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.