USDOT Unveils Updated Guidelines for Electric Vehicle Infrastructure

NEVI Program Aims to Bolster Electric Vehicle Infrastructure Following Updated Guidelines

Following a recent update to the National Electric Vehicle Infrastructure (NEVI) Formula Program, the United States Department of Transportation has eased the process for states to improve their electric vehicle charging infrastructure. The updated guidelines, released on August 11^th, are a pivot away from the Trump Administration’s previous stance, which aimed to cut green energy subsidies, including the NEVI program. However, a federal court in June ruled that these funds could not be frozen.

What the Updated Guideline Entails

The revised guideline provides states with a simpler plan for accessing program funds and more flexibility when choosing charging stations. This comes amidst changing federal incentives for the electric vehicle industry. The unfreezing of funds will now allow states to continue developing publicly accessible charging stations.

The Evolution of the NEVI Program

With $5 billion in federal funding, the NEVI program was launched through the Infrastructure Investment Jobs Act (IIJA) to establish national corridors of DC fast charging stations. The initial guidelines ordered that funding be directed towards filling out these corridors with a charger every 50 miles along major highway corridors.

Despite the Trump Administration’s intentions, as expressed through President Trump’s January Unleashing American Energy Executive Order, to eliminate the “electric vehicle mandate” by removing subsidies for EV technologies, a court ruling in June reinstated funding for fourteen states.

The Impact of the New Guidance

The Federal Highway Administration issued new guidance to the NEVI program on August 11. According to the USDOT press release, Secretary Duffy suggested that the NEVI program’s continuation was due to congressional mandate. He stated, “If Congress is requiring the federal government to support charging stations, let’s cut the waste and do it right.”

The new guidance aims to hasten the planning process for states. It has decreased the requirements for state plans, and locations for new charging stations can now be chosen by the states themselves. However, the infrastructure must still meet the minimum requirements in 23 CFR 680, including the use of charging ports with 150 kW capacity. States are also required to submit quarterly data reports through the Electric Vehicle Charging Analytics and Reporting Tool (EV-ChART).

With the new guidance now in effect, states are allowed to resubmit plans by September 12^th. This plan must cover all unobligated funding for the life of the program, from fiscal years 2022-2026, and must include specific descriptions of how funds will be used each fiscal year. In response, Vermont Governor Phi Scott announced the state received $15.8 million in frozen NEVI funding after resubmitting their state plan.

The Larger Federal Context

Though the release of frozen funds gives a boost to the electric vehicle industry and states endeavoring to cultivate alternative fueling infrastructure, this comes at a time when the Trump Administration has succeeded in trimming federal support for the industry.

In May, due to staff resignations, the Joint Office for Energy and Transportation, a collaboration between the U.S. Department of Transportation and Department of Energy, shrunk significantly. This office provided technical assistance to states implementing NEVI dollars and bridged policy gaps between USDOT and DOE.

Under the One Big Beautiful Bill, certain tax credits will expire at an accelerated timeline. These include the Alternative Fuel Vehicle Refueling Property Credit and the EV purchase tax credit. In the wake of the release of NEVI funds, it remains to be seen how the electric vehicle industry will fare in the changing federal context for alternative fueling.