Why Brazil’s Osten Group is investing in electric vehicle charging infrastructure

Brazil’s Osten Group is starting a project to install electric vehicle (EV) charging infrastructure in shopping malls and parking lots. 

Meanwhile, the company is seeking partnerships with construction firms and developers to integrate EV stations into new buildings. 

In this interview, Osten’s new business development manager, Tarcísio Alves, speaks about the local EV charging market and explains why it has great potential.  

BNamericas: How does Osten Group see the current and future panorama for the charging infrastructure market for electric vehicles in Brazil and why did the company decide to bet on this sector?

Alves: When we compare Brazil with first world countries, we’re still at the early stages of automotive electrification and the entire infrastructure that encompasses this segment. 

But we have great potential to move forward, since Brazil is one of the global leaders in the production of sustainable electricity, thus generating new opportunities in this ecosystem.

Three years ago, according to the local electric vehicle association ABVE, Brazil had only 350 public or semi-public electric stations. At the end of last year, this number reached 4,300, and according to estimates, we could have more than 10,000 units by the end of 2025. 

The market has already captured the consumer's desire and is mobilizing to meet this need. Examples of this are the investments made by Chinese companies in the country and comprehensive projects such as Shell's with Raízen Power. 

Offering good infrastructure is fundamental to demonstrating to customers that it’s possible to have a hybrid or 100% electric car. In this context, reinforcing our position of going beyond selling vehicles, Osten Group has structured itself to provide customers with solutions and services that promote sustainable mobility. To this end, we’ve created REVO – Electric Revolution – a company focused on automotive electrification, which already operates in the installation of charging points in homes and commercial enterprises and is now starting the project to install infrastructure in shopping malls and parking lots.

BNamericas: What are the main challenges to expanding this market?

Alves: Difficulty in accessing credit is one of the main challenges affecting investments in infrastructure for electric vehicles, mainly because the return is medium to long term. 

In addition, it’s crucial to strengthen partnerships with residential and commercial condominiums, shopping malls and supermarkets in order to meet the growing demand for public charging points.

Myths also persist, such as that installing a charging point in homes is expensive and unaffordable. It's important to note that the price of certified equipment is falling as electric car sales grow. 

The presence of charging points in residential or commercial buildings is no longer a luxury or a benefit for a restricted number of users.

BNamericas: Which segments are expected to grow the fastest: end users, residential buildings, commercial buildings (including shopping malls, markets, etc.) and electro-posts? Why?

Alves: We see a certain balance between the installation of charging points in homes, usually with a single charging point, and the more robust installations, with multiple points, in companies and commercial buildings.

In large urban centers, where there’s the challenge of limited space and high demand for energy, shopping malls stand out as the best places to install fast-charging points, followed by charging stations and parking lots.

In commercial buildings, the installation of low-power chargers will become more and more common, enabling backup charging for electric vehicles. 

In residential buildings, there’s still resistance from residents and administrators regarding the correct use and certified installation of charging points.

Companies that are migrating their fleets to electric models to meet sustainability and emissions reduction targets represent another fast-growing niche, driving the installation of new charging points.

BNamericas: What are your main projects, contracts and growth prospects in the area?

Alves: REVO is structured to meet all the demands of Osten Group customers who need a certified recharging solution in their homes or businesses. 

We’ve also started installing fast chargers at the group's dealerships and are negotiating partnerships to install electric charging stations in strategic locations, expanding the charging network available to electric vehicle users.

We’re seeking partnerships with construction companies and developers to integrate vehicle charging infrastructure into new building projects, which is increasingly valued by customers and investors, who recognize the importance of sustainable mobility for the future.

BNamericas: Who are the main manufacturers of electric chargers used in the country and which ones does REVO work with?

Alves: The domestic market has the presence of practically all the main global players, such as WEG, Siemens, ABB, EDP and Enel.

At Osten Group, we’re primarily selling the official devices of the car manufacturers we work with. 

REVO is approved by the automakers, ensuring that the equipment used meets the strictest quality and safety standards. This combination of expertise and commitment to excellence allows us to offer our customers complete and customized solutions for recharging electric vehicles.

BNamericas: How much equipment has the company sold and how many installations has it built? 

Alves: In the last five months, REVO has installed 19 new points and overhauled and improved more than 45 Osten Group points.

BNamericas: What are the average prices for electric chargers and infrastructure installation? How have these prices been behaving? 

Alves: Chargers for domestic use [7.4kW] vary between 7,200 and 8,000 reais [US$1,560], depending on the brand, the infrastructure and the characteristics of the property. 

As mentioned earlier, the growing market is driving down the prices of equipment and installations, making electric vehicle charging more accessible to the public.