India is making steady progress in its decarbonization efforts, with electric vehicle (EV) adoption rising rapidly. Supported by government incentives, growing consumer interest, and expanding charging infrastructure, EV sales in the country have surpassed 4.1 million units in the fiscal year 2023-2024. The India Energy Storage Alliance (IESA) predicts that the number of EVs in operation will exceed 28 million units by 2030, significantly increasing energy demand from the grid. According to their estimates, electric two-wheelers will account for 83% of annual sales, electric four-wheelers 10%, and commercial vehicles such as trucks, buses, and three-wheelers 7%.
Electricity consumption in India has also seen significant growth. Vinayak Walimbe, Managing Director at Customized Energy Solutions Pvt. Ltd. India and Interim President of IESA noted that power consumption reached 1,543 TWh in 2023-24, reflecting a 7% increase over the previous year. Public charging infrastructure recorded an electricity demand of 465 GWh between April and October 2024, more than doubling from 204 GWh in 2022-2023. The rising popularity of home charging has also contributed to an increase in energy demand. IESA estimates that the electricity needed for EV charging in FY 2024-25 will reach 4,000 GWh and is likely to grow to 38 TWh by FY 2031-32, with peak power demand expected to reach 366.4 GW.
To support this transition, the Ministry of Power has developed a National Electricity Plan, a 10-year roadmap designed to ensure India’s energy security. As the third-largest electricity producer and consumer in the world, India’s total demand is expected to rise to 2,133 TWh by 2031-32, with EV charging contributing approximately 3% of this demand. The plan outlines the need to expand the country’s installed capacity from 466 GW in January 2025 to 900 GW by 2032, with renewable energy sources such as wind, solar, and small hydro accounting for 500 GW. The plan also aims to accelerate the installation of EV charging stations, increasing their number from the current 34,000 to around 100,000 by 2030.
Charging patterns for different EV segments vary based on usage. About 70% of electric two-wheelers and four-wheelers are expected to charge during off-peak hours after 8 PM. Electric trucks, which operate mainly at night, will see around 60% of their charging occur during the day. Intercity electric buses will charge primarily during the day, while intra-city buses will be charged overnight. The peak charging period for EVs is expected to be from 9 PM to 5 AM and between 12 PM and 2 PM.
While overall capacity planning is well-structured, the demand curve highlights a challenge. Energy demand tends to peak when renewable energy generation is low, particularly between 9 PM and 6 AM. This situation underscores the importance of battery energy storage systems (BESS) as a solution to harness renewable power and minimize investments in grid expansion. To meet the growing energy demand, India will require an additional 47 GW/237 GWh of BESS capacity, along with 26 GW of pumped hydro storage.
The Ministry of Power is also implementing advanced energy security measures, including the Integrated Local Energy Systems initiative in collaboration with the European Union. This initiative seeks to integrate various energy resources such as electricity, heating, cooling, and waste management, leveraging batteries and EVs to optimize efficiency. Additionally, demand response strategies like smart charging based on the Vehicle-to-Grid (V2G) model will play a crucial role. This approach allows EVs to be charged or discharged in response to external signals, helping balance grid supply and demand dynamically.
As India moves towards a cleaner and more sustainable future, ensuring energy security remains a priority. With ambitious EV adoption goals and a growing need for renewable energy integration, the country is focusing on strengthening its power infrastructure to support its expanding economy.
