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Eyes Turn to Washington in 2021 (Finally)
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The new year could bring a dizzying array of policy activity designed to advance the EV market in the United States. In 2021, we expect to see states follow California’s lead on a zero emission truck and bus rule and push forward with rules to implement the governor’s executive order calling for 100 percent zero emission passenger vehicle goal by 2035. And, after a long wait, we anticipate serious activity in the nation’s capital.
For much of the time since EVs were introduced to American consumers in late 2010, state policymakers led the way with supply and demand driven policies to accelerate market growth. With the voters’ choice of Joe Biden for President and the recent election of two Democratic Senators in Georgia, the groundwork is being laid for substantive EV policy for the first time in several years. Congress will likely consider refreshed passenger vehicle incentives, which could provide a boost to Tesla and General Motors, both of which have reached the sales limit for the current tax incentive. The time is right to also consider expanding vehicle incentives to the burgeoning medium- and heavy-duty segments, as more models are expected from major manufacturers. Federal charging infrastructure investments that line up with Biden administration targets are on the table as well. From the Biden Administration, we also expect substantive action including updated vehicle emissions and fuel economy standards, awards from the Low Emission-No Emission program ($125 million was added to the program in last year’s omnibus), and promotion of EVs through the bully pulpit. Federal activity could expand depending on the popularity of using EVs as a solution to the economic woes from COVID-19.
Although Washington is once again looking to lead, the states will likely continue to play an essential role in moving policy forward for transportation electrification, with California and the other ZEV states being a top focus. The trend to rapidly phase out gasoline passenger vehicles is gaining steam following Governor Newsom’s executive order in September. New Jersey and Massachusetts followed suit with similar goals announced in October and January, respectively. Similarly, we will be keeping our eyes on states in California’s ZEV program as they weigh adopting the Golden State’s Advanced Clean Trucks rule which aims to achieve 100 percent zero emission medium- and heavy-duty vehicle sales by 2045. We already saw movement in 2020 by ZEV states (as well as non-ZEV states) on this front when 15 states and DC signed the Multi-State Zero Emission Medium- and Heavy-Duty Vehicle Initiative MOU which targeted 2050 for 100 percent sales of zero emission medium- and heavy-duty vehicles. We also expect continued activity in vehicle manufacturing states as they work to attract some of the more than $400 billion in investments that we track on EV Hub. Finally, it is likely that states will continue to leverage Volkswagen Settlement funds for EVs with well over half of states’ funds remaining to be spent.
There’s reason to be hopeful about transportation electrification in 2021. Public policy will continue be the lynch pin that drives market adoption, particularly in emerging segments like electric trucks. We expect a lot of policy to be crafted this year as the distribution of the COVID-19 vaccine ramps up and the country attempts to stimulate the economy. We’ll be tracking it all on EV Hub and we encourage you to reach out to us with suggestions on how we can improve our policy tracking.
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Catch up on EV Hub Live. In our last episode in late December, Nick Nigro sat down with Michael Berube, Deputy Assistant Secretary for Transportation at the U.S. Department of Energy and Joe Britton, the Executive Director of the newly formed Zero Emission Transportation Alliance. They discussed the vehicle and charging technology progress we can expect in the near term and the importance of U.S. leadership in electric transportation.
You can subscribe to our YouTube Chanel and listen to all EV Hub live podcasts here.
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Follow the EV Hub on Twitter!
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The EV Hub is active on Twitter and we encourage you to retweet or like anything you found useful. Follow us for relevant media stories and updates to EV Hub resources throughout the week!
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STORIES ABOUT UPCOMING EV MODELS LED THE NEWS
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Our choice clips from last week:
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Three States and DC Move to Implement TCI Program
On December 21, 2020, members of the Transportation & Climate Initiative (TCI) including Massachusetts, Connecticut, Rhode Island, and Washington D.C. announced plans to be the first jurisdictions to begin administering the Transportation & Climate Initiative Program (TCI-P) that could bring $300 million of annual investment in clean transportation projects to communities throughout the region. Investment will come from the TCI program which collects “allowance” payments from major oil and gas suppliers in the region to invest in transportation electrification and other emissions-saving technologies. Emissions reductions in these four jurisdictions are expected to reach 26 percent by 2032. Read More Here
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California to Ban Sale of New Gas Vehicles by 2035
California, the nation’s largest vehicle market, has announced that the sale of new gasoline passenger cars and trucks will be banned after 2035. The ban comes as a result of an Executive Order from Governor Gavin Newsom and directly addresses the state’s long-term climate goals amid an ongoing season of particularly extreme wildfires. The next steps will be for the California Air Resources Board (CARB) to establish binding requirements setting this new rule in motion. Read More Here
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15 States Commit to 100% ZEV Truck and Bus Sales By 2050
Organized by the Northeast States for Coordinated Air Use Management (NESCAUM), 15 states and Washington DC have come together in support of rapid electrification of the medium-and heavy-duty vehicle sector. The MOU signed by participating states calls for all new truck and bus sales to be zero emission by 2050. States partnering on the MOU include California, Colorado, Connecticut, Hawaii, Maine, Maryland, Massachusetts, New Jersey, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, Vermont, and Washington. Read More Here
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Below are current job openings in transportation electrification:
If you have a job posting you would like to share with EV Hub users, please send them to us in an email at info@atlasevhub.com.
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Renewable hydrogen has the potential to be a vital and reliable solution for energy storage. Multiple renewable hydrogen projects are taking shape globally and these utility-led projects aim to provide reliable infrastructures, production facilities and more to highlight this zero-carbon fuel source. In part two of the Forth and Renewable Hydrogen Alliance webinar series, they will cover renewable hydrogen projects taking off around the country. Read more.
January 12th @ 1pm EST
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New polling data shows that the majority of Americans support investments in clean transportation, including 70% support for setting stronger fuel efficiency standards and replacing diesel-powered buses with electric buses. Join Clean Fuels Michigan on Thursday, January 21st at 1 pm ET for a virtual conversation about the future of clean transportation in the United States and Michigan. Read more.
January 21st @ 1pm EST
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Focus continues on the goal to support the Governor’s Executive Order N-79-20 requiring all new cars and trucks sold in California be zero emissions by 2035. Veloz has assembled top leaders from key sectors in transportation electrification to talk candidly about the challenges and opportunities of meeting this goal. Read more.
January 21st @ 1pm EST
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