Core Overview

  • The U.S. Department of Transportation restarted the $5 billion National Electric Vehicle Infrastructure (NEVI) formula program on Monday, which had been paused in February due to a policy review.
  • The NEVI program originates from the bipartisan infrastructure law passed by Congress in 2021, requiring states to develop charging infrastructure plans to receive funding for installing charging stations.
  • Transportation Department officials said the new guidance aims to cut red tape and waste; electric vehicle advocates welcomed its "greater flexibility" and "regulatory certainty," but the Sierra Club argued that the Trump administration is "still illegally withholding billions of dollars appropriated by Congress."

In-Depth Analysis

The Transportation Department's release of this guidance follows a preliminary injunction issued by a U.S. district court in June that lifted the Trump administration's freeze on NEVI funds. According to the Sierra Club, the February pause prevented states from accessing over $2.5 billion in allocated funds for fiscal years 2022-2025; the June injunction allowed some states to access approximately $1 billion in frozen funds.

Transportation Secretary Sean Duffy said in a statement: "If Congress requires the federal government to support charging station construction, we should cut waste and do it right. The revised NEVI guidance significantly reduces red tape, allowing states to build this infrastructure more efficiently." He added: "Although I do not favor subsidizing green energy, we will respect Congress's intent and ensure the program uses federal resources efficiently."

The NEVI program was initially promoted by the Biden administration to alleviate "range anxiety" and promote electric vehicle adoption in urban and rural areas nationwide. Biden had set a goal for electric vehicles to make up half of new U.S. car sales by 2030.

The new guidance requires states to submit plans within 30 days. The Transportation Department stated that the new guidance "streamlines" the process, limiting state plan content to statutory and regulatory requirements. Additionally, the new guidance allows states to determine appropriate distances between charging stations along alternative fuel corridors, whereas previous guidance required a station every 50 miles. The department also said the changes reduce requirements for states to "consider grid integration and renewable energy" and "eliminate requirements for states to address consumer protection, emergency evacuation plans, environmental siting, resilience, and terrain considerations."

The electric vehicle industry welcomed the new guidance. Ben Prochazka, executive director of the Electrification Coalition, said in a statement: "We are encouraged by the department's commitment to removing unnecessary barriers and enabling states to advance EV infrastructure projects more efficiently. We appreciate the department's efforts to streamline the program and give states greater flexibility to accelerate the deployment of charging infrastructure nationwide." He also said the new guidance "unlocks project progress," but "we look forward to providing input to further refine the program."

Albert Gore, executive director of the Zero Emission Transportation Association, noted in a statement that the number of public charging ports in the U.S. has more than doubled since 2021, and 2025 is "expected to be the strongest year for EV charging infrastructure expansion." However, he emphasized that more charging stations are still needed, and programs like NEVI play an important role in construction. He said: "The new interim final guidance provides important regulatory certainty for businesses and state transportation departments implementing the program on the ground."

The Sierra Club took a harsher stance. Its director of clean transportation, Katherine Garcia, said in a statement: "It is ironic that this guidance is being promoted as cutting red tape, but what it actually caused was over six months of needless delay. The guidance merely repeats requirements already in the law, making it clear that the real purpose of the Trump administration's freeze was to try to hinder the momentum of electric vehicles." She added: "The Trump administration is still illegally withholding billions of dollars appropriated by Congress for EV charging. We will continue to fight to recover NEVI funds nationwide."

The June preliminary injunction lifted the funding freeze for some states, but Sierra Club officials said NEVI funds remain frozen for the three plaintiffs—the District of Columbia, Vermont, and Minnesota—as well as the other 34 states and Puerto Rico not involved in the lawsuit. The Transportation Department did not immediately respond to a request for comment.