What Is the Real Bottleneck in Scaling India’s EV Charging Network?

India’s EV charging network has expanded rapidly over the last few years. Policy intent is strong, funding has been announced, and charger installations are steadily increasing across public, residential, and fleet segments. On paper, the ecosystem appears to be moving in the right direction. Yet, as explored in the first part of this series, “Current State of EV Charging in India”, growth in charger count has not translated into consistent availability, reliability, or commercial viability on the ground. The challenge is no longer whether chargers are being installed but how to scale them effectively. 

In this second part, we explore:  

• Core bottlenecks in charger deployment: regulatory and permitting friction, grid and distribution constraints, weak commercial viability, and fragmented technical standards 

• Why these issues persist despite supportive policies: misaligned incentives, uneven state adoption, limited grid visibility, and low utilization at many sites 

• Structural fixes to enable growth: from single-window clearances and grid-ready planning to better commercial models, standardized user experience, and integrated land-use planning 

What Are the Core Bottlenecks Slowing Charger Deployment? 

Below are the fundamental, structural constraints that policymakers and industry cite as slowing charger deployment, beyond mere “lack of funding”.  

Regulatory & Permitting Friction 

While the 2024 MoP guidelines made EV charging a de-licensed activity, approvals still require navigating multiple agencies. A charging station may need a city building permit, a fire safety NOC, and separate clearance from the local DISCOM.  

DISCOMs themselves have no standardized process. Some states mandate a fresh service connection and costly transformer upgrades; others allow sub-metering on an existing line. Tariff policy is improving, with most states now capping EV charger supply at the Average Cost of Supply (ACoS), but rates and rules vary widely.  

Providers offering open-access power for fast chargers may face a 15–25% surcharge on top of grid prices. Institutional incentives are also misaligned: PM E-DRIVE subsidies focus on equipment cost, not ongoing operational viability. In practice, heavy reliance on private players for network rollout has “not yielded expected results”, as one analyst notes, with installations remaining low where state support and demand signals are weak.

Grid & Distribution Constraints

The Indian grid was built for heavy industry and households, not sudden surges of mobile load. A key bottleneck is uncertainty around capacity. Distribution companies often lack EV-specific load forecasts or dedicated feeders. Without clear guidance, they default to cautious policies, such as rejecting large connection applications pending complete load studies. ORF (Observer Research Foundation) notes “limited visibility into grid infrastructure upgrade requirements” leaves CPOs unsure of costs and timelines. Upgrading a substation or line for fast chargers can be prohibitively time-consuming.  
 
On the system side, planning bodies like CEA and State load dispatch centers have only recently begun factoring EV growth into long-term forecasts. As a result, new chargers sometimes trip transformers or raise evening peak demand unexpectedly. In regions with already stressed grids (e.g., Delhi or parts of Maharashtra), DISCOMs are reluctant to permit more high-kW chargers without guaranteed compensation. The solution requires treating EVs as a new load category, with published processes for wiring up depots and public hubs, alongside smart charging policies (time-of-day tariffs, V2G) to smooth demand spikes. 

Commercial Viability 

Many charging businesses are losing money. Utilization rates are typically well below 25%, and the high upfront cost (₹2-3 lakh per fast charger plus civil works) often never pays off. Investors report lengthy payback periods (5-7+ years) unless cross-subsidized by real estate owners or the government.  
 
The PM E-DRIVE scheme’s ₹2,000 crore grant pool is intended to ease this, offering up to 100% subsidy on chargers at government sites and 80% on highways. Yet disbursment has been slow: as of late 2025, no scheme funds had been released for public chargers. Moreover, even subsidized sites need foot traffic. Analysts (and industry voices) emphasize that low utilization, not technology, is the pinch point. Poor site selection, such as charging kiosks on low-demand sidewalks, has been a common criticism. Until charging can become a reliable revenue stream, large investors and banks will remain cautious. 

Technical & User Experience Issues 

India’s charging ecosystem is fragmented. Different CPOs use different apps and connectors, and there is no unified platform for finding or booking chargers. A 2025 study notes drivers may need roughly 17–20 apps. Payment is another pain point: many drivers, especially chauffeured or elderly, still want cash/UPI at the station, but most chargers accept only card or app payments.  
 
Reliability is also problematic. A February 2024 report found 12,100 of 25,000 public chargers non-functional (almost 50%), with 38% of users citing poor uptime as a top cause of range anxiety. Frequent hardware failures (overheated breakers, cable damage) and patchy maintenance erode trust. Moreover, India lacks full interoperability: not all fast-chargers support all standards (e.g., CCS vs. GB/T vs. Bharat DC). While new rules mandate interoperability and calibration, legacy sites often remain in a single protocol. Addressing these technical gaps – through mandatory uptime SLAs, a nationwide charging portal, and stronger standards enforcement – is as critical as adding new plugs. 

Fostering Growth: Structural Fixes 

To truly unlock charging scale, the system needs multi-pronged fixes: 

Streamline Permits & Tariffs 

States must push a “single-window” clearance for chargers. For example, appointing a State Nodal Agency,  as suggested in the MoP 2024 guidelines, should mean a one-stop shop for site permissions and power allocation. Cross-subsidy surcharges or open-access fees for EV load (currently up to 20%) should be waived or reduced.  

Regulators should enforce the ACoS cap on charger supply tariffs across all states and establish uniform EV tariff categories for homes and businesses. Accelerated metering, such as pre-approved meter kits for EVs, can ease home charging. Policy must also incentivize equity in charger location: tying subsidies to utilization or mandating minimum uptime can prevent funds from being wasted on idle sites. 

Grid Capacity Planning

DISCOMs and CEA must integrate EV forecasts into planning now. Utilities should publish expected timelines for substation upgrades in fast-charging corridors, giving CPOs clarity.  Mandatory EV load forecasting will signal where new transformers or feeders are needed. Regulators could require time-of-day tariffs to encourage night/weekend use and defray peak stress. Smart-charging and vehicle-to-grid (V2G) pilots should be fast-tracked, with fleet vehicles providing grid services.  Renewable energy integration, such as solar carports at stations, can reduce grid draw and improve station economics. 

Improve Commercial Models

Charging stations should capture multiple revenue streams. Retail tie-ups (e.g., malls hosting chargers) and “energy plus amenities” (charging integrated with food/café services) can increase footfall. Standardized roaming frameworks,  similar to mobile networks, would let EV drivers use any network with one ID, raising usage. Financial support could shift to performance-based grants: subsidizing chargers only once minimum uptime or customer-use thresholds are met. Private fleets (taxis, delivery companies) should be encouraged to co-invest in public charging through demand aggregation schemes. 

Standardize User Experience 

The government’s digital portal for EV chargers and apps like “GoElectric” should be ramped up so all stations are listed,  bookable, and interoperable. Mandating a common payment interface (e.g., QR code payments at all chargers) will remove friction for users. Enforcing robust maintenance contracts,  perhaps by licensing CPOs, will improve reliability;  broken chargers are as bad as no chargers. Central bodies like CEA and BEE should continue issuing safety and interoperability standards (for plugs, meters, and cables) and ensure adoption. 

Land Use and Urban Planning

City planners should embed charging in zoning rules. States should adopt the MoHUA’s EV-ready bylaws (20% of new parking wired for EVs) uniformly, as Delhi and Maharashtra have. Public land and metro parking areas can be allocated to charging operators on concession, and streetlight/pole charging trials can be expanded in dense areas. Highway agencies must enforce the plan for chargers every 25–50 km; putting EV charging status on NHAI highway maps would help drivers and investors alike.  Chargers must be treated as vital infrastructure, on par with fuel stations or telecom towers. 

Final Thoughts 

India’s EV charging network has grown impressively on paper, but the “last mile” problems remain. As Tata.ev’s 2025 report notes, rapid charger deployments have improved coverage, yet “reliability issues continue to undermine user confidence”.  

Unless the real bottlenecks, such as multi-agency delays, grid readiness, commercial viability, and technical glitches, are addressed, confidence will falter. For CPOs, investors,  and policymakers, the path forward is clear: focus less on headline targets and more on enabling every link of the charging ecosystem. Only by fixing the structural kinks and dispelling myths that subsidies alone will suffice can India’s charging infrastructure truly power its EV ambitions.