The Trump administration has taken steps to freeze a $5 billion bipartisan grant program aimed at assisting states in constructing electric vehicle chargers along highways and roadways, as per a recent Department of Transportation memo.
The memo reveals that state plans approved by the previous administration under President Joe Biden to expand charging networks have been put on hold until new guidance is issued by the current administration, expected in the spring. Consequently, federal grant funds for states working on charging station projects will not be disbursed.
The Department of Transportation memo states, 'Since FHWA is suspending the existing State plans, States will be held harmless for not implementing their existing plans. Until new guidance is issued, reimbursement of existing obligations will be allowed in order to not disrupt current financial commitments.'
The National Electric Vehicle Infrastructure program, also known as NEVI, was established following the passage of an infrastructure law in 2021 with bipartisan support. It was a key component of President Biden's climate and clean energy initiatives aimed at increasing the adoption of electric vehicles.
Clean energy organizations have expressed concerns over the decision, citing the significant uncertainty it creates for states and companies, potentially putting billions of dollars in funding in a state of limbo.
Ryan Gallentine, managing director of the trade group Advanced Energy United, emphasized that states are not obligated to halt ongoing projects solely based on this announcement. He urged state Departments of Transportation and program administrators to continue implementing the NEVI program until new guidance is officially issued.
