EV Automakers and Charging Companies Set to Gain from Mutual Infrastructure Investments
With Tesla's Model 3, Chevy Bolt, extended range Nissan LEAF, BMW i Series, and upcoming Audi EVs offering 200+ mile ranges, electric vehicles are becoming increasingly mainstream. However, widespread EV adoption requires more than just capable vehicles.
While gas stations are ubiquitous for traditional vehicles, EV charging infrastructure needs similar convenience and accessibility. A comprehensive charging network is crucial for eliminating range anxiety among drivers.
To achieve this goal, collaboration between government agencies, charging companies, and automakers is essential. The Volkswagen TDI settlement with the EPA, requiring a $2 billion investment in zero-emissions vehicle (ZEV) infrastructure, represents a significant opportunity for industry growth.
Key factors for successful EV adoption:
- Coordination between automakers, policymakers, and charging station hosts
- Affordable extended-range vehicles
- Substantial infrastructure funding
The required investment is substantial. California alone needs approximately $300 million to upgrade existing 50kW DC fast chargers to higher capacities (100kW-300kW+), enabling 10-20 minute charging times. Doubling the state's fast charger network could push costs to $600 million, with significant additional investment needed nationwide.
The $2 billion VW settlement creates opportunities for:
- Electric vehicle charging companies
- Automakers
- Drivers
- Public infrastructure development
With over 500,000 EVs on US roads and more affordable long-range models entering the market, this investment comes at a critical time. Well-executed projects funded through the settlement could catalyze revolutionary growth in the EV industry, making electric vehicle ownership viable for drivers across the United States.
The settlement provides a unique opportunity for private sector charging providers and suppliers to deploy capital effectively, making EV charging infrastructure accessible to millions more American drivers. Industry collaboration will be key to advancing EV charging capabilities and expanding the network's reach.