Egypt's EV charging network grows

From the newsletter

Sha7en, an Egyptian EV charging infrastructure provider, yesterday expanded its EV charging network in the Red Sea area. This follows the launch of other AC charging stations exclusively for the Gezira Club in Cairo last week. The company now has a total of 69 charging points, spread across the country, with more planned.

• Sha7en operates as a vertically integrated solution provider, offering both hardware and software for EV charging. 

• The company has mapped its charging stations, making them easily accessible to customers through Google Maps. It also provides a mobile app that allows users to locate charging stations, plan routes, and make secure payments.

More details

• Sha7en strategically partners with real estate developers to install charging stations in prime locations, including shopping malls, business buildings, gated communities, sports arenas, and fuel stations. They offer a home charger solution for convenient and efficient EV charging at home, sourcing it locally from within Egypt.

• The EV charging market in Egypt is growing alongside the local EV manufacturing sector. The past two months have witnessed an increase in activity in the EV space. Chinese EV manufacturers have partnered with local companies to establish manufacturing plants, and the government has even revived its previously inactive automotive plant, El Nasr. In the charging sector, Infinity Capital partnered with Recharged to produce local EV home chargers.

• The EV charging infrastructure network in Egypt is expanding, currently there are over 270 charging stations and over 890 charging points. Infinity is the dominant Charging Point Operator (CPO), with 70% of the charging points, including both AC and DC. Sha7en takes second place, focusing primarily on AC chargers, while Ikarus Electric comes in third overall. Ikarus Electric is the second-largest DC charging operator with 35 DC stations and has made significant strides with GB/T connectors, catering to the increasing number of Chinese EV models in Egypt.

• In the past six months, PLUG Elsewedy Electric and TAQA Power have officially entered the public charging market with their network apps, further expanding Egypt's charging network and increasing the availability of charging points across the country.

• Charging infrastructure is a critical component of the EV transition. However, it is also the most expensive segment, especially for DC fast charging options. Despite the cost, widespread DC fast charging will be necessary for a smooth transition, particularly in public charging spaces. Slower AC charging can be sufficient for home charging.

• Egypt's efforts to manufacture its own EV chargers, specifically targeting the home charging market, is a big step that will increase consumer confidence. EV owners want convenient charging options, and public charging spaces may not be readily available to accommodate mass charging anytime soon. Therefore, home charging will likely remain the dominant method for the foreseeable future.

Our take

• Taking EV charging infrastructure to the next level requires more than just building charging stations. Local manufacturing plays a crucial role in reducing costs and designing customised solutions tailored to specific countries. Egypt is excelling in this area.

• The growth of EV charging companies signals a growing market with viable economics. As more players enter the market, increased competition is expected to benefit consumers with more affordable charging options.

• However, EV charging solution providers need strategic plans for the placement of slow (AC) and fast (DC) public chargers. There are business opportunities associated with charger placement. Providers installing slow chargers can consider building recreational facilities nearby or locating them where such amenities already exist. In areas lacking such facilities, DC fast charging would be more suitable.