumptions
Project feasibility @ 30% YoY Utilization growth
Project NPV INR 0.73 Lakh
Project IRR 10.80%
Payback period 9.33 Years
Scenario II
Retail tariff YoY increase gradually increased from 0% to 6%. Below is the impact on Project NPV & IRR:
Figure 234 Project sensitivity w.r.t retail tariff
As understood from above figure, change in retail tariff will not have significant impact on project
profitability.
Scenario III
Year 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
Scenario I
Subsidy70%
Utilization (%) % 10% 13% 17% 22% 29% 37% 48% 63% 82% 100%
YoY change30%
-15.85
-17.16
-17.50
-17.00
-16.50
-16.00
-15.50
-15.00
NPV (INR Lakh)
% YoY growth in retail tariff Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
309
EV charging tariff YoY growth gradually increased from 0% to 6%. Below is the impact on Project NPV &
IRR:
Figure 235 Project sensitivity w.r.t EV charging tariff
As understood from above figure, change in EV charging tariff will not impact project profitability.
Scenario IV
Project subsidy is reduced to 0, and Utilization YoY gradually increased from 5% to 65%. Below is the impact
on Project NPV & IRR:
Figure 236 Project sensitivity w.r.t charging station utilization with no subsidy
As found out from the sensitivity analysis, even with no subsidy, with high utilization, the charging station
business can gain profitability. With the current assumption, CUF YoY growth of 35% will make project
profitable with payback period of 9.17 years. Year-wise % utilization of the charging station at 35% YoY
growth is provided below:
-16.24
-12.47
-18.00
-16.00
-14.00
-12.00
-10.00
-8.00
-6.00
-4.00
-2.00
0.00
NPV (INR Lakh)
% YoY growth in EV charging tariff
-19.78
-18.02
-15.78
-12.80
-8.53
1.331.33
5.10
8.08
10.57
12.77
14.80
16.13
-22%
-5%
11%
11%
16%
19%
22%
25%
27%
29%
-30%
-20%
-10%
0%
10%
20%
30%
40%
-25.00
-20.00
-15.00
-10.00
-5.00
0.00
5.00
10.00
15.00
20.00
5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60% 65%
IRR (%)
NPV (INR Lakh)
% YoY growth in charging station utilization
Project achieve breakeven at 35%
YoY growth in charging station
utilization
Payback period: 9.17 Years
NPV
IRR Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
310
Figure 237 Year-wise charging station utilization at 35% YoY growth
Project viability output in Scenario IV is provided in the below table:
Figure 238 Model output - Scenario IV
Parameters Assumptions
Project feasibility @ 35% YoY Utilization growth
Project NPV INR 1.33 Lakh
Project IRR 11.28%
Payback period 9.17 Years
From the sensitivity analysis, it can be concluded that high
utilization of charging infrastructure is key for the profitability of the
business
51. Key challenges around development of EV charging infrastructure
Low utilization of
charging
infrastructure
Setting-up of charging station requires huge capital that is generally
be borrowed from a financial institution. For early payback of capital
invested in the business, it is required to have high utilization of
assets i.e., charging infrastructure. However, in India, since EV on
road are not significant, the asset utilization remains critically low
leading to multiple issues such as delay in payback, non-recovery of
operating expenses, default in bank loan etc. The charging station
utilization of EESL is provided in the graph below:
Two-part electricity
tariff – Demand
charges on
connected load
15 states and UTs (out of 22) such as Gujarat, Haryana, Karnataka,
Maharashtra etc. have announced demand charges for EV charging
stations. Electricity demand charges are fixed charges levied on
charging station operator based on connected load irrespective of
usage of the charging station facility.
In case of low asset utilization, levy of the electricity demand
charges makes it difficult for charging station operator to achieve
break-even. 7.1
4.4
6.2
5.1
4.8
10.1 10.0
10.6
10.1
15.4 15.3
0.2
1.1
10.1
May-19Jun-19Jul-19Aug-19Sep-19Oct-19Nov-19Dec-19Jan-20Feb-20Mar-20Apr-20May-20Jun-20
Public Charging Station Utilization (EESL)
(in %)Lockdown
period
Issue 1
Issue 2
Year 1Year 2Year 3Year 4Year 5Year 6Year 7Year 8Year 9Year 10
Scenario IV
Subsidy0%
Utilization (%) % 10% 14% 18% 25% 33% 45% 61% 82% 100% 100%
YoY change35% Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
311
No regulatory
mechanism for
setting EV charging
tariff (tariff charged
by operator to
consumer)
Many State Electricity Regulatory Commissions have notified
separate EV tariff that is to be charged by Discom to EV charging
station operator. However, there is no guidance available on setting
maximum limit on charges that a charging station operator could
levy on their customer. The charges levied by Fortum for using its
charging facility is provided as below:
Location Type of charger
Capacity of
charging gun
Price (per
minute)
Hyderabad Bharat DC 001 10kW/15kW INR 10.99*
Ahmedabad CCS/ Chademo Charger 50 kW INR 13.99
Delhi CCS/ Chademo Charger 50 kW INR 14.49
Hyderabad CCS/ Chademo Charger 50 kW INR 15.99
Mumbai CCS/ Chademo Charger 50 kW INR 15.99
Noida CCS/ Chademo Charger 50 kW INR 17.99
Gurgaon CCS/ Chademo Charg er 50 kW INR 18.99
Bengaluru CCS/ Chademo Charger 50 kW INR 18.99
Hyderabad DC Charger 10kW/15kW INR 12.99*
Mumbai DC Charger 10kW/15kW INR 12.99*
New Moti
Bagh - Delhi Type 2 11 kW INR 12.99
* Price in per kWh
Source: Fortum - Pricing list and Terms & Conditions (access here)
No mechanism for
socializing the cost of
power infrastructure
development
To develop a charging infrastructure, it is required to have
availability of suitable and adequate upstream power infrastructure.
There is regulatory uncertainty around whether the cost of network
upgradation for providing electricity connection to charging station
could be passed on to consumer through electricity tariff. Therefore,
power distribution companies are charging cost of upstream network
upgradation from the charging station developer that is increasing
the project cost and associated risk of investment recovery leading
to low bankability of the project.
Further, there is no timeline provided in any supply code in relation
to network upgradation for the EV charging station. This leads to
delay in project execution that has further adverse cascading impacts
on the financial viability of the overall business.
High capital
requirement – lack of
financial support
Setting-up of charging infrastructure is a capital-intensive business.
In the scenario where EV adoption rate in 1-2%, charging station
utilization is less than 20%, and the risk of evolving technology;
financial institutions are shying away from providing loans to the
developer or even if it has been provided the cost of finance is high
considering the risk factors involved. This is leading to insufficient
scaling-up of EV charging business in India.
Further, there is facility extended by government in any policy, for
providing soft/concessional loan or loan backed by government
guarantee to the charging station developer.
No policy for EV
adoption mandate
Unlike China and California, there is no EV mandate provided under
the scheme/policy that puts uncertainty around long-term prospects
of EV in India. In China, State Owned Grid Utilities are investing
hugely in development of charging infrastructure as EV mandate in
the country provide assurance to investors in terms of business
continuity, higher utilization of assets and early payback.
Issue 3
Issue 4
Issue 5
Issue 6 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
312
However, in India, due to lack of demand certainty from EV, the
investors are shying away from putting in resources in development
of charging infrastructure.
Land allocation Identification and allocation of the suitable land is critical in the
entire value proposition of EV charging business. Some State EV
policy has although recognized this as an issue and offered
assistance in identification and allocation of land, however, our
interaction from industry participants suggest that there are
administrative challenges involved in land acquisition and in case of
lease, uncertainty involves around the lease rental on long-term
basis.
Chapter 5 EV ecosystem enablers and barriers
52. Stakeholder consultation
Total 42 expert
individuals from the
EV industry
participated in the
survey
Figure 239 Survey participants category break-up
Note: Other category includes: Non profit organization, research and consulting firms,
think-tank etc.; The above break-up is provided for 28 participants; 14 participants
submitted their response as anonymous
Online survey questionnaire
Q1 "Central and State Governments have announced few policies to promote Electric Vehicles."
What additional policy measures the government should adopt to fast track EV adoption? Please rank
the following (1 – highest priority)
1. Launch of Charge ready infrastructure programme
2. National/ State level policy for incentivizing Distribution Utility investments in EV charging
infrastructure
3. Policy and clear mandate on target EVs on road by 2030 for each vehicle type
4. Policy & clear mandate on GHG emission reduction for country as a whole and then segregated for
each state and how much of the emissions have to reduce from transport sector through
transitioning to EVs
5. Amendments in Tariff Policy to accommodate rate basing of EV Charging infrastructure
6. Dis-incentivize conventional vehicle purchase (e.g. Introduce fossil fuel tax/carbon tax to fund EV
initiatives, Levy parking surcharges etc.)
EV Charging infra
developer/ Service
provider, 21%
Civil Society
Organization
(CSO), 21%
Discom, 18%
Investor/ Financial
Institute, 7%
Academia &
R&D, 7%
Other, 25%
Issue 7 Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
313
7. Promote battery recycling and reuse (e.g. Incentivize end-of-life recycling, Commercialize battery
second life etc.)
Q2 What according to you is the major challenge in adoption of EVs in India? Please rank the following (1 –
most important challenge)
1. Perception of public about EV (Anxiety around range, mileage, power, service, charging
infrastructure etc.)
2. Inadequate charging infrastructure
3. Insufficient government support in providing financial incentives for demand creation
(Consumer to achieve price advantage over ICE vehicles)
4. Insufficient government support in providing financial incentives for reduction in manufacturing
cost (Manufacturer to achieve cost advantage over ICE vehicles)
5. Lack of R&D support in reducing battery prices leading to higher TCO for EVs (Capex + Opex)
6. Concern around safety standards of EV and Charging Infrastructure
Q3 Governments around the world have taken a number of actions to address the barriers to electric vehicle
market development and to accelerate the transition to electric mobility. All such measures can be
bucketed into broad five clusters (mentioned below). Please rank them from high priority to least
priority for the formulation of State/Central level policy. (Rank 1 - highest priority)
1. Expand EV model availability (Stimulate investment in EV production, Support R&D and
demonstration activities)
2. Improve EV cost competitiveness (Financial and non-financial incentives)
3. Develop charging infrastructure network (Regulations and frameworks, incentives for charging
infrastructure investment, home and workplace charging infrastructure)
4. Accelerate EV deployment across different fleets (Public fleet transition, Commercial and
corporate fleet transition)
5. Raise public awareness (Education and skills training, Mass communication etc.)
Q4 "Many European countries have demarcated Zero Emission Zone. Except for EVs, other ve hicles need to
pay tax to enter into such zone."
Do you think that demarcating similar zones in India would provide the necessary thrust for EV uptake?
1. Extremely important
2. Important
3. Good to have
4. Not required
Q5 Integration of EVs with Indian electricity grid is an important aspect in the development of EV
ecosystem. Do you think that the Central/State government should sponsor more syste m modelling/
Grid integration-related pilot demonstration project?
1. Yes
2. No
Q6 Which of the technological intervention can catalyse the pace of creation of EV ecosystem in India?
Please rank the following (1 – highest priority)
1. Undertaking modelling and simulation studies
2. Enabling communication between EV charging Stations (EVCS)
3. Enabling interoperability in EV charging stations
4. Database management and notifications to utilities
5. Enabling communication system between EVCS and distribution uti lity
6. Enabling Vehicle to grid integration Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
314
Q7 Please rate the challenges that you have faced/ are facing in setting up a Charging Infrastructure. (1 –
highest challenge; 8 – lowest challenge)
1. Choosing appropriate locations for placement of EVSE
2. Allotment of land
3. Receiving clearances and approvals for manufacturing facility
4. Technical issues in integration with Distribution network (Voltage Stability and Harmonics)
5. Administrative issues in taking electricity connection
6. Bureaucratic interference
7. Supply of raw material
Q8 "States such as Madhya Pradesh, Uttar Pradesh, Tamil Nadu, Telangana and Punjab have made
provision for Single Window Clearance for EV/Battery Manufacturer, in their EV policies."
Do you consider it as a good suggestion to establish Single Window Clearance System across all States
for providing time-bound technical and administrative approval, for matters related to land allocation,
electricity connection, open access, type-test approval of vehicle systems, parts and equipment license,
permit etc., for EV/Battery/Charging equipment Manufacturer, Charging infra developer?
1. Extremely important
2. Important
3. Good to have
4. Not required
Q9 What should be the priority of Government/Policy maker in India in order to develop charging
infrastructure? Please rank the following (1 – highest priority)
1. Developing framework for public private partnerships / franchisee agreements for developing
EV Charging stations
2. Develop a framework for Managed/ coordinated charging to mitigate distribution network
impacts and facilitate RE integration
3. Provision to include investments in EV charging infrastructure in the retail tariff
4. Identify the tariff structure for EV charging (e.g., ToD tariff, special EV charging tariffs for EV
users)
5. Adoption of smart grid capabilities, such as smart metering, “smart” charging
6. Specifying connectivity standards and technical standards for EVSE equipment
Q10 "Regulatory measures for charging infrastructure have been a major focus area for electricity regulators
the world over."
Would it be a good consideration to have the National Tariff Policy and the Forum of Regulators look
specifically into regulatory measures for promoting charging infrastructure development in the country?
1. Extremely important
2. Important
3. Good to have
4. Not required
Q11 To make the future of electric mobility greener, it is essential to promote renewable energy integrated
with EV charging infrastructure. Do you think that complimentary grant for Open Access or rebate in
Cross-subsidy surcharges/ wheeling charge provided along with electricity connection to a Charging
Station owner availing power from RE sources?
1. Yes
2. No Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
315
Q12 "GoI have constituted National Council for Electric Mobility and National Board for Electric Mobility
(NBEM) as apex bodies to steer the EV growth in Country. However, EV policies notified by several
States vary significantly across many dimensions."
Do you think that for coordinated action on several fronts, across States, there is a need to have a State
Coordination Forum, at National level, (similar to NCRPB, constituted for the coordinated development of
Delhi-NCR region), as a common platform for State representatives to frame unified policies, regulatory
measures, specification, standardization, data sharing protocols, incentives, mechanism for single-
window clearance etc.?
1. Extremely important
2. Important
3. Good to have
4. Not required
Q13 "Ministry of Power, Government of India on 14 December 2018 released the guidelines on EV charging
infrastructure, mandating Charging stations to tie up with at least one online Network Service Provider
(NSP) to provide IT enabled services to EV owner. With the development of EV ecosystem, there would
be a requirement for huge amount of data sharing among various participant – EV owner, power
utilities, Charging Station, Service providers etc. In absence of any secure protocol for data sharing,
cyber security and data privacy; secure operation of Electricity Grids, privacy of EV owner data etc.
would be jeopardized. “
Do you think that there is a need to formulate a National IT Committee for EV, under MeitY to establish
institutional framework to create national data standards, formulate rules for data sharing, and build
capacity within the government and private sector to handle data use, monitoring, and issue resolution?
(This institution could also create and maintain a central database for relevant data.)
1. Extremely important
2. Important
3. Good to have
4. Not required
Status quo analysis of various segments of electric mobility and low carbon passenger road transport in India | Annexure
316
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