The Federal Highway Administration (FHWA) has issued a new notice that aims to make it harder for states to spend the $5 billion National Electric Vehicle Infrastructure (NEVI) Formula Program funds. The proposed modification would raise the domestic-content threshold for federally funded EV chargers from 55% to 'up to 100%' of total component cost.
This move is seen as a delay tactic by many, including industry experts and state officials, who argue that it will lead to higher prices, fewer compliant chargers, and more paperwork bottlenecks before projects can proceed. The proposal has been met with criticism from the Zero Emission Transportation Association (ZETA) and Sierra Club, which warn that it may undermine the hard work and investments made to date in the production of US-made EV chargers.
The Trump administration's repeated attempts to strangle NEVI have been thwarted by courts, which have ruled that Congress's $5 billion program cannot be unilaterally terminated. Instead, the administration is trying to make the process slower by tightening procurement rules.
This move is seen as a way to delay the buildout of essential infrastructure and hinder job growth in the industry. The EV industry is not exactly cheering about this proposal, with many experts arguing that it does not meet industry needs and may discourage further investment in US-made EV chargers.
' However, the real goal appears to be making NEVI so painful that states walk away in frustration. The proposed change is seen as a bad-faith attempt to kill the program and block the buildout of essential infrastructure Congress funded for all Americans.
The Trump administration's latest move to stall NEVI funds is another example of their attempts to undermine the progress made in electric vehicle infrastructure development. By tightening procurement rules, they are trying to delay the buildout of essential infrastructure and hinder job growth in the industry. This move will likely have negative consequences for states and contractors who have already invested years in developing plans and coordinating with utilities.
