Electric Vehicle Charging Infrastructure: Poised For A Breakthrough.
Electric vehicles (EVs) are gaining momentum in the transportation industry in recent times owning to increasing demand for lightweight fuel efficient vehicles, along with the growing concern for environmental related norms and regulations. Having carmakers themselves predicting the end of petrol engines, EV numbers are expected to boom. Hence, the race is now on to provide the infrastructure to support the charging of EVs. Energy retailers are increasingly entering into EV charging, offering end-to-end solutions that include power supply, time-of-use products and the optimization of EV charging.
The global electric vehicle charging infrastructure market size is projected to grow with a CAGR of 36.3% (from an estimated USD 3.8 billion in 2020) in terms of value from 2020 to 2028. Increasing government spending towards the development of highway and road connectivity and establishment of better charging facilities in developed economies are some of the major factors that are contributing to the growth of the market.
Back in 2016, this market was seen as ‘very little money to be made’. Ever since, the cost of EV batteries has declined by almost half, and with stricter emissions regulations, it is poised for a breakthrough. Jumping on the band wagon, URBAN RENEWABLES focuses on infrastructure projects, of which, is segmented into: (i) charging point operator (CPO), (ii) e-mobility service provider (EMSP), and (iii) charging hubs. Our interest lies in the CPO segment of this EV charging infrastructure market, which is anticipated to capture the largest market share among others in the coming years. However, we will always look out for all possible investment opportunities.