Biden Administration Infrastructure Plan's Proposed Funding for Electric Vehicle Charging Stations

Published: September 23, 2021

SLED Market AnalysisAdministration TransitionArchitecture Engineering and ConstructionElectric & Electronic Components & PartsLand Vehicles & EquipmentOHIOTransportationWISCONSIN

Electric Vehicle (EV) infrastructure would receive $7.5 billion in funding as a result of the infrastructure plan.

The proposed infrastructure bill sets aside $7.5 billion for a nationwide network of electric vehicle (EV) charging stations. Funding for such an initiative has never occurred on this scale before, and the administration hopes that it will provide much-needed domestic manufacturing jobs while addressing the current climate crisis.

Funding will be provided to deploy EV charging stations along major highway corridors for long-distance travel and in more populated communities where people live, work, and shop. While the majority of funding will be allocated to states via grants; funding for rural, disadvantaged, and hard-to-reach communities will mostly be provided by the federal government.

Several states are already looking forward to the investment in expanding their EV charging networks, such as Wisconsin and Ohio. States view this as a potential opportunity for job creation and also reaching their own state initiatives in reducing carbon emissions.

There are arguments that $7.5 billion is not enough to provide for a nationwide charging network, and it will only be a starting point. While EV travel is not impossible right now, it is not considered as convenient as traveling via fossil fuel powered vehicles. The key will be to expand EV charging real estate. Charging stations will need to be in places drivers will want to stop, not places they have to stop, and that is the ultimate goal that state governments agree upon. Regardless, state governments understand the adoption of EVs and expansion of its crucial charging infrastructure will take time, and they welcome the infrastructure bill's $7.5 billion investment in working toward the future of a countrywide, accessible, EV charging network.

While EV infrastructure will not be receiving one of the larger portions of funds provided in the infrastructure bill, it is viewed by the administration as a crucial investment, and encouragement for state governments, toward a reduction in carbon emissions. Thus, hoping to slow or reverse the climate crisis and encourage more drivers to consider the change to electric vehicles as charging stations become more accessible and abundant.