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Biden Administration Releases New National Electric Vehicle Infrastructure (NEVI) Formula Program

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Biden Administration Releases New National Electric Vehicle Infrastructure (NEVI) Formula Program

Biden Administration Releases New National Electric Vehicle Infrastructure (NEVI) Formula Program
Thursday, February 10, 2022 –  Today, the Joint Office of Energy and Transportation – a coordinated body of Department of Energy and Department of Transportation officials designated to coordinate EV charging -- announced plans to implement the $5 billion for National Electric Vehicle Infrastructure (NEVI) Formula Program included in the Bipartisan Infrastructure Law that signed into law in 2021. The funding will be distributed to states on a formulaic basis and can be used to create EV charging station networks along Alternative Fuel Corridors. States will have until August 1 to submit plans for how they will use the funding, with the Federal Highway Administration and Joint Office of Energy and Transportation planning to approve state plans by September 30.

CLICK HERE to read DOT’s press release.
CLICK HERE to read DOT’s published Program Guidance.
CLICK HERE to read DOT’s Request for Nominations for states to expand their existing Alternative Fuel Corridors.
CLICK HERE for a breakdown of funding each state is eligible for in FY22 and throughout the five-year life of the program.

This $5 billion is part of $7.5 authorized for EV charging infrastructure. The additional $2.5 billion will be in the form of two competitive grants for which entities can apply:
  • The $1.25 billion Corridor Charging Grant Program will deploy EV charging infrastructure, hydrogen, propane, and natural gas fueling infrastructure along Alternative Fuel Corridors.
  • The $1.25 billion Community Charging Grant Program will deploy EV charging infrastructure, hydrogen, propane, and natural gas fueling infrastructure to communities.
The Joint Office of Energy and Transportation will announce details on this funding later this year. The Joint Office’s announcement Thursday comes after a public comment period where stakeholders agreed that chargers should be high-powered and located in safe areas, such as highway exists and stores with restrooms. Guidance issued by the Joint Office recommends that chargers be “ideally within a mile of the highway” in order to create a network that is “convenient, reliable, affordable and equitable.” Of concern to EMA is that states risk missing out on this funding if they do not submit detailed plans to the Joint Office. The guidance says that that if a state does not submit a plan by August 1, the Joint Office will award funds directly to local governments or to other states.
EMA recently submitted comments to the Biden Administration after seeking input from EMA’s Motor Fuels Committee and Alternative Energy Task Force regarding its NEVI infrastructure related questions, specifically on how the programs should be administered, including criteria for locating EV infrastructure projects.

EMA urged the Biden Administration to establish safeguards to ensure small business marketers can access vital federal funds to advance alternative energy goals. Specifically, EMA urged FHWA to ensure that 50 percent of the grant program funding be dedicated to small, independent fuel marketing businesses with less than 500 employees who can diversify and ensure consumers pay a competitive price for EV charging. EMA stressed to FHWA that it makes more sense to locate new EV charging equipment at existing off-highway fuel retailer sites. These sites are ubiquitous, familiar to consumers and conveniently located at highway entrances and exits nationwide. New EV charging sites are likely to be located further from highway exits and entrance ramps than consumers are ordinarily willing to travel. The convenience of an EV charging station, already situated at highway entrance and exit ramps, along with the availability of restrooms, food, and drink, will prove far more desirable to travelers than EV charging stations located further down the road from the exit, without facilities or refreshments.

Finally, EMA reiterated its concerns that the National Electric Vehicle Formula Program and the Charging and Fueling Infrastructure Grant Program could permit electric utilities to double dip – meaning they could charge their rate paying consumers to pay to expand EV infrastructure, while also taking grant money to subsidize the same projects. An electric utility monopoly using ratepayers to install EV infrastructure hurts consumers by effectively blocking out competition. Competition will ensure consumers pay a competitive price for EV charging and are ultimately serviced by the companies that provide the best customer experience. In other words, utilities and non-utilities, including private businesses, should be on a level playing field when it comes to building out EV charging infrastructure. CLICK HERE to read EMA’s EV Charging comments.
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