DOE Studying ‘Soft’ Costs to Deploy EV Charging

The U.S. Department of Energy is examining the so-called soft costs associated with the deployment of electric vehicle (EV) charging infrastructure. This study highlights expenses related to permits, inspections, administration, and utility interconnections, which can sometimes exceed the costs of constructing charging stations and acquiring equipment. Led by the National Renewable Energy Laboratory in collaboration with other national laboratories, the initiative aims to bring clarity to these often-overlooked costs, which can make up more than half of total project expenses. Ranjit Desai from NREL emphasized the complexity of managing and comparing EV charging costs, which vary significantly based on charger types and locations. The project aims to standardize and document these soft costs to help stakeholders effectively navigate and mitigate expenses, thereby improving the cost-effectiveness of infrastructure development. A significant finding of the research so far indicates that land use and development codes differ widely across the U.S., creating ambiguity in the approval processes for EV charging installations. Erin Andrews-Sharer from NREL pointed out that longer permit processes lead to increased labor costs, suggesting that opportunities exist to streamline these approvals. NREL plans to compile data from stakeholders and develop a platform to share best practices and findings, with an expected launch in 2024. Expert Opinion: Addressing soft costs in the deployment of EV charging infrastructure is crucial for accelerating the adoption of electric vehicles. As these costs can account for a substantial part of total project expenses and create barriers for developers, standardization of regulations and processes is essential. Streamlined permitting and clear guidance on land use codes will not only minimize costs but also enhance confidence among stakeholders, facilitating a faster transition to a robust and widespread EV charging network.