The Future of NEVI Funding: A Private Solution

Over the past few years, Optimus Energy Solutions has worked with local governments throughout the United States to help secure federal funding for EV charging stations in their communities. Unfortunately, it looks like it may be years until the $5.5 billion that has been sent to states for the National Electric Vehicle Initiative, or NEVI, will be spent.

Earlier in February, all 50 states were instructed they could not spend the money that had been allocated for NEVI as the program was being cancelled. The new guidance from the federal administration will be challenged in the courts, but that could take years to fully settle. The program was already moving slowly, with just 14 states installing any chargers despite all 50 states receiving money in 2022. Eight states, including Florida, have received millions of dollars, but have not even started the process three years later.

Optimus Energy Solutions is still working with local governments to help build out their charger network. Only now, it is without the restrictions of NEVI and other federal grants and any significant outlay of capital from the government on a federal, state and local level.

That’s right. A local county or city government can provide EV charging stations to their community without spending any taxpayer dollars.

Why are EV Chargers Needed?

Despite the political rhetoric surrounding electric vehicles, sales continue to grow, and new electric vehicles continue to come to market. During the last six months of 2024, more than 700,000 electric vehicles were sold in the United States, accounting for nearly one in 10 of all car sales in America. Forecasts believe that electric vehicles will total more than 10 percent of all sales in 2025.

Florida continues to be a strong market for electric vehicles with the second-most electric vehicles on the roads of any state in the country, trailing only California. However, the charging network in Florida trails demand.

Currently, there are just 3,500 chargers in Florida. That’s nearly double the number since 2021 but still doesn’t adequately serve Florida residents who choose to own an electric vehicle.  Nationwide, it is estimated there will need to be another 1.2 million chargers deployed to meet the demand for chargers in 2030 – just five years from now.

How can local governments – and Optimus Energy Solutions – help?

As most cars remain fueled by petroleum, it is not difficult to find a gas station. In developed areas, there are multiple gas stations within a mile drive. Even in rural areas, there are gas stations at nearly every exit of the interstate and in every small town.

That network of gas stations was developed over 100 years and was developed by private companies. Of course, that leads to the question of why can’t private companies develop a network of chargers.

The main difference is that gas stations have other sources of revenue. They can have an oil change facility and sell snacks, drinks, tobacco and lottery. They can have repair shops and even fast food restaurants to augment fuel sales. In addition, the model for gas stations is to have a constant flow of customers, who take just a few minutes to fill up and leave for the next person. While many gas stations are installing electric chargers for additional revenue, often a gas station has limited parking on their property and does not want to give up space for additional services.

For electric vehicle drivers, they have a longer dwell time and significantly lower bills. A full tank of gas for a Ford F-150 can run $150 or more. A full charge for an electric Ford F-150 can run closer to $35.

Unlike a gas station, it does not make financial sense to purchase property in high-traffic locations for electric vehicle chargers alone.

That means to build out the EV charger network, it comes to existing landowners to help support the effort to expand the network, but it still comes to revenue.

For many businesses, chargers can be an amenity. The first restaurant to offer EV charging in Florida was in 2012 at a Buffalo Wild Wings in Kissimmee. Since then, restaurants, hotels and other places catering to consumers have put in a significant number of chargers as amenities for their customers.

Optimus Energy Solutions works with commercial clients throughout the Southeast, like a recent charger program for Burger Kings in Alabama, but where the most impact can be had on the EV Charger networks is with city and county governments.

Local Government Role in Charger Networks

In most cases, one of the largest landowners in any area is the local government. They own parks and courthouses, fire stations and libraries, schools and public health centers. In nearly every place where local governments own land, the opportunity exists for chargers.

With Optimus Energy Solutions, these sites can often be utilized at no cost to the taxpayers. Here’s how it works.

Optimus Energy Solutions works with local governments to identify the best locations for an EV charger on public property. This would include several factors, including the dwell time at the location and the placement of electricity for the charger.

For instance, a high-traffic municipal property, with multiple uses surrounding it is a perfect place for a  charging station. There is usually electric wiring throughout various locations already in place.

Under this scenario, Optimus Energy Solutions would pay for the charger, the installation and the maintenance for approximately 10 years with no tax dollars used. It is Optimus Energy Solutions’ responsibility to ensure the charger is operating. For instance, if someone backs into the charger, it will be Optimus Energy Solutions’ responsibility to repair and replace the charger.

In some cases, the local government can realize some revenue share with Optimus Energy Solutions. And at the end of 10 years, both parties will have an option to renew the operations and maintenance of the charger network or if the chargers revert to municipal ownership.

If your local government is interested in looking at participating in this program, just fill out the form below.

Optimus Energy Solutions provides EV chargers in Orlando, Tampa, Miami, Tallahassee and throughout Florida for city and county governments, restaurants, hotels and other commercial clients. The company can structure EV charger installation and EV charger maintenance in a variety of ways to maximize use and lifespan of the charger network.

Optimus Energy Solutions offer focuses on the industry-leading DC Fast ChargePoint charging equipment to meet the needs of the community, travelers and visitors.