As more electric vehicle models are introduced, EV consumer appeal grows. Because of the rise in electric vehicles on the road throughout our communities, there is an increasing demand for the build-out of EV charging infrastructure and public charging stations.
This creates an opportunity for local governments, cities, counties, and states to publicize their commitment to their communities and sustainability efforts. Installing EV chargers also provides a valuable amenity to citizens.
Public Policy and Growing EV Charging Infrastructure
Commitment to Made in America
RMPAC EV stands ready to lead as the nation aims to build out the first-ever national network of 500,000 EV chargers along America’s highways and in our communities. We are well-positioned to help bring this goal to fruition. And with our recent partnership with manufacturing giant QUALEX & ADVANTECH in Kentucky, RMPAC is able to comply with the mandates of the Made in America program that requires federally funded infrastructure projects to use American-made materials, such as iron, steel, construction materials and manufactured products.
Federal, State, and Local EV Actions
January 1, 2024 – Kentucky kWh tax
Kentucky will implement kWh tax. Owners or operators of charging stations will be required to submit reports detailing the total kilowatt-hours distributed, the tax revenue collected, and make monthly payments to the state.
January 1, 2024 – Oklahoma kWh tax
Oklahoma will implement kWh tax, but it will include an exception for chargers with a capacity of under 50kW. Owners or operators of charging stations will be required to submit tax payments to the state of Oklahoma on a monthly basis using the designated forms supplied by the Oklahoma Tax Commission.
January 1, 2024 – Utah kWh tax
Utah will implement a kWh tax. Owners or operators of charging stations in Utah will be required to electronically submit this tax payment, following the identical schedule as sales and use tax submissions. The tax must be paid in accordance with a corresponding timetable.
September 19, 2023 – Electric Vehicle Charging Station Rebate – Central and Eastern California Grant
The Golden State Priority Project, funded through the California Energy Commission within the California Electric Vehicle Infrastructure Project (CALeVIP) grant program, grants financial assistance for the procurement and installation of direct current fast charging (DCFC) stations. Applicants who are eligible to apply include businesses, nonprofits, tribal governments, or government entities. They can receive rebates for installing up to 20 DCFC connectors. The places where these chargers are installed must be open to the public all day and be in underserved or low-income areas in Central or Eastern California. These grants will cover 50% of the project costs including a maximum rebate of $55,000 for 150 kW power output rating and $100,000 for greater than 274 kW.
September 19, 2023 – The Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project (HVIP) Public Bus Set-Aside Program
The Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project (HVIP) Public Bus Set-Aside Program, which receives funding from the California Air Resources Board (CARB) and the California Energy Commission (CEC), offers a range of grants. These grants are designed to support the purchase of new zero-emission school buses, aiming to replace conventional fossil fuel-powered ones. The grant amounts vary depending on the type of vehicle, with different options available. This includes grants of up to $350,000 for school buses without wheelchair lifts and up to $375,000 for those that are equipped with such lifts.
September 15, 2023 – New York State Electric School Bus Roadmap
The New York State Electric School Bus Roadmap lays out the challenges, costs, funding options, and policy choices for making all school buses in New York State run on clean electricity by 2035. One key aspect is that by 2027, New York could have about 3,000 electric school buses, which is about 4-5 buses per school district. This is almost ten times more than the 310 electric buses the state currently has. To reach this goal it could cost around $780 million to switch these 3,000 buses to electric power and provide the needed charging station infrastructure. Fortunately, most of this money can come from federal and state funds, especially in communities where it’s needed the most.
September 13, 2023 – NOFO EV Chargers Broken
The Federal Highway Administration (FHWA) has introduced a Notice of Funding Opportunity (NOFO) with a budget of $100 million. This initiative, funded in part by a 10% allocation from the National Electric Vehicle Infrastructure (NEVI) formula program, is dedicated to the Electric Vehicle Charger Reliability and Accessibility Accelerator. The primary goal of this program is to provide financial assistance for the repair and replacement of existing electric vehicle charging infrastructure that is currently out of commission. Eligibility for participation is restricted to state Departments of Transportation (DOTs) and local government entities.
September 7, 2023 – Delaware Electric School Bus Acquisition Requirement
Beginning July 1, 2025, the Delaware Department of Education (DOE) is obligated to progressively increase its acquisition of electric school buses as a part of its annual school bus procurement. The increments must align with the following schedule:
Fiscal Year (FY) 2025: 5%
FY 2026: 10%
FY 2027: 15%
FY 2028: 20%
FY 2029: 25%
FY 2030: 30%
August 21, 2023 – Texas Requires NACS Connectors at EV Charging Stations
Texas recently decided to require that all upcoming EV charging stations there should incorporate both the North American Charging Standard (NACS) connectors and the Combined Charging System (CCS) connectors.
August 14, 2023 – Build America, Buy America Act Final Ruling
The Biden Administration introduced updated guidelines for the Buy America Act on August 14th, with a focus on strengthening domestic preference provisions. Effective from October 23rd, 2023, these guidelines affect iron/steel products, manufactured goods, and construction materials. They emphasize transparency in federal financial assistance projects, including those funded through the Bipartisan Infrastructure Law. The updated standards clarify terms like “manufacturing processes” and “manufactured products,” encompassing materials such as fiber optic cable and precast concrete. Products with over 55% iron/steel must comply. A Department of Transportation waiver for Buy America Requirements was issued on August 16th, 2023, refining the waiver scope. While in the near term, the effect on the electric vehicle charging industry will be limited due to FHWA waiver specific to EV chargers, Buy America guidelines for EV charger projects are expected to encourage increased domestic production.
States Doubling Down on EV Infrastructure Funding
With federal funding programs, like the National Electric Vehicle Infrastructure (NEVI) Formula Program and the Charging and Fueling Infrastructure (CFI) Discretionary Grant Program, aimed at enhancing Electric Vehicle charging infrastructure across the country, states are developing plans to use these funds. Some states, like Minnesota, take it a step further showing their commitment to statewide EV adoption. In Minnesota, the state is matching federal NEVI funding with, an additional $13.6 million, to meet their EV infrastructure goals. (The maximum federal funding through the NEVI program is 80%.) Additionally, Minnesota DOT is supplying grants to auto dealers totaling $2 million to offset the cost of installing the infrastructure needed to support EV sales.
EV-Ready Building Codes
For the past few years, EV-ready building codes have been a topic of conversation as national EV adoption increases, although implementation has been slow. Many states have considered requiring multifamily and commercial real estate to be built with the power infrastructure in place for future EV chargers. There is less cost upfront to run the conduit and install the power lines than there is to retrofit buildings in the future. However, extra upfront cost is not attractive to many contractors and owners who may not own or occupy the buildings down the line.