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EV Chargers: A New Attractive Real Estate Business

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The halved sales of electric vehicles, which could be read about in our media space at the beginning of the year, have caused the opposite effect in the market of charging station operators. The latest available data shows that during this year, up to the end of May, an additional 537 ‘little currents’ have arrived on Croatian roads, which is almost 33 percent less than the previous year. However, the fact that the share of electric cars in the total number of newly registered vehicles in the Croatian market has fallen from three to 1.8 percent does not concern companies engaged in charging such cars at all.

Moreover, there are currently as many as 17 companies operating in Croatia that provide charging services, ranging from large international players to domestic corporations and companies registered as simple limited liability companies (j.d.o.o.). Statistics show that the local market is above average fragmented compared to European standards. Currently, there are 8,500 electric vehicles registered in Croatia, with 1,700 publicly available charging points, which means that there is an average of about a hundred charging points per operator. In comparison, there are currently seven million electric vehicles in Europe, which are powered by 600,000 public charging stations. These charging stations are managed by about a thousand operators, meaning each operator manages about 600 charging stations on average. In other words, there is six times more ‘crowding’ among operators in the Croatian market than in the rest of Europe.

Regulation Accelerated Industry Development

The ‘crowding’ is welcome as it ensures competitiveness, from which users of such chargers benefit the most, believes Hrvoje Prpić, president of the association Strujni krug, which brings together electric vehicle owners.

– The topic of e-mobility is hot and is only heating up, both globally, in Europe, and in Croatia. We expect that these 17 operators will continue to increase the capacities of existing ones and expand the number of new locations with chargers. This can only benefit the adoption of e-mobility in Croatia – explains Prpić.

According to him, Croatia has enough chargers in relation to the number of vehicles, but in relation to the population, we lag behind EU trends.

– There are even enough destination and slow urban chargers, but certainly, more ultra-fast chargers for longer trips would be welcome. Fortunately, by the end of the year, a significant number of such chargers from new companies will appear in Croatia – announces Prpić.

The expected wave of new fast charging station construction has resulted in such a number of companies in this industry. Dino Novosel, president of the newly established Group of Electric Vehicle Charging Operators at the Croatian Chamber of Economy (HGK), emphasizes that in the last year, the number of companies dedicated to developing a network of publicly available charging stations has dramatically increased. At the beginning of 2023, there were half as many operators.

– One of the main drivers of such a jump is the fact that the regulation on the establishment of infrastructure for alternative fuels AFIR came into force on April 13, 2024, with a primary focus on developing infrastructure for electric vehicles. This regulation is binding for all EU member states, including Croatia. If we do not meet the goals from AFIR, we will have to pay serious penalties. The regulation will remain in force until the share of electric vehicles in the EU reaches 15 percent, which would mean about 200,000 registered vehicles for Croatia. In the last 15 years, during which I have personally been involved in the development of this business in Croatia and the wider region, all market players have invested a total of about 15 million euros in infrastructure development, or the aforementioned 1,700 charging points – emphasizes Novosel, who is also the director of Green Way Croatia, a subsidiary of the Slovak Green Way.

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