Sep 26, 2018

New carbon credits for charging stations could spur EV adoption

A parking lot in Rosemead, California, with two electric vehicle charging stations. Photo: Frederic J. Brown/AFP via Getty Images

The Electric Vehicle Charging Carbon Coalition (EVCCC) recently announced a new method to certify the contribution of EV charging stations to the reduction of greenhouse gases (GHG). The certification would give EV charging station investors and installers access to the voluntary carbon market, which enables buyers to purchase carbon credits to offset their own emissions.

How it works: Carbon credits were first developed by the Climate Neutral Business Network and are now certified by third-party sources. One carbon credit represents a one-ton GHG reduction. EV charging stations would be able to obtain and sell these carbon credits to willing buyers — to a business that is struggling to reach a designated emissions reduction standard, for example, and wants to buy carbon credits to offset the gap.

Compared with compliance markets, where the government decides the rules about what projects are permitted, the voluntary market follows rules set by non-governmental bodies, such as the EVCCC. The carbon credits are expected to yield a 5%–10% return on EV station investment, and sales are expected to start in the voluntary carbon market in 2019.

What to watch: New longer-range EVs are coming to market to allay drivers' range anxiety. Because these vehicles will have larger and more powerful batteries, they will in turn require larger charging systems to expedite charging times. The latest technology (350kW fast chargers) installed earlier this summer claim to charge 124 miles (200 km) of range in 8 minutes. Carbon credits can be used to offset higher costs for deployment associated with this new fast-charging technology.

Why it matters: There are currently an estimated 800,000 EVs on U.S. roads as of August 2018, with 18,000 public EV charging stations. Other than cost, the key hurdles to EV adoption are range anxiety and lack of access to charging stations. As longer-range vehicles come to market, a revenue stream from carbon credits could spur new EV charging station installations and help stimulate EV adoption.

Maggie Teliska is a technical specialist at Caldwell Intellectual Property Law, an intellectual property law firm. She is also a member of GLG, a platform connecting businesses with industry experts.

Go deeper

Updated 20 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 11:30 p.m. ET: 6,889,889 — Total deaths: 399,642 — Total recoveries — 3,085,326Map.
  2. U.S.: Total confirmed cases as of 11:30 p.m. ET: 1,920,061 — Total deaths: 109,802 — Total recoveries: 500,849 — Total tested: 19,778,873Map.
  3. Public health: Why the pandemic is hitting minorities harder — Coronavirus curve rises in FloridaHow racism threatens the response to the pandemic Some people are drinking and inhaling cleaning products in attempt to fight the virus.
  4. Tech: The pandemic is accelerating next-generation disease diagnostics — Robotics looks to copy software-as-a-service model.
  5. Business: Budgets busted by coronavirus make it harder for cities to address inequality Sports, film production in California to resume June 12 after 3-month hiatus.
  6. Education: Students and teachers flunked remote learning.

George Floyd updates

Protesters in Washington, D.C. on June 6. Photo: Samuel Corum/Getty Images

Tens of thousands of demonstrators are rallying in cities across the U.S. and around the world to protest the killing of George Floyd. Huge crowds have assembled in Washington, D.C., Philadelphia and Chicago for full-day events.

Why it matters: Twelve days of nationwide protest in the U.S. has built pressure for states to make changes on what kind of force law enforcement can use on civilians and prompted officials to review police conduct. A memorial service was held for Floyd in Raeford, North Carolina, near where he was born. Gov. Roy Cooper ordered all flags to fly at half-staff to honor him until sunset.

Updated 3 hours ago - World

In photos: People around the world rally against racism

Despite a ban on large gatherings implemented in response to the coronavirus pandemic, protesters rally against racism in front of the American Embassy in Paris on June 6. Photo: Julien Mattia/Anadolu Agency via Getty Images

Tens of thousands of people have continued to rally in cities across the world against racism and show their support this week for U.S. demonstrators protesting the death in police custody of George Floyd.

Why it matters: The tense situation in the U.S. has brought the discussion of racism and discrimination onto the global stage at a time when most of the world is consumed by the novel coronavirus.