India Needs a Policy for Distributed Renewables-Powered EV Charging to Reduce Emissions and Ease Grid Dependence
As India accelerates its clean energy and electric mobility goals, experts are calling for a dedicated national scheme to promote distributed renewable energy (DRE)-powered electric vehicle (EV) charging infrastructure. This, they argue, is essential for ensuring that the transition to EVs contributes meaningfully to the country’s broader climate objectives.
India has set ambitious targets: 500 GW of renewable energy by 2030 and net-zero emissions by 2070. The government has already rolled out key initiatives like the PM-Surya Ghar Muft Bijli Yojana and PM-KUSUM to promote renewable energy in residential and agricultural sectors. However, transport—which contributes around 12% of India’s energy-related emissions—continues to pose a significant decarbonisation challenge.
With the EV30@30 campaign aiming for 30% of vehicle sales to be electric by 2030, India is expected to see an additional electricity demand of 15–30 TWh annually. If met primarily through grid power—currently dominated by coal and gas—it could result in 11–22 million tonnes of additional CO₂ emissions per year, undermining the very environmental benefits EVs promise.
A recent analysis suggests that between 10–20 GW of dedicated renewable capacity will be needed to power this surge in EV charging demand by 2030. Experts say this demand can be effectively met through distributed renewable energy, such as rooftop solar systems, which not only reduce transmission losses but also help ease peak daytime loads on the power grid.
“DRE can offer a more resilient and sustainable alternative for EV charging,” said Suhas Sathyakiran, analyst at the Center for Study of Science, Technology and Policy (CSTEP). “But its large-scale adoption needs targeted support from the government.”
One key barrier to DRE deployment is its high upfront cost. However, according to a joint study by Deloitte India and GIZ, the levelised cost of electricity (LCOE) for DRE-powered public EV charging in Bengaluru is already cost-competitive at ₹13.53/unit, compared to ₹13.97/unit via grid-based power, even with current subsidies in place.
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To address this, experts propose a two-pronged central government scheme under the Ministry of New and Renewable Energy (MNRE):
- Public Infrastructure Support:
This would include capital subsidies or viability gap funding for setting up DRE-powered public charging stations, tax incentives for developers, and access to low-interest loans. Additional incentives could target rural and highway areas, where grid reliability is lower, to enhance reach and promote inclusive EV adoption. - Private Sector and Residential Incentives:
Consumers—residential and commercial—could be supported through subsidies to integrate rooftop solar with EV charging setups in homes, carports, and parking facilities. Similar to benefits for EV purchases, tax rebates could be offered for DRE installations. Net metering, vehicle-to-grid (V2G) integration, and peer-to-peer (P2P) energy trading could further improve viability.
The proposal also recommends mandating renewable purchase obligations (RPOs) for DISCOMs specifically linked to DRE-based EV charging, a move expected to catalyse further investment in clean infrastructure.
“Transitioning to EVs is not just about moving away from petrol and diesel,” said Saptak Ghosh, Sector Head for Renewables and Energy Conservation at CSTEP. “It’s about making the entire mobility ecosystem greener. Without clean electricity, the EV dream falls short.”
As India moves towards a green future, the call for a structured, nationwide scheme to promote DRE-powered EV charging is gaining traction. Policymakers now face the critical task of turning this vision into actionable policy.
