Our Work

Federal EV Policy

The shift to electric transportation represents a unique opportunity to reduce the economic, national security, and emissions impacts from America’s dependency on oil. By transitioning to an electrified transportation future, the United States has the opportunity to create new jobs, reap financial savings for consumers and fleet operators, improve air quality, and reduce greenhouse gas emissions.

By prioritizing key policies that will accelerate the manufacturing and sales of electric vehicles (EVs), the Biden-Harris Administration and 117th Congress have a critical opportunity to establish U.S. leadership in electric transportation and to maintain our global competitiveness in the automotive industry.

The Electrification Coalition is a nonprofit, nonpartisan organization that supports the enactment of critical federal policies, supported by four core pillars: 

  • Purchase incentives
  • Charging infrastructure funding
  • Federal fleet electrification funding
  • EV manufacturing tax credits.

Electrifying the Federal Fleet

Nearly all federal buses and light-duty vehicles could be replaced by EVs at a cost savings to taxpayers.

Purchase Incentives

Tax credits for all vehicle types (light-, medium-, and heavy duty) will continue to spur market growth by reducing the early higher upfront costs of EVs and providing important signals to manufacturers, consumers, and fleet operators that the United States is prioritizing an electric transportation future.

Lift Section 30D Cap

Lift the cap of the Section 30D federal EV tax credit to work for more consumers, public- and private-sector fleet operators, and all manufacturers.

  • The credit should be increased for vehicles manufactured in the United States to ensure a strong U.S. auto industry that is competitive globally.
  • The credit should be modified to be fully transferable, enabling a point-of-sale incentive and providing important clarity for consumers and sales staff.
  • All battery-electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs) with a minimum battery capacity of 20 kWh should be eligible for the credit.

Medium- and Heavy-Duty Vehicle Incentives

Medium- and heavy-duty (MHD) vehicles, such as trucks and buses, make up a quarter of all transportation emissions. This leads to poor air quality, especially in low-income communities and communities of color. EVs, which have zero tailpipe emissions, will reduce these negative impacts, drastically cut oil consumption, and can support U.S. manufacturing.

  • An MHD tax credit should be established for medium- and heavy-duty electric vehicles (MHDEVs). The tax credit should cover up to 30% of the vehicle cost.
    • The credit should be available for both individuals and businesses and including a mechanism for not-for-profit credit.
    • The credit applies to vehicle Classes 3 or higher
  • Expand the Diesel Emissions Reduction (DERA) program and the Congestion Mitigation and Air Quality (CMAQ) programs, prioritizing 80% of in years 2022-2025) and 100% of funding for electric vehicles beginning in 2025.
  • Excise tax: Suspending the 12% federal excise tax on zero-emission trucks will set a clear market signal and incentivize public interest. This also acts as a purchase incentive.

Used EV Credit

Create a new credit for buyers of used EVs, providing more options to low- and middle-income consumers.

  • The credit should apply only to electric cars at least two years old that cost less than $25,000.
  • The credit should apply only to buyers whose adjusted gross income is less than $75,000 for individuals and $150,000 for joint filers.

Charging Infrastructure Funding

Consumers and fleet operators need adequate access to EV charging infrastructure, lack of which is currently a barrier to greater EV adoption.

Section 30C Extension

Extend the Section 30C Alternative Fuel Vehicle Refueling Property Credit out to 2025, increase the cap of $30,000 allowed per project, and allow the credit to be applicable to each station, not the “project,” which could include multiple stations.

  • The EC supports the Senate Clean Energy for America Act, and the House GREEN Act.

Rest Stop Electrification

Enable commercialization of rest stops along interstate highways: Allow for EV charging stations to be defined as allowable commercial activity at rest stops.

Funding for Federal Fleet Electrification

The United States government can lead by example by electrifying the federal fleet, including the U.S. Postal Service vehicles. The EC supports a bold allocation of funding for federal fleet electrification, including USPS fleet electrification.

EV Manufacturing Tax Credit

The 48C Advanced Energy Manufacturing Tax Credit should be updated to help manufacturers and other industrial users to retool, expand, or build new facilities.

  • The credit should include a carve-out for use in communities where coal mines have closed or coal power plants have retired.
  • The credit should provide new guidelines and technical assistance for new applicants in states that have not accessed the Section 48C manufacturing tax credit in the past.
  • The credit should support domestic job creation specifically for workers dislocated from manufacturing, coal mining, or retired coal power plants.
  • The credit should prioritize reinvestment in communities with high unemployment.

RESOURCES

EXAMPLES OF OUR WORK

Get America Moving Again

The EC and SAFE developed recommendations to stimulate renewal, growth, and global leadership and support national security in the movement of people and goods.

EXAMPLES OF OUR WORK

Ben Prochazka Federal Testimony

Ben Prochazka, Vice President of the EC delivers testimony before congress.

EC NATIONAL DIRECTOR
DELIVERS EV TESTIMONY

The EC’s National Director, Ben Prochazka, delivered testimony for EVs, EV infrastructure, and advancing the future of electric mobility before the House Transportation and Infrastructure Committee in 2019.

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