Electrification Progress in the Age of COVID

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It’s pretty clear that vaccine or no, COVID will be here for a while, and with it the new normal of face masks, social distancing, telecommuting and (consequently) less road travel. While some might view this with trepidation, we see it as an opportunity. Since the earliest weeks of the pandemic, major metro areas like Los Angeles, Seattle and Chicago – those with large reductions in automobile traffic – immediately began seeing improvements in air quality, according to articles in the New York Times and Washington Post. More recent, an NPR story noted ozone pollution has decreased as much as 15% in many of these places. It seems an unintended consequence of the lockdown has been to accelerate the transition to responsible mobility by demonstrating its positive effects on the environment.

However, from a practical standpoint, the charging industry in general and our company in particular have faced its share of challenges. The government’s focus on addressing the crisis has resulted in longer permitting times. Supply chain disruptions mean greater waits for switchgear and other critical equipment. Hits taken by travel and hospitality businesses, from forced closures to reduced traffic, mean many potential clients are delaying installation of charging stations. Car sales across the board have dwindled.

Fortunately, since our founding, we have been defined by resilience, actively working to disrupt transportation industry norms and overcome obstacles – real or perceived – to EV adoption. We’ve stayed the course and not only managed to survive these unusual times, but thrive. How so? First, the State of California deemed EVCS an essential business due to our expertise at installing fuel infrastructure. On a state level, the Newsom administration has been extremely friendly toward the EV industry, and with new targets for statewide EV adoption by 2035 announced in the midst of the pandemic, that doesn’t look to be changing anytime soon. On a national level, the incoming Biden administration is poised to provide even more support.

Moreover, much of our funding comes from government agencies that remain fully operational, including state-run transportation boards and energy commissions, which remain vital to the nation’s operational health. For instance, CALeVIP is an organization funded by the CEC to support innovations in fuel technologies and transportation with the goal of improving air quality and reducing reliance on traditional fossil fuels. They currently have $91.9 million in capital to invest in meeting regional goals for Level 2 and DC fast charging, including a target of servicing 1.5 million EVs by 2025, and EVCS will be a prime beneficiary of such investment. COVID has done nothing to slow these initiatives.

In addition, our utilization of advanced networking technologies and staff’s ability to innovate during these ever-changing times means EVCS has barely skipped a beat in pursuit of its zero-emission mobility goals. We’ve adapted extremely well to working remotely, facilitated strategic partnerships with other essential businesses and secured funding for long-term infrastructure investment. In many instances, the pandemic has actually forced changes that improved efficiency and reduced operating costs. And our ability to fund installations means many cash-strapped companies who have temporarily shut down are using this time to put in charging stations.

Bottom line, our mission to increase EV adoption across California (and beyond) remains as strong today as it was when the company launched, and our track record has shown we have the means to achieve it. Vaccine or no, EVCS is extremely healthy and has shown strong immunity to the effects of the virus.

More information about CALeVIP and their mandate can be found on their website here: https://calevip.org/

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Wall Street Journal Piece Brings Up Questions… And We Answer

Stephen Wilmot’s recent article in the Wall Street Journal, “Investors Look for an EV Charge,” debates the merits of investing in EV infrastructure, admitting that while chargers likely make for better investments than cars, the sector still holds many potential pitfalls that should be considered before jumping in. While that may be true, many of the examples backing up this assertion cite the business models of the largest EV installers in the country while failing to consider what less visible but faster-growing companies like EVCS are doing to mitigate such risks. Below are a few quotes from the article and our thoughts on them, including how we’re different.

Commentary on EV Industry Profitability Claims

In a recent Driving.ca article titled “EV-Charging Industry is Doing Everything Except Making Money,” author David R. Baker makes a compelling argument that the EV infrastructure sector is a revenue desert, essentially incapable of generating enough cash flow to sustain profitability due to a lack of interest from motorists. “The dilemma boils down to demand,” he states, before adding that “lots of people still driving gasoline-powered cars won’t consider going electric until they see charging stations widely deployed.”

Installation of the Month (May 2021): LADOT Lot 656

The Los Angeles Department of Transportation (LADOT) notes on its website that ICE vehicles are one of the city’s top contributors to air pollution, accounting for 19% of all greenhouse gas emissions, before proclaiming, “We can do better… We’re investing in public transit, testing new technology, and adopting mobility innovations for a cleaner environment and brighter future.” At first, it might just sound like flowery rhetoric, but we can personally attest to that commitment. Starting in 2019, LADOT partnered with us to install DCFCs at 57 city-owned lots, with almost 30% of those installations now completed. This alliance has been integral in promoting our goal of zero-emission mobility in the City of Angels by facilitating greater access to infrastructure.

Addressing Pain Points in Creating EV Infrastructure

A recent GovTech.com article titled “How Biden Plans to Build 500 EV Charging Stations” discusses the President’s goals for creating a nationwide network of 500,000 such installations by 2030. While it does a smart job laying out many of the pain points we face in facilitating EV adoption, the mention of solutions was far less prevalent, and ones that were mentioned seemed speculative or tenuous. However, over the last three years, EVCS has already taken the lead in addressing many of these challenge areas, allowing us to dominate the installation market across the West Coast.

Spectrum News: SoCal Company Looks to Meet Growing Need for EV Charging Stations

Recently, our CEO and co-founder, Gustavo Occhiuzzo, was featured in a Spectrum News 1 segment titled “Inside the Issues” with Alex Cohen. He was able to not only convey the challenges we face as we work toward a more electric future, but also the strides EVCS has already made in addressing those challenges as well as some of our most significant achievements. Examples include our deal with LADOT to install DC fast chargers at 57 city-owned lots, our doubling of non-Tesla chargers in LA since last year alone, and the fact that EVCS has become one of the largest and fastest growing installers of EV charging stations on the West Coast in less than three years. See the interview clip and accompanying article below to learn more.