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Maximizing the benefits of EV charging with the RECHARGE EV Act

Two EV charging plugs rest on either side of a retrofitted gas pump bearing a faded label

The Infrastructure Investment and Jobs Act (IIJA) is rolling out billions in funding for high-powered electric vehicle chargers along highways, but the main beneficiary of these funds has been gas stations—meaning we’re missing out on prime opportunities to support other local businesses. A new bill introduced to Congress last week could enable electrification funds to drive economic development opportunities in small towns.

Two EV charging plugs rest on either side of a retrofitted gas pump bearing a faded label
In a public parking lot in downtown Chico, California, an EV charging station housed in an historic gas pump. (Flickr, Don Barrett)

Across the country, states have begun the rollout of the National Electric Vehicle Infrastructure (NEVI) program. NEVI is designed to eliminate anxiety over EV range by supporting longer trips with an interstate-centered network of EV chargers.

Under this $5 billion federal program, states have been tasked with deploying high-powered EV fast-charging sites, eventually accommodating all Americans with public charging opportunities at least once every 50 miles along designated highways. Over 500 new high-power electric vehicle charging sites have been announced so far (with sites being announced at an accelerating pace), and the IIJA is beginning to deliver on its promise to bring unprecedented support for electric vehicles.

As we explained in our first blog on NEVI, FHWA-issued guidance requiring states to plan their NEVI charger sites within one mile of designated highway exits has strongly influenced the types of sites that receive federal funding. This leaves only a narrow band of land eligible for NEVI funding, restricting the potentially transformative impact that the $5 billion program could achieve, especially for rural communities.

Under the one-mile guidance, states’ programs have shown heavy biases towards awarding hundreds of millions in funds to gas stations and truck stops—in fact, these locations make up about 70 percent of all awards so far. While the IIJA called for NEVI to consider existing fuel retailers, the law also called for the program to prioritize small businesses.

When fully built out, the national network of NEVI-funded public chargers will extend through hundreds of miles of rural areas. While a rural town’s borders’ could stretch up to a highway, it is often the case that the core of communities, where federal investments could make the biggest impact, are close, but down a road less traveled compared to major interstates, too far away to receive federal funding under NEVI. This means that many rural towns, located slightly more than a mile from an interstate, could be missing out on federal transportation electrification funds, even if it could represent a major opportunity to support local business and enhance the traveler experience with more service options while waiting for the vehicle to charge.

Win-win-win strategies for the EV transition

Thankfully, Congress is now making an effort to seize this opportunity, with the recent introduction of Representative Trone’s RECHARGE EV Act (which stands for Revitalizing Economic Competitiveness of Highway Adjacent Areas with Reliable Green Energy for Electric Vehicles—because Congress loves acronyms). Instead of only allowing exceptions to the NEVI program’s one-mile rule for technical reasons, the bill would allow states to turn electrification into even more of a win-win-win: a boost for small-town local businesses and their customers, greater distribution of benefits to rural communities, and increased flexibility for NEVI deployment.

Small business boosts

To understand the value of local EV charging stations, keep in mind that NEVI-funded Level 3 Direct Current Fast Chargers can take between 20 minutes to an hour to recharge a depleted EV. That’s time that vehicle owners could be spending sight-seeing and popping into nearby shops.

A recent study from the Massachusetts Institute of Technology found that EV charging stations boost spending at nearby businesses, an effect we described previously as Charger Oriented Development. According to their research, businesses with EV chargers within walking distance received thousands of dollars more revenue annually, and the effect was even greater in disadvantaged communities. Instead of gas stations, siting NEVI chargers in rural towns could provide an economic boost to small businesses, rural towns, and historically disadvantaged communities, if guided by a smart growth lens. As an added bonus, the increased access to varied amenities could enhance the traveler experience and provide opportunities to get needed items and services at one stop, potentially reducing overall miles traveled.

Equitable electric upgrades in a constrained supply chain

Beyond the Level 3 EV chargers themselves, NEVI funding helps subsidize the electric infrastructure work required to get those stations powered up and running, such as installing transformers, or wiring to chargers. A major hang-up for swift deployment of the NEVI program today (and likely in all types of future electrification programs) is a national shortage of electrical equipment and infrastructure. This shortage leads to long waitlists for key electrical components necessary to install before powering up EV charging stations.

One way to stretch these vital resources is to deploy new electric infrastructure in ways that benefit the most people in a given community. While upgrades at remote gas stations could enable charging at just one lot, installations centered on small towns could help jumpstart a community’s access to future electrification opportunities they might otherwise miss out on.

Increased flexibility and options to build towards national goals

We need both transportation electrification and more opportunities to travel outside of a car in order to achieve emissions reduction that averts the worst consequences of climate change. The RECHARGE EV Act would give states greater flexibility and discretion to pursue electrification in ways that more efficiently distribute benefits to communities. Besides adding to the national network, placing these chargers in communities can show how rural stakeholders that they, too, can participate in the electrification transition.

The RECHARGE EV Act is a small but meaningful step towards more inclusive and effective EV infrastructure that prioritizes rural small businesses and the experience of everyday travelers. While NEVI is part of our essential efforts to reduce transportation emissions through electrification, the program still has a long way to go to maximize its potential. By thinking beyond the one-mile rule, this legislation not only enhances national access to electric vehicle charging but also stimulates local economies and fosters greater access to EV charging and future electrified opportunities.

Building a charging network that works

An assortment of people walk down a wide sidewalk near a brightly colored apartment building

It’s nearly impossible to move forward with a transition to electric vehicles without a network of chargers in place. However, though some federal funds have rolled out to the states, efforts to build out a charging network still have a long way to go.

An assortment of people walk down a wide sidewalk near a brightly colored apartment building
This apartment building in Vienna, VA (Halstead Square) includes space for vehicle charging. Chargers placed near apartments can help create a more robust charging network. (Dan Reed, Flickr)

Transportation is one of the leading sources of greenhouse gas emissions in the United States. Take it from USDOT—any effective strategy to reduce emissions requires both a transition to electric vehicles and opportunities to travel outside of a car.

To support the shift toward more sustainable transportation, federal and state governments are funding vital infrastructure for non-gas and non-diesel options. Highways that reliably connect sustainable fuel sources are gaining a shiny new distinction: alternative fuel corridors, or AFCs.

AFCs have become a key aspect of national strategy toward reducing environmental harms. First name-dropped on Capitol Hill in 2009, state governments from California to New York have been supporting efforts toward non-gasoline or diesel fuels even before that, naming their own corridors as well as establishing tax credits and HOV lane access for electric and alternative fuel vehicles.

Federal legislation from as early as 2015 called for the designation of AFCs, allowing them to be mapped out on a national level. Alternative fuel corridors could be designated for five specific fueling types: hydrogen, propane, compressed natural gas, liquefied natural gas, and electricity. Among the alternative candidates on the list, electric vehicles have been the option of choice for everyday Americans looking to commute to work, school, and the grocery store with the occasional road trip for leisure.

While this early effort helped link individual states’ efforts to build a connected sustainable highway network, money to build infrastructure would not arrive until the passage of the Infrastructure Investment and Jobs Act. Under the IIJA, it’s up to states to deploy the majority of EV funds through the $5 billion National Electric Vehicle Infrastructure formula program, and the administration to handle the $2.5 billion Charging and Fueling Infrastructure program. The Departments of Transportation and Energy jointly administer and manage these programs through the Joint Office of Energy and Transportation, though the Federal Highway Administration plays the leading role.

Funding charging options

While the Biden administration has faced criticism for a sluggish EV charging station rollout, with fewer chargers deployed than hoped after 3 years, states each had to spin up individual programs for two-thirds of that funding. As states roll out their plans and start scaling deployment, we’ll begin to see progress accelerate.

In many states, NEVI sites are meeting trends in industry standardization, adopting the Tesla-led NACS guidelines for chargers while also including adaptors for CCS vehicles. The Department of Transportation has made progress in loosening and clarifying certain requirements for federal electrification programs. Under the first round of Charging and Fueling Infrastructure grants, half of the funding for EV and alternative fueling stations was initially required to be placed within 1 mile of alternative fuel corridors, a rule that helped functionally limit chargers largely to car-dependent gas stations and roadside malls.

However, the CFI Alternative Fuel Corridor program’s second round of funding expanded this radius to 5 miles, a change T4A has previously advocated for. This change comes just in time too, as applications for the current notice of funding are open until September 11, 2024. On top of that, the CFI grant can help build more than just car chargers — FHWA has clarified that some e-micromobility improvements can be added on top of CFI projects. Recently announced awardees of CFI Round 1B, like New York City, may be taking advantage of this. While CFI fills in many gaps, future programs should go all the way on supporting e-micromobility.

The gas station model won’t be enough

The EV transition alone can’t be the sole strategy toward fighting transportation emissions, and it’ll fail if we follow the same patterns as the gas-powered status quo. The basic mechanics of fueling are different, taking an average of two minutes for gas-powered cars versus the twenty required for EVs.

People stand to benefit from healthy, walkable services and amenities, but that environment is not easily found given the current infrastructure. Building charging stations in small town main streets off the highway, even if they may take slightly longer to access, could boost local economies while also providing a more engaging break from the road: walking to local parks, checking out mom-and-pop stores, or grabbing groceries from nearby markets.

Additionally, more thought must be placed into how chargers’ placements can influence driving patterns. Focusing charger construction along highways could lead to more time spent driving, leading to tire emissions and increased wear on our roadways due to the high weight of EV batteries.

Alternative fuel corridors are only as efficient as the types of vehicles that they transport: for natural gas and hydrogen options, which are more focused on long-distance freight, it makes sense for these fueling stations to be placed near industrial areas and highways. However, EVs that largely serve commuters should have charging stations placed where individuals live and work, not necessarily where people drive the longest.

While these programs are taking steps forward, we could go further to ensure that the EV transition is making the biggest benefit. Perhaps a new designation can be created for urban areas, where residents and pedestrians are forced to walk near the polluted air of crowded city streets. Alternative fueling zones, similar to the low emissions zones that limit polluting vehicles from accessing some city centers, could provide charging solutions to promote cleaner population centers. Prioritizing charging in urban offices and apartment buildings can boost charging access, making communities more energy-efficient and more convenient places to live and travel.

The bottom line

Constituents and markets—even in states deeply entrenched in America’s fossil fuel industry—have an appetite for greater choice in transportation. While the IIJA contained major funding wins for cleaner transportation options, its 2026 expiration is quickly approaching. As federal legislators plan the next transportation reauthorization’s funding for EVs, they need to remember it is not just how much funding to allocate, but what policy to enact to maximize benefits for all.

Leave the gas station behind: How charger-oriented development can lead to a greener future

Two men stand, chatting, beside a car while it's getting plugged in to charge.

Charging an EV is fundamentally different from fueling a gas-powered car. It’s time to co-locate charging infrastructure with existing communities in an approach we call charger-oriented development.

One man charging his white EV while speaking to another man wearing glasses

In our EV blog series, we’ve shared strategies in the zero-emission fleet transition which work in concert with smart growth. These strategies can both advance the EV transition and reduce the need to drive so much. They include electric carshare services, charger-oriented development, the NEVI program, equitable access to chargers, integrating smart parking policy with EV-charging, and electric micromobility. To learn more about reducing transportation emissions, check out our report Driving Down Emissions and go here to learn more about CHARGE, the coalition we co-lead on EV issues.

With the implementation of the Inflation Reduction Act and 2021 infrastructure law in full swing, transportation electrification is taking off faster than ever. Congress is pouring billions of federal dollars into states’ National Electric Vehicle Infrastructure (NEVI) programs to electrify American cars, but those dollars are falling into a familiar pattern.

While electric vehicle charging infrastructure has distinct advantages over traditional gas stations, certain restrictions in NEVI standards and plans fail to imagine ways to invest in communities beyond the suburban gas station and sprawl-inducing big box store. The advantages (and even supposed disadvantages) of EV charging offer up opportunities to create vibrant, thriving places, but to unlock these benefits, policymakers need to rethink the pitstop.

Charging an electric vehicle differs significantly from the traditional fueling experience. In an internal combustion engine (ICE) vehicle, drivers start the day with the same amount of gas that they had the day before. EVs may take more time to charge, but people with home charging options can start with a full battery and charge at destinations. However, on the rare occasions you do need to stop and charge, it’s going to take 20 minutes or more—not the three-to-five minutes it takes to tank up an ICE vehicle. This has big implications for where we put charging stations and what should be around them.

Charger-oriented development (COD) is the strategy of locating charging infrastructure in vibrant places that have an abundance of diverse opportunities easily accessible within walking distance. This could be on a rural town’s Main Street, town square, or a vibrant, walkable, mixed-use urban neighborhood. In these places, the driver can do something worthwhile with their valuable time, and local businesses benefit from new patrons bolstering the local economy.

Flipping the script

Many people are familiar with the concept of transit-oriented development (TOD): build up and densify around stops and corridors as much as possible and reap the benefits of walkability around transit. To implement that same smart growth approach with EV charging, you need to flip the script. Chargers should be oriented in walkable areas, in ways that contribute to local economies.

As we’ve said, most EV owners will charge at home overnight, or at other destinations, so they will only need access to a DC fast charger (DCFC, also called a level 3 charger) on longer trips. Once they plug in, what do they do? Do they sit in their car at the truck stop out by the highway, or are there multiple businesses they can patronize like cafes, restaurants, and stores? Perhaps there is a nearby park where the kids can let off steam. Ideally, the charger is in a place they were going anyway—the museum or the arena, for example.

Charging up local economies

Charger location also has implications for the local economy, particularly in rural communities. Businesses on Main Street are much more likely to be locally owned than the truckstop or the big box store. Public investment that directs travelers’ dollars into local pockets builds local wealth and resilience.

You can see examples of this from Meeker, Colorado and Canton, New York in our Sparking Progress report, where local businesses have benefited directly from travelers stopping to charge up. Strong local businesses on a Main Street tend to support each other by creating a vibrant place that becomes attractive for more people to visit.

Invest in existing infrastructure

Everyone involved in discussions around charger infrastructure quickly learns the importance of utilities. You can’t build chargers without electric power, and level 3 chargers draw a lot of it. Fast charging, especially, takes a lot of juice. In fact, a federally compliant fast charging station with four ports can draw as much electricity as a small town. Bringing that kind of power to an area is expensive, which is why we need to think of ways to use the capacity we already have in the grid more effectively. This is a corollary to the principle we already follow with smart growth: invest in existing communities.

There are a number of strategies we can use to take advantage of existing utilities. For example, Los Angeles installs level 2 chargers where there are already streetlights. The private company ITSElectric has developed a strategy for delivering level 2 charging at the curb using excess capacity in buildings fronting the street. Power hungry level 3 chargers are more likely to require significant utility upgrades, but those upgrades could be easier to deliver in existing communities than in a remote location by the highway. In addition, electric utility upgrades today would be a valuable investment in rural communities’ electrified future.

Utilities aren’t the only essential infrastructure near EV chargers. Just as everyone is a pedestrian when they park their car, the same goes for someone charging their car. Pedestrian infrastructure is essential, and a Main Street or neighborhood is more likely to have sidewalks than the truck stop or big box store. In some cases, it might even be feasible to integrate bikeshare with a charger location, giving the traveler who has stopped to charge up a much wider range of opportunities while they wait.

Reorienting federal investment

Unfortunately, the National Electric Vehicle Infrastructure (NEVI) program, Congress’s first stab at building a charging network, is not grounded in charger-oriented development principles. NEVI charging locations, as well as the corridor grants for the Community Fueling Infrastructure (CFI) program, are required to be within one mile of the highway they serve. This pulls opportunity away from countless rural towns a little over a mile or two off the highway. State DOTs are implementing NEVI plans for the first time and there is no guidance or incentive for them to do anything other than place chargers out at the truck stop. The next blog post in this series showcases opportunities for charger-oriented development we are already missing in Pennsylvania and Ohio.

The emphasis on the NEVI program itself, with the vast majority of federal charging infrastructure funding going to level 3 chargers placed to serve long-distance travel, comes from a gas-station mindset. American drivers typically drive only 37 miles per day on average, and less than one percent of trips are more than 100 miles. Those distances are easily covered by overnight charging. In many cases those longer trips could also be better served by passenger and high-speed rail as they are in other developed nations.

The bottom line

As we build out America’s charging infrastructure ecosystem, there’s no need to emulate the gas station. Chargers are going to be a major infrastructure investment, but in the end, it really is just an electric cord with a plug and a parking spot. Charging can be delivered in a more diffuse fashion and fit in more dense vibrant neighborhoods. If approached the right way, our charging infrastructure won’t keep people tethered to power outlets on the side of the road, but free them up to accomplish more as they leave their cars to charge.