Report Overview

The UAE government’s supportive initiatives promoting sustainable transportation, increasing adoption of electric vehicles (EVs), rising demand for charging stations in commercial and residential buildings, and partnerships between charging station providers and automakers are propelling the growth of UAE Electric Vehicle (EV) Charging Infrastructure Market during the forecast period between 2023 and 2029.

UAE Electric Vehicle (EV) Charging Infrastructure Market – Trends & Forecast Report, 2029

The UAE electric vehicle (EV) charging infrastructure market size was estimated at USD 6.58 million in 2022. During the forecast period between 2023 and 2029, UAE electric vehicle (EV) charging infrastructure market size to grow at a CAGR of 14.33% reaching a value of USD 16.68 million by 2029. The UAE electric vehicle (EV) charging infrastructure market has been experiencing significant growth in recent years, driven by government initiatives to promote the adoption of EV and the increasing demand for sustainable transportation options. Key trends in the UAE electric vehicle (EV) charging infrastructure market include the deployment of fast-charging stations, the integration of renewable energy sources into charging infrastructure, and the development of smart charging solutions. Several major players in the market have also been investing in expanding their charging networks, with a focus on strategic locations, such as highways and urban centers. Overall, the UAE electric vehicle (EV) charging infrastructure market is expected to continue to grow rapidly in the coming years, driven by favorable government policies and increasing consumer demand for EVs.

UAE Electric Vehicle (EV) Charging Infrastructure Market - Overview

Electric vehicle (EV) charging infrastructure refers to the network of charging stations, equipment, and technology that supports the charging of the batteries of EVs. It includes charging stations located in public areas, such as parking lots and city streets, as well as those located in private locations, such as homes, businesses, and public transportation hubs. The infrastructure also includes the electric grid and the technology that manages and monitors the charging process, such as billing and payment systems, connectivity and data management tools, and customer service platforms. The goal of the EV charging infrastructure is to provide convenient, reliable, and accessible charging options for EV owners, promoting the adoption of sustainable transportation.

Growth Drivers

UAE Government’s Supportive Initiatives to Promote Adoption of EVs

The UAE government's ambitious plans to reduce greenhouse gas emissions and to promote sustainable transportation are driving the growth of the electric vehicle (EV) charging infrastructure market. The government has set a target of increasing the share of EVs in the country to 10% by 2030, which is expected to result in a surge in demand for charging infrastructure. Also, the government has launched several initiatives, such as the Green Charger initiative, to encourage the deployment of EV charging stations across the country. Private players are also investing in the market, with several new charging station projects underway. These trends are expected to increase the availability of charging stations and improve the charging infrastructure's reliability.

Restraints

Lack of Standardization

UAE electric vehicle (EV) charging infrastructure market is rapidly growing due to the government's initiatives to promote the adoption of EVs. However, the lack of standardization in charging infrastructure is a significant restraint for the market growth. With various charging standards and connectors available in the market, it becomes challenging for EV users to find charging stations compatible with their EVs. The issue may discourage EV adoption in the UAE and hamper the growth of the EV charging infrastructure market. To overcome this challenge, there is a need for a standardized charging infrastructure that is compatible with all types of EVs.

Impact of COVID-19 on UAE Electric Vehicle (EV) Charging Infrastructure Market

The COVID-19 pandemic significantly impacted the growth of the UAE electric vehicle (EV) charging infrastructure market during 2020–2021. With restrictions on mobility and economic uncertainty, the demand for EVs and charging infrastructure slowed down. The pandemic caused delays in the installation of new charging stations and the maintenance of existing ones. Also, many businesses and consumers put their investment plans on hold due to the economic uncertainty caused by the pandemic. However, as the UAE government continues to prioritize sustainability and environmental initiatives, the market is expected to gradually recover and continue its growth trajectory in the long term.

UAE Electric Vehicle (EV) Charging Infrastructure Market

Segmental Coverage

UAE Electric Vehicle (EV) Charging Infrastructure Market – By Charger Type

On the basis of charger type, UAE electric vehicle (EV) charging infrastructure market is split into Slow Charger and Fast Charger segments. Slow chargers, also known as Level 1 and Level 2 chargers, have a lower charging rate and are typically used in residential areas, workplaces, and other locations where the vehicle will be parked for a longer period. Fast chargers, also known as Level 3 or DC fast chargers, have a higher charging rate and are typically used for public charging stations along highways, in parking lots, and in other locations where drivers need a quick charge. Both segments play a critical role in the growth and adoption of EVs.

UAE Electric Vehicle (EV) Charging Infrastructure Market – By Connector Type

By connector type, UAE electric vehicle (EV) charging infrastructure market is divided into CHAdeMO and CCS segments. The CCS (combined charging system) segment is a higher contributor to the growth of UAE electric vehicle (EV) charging infrastructure market. CCS is a fast-charging standard developed by carmakers based in Germany and United States. It is popular and can charge EVs up to 80% in 20–30 minutes. The adoption of these standards is critical for the growth of the EV industry, as it ensures interoperability and compatibility between charging stations and EVs.

UAE Electric Vehicle (EV) Charging Infrastructure Market – By Level of Charging

By the level of charging, UAE electric vehicle (EV) charging infrastructure market is divided into Level 1, Level 2, and Level 3 segments. Level 1 charging refers to the basic charging capability that uses a standard household outlet and provides a low charging rate. Level 2 charging provides faster charging times and requires a dedicated charging station that can be installed at home, workplaces, or public areas. Level 3 charging, also known as DC fast charging, provides the fastest charging rates and requires specialized equipment. Level 3 charging is typically used for commercial or public charging stations and can recharge a vehicle in as little as 30 minutes. The market for each level of charging infrastructure varies in size and demand depending on the use case and location.

UAE Electric Vehicle (EV) Charging Infrastructure Market – By Connectivity

On the basis of connectivity, the UAE electric vehicle (EV) charging infrastructure market is divided into Non-connected Charging Stations and Connected Charging Stations segments. The connected charging station segment is a higher contributor to the market growth. Connected charging stations are integrated with a network that allows for remote monitoring, payment, and management. These stations offer faster charging capabilities and are typically found in more convenient locations, such as parking lots and service stations. The UAE government has been promoting the growth of the EV market in the country and has set ambitious targets for the expansion of charging infrastructure.

UAE Electric Vehicle (EV) Charging Infrastructure Market – By Application

On the basis of application, the UAE electric vehicle (EV) charging infrastructure market is bifurcated into Commercial and Residential segments. The commercial segment is further divided into Destination Charging Stations, Highway Charging Stations, Bus Charging Stations, and Fleet Charging Stations segments. The Residential segment further split into Private Houses and Apartments subsegments.  The residential segment is a higher contributor to the UAE electric vehicle (EV) charging infrastructure market. Residential charging infrastructure, on the other hand, refers to charging solutions installed in private homes, apartments, and parking spaces. These charging solutions are owned by individual EV owners and are used to charge their vehicles overnight or during the day. As the demand for EVs grows in the UAE, the development of both commercial and residential charging infrastructure is becoming increasingly important to support the widespread adoption of electric mobility.

Competitive Landscape

Major players in UAE electric vehicle (EV) charging infrastructure market include ChargePoint, Inc., ClipperCreek, Eaton, GENERAL ELECTRIC, Leviton Manufacturing Co., Inc., Webasto, Schneider Electric, Siemens, Tesla, Inc., and ABB. The key strategies used by these market leaders are new product launches, mergers & acquisitions, and alliances. To grow their market share, these companies are also focusing on investing in innovations, collaborations, and expansions.

Recent Developments

• In August 2021 - The Dubai Electricity and Water Authority (DEWA) and Tesla formed a partnership to install 200 Tesla Destination Chargers at different locations, including hotels, shopping malls, and other tourist destinations, in Dubai.

• In July 2021 - Abu Dhabi National Oil Company (ADNOC) announced its plans to install 500 EV charging points by the end of 2021 and about 1,000 EV charging points by the end of 2022 at its petrol stations across the UAE. ADNOC’s plans aimed at providing a comprehensive charging infrastructure for EV drivers and will help to encourage the adoption of EVs in the UAE.

Scope of the Report

By Charger Type

• Slow Charger

• Fast Charger

By Connector Type

• CHAdeMO

• CCS

• Others

By Level of Charging

• Level 1

• Level 2

• Level 3

By Connectivity

• Non-connected charging stations

• Connected charging stations

By Application

• Commercial

1. Destination Charging Stations

2. Highway Charging Stations

3. Bus Charging Stations

4. Fleet Charging Stations

5. Others

• Residential

1. Private Houses

2. Apartments