The inability of India's power system to handle the increase in EV demand could hinder the country's efforts to hasten EV adoption. Only 1% of vehicles on the road today are electric, but analysts, including NITI Aayog, predict that number will rise sharply over the next seven years.

By 2030, EVs are anticipated to account for the bulk of the load on India's power grid, exceeding even the steel and other sectors. The Brookings analysis predicts that the peak contribution from EVs might be between 120 GW and 332 GW, representing a significant increase over the peak power demand anticipated for 2022. The situation calls for an increase in electricity production as well as improvements to the capacity and delivery of the power grid.

With renewable energy sources, India's electricity production increased by 7.96% in FY22 and by 9.25% till February 2023. India would still need 37 TW of electricity even if EV sales hit 33% of all auto sales by 2030. As of February 2023, the installed generation capacity of the national electric grid was 412.21 GW.

However, a lot of work needs to be done at the distribution level to enable the spread of EV usage, according to the "Handbook of EV Charging Infrastructure Implementation" by NITI Aayog. Despite smart technology's capacity to control charging loads, distribution companies urgently need to make strategies for grid upgrades and network development. According to Sudhir Kumar, Director of Infrastructure Ratings at Credit Analysis and Research, power distribution companies should be able to afford to build the essential infrastructure.

Energy-efficient batteries like solid-state, lithium-ion, nickel-metal hydride, and sodium-ion batteries can reduce the strain electric vehicles (EVs) place on the electrical grid. These batteries require less frequent charging, store more energy, and have a better energy density. Passing legislation to shorten the lifespan of EV batteries may also persuade consumers to replace their old batteries with more effective variants that require less frequent charging.

Vehicle-to-grid (V2G) technology enables EVs to return electricity to the grid while not in use. It works as a backup power source and aids in balancing supply and demand on the grid. Time-of-use charging encourages EV owners to charge when there is a lesser demand for power, such as during off-peak hours. The grid can be less stressed during peak hours using smart charging and renewable energy sources like wind and solar energy. The efficiency of these solutions in reducing peak-hour grid load while satisfying customer charging needs has been tested in pilot programmes worldwide.

The increasing energy system and interconnection can balance supply and demand by transferring excess electricity to higher-demand areas. By offering backup power in the event of power outages, this link can increase the dependability and resilience of the power distribution system.

India is preparing to increase its power generation and transmission infrastructure by boosting the amount of electricity produced from renewable sources to keep up with the surge in the use of electric vehicles. More than 10,000 circuit kilometres worth of transmission lines are being added by the government at various locations. By completing this project, the nation's capacity to produce electricity from non-fossil fuel sources will expand from 409 GW to 500 GW. More than 65% of India's electricity production is predicted to come from renewable sources by 2030. However, significant financial investments and careful planning are necessary to keep up with growing economic activity and increasing EV consumption.

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