Report Description

The UAE Electric Vehicle Charging Infrastructure Market was valued at USD 6.42 million in 2022 and is expected to register a CAGR of 14.31% to reach USD14.28 million in the year 2028. The rising sales of electric vehicles in the nation are driving the market for charging infrastructure for them, according to estimates. Additionally, the market is seeing new prospects as a result of the growing investments in the nation's electric vehicle charging infrastructure. Similar to this, government incentives and perks are causing an increase in the sales of electric vehicles, and all of these things are causing the infrastructure for charging stations in the UAE to expand. Based on vehicle type, the UAE market for electric vehicle charging infrastructure is divided into three categories: two-wheelers, passenger cars, and commercial vehicles. With a market share of roughly 91.7% in 2022, the passenger automobile sector dominates the domestic market.

Advancement in Charging Technology

Carbon dioxide (CO2) is one of the principal greenhouse gases released by vehicles powered by non-renewable energy sources. The buildup of solar heat in the earth's atmosphere is known as the glasshouse effect. The Dubai Electricity and Water Authority (DEWA), a member of the Dubai Green Mobility Committee, collaborates closely with governmental agencies and business partners to facilitate EV adoption within Dubai, under the Dubai Green Mobility Strategy 2030. By June 2022, 20% of the fleet of cars driven by government agencies in the UAE will be electric. In addition, plug-in hybrid vehicles save about 50% of their fuel, hybrid vehicles up to 40%, and BEVs save about 70%. Furthermore, hybrids could save up to 40% and plug-ins up to 60% of gasoline in the UAE, resulting in lower carbon emissions. Owing to the aforementioned factors, demand for electric vehicles and charging infrastructure is expected to rise in UAE during the forecast period.

Advancement in Charging Technology

According to Dubai Electricity and Water Authority PJSC, more than 1,000 public charging stations will be accessible in Dubai by 2025 (DEWA). DEWA is able to remotely monitor the chargers due to the smart devices link to a charge point management system, providing EVs with dependable, secure, sustainable, and inexpensive energy. The 250 kW, 350-500 kW DC fast chargers, which are ultra-speed charging choices, are used by passenger cars, light-duty trucks, and vans.

Favorable Government Initiatives and Policies

The UAE government has implemented incentives at the federal and local levels to promote the usage of electric vehicles. Incentives for electric vehicles were also introduced by the Emirate of Dubai in the form of free public charging stations, Salik stickers, and specific free EV parking spaces. 20% of the UAE's fleet of governmental entity-owned cars have been changed to electric models. The United Arab Emirates (UAE) Ministry of Energy and Infrastructure has partnered with Siemens Technology to create a national network of EV charging stations.

Increasing Sales of Electric Vehicles

Since people are becoming more aware of how the transportation sector affects the environment, there is a greater demand for low emission automobiles. Moreover, the UAE has seen a huge surge in the demand for electric vehicles (EVs) as a result of the increase in air pollution. Automotive manufacturers are focusing on providing consumers with high-performance electric automobiles. Most automotive manufacturers also import other EV brands, including South Korea and European models. Around 205% more electric vehicles were registered in the UAE in 2022 than in 2021.