Cleantech Market Intelligence
U.S. Federal Government Expands EV Charging Infrastructure Support
The FAST Act transportation bill that became law in December 2015 contains an important provision to increase the coordination of activities of all players in the electric vehicle (EV) charging infrastructure ecosystem. Thanks to funding reauthorizations in the law, individuals and organizations that purchase EV charging equipment in the future will receive a federal tax credit for either commercial and residential chargers, as reported by Green Car Reports. This incentive is expected to spur additional sales of charging infrastructure that reduces range anxiety and increases sales of plug-in electric vehicles (PEVs).
More significantly, the Act requires the U.S. Department of Transportation (DOT) to “designate national electric vehicle charging and hydrogen, propane, and natural gas fueling corridors,” as well as to identify “standardization needs for electricity providers. …”
Since 2009, there has been considerable effort to increase the installation of publicly accessible EV chargers. These include the federal EV Project and ChargePoint America programs, as well as recent collaborations such as those between BMW and Nissan—notable because they support different fast charging standards—and Nissan’s growing effort in using multiple charging networks to provide free charging to customers as they roam.
The U.S. Department of Energy’s (DOE’s) EV Workplace Charging Challenge, a voluntary program for employers that install EV infrastructure, continues to progress rapidly, as highlighted in the program’s recently published interim report. According to the report, individuals whose employers offer workplace charging are 6 times more likely to own an EV than the average person. And workplace chargers aren’t just sitting idle; the report states they are delivering an average of 9.6 kWh of power per day.
Thus far, however, there has not been a national effort that adds utilities, state governments, and other key players to the development of charging networks and infrastructure. The FAST Act is looking to greatly encourage coordination by requiring the Secretary of Transportation to engage with stakeholders to include:
- The heads of other federal agencies
- State and local officials
- Representatives of:
- Energy utilities
- The electric, fuel cell electric, propane, and natural gas vehicle industries
- The freight and shipping industry
- Clean technology firms
- The hospitality industry
- The restaurant industry
- Highway rest stop vendors
- Industrial gas and hydrogen manufacturers
The DOT has 1 year to identify these corridors, a not insignificant task that will require analyzing EV sales data, forecasts for future purchases for both plug-in hybrid and battery electric vehicles (BEVs), and the expected required volume of charging infrastructure, analysis of vehicle miles traveled by region. Identification of locations (using geographic information systems mapping) of the logical linkages between EV hotbeds where roadside charging is likely to be most beneficial is also a needed step. The corridors will require primarily DC fast chargers to enable BEVs to travel longer distances by recharging in under an hour, as well as some Level 2 chargers for extending the electric range of plug-in hybrid EVs that don’t have fast charge capabilities.
If these corridors are successfully electrified, we can expect greater concentrations of EVs in adjacent cities, ultimately resulting in improved urban air quality and reduced CO2 emissions.