"US Accelerates Nationwide Electric Vehicle Charging Network Deployment"

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Cho Hyun-ui] With the passage of an infrastructure budget bill exceeding $1 trillion in the U.S. Congress, the nationwide construction of electric vehicle charging networks is gaining momentum.

The Wall Street Journal (WSJ) reported on the 7th (local time) that "the infrastructure budget bill forecasts investments in almost every sector of the electric vehicle industry."

The bill also stipulates large-scale investments in essential infrastructure for electrification efforts of transportation means, such as the improvement of aging power grids.

It allocates $5 billion to expand highway charging stations that enable long-distance travel for electric vehicles. Additionally, $2.5 billion will be provided as federal subsidies for expanding alternative fuel infrastructure such as electric vehicle charging stations and hydrogen fueling stations.

The electrification of school buses ($2.5 billion), acquisition of low-emission school buses ($2.5 billion), and port electrification projects ($2.25 billion) are also expected to help revitalize the electric vehicle industry.

Furthermore, the bill includes a 30% tax credit benefit for long-distance transmission line developers and some electric vehicle buyers, a $2.5 billion transmission network project, and a $3 billion smart grid subsidy.

Nick Nigro, founder of electric vehicle market research firm Atlas Public Policy, said, "In recent years, the amount invested by federal and local governments and the utility industry in electric vehicle charging facilities has not even reached $5 billion," adding, "The infrastructure budget bill will bring significant changes across the electric vehicle industry."

However, there are also voices calling for further expansion of investment scale. Although the investment under the infrastructure budget bill is large compared to before, it is pointed out that even greater investment is needed to secure electric vehicle charging stations as densely as current gas stations.

Rob Gramlich of consulting firm Grid Strategies said, "To achieve the Biden administration's decarbonization goals, $300 billion in new investments will be needed over the next decade," adding, "While the passage of this bill is positive news for the industry, there is still a long way to go."

This content was produced with the assistance of AI translation services.