In a world quickly racing to electrify every mile driven, it is critical to consider whether the systems supporting this transition are ready for prime time.

The EV market in the US has exploded in recent years, with huge increases in the number of models introduced by car manufacturers and the total number of EVs bought by consumers.

The Explosive Growth in EV Sales

Rising fuel prices and environmental concerns, paired with new regulations and incentives, are playing a major role in driving growth. It took eight years to reach the milestone of 1 million EVs sold in 2018. The second million were sold by 2021 – only three years later (Electric Transportation | EEI).

Today, upwards of 1 million EVs are forecasted to be sold yearly, with adoption continuing to accelerate. In 2022, the Edison Electric Institute estimated that there would be a staggering 26.4 million EVs on US roads by 2030, with annual sales of nearly 5.6 million. That would account for nearly 32 percent of all light-duty vehicles sold (IEI 2022 Annual Report).

The Role of Investor-Owned Utilities and Public Power Authorities

One major source for this growth has been investor-owned utilities and public power authorities that operate large fleets of light-duty vehicles. Over the past few years, market pressures, consumer feedback, regulatory changes, and available incentives have driven many organizations to make ambitious sustainability and emissions reduction commitments (NREL).

To meet these goals, they’ve swapped out most—if not all—of their combustion-powered light-duty vehicles for EVs. Further electrification of medium and heavy-duty fleets has slowed somewhat by a more limited variety of EV models on the market. Still, options are expanding quickly in both pick-up and delivery and the vocational work-truck segment. Through all this, the challenge has been and continues to be finding adequate and convenient charging infrastructure for these EVs.

The Challenges of Insufficient Charging Infrastructure

Unlike conventional vehicles, which can only refuel at gas stations or fuel depots, EVs can charge at home, work, or public spaces. EVs can also use multiple types of charging equipment, such as charging stations or charging ports. While this variety is helpful, it can muddy the waters for EV owners and operators. As EV fleets grow, utilities face inevitable challenges around how, when, and where to charge their vehicles (US Department of Energy).

By now, the challenges are well documented; specifically, there is a lack of physical infrastructure and charging capacity. Committing to EVs is a fraught proposition until chargers are geographically ubiquitous, reliable, and consistently working. And while there is an obvious solution—expanding the infrastructure to meet the growing demand—it’s not simple to execute.

The Investment and Geographical Issues

First and foremost, building infrastructure requires a significant investment of time and funds. Even as IOUs and PPAs race to finish new infrastructure projects, the growth in EVs is still fast, outpacing the number of chargers available. The geographical issue is significant as well; a charging network that’s out of range for fleet EVs is of no use, and so far, investment in this infrastructure is concentrated on the coasts (IEA Global EV Outlook Report).

Ensuring enough power and enough infrastructure in the right place is a particularly acute problem for utility fleets, as it relates directly to their primary business. Projections indicate that the power necessary for EV charging could make up more than 25% of electricity demand by 2050. That would make it the largest source of new load growth grid operators already facing concerns about capacity, reliability, and sustainability in a changing climate (The U.S. power grid isn’t ready for climate change).

Short-Term Solutions and Long-Term Opportunities

For utilities then, the question is how to bridge the gap until a more robust charging network and increased grid capacity come online. One solution is to build a fleet that includes a healthy mix of ZEVs and PHEVs. Another easy, scalable and immediate solution is investing in ‘equipment-plus electrification’ with technologies like Viatec’s SmartPX, SmartPTO, and SmartAPU. These drop-in upgrades let you decarbonize your work functions without depending on underdeveloped charging infrastructure. Instead, they replace the need to power equipment by idling a fleet’s engine at the jobsite with electric alternatives that can be recharged with a standard wall outlet. (Viatec) 

The increased availability of ‘Mobile Power Solutions’ (MPSs) in recent months presents another alternative for fleet managers. MPSs are essentially battery banks of various sizes that can be driven or towed to locations where charging requirements exist. They’re available in a variety of sizes, ranging from large half-megawatt DC Fast Chargers to large hydrogen or fuel-cell powered charging stations, plus several more options in between. MPSs are convenient in that they make charging available at remote locations and circumvent the lengthy and laborious processes of infrastructure development. However, many of them are high-cost on their own, while other options rely on nascent technology that hasn’t been field tested extensively. 

Additional Benefits of Equipment-Plus Electrification

Compared to the expensive and unwieldy in-field mobile power solutions available, Viatec’s SmartPX Mobile Power Solution stands out as an easily configurable, cost-effective option that relies on proven technology and can be transported with ease. The SmartPX Mobile Power Solution builds on the proven SmartPX generator set (genset) product family and provides a reliable, efficient, and versatile power solution for modern fleets. 

Moreover, as charging infrastructure catches up to demand and there’s less critical need for large mobile charging solutions, the SmartPX Mobile Power system can simply be disassembled into its individual elements, which can be used as electric gensets on their own.

Federal Support for Large-Scale Infrastructure Projects

In the long term, IOUS and PPAs have significant support for their large-scale infrastructure projects. The Bipartisan Infrastructure Law (BIL) and the Inflation Reduction Act (IRA) are pumping a huge sum of money into decarbonization projects, creating a major source of funding for utilities, commercial entities, and state and local governments that want to upgrade their grids and charging infrastructure. (White House Fact Sheet).

Provisions for Electric Transportation

Several provisions in these recently passed bills are specifically focused on electric transportation, including up to $7.5 billion in funding for EV charging infrastructure, $5 billion for electric school buses, and $5.6 billion for electric transit buses. These funds represent a new level of investment into EV charging that is being leveraged nationwide, building out the necessary support for the market’s growth all across the country. (EEI).

Navigating the Challenges Ahead

While there are still challenges ahead – not least the labyrinth of paperwork and agency approvals awaiting any utility that tries to access federal funding – the momentum of electrification is undeniable. Utilities have the option to make immediate progress on their decarbonization goals with equipment-plus solutions, pursue vehicle-first electrification, and invest in charging infrastructure to support their fleet. Either way, the need to reduce emissions and improve sustainability will continue to define fleet operations for the foreseeable future.

Start Your Path to Electrification Now

Viatec’s equipment-plus solutions enable you to meet sustainability goals, reduce emissions, and improve jobsite quality of life—all while leveraging your existing fleet. Explore our solutions and calculate your potential savings with our free idling calculator.

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