By: Phil Jones
We continue to live through challenging times in the EV ecosystem in the United States. Yet we are finding gaps and bright spots in the energy and transportation system for zero emission and low carbon vehicles along with growing EV infrastructure. Let me mention a few.
The affordability crisis coupled with the conflict in Iran is shining renewed light on the volatility of fossil fuels and many folks are waking up to the tremendous cost savings of an EV compared to an ICE vehicle. Auto OEMs are continuing to produce new and cheaper models of light-duty EVs, including models from Chevy and GM, Ford, Rivian with its new R2, the revised Tesla Model Y, and many others. Consumers are taking notice of the expanded options that save them money and are also fun to drive.
Most leading automotive analysts such as Cox have concluded that the market has recently stabilized after Q1 and has started some steady growth in the 2nd quarter. I expect that this trend will continue and hopefully increase its growth curve over the next one or two years. Also, the used EV market has become a vibrant place with record sales and competitive pricing, bringing new and diverse consumers to EVs for the first time. This could be a fertile area for growth in the future.
Perhaps most importantly, despite the loss of federal support for tax credits and EV infrastructure incentives, public facing charging infrastructure continues to grow steadily. The private sector is embracing the long-term vision and value of EV charging, moving forward with increased port counts in nearly every quarter. Home grown companies like ATE members Ionna and others like Tesla, Electrify America and Walmart with its rapid expansion, have supported this growth. In other words, the private sector recognizes the value proposition and is showing leadership.
What can we do as a community to support these bright spots, and persevere through this dynamic and challenging time?
The World Cup competitions have brought much excitement and joy to soccer fans in the U.S. and across the world this last month and I think there are apt analogies for us in the EV ecosystem. I was especially struck by the rise of Norway in the Cup. A smaller “upstart” team challenging the dominant powers in soccer cheered on by a legion of dedicated fans doing the “Viking Row” that became a viral hit. We can learn something from Norway, which perhaps not coincidentally, has one of the highest EV adoption rates in the world. A small but committed community rowing together in the same direction can achieve great things. I believe the same is true for our long-term success in electrifying the transportation system.
I appreciate your participation in our meetings, work, white papers, and advocacy at state agencies. Though we face daunting obstacles, rowing together we will continue to power forward!