Public charging stations have played a pivotal role in the movement to electrify transportation across the globe. In the United States, federal funding has contributed to expanding access to public charging ports for EV drivers. Recently, however, many have raised concerns regarding the cancellation of such federal funding that was to be awarded to several states’ for their EV charging initiatives. Several states who were expecting to receive those funds are now moving forward with lawsuits to challenge the decision to cancel the distribution of further funding. It’s left many wondering if such a rollback in funds will hinder further EV adoption.
While the cancellation of the National Electric Vehicle Infrastructure (NEVI) program may be viewed by some as a setback in the EV transition, market trends continue to point to rapid growth of electric vehicles. With that growth will be new opportunities to expand and monetize charging networks from both the public and private sectors to meet the demand.
The Role of Public Charging Infrastructure
Sales of electric vehicles show no signs of slowing down. According to the IEA’s Annual Global EV Outlook Report, the sales of EVs are expected to surpass 20 million in 2025. That would account for nearly a quarter of all cars sold around the world. The increase in electric vehicles on the road will continue to require robust charging networks that can meet ongoing driver demand for easily accessible charging locations away from home. Access to these charging stations is also beneficial to those without EVs. Consider how access to public charging stations has been found to be linked to drivers’ opinions of electric vehicles, having them view EVs more positively compared to those who are further away from public charging access. Between current demand for EV chargers, and securing interest from potential future EV drivers, establishing more public charging ports is a priority.
State-led initiatives to expand public charging infrastructure have followed a strategic approach. Charging stations are often placed in locations such as highways, city centers, and public parking areas, ensuring accessibility for as many drivers as possible. Many states have led the way in successfully establishing a growing number of public charging stations, with California, New York, and Texas currently topping the list with the most charging ports. It’s no surprise that these states are also those with the most registered electric vehicles as well.
Other states are increasing funding for EV charging programs separate from federal funding initiatives. The state of Michigan is one such example, where legislators introduced the Clean Fuel and Charging Program, allocating $30 million in funds to deploy electric vehicle charging stations across the state.
How Investment in Charging Networks Will Move Forward
While the rollback of the NEVI program has certainly made an impact on how states will approach expanding their charging infrastructure, it’s worth noting how federal funds have been utilized thus far. NEVI-funded ports represented around 130 out of the 14,000 new ports added last year, only 1% of the total. Considering how much charging infrastructure will be required to meet the increase in EV sales, relying on federal funds alone won’t suffice.
At Driivz, we estimate that there will be a need for approximately 200,000+ plus DC fast chargers (100kw+) to meet projected demand for on-the-go charging by 2030 in the United States. This represents ~30% growth from today’s installed base of roughly 50,000 DC fast chargers. Federal estimates are similar in viewing the needs of public charging ports in the coming years.
The private sector is already capitalizing on the demand for more charging ports, with businesses across convenience and retail, fuel, hospitality, and more adding charging services. Expanding services to include EV charging has the added benefit of attracting new customers. One recent survey showed Gen Z opting to select retailers who offer EV charging over those that do not. What’s more, a study from MIT had found EV drivers will spend money while waiting for their vehicles to charge. These insights point to the increasing value proposition that investments into charging ports bring to private businesses.
U.S. convenience stores particularly can benefit from the addition of EV charging ports with their locations often being in highly populated areas easily accessible by drivers. Roughly 160 million people visit a convenience store daily in the U.S., and 90% of Americans live less than 10 minutes away from a convenience store. For this reason, many convenience and fuel retailers are opting to diversify their business and scale their charging services.
Additional Initiatives Remain to Support EV Adoption
Across the United States, state-led incentives are continuing to facilitate the acceleration of EV adoption. Colorado and California are two examples where incentive programs have encouraged the transition to electric vehicles. Colorado taxpayers are eligible for a state tax credit of $3,500 for the purchase or lease of new electric vehicles, for both personal and commercial EVs. The state of Connecticut provides incentives for residents who purchase or lease an eligible new or used electric or plug-in hybrid electric vehicle starting at $1,000 and going upwards of $4,500.
The role of government incentives to encourage continued EV adoption has seen much success in Europe. In Norway for example, 90% of the new cars sold in 2024 were electric according to recent reports. Those sales are the result of a tax system to incentivize the purchase of EVs over other high-emissions vehicles that has been in effect for several years. As a result, the rate of charging infrastructure has also increased, with more than 27,500 public EV charging ports available to drivers throughout the country. Europe’s acceleration of EV adoption, such as Norway, has been the result of a strategic combination of driver incentives, charging infrastructure build out, and decarbonization targets. The combination is being replicated across the continent of Europe, with additional countries such as the UK now experiencing growth in EV sales as well.
A Path Forward for Public Charging Infrastructure
The transition to electric vehicles will continue, both in the United States and globally. Public charging access plays a vital role in further supporting EV adoption. While federal funding may wane in the short term, the private sector and individual states have the ability to support the transition with a proactive approach to address driver needs.
