India’s fleet electrification journey is accelerating. Over the past three years, commercial adoption of electric vehicles (EVs) has risen steadily, led primarily by electric two- and three-wheelers – segments in which India is among the largest global markets. Since FY22, electric three-wheeler sales have nearly tripled, while electric two-wheeler sales have grown almost eightfold.
Today, these segments form the backbone of India’s logistics and last-mile delivery sectors, one of the strongest growth exponents of our robust economy. As fleet sizes expand, managing how and when vehicles are charged has become operationally critical. One emerging solution is managed charging.
This article explains:
- What managed charging is
- How it works in commercial fleets
- Why it matters particularly for two- and three-wheeler fleets in India
- How technology platforms enable scale
What does Managed Charging mean?
Managed charging of electric vehicles involves optimizing charging patterns to improve fleet performance and reduce operational expenses.
When fleet operators plug in their EVs when the grid is already under pressure, they risk incurring higher “demand charges” which inflate overall costs. In order to avoid such a penalty, they must optimize charging patterns: putting EVs for charge during low-demand periods can not only help them leverage Time-of-Use (ToU) tariffs, but also utilize more renewable power to charge the vehicles.
Thus, along with charging vehicles at the right time, it includes strategic oversight and control of the following components:
- State-of-Charge (SoC)
- Battery health
- Electricity tariffs (including Time-of-Day pricing)
- Charging load distribution
- Vehicle duty cycles
By keeping a close on the above indicators, operators can substantially reduce their costs while running an EV fleet.
Types of Managed Charging
User Planning
In this method, the fleet operators manually handle all the components of implementing optimized charging schedules. Thus, from tracking energy consumption to noting down volatility in electricity tariffs and keeping EVs in good shape, they remain in-charge of overseeing each component needed to maximize EV fleet performance.
Smart Charge Management
While the above involves the operator taking charge, the latter includes using a specialized software platform that coordinates the above functions. It is a dynamic tool which automatically assesses battery health, energy use and other indicators to keep the fleet in good health.
For most fleet operators, especially those managing large fleets, manually tracking every indicator can prove cumbersome. By investing in a charging management system (CMS), they can save time and gain access to unique inputs that help them gain a competitive advantage in the market.
Benefits of Smart Charge Management
From reduced electricity costs to longer battery health, smart charging can be a game-changer for fleet operators.
- Lower energy costs: With a charging management system (CMS), your EVs won’t be charging as soon as they are plugged in. Instead, the system will take into account which EVs need to charge first; the rest will be refilled at a time when electricity tariffs drop lower.
- Higher vehicle uptime: With suitable charging schedules, operators can extend vehicle uptime which directly translates into higher revenue.
- Lower operational expenses: By leveraging ToU tariffs, one can achieve a significant reduction in costs. Research by the International Energy Agency (IEA) finds that optimized charging patterns yield a 29% reduction in operational costs, proving a worthwhile investment.
- Improved load management: When you plug multiple EVs into charging points at once, you run the risk of destabilizing the grid and causing an accident. To avoid such an occurrence, the CMS automates energy use regulation to stay within sanctioned limits and avoid safety hazards.
- Protect the Environment: As per the International Energy Agency (IEA), managed charging can reduce CO2 emissions from charging EVs by up to 11%, further reducing their impact on the environment.
Why Managed Charging matters for Two and Three-wheeler Fleets in India
With smart charging, electric two and three-wheelers have become a backbone of the flourishing quick commerce, e-commerce and logistics industries in India. Since they are affordable, more fuel efficient and cheaper to maintain, they prove ideal for the needs of companies operating in this segment.
To fulfil the significantly large volume of orders they receive daily, their electric fleets operate on:
- High daily utilisation
- Tight duty cycles
- Thin operating margins
- Rapid battery turnover
Unlike private EV owners, commercial operators cannot afford unpredictable downtime or energy cost volatility. To run a tight ship, they need efficient end-to-end coordination of all the key components to fulfil maximum deliveries in a day. Below, we take a look at an e-commerce giant and the role played by managed charging in running a successful fleet of electric two- and three-wheeler vehicles.
Electrifying Business : The Role of Managed Charging in BigBasket’s Operations
With more than 15 million orders completed every month across 59 cities, BigBasket has established itself as a leading player in delivering fresh groceries directly to home. Its two- and three-wheeler fleet has powered its growth, helping the company reach remote locations and widen its network of customers.
In recent years, BigBasket is attempting to go green: by adopting EVs into its fleet, the company has taken a vital first step towards implementing sustainable delivery operations. The following features in Kazam’s Charging Management System (CMS) have helped them implement positive changes to accommodate electric vehicles:
- Tracking Energy Use and Consumption: Kazam’s CMS included a single-dashboard oversight of energy consumption across different EV fleets.
- End-to-end Tariff Management: By levying differentiated tariffs depending on delivery partners’ usage patterns, type of vehicle or affiliations, the company was able to streamline revenue management.Ensuring safety and compliance: Implementing the specialised LEVAC technology for safety and compliance.Preventing non-authorised use: Kazam’s proprietary CEID technology allowed only authorised users to charge.
- Centralising EV Management: With thorough control over all EV-related matters including load management, energy use tracking and alert management, BigBasket was able to manage its electric two- and three-wheeler fleet efficiently.
With the help of Kazam, BigBasket has installed over 4,000 charging points across 773 stores, significantly cutting down emissions from its delivery fleet. With an aim to have a 60% electric delivery fleet by 2030, the company is blazing a path ahead that other companies strive to follow.
To watch how Kazam supports BigBasket’s electric delivery fleet, click here.
Scaling Success : How Managed Charging Powers Fleet Expansion
While transitioning from an Internal Combustion Engine (ICE) fleet to EVs, operators are met with numerous challenges. When they increase the number of EVs in the fleet, these problems grow worse. Unfortunately, many fleet owners are guilty of trying to do it all on their own: while it may prove feasible for a humbler operation, operating a large fleet with this approach is nearly impossible.
For fleet owners looking to build a sustainable, scalable business model: smart charging is the way forward. Not only does it promise higher savings, but it’s the right step to take for the environment too.
Interested in building a scalable EV fleet business? Reach out to us and take the first step towards success, starting today.
Frequently Asked Questions (FAQs)
- What is managed charging for EV fleets?
Managed charging is the strategic optimization of electric vehicle charging patterns, along with access to insights and control over other key elements that affect fleet performance. These typically include the EV’s State-of-Charge (SoC), battery health, electricity tariffs (including Time-of-Day pricing), charging load distribution and others.
- Why is managed charging critical for India’s two- and three-wheeler fleets?
India is one of the world’s largest markets for these vehicles, which form the backbone of “quick commerce” and last-mile delivery. Because these fleets operate on thin operating margins and tight delivery schedules, they cannot afford unpredictable downtime or high energy costs. Managed charging ensures maximum vehicle uptime and cost-efficiency.
- How does managed charging help the environment?
According to the International Energy Agency (IEA), managed charging can reduce CO2 emissions from EV charging by up to 11%. By shifting charging to times when the grid is less stressed or when renewable energy is more available, the overall carbon footprint of the fleet is significantly lowered.
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