Electric vehicles (EVs) are gaining popularity in India among commuters, fleet operators, and eco-friendly households. As more people adopt EVs, a key question arises: where will these vehicles recharge? For entrepreneurs, a charging station franchise offers a solution. This guide covers important considerations, from opportunity analysis to daily operations, helping you decide if this venture suits your goals.
Why a Charging Station Franchise Makes Business Sense
The demand for EVs is strong. Electric two-wheeler registrations rose from 73,651 in December 2024 to 97,734 in January 2025. Four-wheeler registrations increased from 9,116 to 11,247 during the same period. With government incentives and rising petrol prices, the need for public charging infrastructure is growing. A charging station franchise allows you to benefit from this demand without needing to design equipment or manage complex software.
Compared to traditional petrol pumps, an EV charging setup offers:
– Lower operating costs—no fuel storage, fewer moving parts, and minimal staff
– Steady demand—as India aims for 30% EV adoption by 2030
– Supportive policies—reduced GST on chargers, subsidies for equipment, and clear licensing from the Ministry of Power
In summary, a charging station franchise combines profitability with a positive environmental impact.
Counting the Cost: Initial Investment and Setup Requirements
Expect to invest between ₹1–2 crore for a standard multi-charger site. This cost includes:
– Fast and slow chargers for two-wheelers, cars, and light commercial vehicles
– Civil works—plinths, cabling, transformers, and earthing
– Software, networking hardware, and payment gateways
– Branding, signage, and initial marketing
– Licenses and compliance documentation from the Ministry of Power
Location is crucial. High-traffic areas—like highways, business parks, shopping malls, and tech campuses—may have higher lease costs but offer quicker payback. Choose a site with ample parking, grid access, and visibility from main roads.
Common pitfalls to avoid:
- Skimping on the grid upgrade budget, leading to power shortages
- Ignoring Ministry of Power safety standards, risking penalties
- Underestimating installation timelines—transformer approvals can take weeks
By partnering with established franchises like Thunderplus, you can let the franchisor handle most technical work while you focus on funding and daily operations.
Mapping Your Money: Revenue Streams and Profitability
A charging station franchise generates income through several channels:
- Direct charging fees—your main income, billed per unit of electricity or per minute
- Fleet partnerships—long-term contracts with ride-hailing, logistics, and taxi companies
- Advertising—digital screens and static hoardings at the site
- Ancillary retail—cafés, convenience kiosks, or car accessories to monetize customer wait times
With well-chosen sites, monthly earnings typically range from ₹80,000 to ₹1,50,000. Premium highway locations or large fleet contracts can increase returns. Operating expenses remain low compared to fuel stations, as electricity is the main variable cost, and many state utilities offer favorable EV tariffs.
A sample profit and loss snapshot for a six-gun fast-charging site in a metro business district might look like this:
– Revenue: ₹1,30,000 per month
– Electricity & maintenance: ₹45,000
– Rent and utilities: ₹30,000
– Net operating profit: ₹55,000
Scaling this across multiple outlets shows why investors view a charging station franchise as a lucrative, long-term opportunity.
Choosing a Franchise Model and the Support You Receive
Franchisors offer different levels of control and responsibility, allowing you to choose a model that fits your management style.
Owner-Operator Model
– You provide the land and manage daily operations
– Franchisor supplies chargers, software, and centralized maintenance
– Revenue share is negotiated, but you cover electricity costs
– You buy the equipment upfront and keep most of the revenue
– Franchisor installs, commissions, and maintains hardware
– 24/7 Network Operations Centres monitor uptime remotely
Hybrid agreements also exist, allowing you to own the site while the franchisor covers electricity. Regardless of the model, expect strong support: site surveys, load assessments, charger selection, branding guidelines, and ongoing tech upgrades. Advanced software ensures chargers remain operational, transactions reconcile automatically, and customers enjoy a smooth experience.
Mistakes to avoid:
– Neglecting routine maintenance checks—small issues can lead to outages
– Failing to integrate with popular e-mobility apps, missing potential customers
– Overlooking software updates, which protect against security risks and billing errors
Pinpointing the Perfect Location and Gauging Market Potential
While EV demand is rising nationwide, some areas yield higher returns. Tech corridors, IT parks, and eco-friendly cities attract early EV adopters willing to pay for convenience. Highway segments connecting industrial hubs see heavy fleet traffic, making rapid chargers essential. When scouting a site, consider:
– Drive-by counts—how many vehicles pass per hour?
– Grid capacity—can a 100 kW supply be achieved without major upgrades?
– Nearby amenities—food courts and retail can increase customer dwell time
– Government alignment—cities with strong sustainability goals often expedite approvals
India’s size offers vast opportunities for expansion. Once your first charging station franchise is successful, you can replicate the model in tier-2 and tier-3 cities before competition increases. With BloombergNEF projecting significant EV sales growth, early movers can secure long-term brand loyalty and valuable real estate.
The Roadmap: Steps to Becoming a Franchise Partner
Most franchisors simplify onboarding into four stages:
- Enquiry submission—fill out an online form detailing your capital and preferred location
- Site evaluation—franchisor engineers assess your site, analyze power access, and estimate foot traffic
- Setup and branding—civil works, charger installation, software configuration, and signage rollout occur within weeks
- Revenue generation—once operational, payments flow automatically into your account while the franchisor promotes the location
Your daily responsibilities include:
– Maintaining a clean, safe environment
– Addressing customer queries on-site
– Reconciling electricity bills and submitting monthly reports
Meanwhile, the franchisor’s teams manage remote monitoring, firmware updates, and large-scale marketing. This division of labor allows you to scale from one outlet to several easily.
Avoid These Common Slip-Ups
– Rushing into a lease without a load-feasibility study
– Skipping a legal review of the franchise agreement—understand your royalty, renewal, and exit clauses
– Under-budgeting for branding; visible signage is crucial for attracting motorists
Following a structured process minimizes surprises and speeds up profitability.
Ready to power the future of mobility? Explore how ThunderPlus can help you establish a successful EV charging station franchise with our comprehensive support and robust network—visit us at thunderplus.io to learn more!
Frequently Asked Questions
Q1. How to start an EV charging station franchise?
Begin by assessing your capital (₹1–2 crore per site). Then, submit an enquiry to a reputable franchisor. After a favorable site evaluation, sign the franchise agreement, and allow installation teams to complete civil and electrical work before launching operations.
Q2. How to get EV charging station franchise rights?
Most franchisors allocate territories on a first-come, first-served basis. Provide proof of land ownership or a long-term lease, demonstrate access to grid power, and meet the franchisor’s financial requirements to secure rights.
Q3. What licenses do I need to run an EV charging station in India?
You must comply with Ministry of Power safety guidelines, secure local electricity board approvals, and obtain municipal clearances for civil modifications. A dedicated EV tariff connection is also necessary.
Q4. Why is a charging station franchise often more profitable than a traditional fuel station?
Operating costs are lower—no fuel inventory, fewer staff, and minimal mechanical maintenance. With rising EV adoption and supportive government policies, margins tend to be steadier and less affected by commodity price fluctuations.
Q5. How do I minimize downtime at my EV charging station?
Choose a franchisor with a 24/7 Network Operations Centre, schedule quarterly preventive maintenance, and install remote diagnostics software to identify and resolve faults before they affect customers.
Q6. What does the ₹1–2 crore investment actually cover?
This amount typically includes fast and slow chargers, transformers, civil works, networking, first-year maintenance, branding, and all required licenses, giving you a site ready to generate revenue from day one.