Electric Vehicles have been running up the headlines, the stocks, and pretty much everything but the money spent on gas for Americans around the country. With the electric car revolution in the works, will there be enough places to plug in? Currently there are 26,000 electric vehicle charging stations open to the public in the U.S. but still way less than gas stations, which sit around 115,000. Of course, this makes sense considering electric cars haven’t been around even close to as long, but this soon may be changing. With more than 40 fully electric vehicles on the market in the U.S. or coming within the next three years, charging company executives say the demand is on the way. This demand may also be in the works with the climate demands of the public sector, just yesterday Biden revealed a new ambitious plan regarding electric vehicle charging stations as a component of a wider effort to go green. In fact, Biden has promised to have at least 500,000 electric vehicle charging stations installed across the U.S. by 2030. This effort will cost a pretty penny, with the entire infrastructure bill, including the electric vehicles component cost $2T.
So far, the Biden administration has pushed $174 billion into the plan to spur the development and adoption of electric vehicles. To do this the plan includes money to fuel factories, tax incentives for EV buyers, and grant programs. Even with all this, for the program to work and EV infrastructure to expand, a lot more than just governmental support needs to occur. For one, there are not enough EV drivers to make it a viable business, on top of that making a network of chargers is very complex: for it to work a mix of private and public sector cooperation is needed. These partnerships will need likely be between the department of transportation, utility companies, and EV automakers who make chargers. It will not be as simple as having a gas station at every corner.
Do you think Biden can pull this off? And are you seeking to purchase an electric vehicle if you haven’t already?
I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.