India’s Solar-Synchronized EV Charging Tariffs
On September 17, 2024, the Ministry of Power released groundbreaking “Guidelines for Installation and Operation of Electric Vehicle Charging Infrastructure-2024,” establishing a solar-synchronized tariff system that’s reshaping India’s electric mobility landscape. This innovative policy deliberately incentivizes charging during peak sunlight hours, aligning EV usage with renewable energy generation.
The Solar-Synchronized Tariff Structure
The guidelines establish a clear differential pricing framework:
These rates are fixed until March 31, 2028, providing long-term stability for planning and investment.
| Time Period | Electricity Tariff | AC Charging Service Fee | DC Fast Charging Service Fee |
| Solar Hours (9:00 AM–4:00 PM) | 0.7× Average Cost of Supply | Cost of Supply ₹3.00 per unit | ₹11.00 per unit |
| Non-Solar Hours (4:00 PM–9:00 AM) | 1.3× Average Cost of Supply | ₹4.00 per unit | ₹13.00 per unit |
Economic Benefits Analysis
The economic advantage of this pricing model can be demonstrated through a simple calculation. Assuming an Average Cost of Supply of ₹8 per unit:
- Solar Hours Total Cost: (0.7 × ₹8) + ₹3 = ₹8.6 per unit (AC charging)
- Non-Solar Hours Total Cost: (1.3 × ₹8) + ₹4 = ₹14.4 per unit (AC charging)
- Savings per unit: ₹5.8 (40.3% reduction)
This significant price differential creates a powerful financial incentive for consumers to shift their charging behavior to daytime hours.
Infrastructure Development Strategy
The guidelines outline an ambitious deployment strategy:
- Urban Coverage By 2030, at least one charging station within each 1 km × 1 km grid in urban areas
- Highway Coverage Charging stations every 20 km on both sides of highways and major roads
- Heavy-Duty Corridors Fast-charging stations every 100 km for long-range EVs and heavy-duty vehicles
Rapid Implementation Framework
To accelerate deployment, the policy establishes strict timelines for
providing electricity connections:
- Metropolitan Areas: 3 days
- Other Municipal Areas: 7 days
- Rural Areas: 15 days
- Rural Areas with hilly terrain: 30 days
Distribution licensees must provide Low Tension (LT) connection up to 150 kW for charging stations, streamlining the process for operators.
Land Affordability Measures
To address high land costs that could impede charging infrastructure growth:
- Revenue-Sharing Model: Government entities providing land for charging stations receive ₹1 per kWh through revenue sharing agreements
- Long-Term Stability: These agreements typically span 10 years, providing operational certainty
- Private Partnerships: The revenue-sharing model can extend to private entities through competitive bidding
Technological Integration
The guidelines promote advanced technological integration:
- Open Communication Protocols: Adoption of OCPI, OCPP, and UEI for seamless communication
- Smart Charging: Integration with renewable energy sources and grid management systems
- Vehicle-to-Grid (V2G): Framework for bidirectional energy flow between vehicles and the grid.
Comprehensive Coverage
The policy addresses multiple charging scenarios:
- Residential Charging: Options for separate metered connections or use of existing connections
- Community Charging: Requirements for residential societies with a minimum of 10% parking allocation for EV charging
- Workplace Charging: Streamlined provisions for office
- Buildings E-Bus Charging: Specialized provisions for high-power chargers at bus depots.
Implementation Oversight
The Bureau of Energy Efficiency (BEE) serves as the Central Nodal Agency, working with State Nodal Agencies to coordinate implementation. A central steering committee under the Ministry of Power’s Additional Secretary reviews progress regularly, ensuring the guidelines meet their objectives.
Global Leadership
India’s approach differs significantly from models in other countries, where time-of-use tariffs primarily aim to flatten demand curves. India’s innovation lies in directly incentivizing charging when renewable generation is highest, creating a more direct connection between EV usage and clean energy production.
With 25,202 public charging stations installed nationwide as of November 2024 and approximately 72,000 additional chargers planned under the PM E-DRIVE scheme, India’s solar-synchronized tariff system has established a foundation for continued growth in sustainable transportation-positioning the country as a global leader in creating practical, effective policies for accelerating the transition to clean mobility.
