Pub. 16 2017-2018 Issue 3

N E W J E R S E Y C O A L I T I O N O F A U T O M O T I V E R E T A I L E R S 19 new jersey auto retailer W W W . N J C A R . O R G Electrification in New Jersey, which out- lines recommended policies and programs that, if implemented together, will deliver a multitude of benefits by accelerating the adoption of electric vehicles. (The Roadmap was published in September 2017 and is available at chargevc.org ). The Roadmap is based on a detailed examination of the many benefits of EV adoption found in a landmark study published in December 2017. This rigorous analytic study was vetted by coalition members and other stakeholders and required learning together and reach- ing consensus amongst a diverse group of interests. The underlying data that leads to the policy and program recommendations creates a powerful and compelling narrative for action. This is one of the unique features of electri- fying transportation – the many and varied intersecting interests. It’s not just that all the electric customers in New Jersey will save money; there are also unprecedented benefits to air quality, CO2 reduction and money to be saved for owners of electric vehicles. It is the beginning of an entirely new industry with endless possibilities for growth and innovation. Consider the electric car I drive, the Chevy Bolt. This car gets anywhere from 180-300 miles to the charge (depending on the outside temperature, the terrain and how I drive). If I cal- culate the related emissions from the power plants that create the electricity used to fuel my car, I discover that every mile fueled with electricity from the electric grid today is about 70 percent cleaner then the same mile fueled with petroleum. (This percentage increases whenmore renewable energy is added to the electric grid). Putting more of EVs on the road is likely the most significant step we can take to cleaning our air and reducing carbon emissions. Period. With that fact, environmental and public health stakehold- ers are very enthusiastic about accelerating the electric vehicle market. What about owners or operators of electric vehicles? Consider the money they save on fueling and maintenance costs. At today’s prices, consumers will spend, on average, 4.49 cents per mile for electricity, compared to 10.67 cents per mile for gasoline. That’s about a 2/3 savings on fueling alone. This generates a considerable amount of enthu- siasm amongst consumer advocates. Lastly, there is a lot of interest amongst util- ities. Moving from petroleum to electricity means more electricity flowing through the utility distribution lines, upgrades that will be required to handle the additional load, and new business opportunities for our utilities tomanage this “mobile load.” Only with managed charging will we ensure the most widespread and equitable benefits to all electricity customers. It is no leap of faith, therefore, to conclude that utilities have a great interest in accelerating the market. Where the rubber meets the road is at the automotive dealer. We need the dealers to get these cars into the hands of consumers. To state what may be obvious, we can only realize the many benefits of a growing EV market when those EVs are actually on New Jersey’s roads. ChargEVC understands that dealers need help. Building awareness and consumer ed- ucation are crucial for dealers to effectively put these vehicles on the road. Beyond awareness and education, Char- gEVC recognizes the impact and effective- ness of incentives. Other states have been very successful moving electric vehicles by offering point-of-sale rebates, in addition to other incentives, like reduced or zero state sales tax. This is a crucial part of the Roadmap to accelerate the market. Another crucial element of the Roadmap is building out public charging infrastructure. Amultitude of studies have reached the same conclusion – the largest impediment to buy- ing an electric vehicle is range anxiety fed by the lack of a widespread, publicly-avail- able charging infrastructure. Fortunately, readying our electric grid to handle this new type of electric load serves multiple public policy goals, such as increased resilience and redundancy to deliver the electricitymodern life is dependent upon. In addition, improvements that allow the utilities to direct when and how charging occurs require adding “intelligence” to what has historically been a system of pipes and wires that deliver electricity one way. This is often referred to as “smart grid.” These types of improvements will eventually enable vehicle-to-grid services (i.e. the battery in the car providing electricity or other services to the utility), known as V2G. We have the technology. We have the interest. We have the creativity and we have strong motivation and leadership. Moving forward, it is time to act boldly in order to reap the full benefits early action will ensure. We will need to educate. We will need to help our government agencies work with each other. Initially we will need to underwrite and develop social and market-driven policy initiatives that drive these changes forward faster, and in the most optimal way, to ensure everyone in New Jersey realizes the benefits. Pamela Frank is CEO of ChargEVC and a Vice President at Gabel Associates. She can be reached at 732.296.0770 or, via email at pam@ gabelassociates.com . ChargEVC: Electric Vehicles in New Jersey: Costs and Benefits, December 2017