Jerry Griffin, MIRA Vice President of Government Affairs
As part of the National Electric Vehicle Infrastructure (NEVI) program passed by Congress in 2021, the state of Michigan is set to receive about $110 million in federal funds as part of the goal of establishing a nationwide network of electric vehicle charging stations. The funding will be doled out in grants to fund the acquisition, installation, and operation of publicly accessible charging stations throughout Michigan.
In 2021, Congress passed the Bipartisan Infrastructure Law, which included $5 billion in funding to be made available to states to create a nationwide network for electric vehicle (EV) charging stations and, just as importantly, set national standards for EV charging stations. At the time, there were no national standards for charging stations. EV’s also have different charging modules that fit the vehicle (think Apple charger plug-in versus Android plug-in). There are differences in charging power, voltage, and payment methods. Issues of reliability have also plagued the emerging market. The new standards set in NEVI attempt to address these issues.
There are a variety of EV charger plugs that fit different models of EVs. Under NEVI, all chargers will have what is referred to as Level 2 or CCS Type 1 Level 3 ports to be eligible for grant funding. Level 3 ports allow for high voltage connection and faster charging times. Tesla has a different port, and these may be eligible as well, as long as a CCS Type 1 Level 3 port is included at the station. (Tesla created a proprietary system for use on their vehicles alone. Adapters are now available that will allow Tesla vehicles to use a CCS Type 1 charger.)
Additional requirements necessary to access funding include accepting credit card payments that do not include a membership with service provider; each charging station must display charging costs in kilowatt hours and any additional fees; if located on major highways like interstates, they must operate 24 hours a day, 365 days a year; and stations must have at least four level 2 ports or a combination of level 2 or level 3 ports.
Several utilities, including Consumers Energy and DTE, have established programs to do the necessary site assessments to determine if power upgrades would be necessary at a particular location. These assessments are a required part of the application process.
So where does this fit with MIRA’s members? With the goal of establishing an electric vehicle charging network to resemble gas fueling stations, grants are being made available to cover the vast majority of the cost of acquisition and installation of vehicle charging stations. With the majority of the physical infrastructure covered, and with the number increasing and technology improving with EV’s, these charging stations could become a new source of revenue that also provides another incentive for customers to use our members locations. Understandably, EV’s do not charge as fast as a gas vehicle fuels up, but the new Type CCS Level 3 chargers can fully charge a vehicle in 30 minutes. For a grocery store or small retail outlet, customers can charge their vehicle while picking up a full load of groceries or stop in for a few items and charge for 5-10 minutes, which is long enough to add roughly 30 miles of range for the typical EV.
As this market expands and improvements are made, the potential for continued revenue growth is there. And these grant dollars won’t exist for long. If you have any interest in or questions about the program, please visit the Michigan Department of Transportation’s website at www.michigan.gov/mdot/travel/initiatives/nevi.