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Trump administration halts $5 billion EV charging initiative started by Biden

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  • The Trump administration is halting the $5 billion National Electric Vehicle Infrastructure program, which was established under the Biden administration. States must pause new spending, though they can still receive reimbursements for ongoing projects.
  • Since 2022, only 56 charging stations have opened due to bureaucratic delays, though officials stated hundreds more were in development.
  • Legal experts question whether the administration can suspend the program, and say fully eliminating the remaining funds may require new legislation.

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The Trump administration is halting a $5 billion federal initiative aimed at expanding electric vehicle (EV) charging infrastructure. The decision directs states to pause spending under the National Electric Vehicle Infrastructure (NEVI) program, which was established under the Biden administration.

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What does this move by the Trump administration entail?

In a letter to state transportation departments, the Federal Highway Administration (FHWA) announced that no new funding obligations can occur until updated guidance is issued. However, states will still be able to receive reimbursements for existing projects that are already underway.

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How many EV chargers has this program funded?

Since its launch in 2022, the NEVI program faced bureaucratic delays, with only a fraction of its funds disbursed. As of now, 56 charging stations have been opened across the country, though Biden administration officials have stated that hundreds more were in development, many of which were planned to open within the next two years.

How are states responding to this move?

Some states, including Alabama, Oklahoma, Missouri, Rhode Island, Ohio and Nebraska, have put their NEVI programs on hold while awaiting further federal guidance. Meanwhile, others are awaiting clarification from the federal government before deciding on their next steps.

The FHWA has indicated that it plans to release an updated draft guidance in Spring 2025, followed by a public comment period before issuing final regulations.

What happens next?

Legal experts raised questions about whether the administration has the authority to suspend the program. While only a small portion of the funding has been spent, the full $5 billion has already been made available to states, legally committing the federal government to reimburse them for any chargers built using that money.

To eliminate the remaining charger funds entirely, the Trump administration would likely need to enact a new law to change how that money gets allocated to states.

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[Jack Aylmer]

THE TRUMP ADMINISTRATION IS HALTING A 5 BILLION DOLLAR FEDERAL INITIATIVE AIMED AT EXPANDING ELECTRIC VEHICLE CHARGING INFRASTRUCTURE.

THE DECISION DIRECTS STATES TO PAUSE SPENDING UNDER THE NATIONAL ELECTRIC VEHICLE INFRASTRUCTURE PROGRAM-

ESTABLISHED UNDER THE BIDEN ADMINISTRATION.

IN A LETTER TO STATE TRANSPORTATION DEPARTMENTS, THE FEDERAL HIGHWAY ADMINISTRATION ANNOUNCED NO NEW FUNDING OBLIGATIONS CAN OCCUR UNTIL UPDATED GUIDANCE IS ISSUED-

HOWEVER, STATES WILL STILL BE ABLE TO RECEIVE REIMBURSEMENTS FOR EXISTING PROJECTS THAT ARE ALREADY UNDERWAY.

UNDER THE BIDEN ADMINISTRATION, JUST A FRACTION OF THESE FUNDS WERE DISPERSED-

AS THE PROGRAM WAS PLAGUED BY BUREAUCRATIC DELAYS.

SINCE IT BEGAN IN 2022, ONLY 56 CHARGING STATIONS HAVE BEEN OPENED ACROSS THE COUNTRY-

THOUGH BIDEN OFFICIALS SAID HUNDREDS MORE WERE IN DEVELOPMENT, MANY OF WHICH AIMED TO OPEN IN THE NEXT TWO YEARS.

SOME STATES, INCLUDING ALABAMA, OKLAHOMA, MISSOURI, RHODE ISLAND, OHIO, AND NEBRASKA, HAVE PUT THEIR PROGRAMS ON HOLD AS THEY SEEK FURTHER GUIDANCE.

OTHERS ARE AWAITING CLARIFICATION FROM THE FEDERAL GOVERNMENT BEFORE DECIDING ON THEIR NEXT STEPS.

THE FEDERAL HIGHWAY ADMINISTRATION INDICATED IT PLANS TO RELEASE AN UPDATED DRAFT GUIDANCE IN THE SPRING-

FOLLOWED BY A PUBLIC COMMENT PERIOD, BEFORE ISSUING FINAL REGULATIONS.

HOWEVER, LEGAL EXPERTS HAVE RAISED QUESTIONS ABOUT WHETHER THE ADMINISTRATION HAS THE AUTHORITY TO SUSPEND THE PROGRAM.

THIS IS BECAUSE EVEN THOUGH ONLY A SMALL PORTION OF ITS FUNDING HAS BEEN SPENT-

THE ENTIRE TOTAL HAS BEEN MADE AVAILABLE TO STATES-

THEREFORE COMMITTING THE FEDERAL GOVERNMENT BY LAW TO REIMBURSE THEM FOR ANY CHARGERS BUILT USING THAT MONEY.

SO, TO COMPLETELY ELIMINATE THE REMAINING CHARGER FUNDS, THE TRUMP ADMINISTRATION WOULD LIKELY NEED TO ENACT A NEW LAW THAT CHANGES HOW THESE FINANCES ARE DISPERSED TO STATES.

FOR STRAIGHT ARROW NEWS, I’M JACK AYLMER.