Two identical chargers can have completely different results. One pays back in a few years, the other barely covers its electricity. The difference is almost always utilisation: how much of the time the charger is actually delivering energy to a vehicle.
What utilisation means
Utilisation is usually measured as the share of hours a charger is in use, or the energy it delivers compared with what it could deliver running all day. A charger in use for 3 hours a day has a time utilisation of about 12.5%.
Why it matters so much
Most of a charger's costs are fixed: hardware, installation, grid connection, software, maintenance and often a minimum electricity charge. Revenue, on the other hand, comes only from sessions. Each extra hour of use adds revenue while fixed costs stay the same, so profitability rises steeply once utilisation passes your break-even point.
Working out your break-even
- Add up yearly fixed costs: hardware and installation spread over the charger's life, software, maintenance, rent and fixed electricity charges.
- Work out margin per kWh: your price minus the electricity and payment costs for each kWh.
- Divide fixed costs by margin per kWh. That is the energy you must sell each year to break even.
- Divide by 365 and by the charger's power to see how many hours of use a day that needs.
What drives utilisation
- Location: traffic, dwell time and visibility matter more than anything else. See our site selection checklist.
- Reliability: a charger that is often down loses drivers' trust for good. See uptime and maintenance.
- Visibility in apps: drivers must be able to find the station, including through roaming partners.
- Easy payment: app-less QR and UPI payment wins first-time drivers.
- Price: competitive and clearly shown.
- Fleets: agreements with cab, delivery or company fleets add steady daily sessions.
Early sites need patience
Utilisation usually starts low and grows as more EVs arrive and drivers learn about the station. Plan finances for a ramp-up period rather than expecting full use from day one.
Track it from the start
Measure utilisation by charger and by hour of day. Low use at certain hours can be fixed with time-of-day pricing or fleet partnerships; consistently low use may mean a charger should move to a better spot.
EVee Buddy's dashboards show utilisation for every charger, so you can see which sites are working and act early on those that are not.