The Complete Cost Picture:
The Total Cost of Charging (TCoC) framework examines all expenses involved in EV charging infrastructure, from initial investment to daily operations. This comprehensive approach helps investors and operators make informed decisions about which charging model best suits their needs.
COST COMPARISON ACROSS MODELS
| Parameter | Public DCFC (60kW) | Workplace AC | Fleet Depot | Battery Swap Kiosk |
| Initial CapEx (total setup) | ₹35-40 lakh | ₹1-3 lakh | ₹30-50 lakh | ₹6-37 lakh |
| Equipment-only cost | ₹10-12.5 lakh | ₹0.7-1.2 lakh | ₹20-30lakh | ₹3-25lakh |
| Land requirement | 500-1000 sq.ft | 100-200 sq.ft | 2000+ sq.ft | 200-400 sq.ft |
| Grid connection | 250 kVA | 15-30 kVA | 200+ kVA | 50-75 kVA |
| Annual OpEx | ₹3.5-5 lakh | ₹0.5-1 lakh | ₹8-12 lakh | ₹2-4 lakh |
| Utilization threshold for profitability | 8-10 sessions/day | 4-5 sessions/day | 20+ vehicles/day | 15-20 swaps/day |
Each model serves different needs: public fast chargers for high-traffic areas, workplace chargers for employee parking, fleet depots for commercial vehicles, and battery swap stations for quick energy replenishment.
COST DISTRIBUTION OVER TIME
For a typical 50kW fast charger:
- Initial Investment: Equipment (65%), electrical infrastructure (20%), civil works (15%)
- Years 1-3: Electricity (50%), maintenance (25%), staffing (15%), software (10%)
- Years 4-5: Electricity (60%), maintenance (30%), software (10%)
Location selection is crucial in high-traffic areas to improve economics by spreading fixed costs across more charging sessions. According to industry analysis, up to 50% of a charging station’s cost goes toward obtaining electricity connections, setting up electrical infrastructure, and civil works.
PROFITABILITY THRESHOLDS:
Our analysis of charging stations across India shows clear profitability patterns:
- <5 sessions/day Negative ROI (-15% to -5%)
- 5-8 sessions/day Breakeven to modest returns (0-10%)
- 8-12 sessions/day Attractive returns (10-20%)
- >12 sessions/day Excellent returns (20%+)
According to Renewable Watch, public DC charging typically costs ₹18-20 per unit. If a charge point operator achieves even 7-7.5% utilization at that price level, the business can be EBITDA positive.
The PM E-DRIVE scheme has transformed this equation by offering 80% subsidies on capital costs for public chargers (PM EDRIVE Guidelines, 2024). With these subsidies, stations can now break even with just 3-4 sessions per day, significantly improving the business case for early investors.
At current commercial rates of ₹18-20 per kWh (Renewable Watch, May 2025), a station with 8 daily sessions generates substantial revenue, enabling rapid recovery of the post-subsidy investment and driving the nationwide expansion of charging infrastructure.
