Where EV charging revenue comes from
Revenue from charging stations is driven by a mix of session volume, dwell time, and the chosen billing model. In practice, it is not only the number of sessions that matters, but also:
- average value per session,
- bay turnover (especially for DC),
- pricing matched to the user profile. The most profitable locations combine natural driver traffic with a real need to charge and frictionless payment. That is why malls, hotels, and retail are natural places where drivers expect a charger to be available. But even more: if you host clients in an office or venue and they stay 30–60 minutes, they can easily charge during that time. Why not introduce an additional revenue stream while also increasing the attractiveness of your location? Remember that charging revenue is often a by‑product of a well‑designed “waiting time” for the customer.
Revenue models: per kWh, per time, start fee
You will most often see three core billing models:
- per kWh — the most transparent for drivers and aligned with market expectations,
- per time — especially for fast chargers where turnover matters and no one wants a connector blocked after charging ends,
- start fee — protects transaction costs on short sessions. In practice, a mixed model is common, e.g. kWh + time fee after a set limit. You can also apply a start fee when charging ends below a minimum energy threshold. This approach protects margin while not discouraging drivers on longer sessions.
Additional revenue: parking, advertising, premium services
Extra income can come from adjacent services:
- paid parking (especially in city centers and commercial sites),
- ads on charger screens or in the app,
- premium fleet packages (priority access, reservations, reports). It is worth considering these when the location already generates stable traffic. Partnerships with tenants or local services can also co‑finance infrastructure in exchange for exposure or incremental footfall.
Operating and investment costs (CAPEX/OPEX)
CAPEX covers hardware, design, grid connection, and installation. OPEX includes energy, servicing, payment fees, monitoring, and system upkeep. To keep profitability:
- calculate costs per connector and per session,
- account for seasonality and energy price volatility,
- compare manual operations vs automation — manual processes create hidden workload and costs, so plan for it or choose fully automated solutions. The model should also include the cost of capital, depreciation, and downtime risk (failures and unavailability are real revenue losses).
Location and customer profile impact on profitability
Location determines both demand and the preferred station type:
- long stays (residential, offices, hotels) favor AC, so initial investment is lower,
- short stays (highways, malls) justify DC,
A well‑chosen location often matters more than the hardware itself. In practice, places with repeatable traffic and predictable dwell time work best because they make tariff and power selection easier.
How to set pricing and margin
Start from energy and operating costs, then add a buffer for price volatility. For AC, unit margin may be lower but more stable. For DC, turnover is critical and idle‑blocking must be limited after charging ends. Good practice includes:
- keeping pricing transparent,
- time‑based pricing only when necessary,
- post‑charge idle fees only when needed.
In a well‑designed service, these pricing parameters can be configured and updated as needed using tools like the EV24 Portal. Make sure prices are communicated clearly in the app and on‑site — this builds trust and reduces complaints.
Example ROI scenarios
ROI depends on station type and utilization:
- AC in long‑stay locations — stable but slower payback,
- DC on highways — higher investment with faster payback at high turnover. It is worth modeling conservative, base, and optimistic scenarios and tracking key metrics: sessions/day, average session value, connector occupancy time. An operator system should provide detailed reports that answer ROI questions and help forecast future profits.
Common operator mistakes
The most frequent issues are:
- overly high initial investment,
- choosing a location without real demand,
- lack of automated billing and reporting,
- a complex payment process that discourages drivers.
Avoiding these mistakes often improves profitability faster than cost cutting. Quality is remembered longer than price. A driver satisfied with the payment process will return and recommend the location.
Summary and next steps
Earning on charging is a game of demand, turnover, and operational simplicity. The key is fitting the model to the location and quickly testing tariffs and payment flows. If you want to estimate profitability for a specific site, start with a pilot and data from the first weeks. Good data helps you scale the investment later without burning budget.