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Business Plan
Business Plan
REPORT
ON
“BUSINESS PLAN
OF
ELECTRIC VEHICLE CHARGING STATION”
( POWER INDIA )
By:
M VINAY KUMAR
KODURI
JAHNAVI
JANHWEE MALL
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Power India
Table Of Contents
S Topics
No.
1. Executive Summary
2. Introduction
3. Business Model
4. Market Analysis
5. Management Profile
6. Financial Analysis
7 Conclusion
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Power India
1. EXECUTIVE SUMMARY
If you are looking for the best new business opportunities in India, then setting up an EV charging
station, repair workshop and home charging station set up is undoubtedly a great proposal. Electric
vehicle (EV) charging companies are mushrooming ceaselessly. With the increased awareness
about the environment and the introduction of electric vehicles (including e-cars and e-scooters),
electric vehicle charging stations are on the list of top business opportunities in India for the decade.
The coming decade is expected to be the decade of the fully electric car. India has a lot to gain
from the widespread adoption of e-mobility. Electrification will help reduce vehicular emissions, a
key contributor to air pollution which causes an average 3% GDP loss every year. The National
Electric Mobility Mission Plan (NEMMP) 2020 and Faster Adoption and Manufacturing of Hybrid
and Electric Vehicles (FAME) scheme were both announced in aspiration of an electric-only future
for automobiles by 2030.
Likewise opening a petrol pump or starting a biofuel station has an endless and everlasting business
scope in India as well as across the globe, EV charge stations are on their trail of capturing the
global market in the upcoming years, So, our firm will take advantage of this scenario and cater
facility like café, rest rooms, convenience stores, vehicle repair centre & car wash apart from
charging points for vehicles on highways.
This report contains vision, mission, about how business will work- business model, its customers,
management team, market study & budget on how to run this business.
2. INTRODUCTION:
Business Idea- Providing charging systems for EVs all across the India will facilitate the
consumers to travel eco-friendly all over India by avoiding hefty fuel prices. So, starting an Electric
Vehicle (EV) charging station will be very much profitable also as the demand for an electric
vehicle is increasing the necessity of charging stations will be very much useful.
Why would it work- India's electric vehicle market is projected to grow at a CAGR of over 37%,
during FY2018-FY2023. India can play a lead role in it by switching over the EV mobility to
ensure a greener and cleaner ecology. Under the Make in India program, the manufacturing of e-
vehicles and their associated components is expected to increase the share of manufacturing in
India’s GDP to 25% by 2022. So, if start establishing charging stations from the demands can be
catered on time & it can be competitive advantage for us as well.
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Power India
3. BUSINESS MODEL:
Company aims at providing charging stations to all various parts of India, so as to boost the sales of
EV vehicles and decreasing the dependency on fuel vehicles with various other facility like café,
rest rooms, convenience stores, vehicle repair centre & car wash.
Many firms are focusing on producing EV in India, we will cater the needs of both the EV
manufacturers and the customers by providing them charging facility so that it is feasible for
customers to travel in various parts of India by EV. In India, there is minimal facilities available on
highways so planting charging stations there with café, rest rooms, convenience stores, vehicle
repair centre & car wash can bring a phenomenal change.
□ Our Vision is to operate chains of electric vehicle charging stations all across major cities in the
India.
□ Our mission is to develop a successful and profitable electric vehicle charging station business
latest technology; a business that will meet the needs of our stakeholders but also supersede
their expectations.
4. MARKET ANALYSIS :
About Electric Vehicle (EV) Charging Station Market:
The use of energy- efficient automobiles such as EVs is rising due to focus on reducing
environmental pollution caused by gasoline and petrol. Since EVs reduce emissions from the
transportation- sector, they also reduce carbon footprint. Stringent emissions standards and high
fuel prices will boost the market. The increase in fuel prices such as rise in price of crude oil has
lowered preference for conventional vehicles. The high number of EVs on the road is expected to
reduce demand for vehicles using fuels. This rise in the use of electric vehicles is likely to
simultaneously increase the need for electric vehicle charging stations during the forecast period.
Our analysts have predicted that the EV charging station market will register a CAGR of over 33%
by 2023.
Market Trends:
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Power India
Battery swapping, IOT in charging infrastructure, Ultra fast charging, flash charging and smart
charging systems are the key market trends or technologies which will have a major impact on the
electric vehicle charging station market in the future.
One of the trends in the global electric vehicle charging industry is that in the bid to stay afloat in
this pretty green business, owners of electric vehicle charging stations now go the extra mile to
ensure that they make their facility welcoming and conducive for customers. Electric vehicle
charging stations now have vulcanising services, car wash, convenience stores, coffee bars, snack
bars, and cigar lounges within their facility so as to leverage on the opportunities around them to
generate more income.
So also, it is common to find electric vehicle charging stations partnering with electric vehicle
manufacturers in order to build and operate charging stations that will be of international standards.
In the United States and in most developed countries, it is now the practice for electric car
manufacturers, charging infrastructure providers, and regional governments to enter into
agreements to promote and provide public charging stations.
The global electric vehicle chargers market was valued at $3,802.0 million in 2019, and is projected
to reach $25,501.0 million by 2027, registering a CAGR of 26.8% from 2020 to 2027. In 2019,
residential segment led the market.
Market Dynamics:
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Power India
One of the major challenges to Electric Vehicle Charging Stations market is reduction in charging
time for Electric Vehicles daily usage. Currently there is R&D going on for faster EV charger types
so that they can be charged in same time as a fossil fuel vehicle. Fast chargers are available in the
market which can charge EV in less than 30 mins and since the last few years, ultra fast chargers
have come out which can charge EV’s in less than 15 mins. Plug type is also a major challenge for
EV charging as different EV’s have different plug types. This needs to be universalized so that
every charging station can be used to charge any kind of EV.
The Super Charging segment is expected to be the fastest growing segment during the
forecast period
The Super charging segment is the fastest growing market. Earlier, Public charging stations were
mostly set up as Level 2 Charging stations, but since the last few years, there has been a gradual
shift to Super Chargers. Superchargers have lower charging time compared to normal charging
stations and can charge EV’s in around 30 mins depending on battery specifications. these charging
stations may be the most used charging type in the long run.
Level 2 Charging segment is expected to be the largest segment during the forecast period
The Level 2 Charging stations is currently having the largest market share among the 3 charging
levels. By 2027, it is estimated that Level 2 Charging Stations will occupy a major share for EV
charging usage. This may be due to the growing emphasis of public and semi public charging
stations by governments across the world for overnight charging and that people are shifting to use
of Level 2 chargers as private charging stations at their homes as the growth of Level 1 charging
may be the slowest.
The Asia Pacific market is projected to hold the largest share by 2027
Asia Pacific is expected to be the largest market. Large scale growth of EV charging network in
China, growing demand for affordable electric vehicles for daily use, and governments promoting
electric vehicles are expected to drive the Asia Pacific market during the forecast period. China’s
rapidly growing economy is driving the expansion of advanced technologies to improve
electrification in the country. China has spent approximately USD 2.4 billion till 2020 to improve
the charging facility infrastructure in the country. The Japnese, Korean Governments have also
come up with measures to drastically improve the number of electric vehicle charging points across
their countries in the coming years. The Indian government has also announced plans to equip
69,000 EV charging stations across india as part of its first phase of EV infrastructure growth,
which may have a demand of 4 lakh charging stations by 2026.
PORTERS 5 FORCES
The Threat of New Entrants to existing players in the market of ELECTRIC VEHICLE
CHARGING STATIONS is very low. The constraints for new entrants include initial investment of
capital for setting up a manufacturing plant will be huge, the existing players brand image and also
the government regulations like safety measures, emissions etc. The new entrants who want to
penetrate into the industry will have to develop a trust of customers, create brand image which
highlights in quality and reliability of the brand.
The Bargaining power of the Buyers in the Automobile Industry is very low since customers
cannot easily opt for any other station because the stations are not many charging station.The
factors that affect the buying decision of the customer are need, quality, price and the
environmental effect.
Based on these factors, customers can switch from one Company to another, but in this charging
units case people won’t really consider these all as they have charging the vehicle mandatory.
Threat of Substitutes for EV charging Industry in Indian Scenario is not very high. Though there are
many other transportation mediums available such as buses, trains etc.; None of them provide the
same convenience, independence, time saving and value that are provided by the cars. So threat of
substitutes has a least impact on this industry .
SWOT ANALYSIS :
Strengths:
Well designed business model
Scalable infrastructure investment
Efficiency of electricity supply chain.
Flexibility of renewable electricity integration
WEAKNESS:
For passenger cars and LDVs only
Charging time
Lack of experience
Opportunities :
Growing market for electric vehicles
New business models
Synergies with renewable electricity development
Lower taxes
Increase in price of fossil fuels.
Threats :
Existing big players
Uncertain consumer behaviour
Rise in cost of electricity
LEADING PLAYERS:
The major companies profiled in the electric vehicle charger market share include ABB Ltd., Robert
Bosch GmbH, Siemens AG, Delphi Automotive, Chroma ATE, Aerovironment Inc., Silicon
Laboratories, Chargemaster PLC, Schaffner Holdings AG, and POD Point
Potential customers:
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Power India
The potential customers of the electric vehicle chargers market include electrical vehicle
manufacturers such as Tesla, BMW Group, Nissan Motor Corporation, Toyota Motor Corporation,
Volkswagen AG, General Motors, Daimler AG, and others.
COVID 19 IMPACT:
COVID-19 have severely hampered the local supply chains and manufacturing units for EV
chargers which is hampering the growth of the market. Also, industry is witnessing lack of skilled
workforce required in manufacturing units.
5. MANAGEMENT PROFILE:
Job Roles and Responsibilities:
Janhwee Mall was elected as Chairman to oversee power India’s corporate strategic direction and
major decisions as well as solidify the corporate governance mechanism.
Jahnavi Koduri was appointed as vice chairman of Power India. She is responsible for managing
Power India’s related companies and leading the integration of cross-business techniques and
products to provide total solutions.
Responsible for providing direction for the business Creates, communicates, and implements the
organization’s vision, mission, and overall direction – i.e. leading the development and
implementation of the overall organization’s strategy.In charge of signing checks and documents on
behalf of the company.Assesses the success of the organization
• In authority of overseeing the smooth running of HR and administrative tasks for the organization
• Enhances department and organization reputation by accepting ownership for accomplishing
new and different requests; exploring opportunities to add value to job accomplishments.
• Defining job positions for recruitment and managing interviewing process
• Carrying out induction for new team members
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Power India
Accountant/Cashier: yagnita
• Responsible for preparing financial reports, budgets, and financial statements for the organization
• Provides managements with financial analyses, development budgets, and accounting reports;
analyzes financial feasibility for the most complex proposed projects; conducts market research
to forecast trends and business conditions.
• Responsible for financial forecasting and risks analysis
• Performs cash management, general ledger accounting, and financial reporting
• Responsible for developing and managing financial systems and policies
• Responsible for administering payrolls
• Ensures compliance with taxation legislation
• Handles all financial transactions for the organization
• Serves as internal auditor for the organization
Carwash Operators:
Washes and thoroughly clean cars (exterior car washing, interior cleaning, and waxing services),
trucks and bikes.
Maintains a clean working area by sweeping, vacuuming, dusting, cleaning of glass doors and
windows, etc. if required.
Security Guards:
Ensures that the facility is secured at all time
Controls traffic and organize parking
Gives security tips to staff members from time to time
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Power India
6. FINANCIAL ANALYSIS:
□ Government of India recently released a notification titled ‘Charging Infrastructure for Electric
Vehicles – Guidelines and Standards -reg.’
□ In accordance, setting up of Public Charging Stations (PCS) has been de-licensed and any
individual/entity is free to set up public charging stations, provided the stations meet the
technical as well as performance standards laid down.
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Power India
As may be observed from Table 1 and 2, for an initial investment of Rs 2.95 million to setup a PCS,
the net cumulative return in 5 years is Rs 1.77 million under Scenario-A and Rs 1.53 million under
Scenario-B. In both the cases there is little or no incentive for third parties to setup and operate
PCS. Levying a margin more than 3 rupees will make the EV tariff at par with commercial
electricity tariff.
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Power India
CONCLUSION
The future of a business lies in the number of loyal customers that they have, the capacity and
competence of their employees, their investment strategy and the business structure. If all of these
factors are missing from a business, then it won’t be too long before the business closes shop.
One of our major goals of starting this start up-
We know that one of the ways of gaining approval and winning customers over is to offer our
services a little bit cheaper than what is obtainable in the market and we are well prepared to
survive on lower profit margin for a while.
We will make sure that the right organisation value, structures and processes are put in place to
ensure that our employees are well taken of. Our organizations’ culture is designed to drive our
business to greater heights and training of our workforce is at the top most requirement
We know that if this is put in place, we will be able to successfully hire and retain the best hands
we can get in the industry and they will commit to help us build the business of our dreams.
Reference :
https://en.wikipedia.org/wiki/Charging_station
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