The current market for DC fast charging

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Table of Contents

• EV Charging Infrastructure in 2023
• Key Trends in the DC Fast-Charging Market
• Main Challenges in the DC Fast-Charging Market
• The World of Mobility Is Transforming Rapidly and Needs Fast-Charging Infrastructure

As the demand for EVs continues to skyrocket worldwide, the availability of sufficient fast-charging infrastructure is a critical factor for greater EV adoption.

With the transition to electric mobility, the need for fast-charging infrastructure has never been greater. Simply put: a vast, reliable network of fast-charging stations is essential to power the ever-growing number of electric vehicles (EVs) on the road. EV fast charging, also known as Level 3 or DC charging, offers drivers significantly faster charging times compared to AC (alternating current) equivalents. The development of public charging infrastructure (especially fast-charging stations) alleviates range anxiety (the fear of running out of battery without access to a charger) and makes long-distance travel easier for drivers.

In recent years, the deployment of public EV charging infrastructure has significantly boosted the adoption of electric mobility, and this trend is expected to continue over the next decade. Private fast-charging stations are also set to play a pivotal role in the growth of the EV market.

The reason is simple: drivers want to charge their vehicles as quickly as possible and are willing to go where this service is offered. Research has shown that motorists are prepared to pay more for faster charging. Installing a fast-charging station at your site can thus create a new revenue stream and attract new customers.

Many different businesses can capitalize on their strategic locations: near highways, busy urban areas, or popular destinations. If you’re considering expanding your business by tapping into the rapidly growing EV fast-charging market, this article provides an accurate overview of the market’s current state, trends, and challenges.

EV Charging Infrastructure in 2023

How many EV charging stations are there worldwide?

By the end of 2022, the world had 2.7 million public charging points (including 54,000 in France), with over 900,000 installed that year alone, representing a 55% increase compared to 2021 and a growth rate similar to pre-pandemic levels.

What is the current value of the global EV charging infrastructure market?

The global EV charging station market is estimated at USD 32.86 billion in 2024 and is expected to reach USD 104.09 billion by 2029, with a growth rate of 25.94% between 2024 and 2029.

Of course, the number of charging points and market value reflect the total number of stations, including slower AC chargers. Let’s take a closer look at DC fast-charging stations.

Global Fast-Charging Infrastructure in 2023

The number of fast-charging stations worldwide saw a significant increase in 2022, with 330,000 additional stations installed, for a total of approximately 858,000 stations.

In terms of market size and value, the fast-charging station segment leads, accounting for over 72% of the market share in 2022.

This article primarily focuses on the European, French, and U.S. markets, but it’s worth noting that China leads in fast-charging infrastructure, with a total of 760,000 fast-charging stations installed in 2022. Other reports indicate that China also dominated in 2021 with 470,000 fast-charging stations, reinforcing its position as the global leader and confirming the sector’s rapid growth.

Fast-Charging Infrastructure in Europe

Europe is rapidly expanding its fast-charging infrastructure, with 70,000 charging points planned by the end of 2022, a 55% increase from the previous year. Germany leads with over 12,000 fast-charging stations, followed by France (9,700) and Norway (9,000).

The European Union aims to promote the development of public charging infrastructure through its proposed Alternative Fuels Infrastructure Regulation (AFIR), which seeks to create a comprehensive network to facilitate access to charging points across the continent. Additionally, the European Investment Bank and the European Commission have invested over €1.5 billion through 2023 to develop alternative fuel infrastructure, including fast-charging stations. Europe’s commitment to expanding its EV charging network sets an inspiring example for sustainable mobility worldwide.

Image: A row of fast-charging stations in a European city.

Fast-Charging Infrastructure in the United States

With promising growth projections for the coming years, the United States has made significant strides in developing its DC fast-charging infrastructure. In 2022 alone, the country installed an impressive 6,300 fast-charging stations, nearly three-quarters of which are Tesla Superchargers. By year-end, the U.S. had a total of 28,000 fast-charging stations available. The government’s ratification of the National Electric Vehicle Infrastructure Formula Program (NEVI) will further accelerate this impressive pace.

Each state has actively participated in this program, receiving a budget of USD 885 million for 2023. This funding will be crucial for installing charging stations along the country’s vast 122,000-kilometer road network.

This ambitious project demonstrates the United States’ commitment to improving its charging infrastructure and democratizing EV use, laying the foundation for a greener, more sustainable future.

Image: A Tesla Supercharger station in the U.S.

Fast-Charging Infrastructure in France

France aims to have 400,000 charging points by 2030, including 14,500 high-power stations, of which 7,000 will be ultra-high-power (above 150 kW).

The number of ultra-high-power stations (150 kW and above) has doubled since the beginning of 2023, and this acceleration continues with substantial state support:

• €100 million from the Recovery Plan to equip service areas along major highways (over 2,500 charging points already funded);
• €300 million from France 2030 dedicated to fast-charging stations in metropolitan areas and regions through a specific call for projects;
• €320 million from the Advenir program, launched in 2016 and managed by Avere-France, to fund the installation of 175,000 charging points by 2025 through nine types of subsidies.

The Need for More Private EV Charging Stations

While governments can provide the basic infrastructure along major highways, private investment remains essential for developing a comprehensive network of fast-charging infrastructure. Private business parking lots currently account for nearly 710,000 charging points. These facilities are particularly convenient for charging EVs during work hours.

Take the Example of Norway

Norway is renowned for leading the way in electric mobility. Beyond its EV sales figures and the adoption of electric cars by Norwegians, the country is also seeing a significant increase in its fast-charging infrastructure.

Currently, it has over 6,000 fast-charging stations for EVs, well-distributed across its largely rural territory. Over 1,500 DC stations were added in 2023 alone, with more to come. Contrary to popular belief, Norway’s fast-charging infrastructure deployment has not been solely funded by public resources.

In an episode of the REVOLUTION podcast (in English), Christina Bu, Secretary General of Norsk Elbilforening (Norwegian EV Association), explained that while the government played a central role in creating the baseline infrastructure along highways with an investment of about €35 million, the network’s development has heavily relied on private investment.

Why?

Business interest has surged with the increasing number of electric cars on the road. Many companies have recognized the growing need for EV charging and discovered the commercial benefits of charging infrastructure.

Trends in EV Charging in the DC Fast-Charging Market

The dynamic transformations in the DC fast-charging market are reshaping the industry. Faster charging technologies are being developed, new and more collaborative initiatives are emerging, smart charging technologies and digital connectivity are enhancing charging experiences while minimizing grid impact, and the world is seeking more sustainable ways to power the growing number of charging stations.

1. The Need for Speed

Electric mobility is no longer a futuristic concept appealing only to a handful of enthusiasts. It is becoming mainstream, requiring shorter charging times and better vehicle range. New models are equipped with more efficient, higher-capacity batteries. As a result, DC charging stations are evolving to deliver higher power outputs.

Just a few years ago, a 50 kW DC charge was acceptable. Now, many DC charging stations offer power outputs of 150 kW, 200 kW, 300 kW, or more. While many cars are not compatible with a charger’s maximum power output, it’s important to understand that charging (especially fast charging) multiple vehicles simultaneously is part of the equation. So, if a DC charging station has a maximum power output of 300 kW but two cars are charging at once, each would theoretically receive only 150 kW.

What is the speed of DC fast charging?

Currently, charging a mid-sized electric car with a DC fast charger takes between 17 and 52 minutes.

2. More Collaboration

Parking lots, gas stations, highway restaurants, and even hotels are ideal locations for offering DC fast-charging stations. Their primary services already provide amenities that make waiting for a vehicle to charge more bearable for drivers and offer an excellent opportunity to attract new customers.

As many businesses seek to invest and capture new markets, the winning strategy may be more cooperative than initially expected.

In another episode of the REVOLUTION podcast (in English), Francois Parniere, EV Director at TSG Group, noted that fuel station operators and charging point operators (CPOs) worldwide are increasingly open to investment and partnerships with other businesses to create a more comprehensive and attractive offering.

Ultimately, it’s about meeting customers’ diverse needs.

3. Smart Charging Development

Smart charging is an umbrella term encompassing all functions that optimize EV charging infrastructure and minimize the impact of EV charging on the grid (electricity demand).

In short, smart charging manages the timing, power, and flow of individual charging sessions while accounting for infrastructure constraints, renewable energy production, electricity costs, grid conditions, and vehicle needs.

There are many smart charging features, but the most discussed currently include load balancing, cluster load balancing, simultaneous smart charging, and vehicle-to-grid (V2G).

A smart DC EV charging station can monitor load variations, adjust its output accordingly, and communicate with the vehicle. As a result, smart charging makes the process more predictable by providing more information. This is precisely why governments worldwide are working on standardizing regulations for smart charging stations to ensure consumer and grid protection.

4. Integration of Renewable Energy

Electricity primarily comes from the grid, but unfortunately, it is still largely non-renewable.

According to the IEA, coal-fired power plants reached a historic peak in 2021, driving CO2 emissions from these plants to record levels. Despite urgent calls from governments and the private sector to phase out coal, this fuel accounts for one-third of global electricity production.

What about solar or wind? Unfortunately, the technical constraints of renewable energy often make it less reliable than fossil fuel-based energy and harder to harness at scale. In theory, one way to stabilize a grid powered by renewables would be to store excess electricity when it’s available.

Microgrids have emerged to address this challenge, offering the potential to make EV fast-charging infrastructure more sustainable.

What are microgrids?

Image: A microgrid setup with solar panels and EV chargers.

Microgrids are standalone, on-site energy systems that can integrate various battery storage systems and renewable energy sources like solar photovoltaic, wind, or geothermal. Combining EV fast-charging infrastructure with microgrids creates a self-sufficient system that stores renewable energy for use during peak demand periods.

While this solution seems ideal in theory, many challenges must be overcome to make it viable at scale. Nevertheless, it’s an exciting development to watch.

Challenges Facing the DC Fast-Charging Market

DC fast charging enables more convenient and faster EV charging for owners. However, like any developing industry, the DC fast-charging market faces challenges that must be addressed before it can be widely adopted.

1. Grid Connection

Connecting EV charging infrastructure to the grid is no easy task.

In one of our REVOLUTION podcast episodes (in English), Lucie Mattera, Secretary General of ChargeUp Europe, summarized some of the challenges and complexities of grid connection and permitting for charging point operators looking to install and connect fast chargers.

She noted that current procedures vary by jurisdiction and depend entirely on the required charging capacity, as well as the involvement of stakeholders and local authorities. This combination of complex factors creates a situation where costs vary, timelines are unpredictable, and project outcomes are uncertain.

Streamlined grid connection procedures will help deploy fast-charging infrastructure at scale, which, in turn, will facilitate rapid EV adoption.

2. EV Charging Standards and Interoperability

As we move toward global EV adoption, the need for an optimal, accessible, and user-friendly DC fast-charging network has never been greater. Governments worldwide are working to achieve this by optimizing interoperability and enacting standardization laws and regulations.

In essence, these measures aim to ensure better price transparency, compatible labeling, data provision and sharing, and standardized payment requirements to make EV driving easier and more secure for motorists.

Current developments include improving the payment process, ensuring users know exactly what they’re paying for, and requiring EV charging stations to offer digital connectivity and smart charging capabilities to contribute to a more energy-efficient, user-focused charging experience.

While it’s in everyone’s interest for charging stations to be safe, functional, and cost-effective, several considerations must be addressed.

The primary concerns for grid operators are safety and the impact on electrical infrastructure. Meanwhile, governments focus on EV drivers’ needs and space management. Operators, charging equipment manufacturers, and other market players are concerned with implementation and management efficiency.

The combination of these diverse needs and desires, coupled with growing infrastructure demand, creates a complex problem that governments must address by collaborating with major industry players and learning from one another.

Conclusion

The DC fast-charging market plays a pivotal role in supporting the growth of the electric vehicle (EV) market. Infrastructure is expanding, but drivers’ needs for faster and more numerous charging options are also increasing.

By keeping up with this industry’s developments, business owners looking to invest in DC charging infrastructure could reap significant benefits. We hope this article has clarified the current state of the DC fast-charging market, and we invite you to explore related topics, such as the emergence of calibration laws in the DC fast-charging market or how to make money with EV charging stations. Click here to learn more about our DC charging solutions.