The Current State of US EV Charging In 2023, US electric vehicle charging installations witnessed an unexpected decline of almost a third, contrasting the global surge. China and Europe outpaced the US by installing significantly more connectors, prompting concerns about the nation’s EV charging infrastructure.
Unveiling Funding Solutions Contrary to the misconception of a funding shortage, the Bipartisan Infrastructure Law allocated $7.5 billion for EV charging infrastructure. Recent developments, such as a $623 million award for 7,500 chargers, signify positive changes. Dozens of new entrants are injecting dynamism into the market.
Divergence Between NEVI and CFI Programs While the National Electric Vehicle Infrastructure Formula Program (NEVI) initially led the charge, the Charging and Fueling Infrastructure Discretionary Grant Program (CFI) is gaining momentum. The CFI’s recent $623 million grant outstripped NEVI’s contributions, indicating a shift in priorities and potential.
Increasing Competition and Company Landscape Over 50 companies secured NEVI awards, fostering competition in a sector dominated by a handful. In Europe, a diverse market boasts over 500 companies, challenging the dominance of Tesla. This surge in competition hints at a more varied and expansive market, benefiting both consumers and industry players.
Business Models and Future Challenges While companies like ChargePoint and Blink offer integrated hardware and software solutions, broader ambitions require a multi-provider approach. A spectrum of businesses, from utilities to supermarkets, enters the charging market, raising questions about the sustainability of diverse business models.
Market Transformation and Future Outlook The US charging market is in flux, evolving into a dynamic landscape with increased diversity. The upcoming year promises a shift towards a more competitive and varied sector, emphasizing the changing dynamics of the EV charging industry.