With more and more automobile manufacturers launching electric vehicles in the country, Taiwan and Gurugram-based power and energy management company Delta Electronics, optimistic about the EV market in India, believes that the electric vehicle charging industry will grow at 50% per annum in the next three years.
Akshaye Barbuddhe, the business head for EV charging solutions at Delta Electronics in India, told ET that the company has supplied over 700 EV chargers of different capacities and specifications across the country.
Currently, Delta Electronics has two manufacturing facilities located at Rudrapur and Hosur. The company has the capacity of producing 100 EV chargers per month. In the next three months time, Delta Electronics is expected to ramp up its facility to manufacture 500 EV chargers per month.
By 2026, Delta Electronics will be investing $500 Mn in the Indian market. About $200 Mn of this would be used in setting up the first phase of Krishnagiri plant and towards creating research and development lab. The 125-acre Krishnagiri project will be developed in five stages, which include special economic zone (SEZ). It also plans to chase a market revenue of $10 Mn by the end of the next fiscal year.
Furthermore, Barbuddhe said that the growth of emobility will fuel the need for charging infrastructure in the country. Recently, British automobile brand MG Motor had announced that it had partnered with Delta Electronics to strengthen the EV charging infrastructure in the country. With this collaboration, Delta will be installing its next-generation charing solutions, DC City Charger and AC Max, which will be catering to the need of public charging infrastructure.
Last year, Noida-based electric vehicle startup EV Motors India had planned to raise a funding of about $200 Mn to setup nearly 6,500 electric vehicle charging stations in the next five years. Switzerland-based automation company ABB and Delta Electronics were selected to set up charging stations across India.
The Indian government has been aggressively pushing the adoption of electric vehicles in the country with FAME II, and it is clearly evident in the Union Budget as well. The EV market size in India is expected to reach $707 Mn by 2025. The total funding raised by EV startups between 2014 to 2019 (H1) is more than $400 Mn.
According to an AutoCar report on the sales of electric vehicles, nearly 7.59 Lakh units were sold in India till March 2019. It included the sale of 3.6K passenger vehicles, 1.2 Lakh two-wheelers, 6.3 Lakh three-wheelers.
In August 2019, NITI Aayog’s CEO Amitabh Kant had said that India has 28 cars for every 1K people, much lower as compared to the US and Europe, which have 980 and 850 cars for 1K people. This means the future of mobility in India will pave a path for electric, shared and autonomous.