NTPC seeks licence to set up charging stations for electric vehicles
New Delhi: State-controlled NTPC Ltd is exploring the possibility of securing a national licence for setting up charging stations for electric vehicles across states.
Currently under The Electricity Act, 2003, a distribution licence is required to distribute power from the respective state electricity regulatory commissions (SERCs).
India’s largest power generation utility is seeking a pan-India licence as it will help scale up its EV charging business rapidly in the face of emerging competition.
The EV business assumes importance for NTPC due to its lucrative market potential of around 90 billion units of power. With the current installed power generation capacity and projects under construction expected to meet India’s electricity demand till 2026, NTPC is scouting for new growth areas.
“We are trying to get a common licence. Electricity can be sold by a discom, a licencee or a franchisee. All three models are there. It is a licenced activity. We will try to work it out if it is possible to have one licence for the whole country. We are looking for a country-wide licensing. If that happens we will be able to set up the charging stations very quickly,” said a senior NTPC executive, requesting anonymity.
Mint reported on 10 March about how NTPC was exploring an EV business to help create the demand for electricity generated by its plants and keep pace with the fast-changing power sector.
“This is a very good, growing business as the demand for electricity will be created. It has a very good synergy with us because we can start with the charging part of the business quickly. Later on we can get into battery and other associated businesses,” added the NTPC executive cited above.