EV Home Charging Incentives from Utilities are Flowing in the U.S.
Level 1 charging via standard 120V — traditional household plug — is fine but having a home charging station can offer battery pack charging at a rate of 20 to 60 miles per hour.
** This is a free post from Plugged IN but the 2nd part of the series on “Buying from legacy automakers versus pure EV companies” will only be available to paid subscribers.
As I write this post, electric car incentives — car and charging station rebates — are being discussed in the halls of Washington D.C. that would signal a long-term commitment by the federal government in supporting the transition to electric cars.
However, consumers don’t have to wait for home charging incentives as U.S. utilities have been offering home charging rebates and reduced pricing programs for about three years in most states — excluding California, Washington and Oregon. These home charging stations incentives have included rebates on the purchase price of Level 2 charging stations and sometimes the installation.
First off, what is a Level 2 charging station? The Level 2 station delivers the safe exchange of AC power to the vehicle from a 240-volt source. An example of a 240 volt source/outlet is a washer/dryer systems plug. (One note - Level 1 charging comes from 120 Volt standard outlet).
So is a Level 2 home charger absolutely needed at home? I would say no in certain use cases, but let me give you the full explanation on both sides below.
The no answer is due to the modern EV — post 2016 — that provides up to 250+ miles of range and most daily commutes fall under 40 to 50 miles of total range on a given day. A Level 1 charging standard plug — a GFCI outlet recommended — offers anywhere from 3 to 5 miles per hour of charge. For example, an EV driver that drives 50 miles per day can effectively ‘refill” their battery pack from 9 pm to 7 am — when electricity prices are lower.
However, Level 1 charging is not fast. So while it’s not absolutely needed, I do recommend purchasing a level 2 charging station if the price is right and with home charging rebates out there. When I took delivery of my electric car, I fell in love with the car — also not a “car guy — and wanted to drive it everywhere. Drive it to hockey practice in the morning and then to my cousin’s graduation party some 40 miles away in the afternoon.
Level 2 charging power rating — see graphic above — means it can add 20 to 60 miles to your batter pack per hour. Plus, you can take advantage of optimal charging rates during the night if you only need to charge from 11 pm to 3 am.
There are two key price elements with installing a home charger:
Purchase price of a level 2 charging unit
Electrical Contractor Evaluation of your circuit breakers/power supply & Conduit Needed
Level 2 charging units can vary in price, from $500 to $800, and most new models are smart stations that are online and can be accessed via a smartphone App. Very nice. (**One caveat, Tesla’s cars actually have an onboard charging unit…more on that the week of April 19 & see below).
The second price component is the electrical contract work and this varies from home to home; dependent on your home power supply. First and foremost, the Level 2 charging station used the power source as would a washer/dryer unit in the home. However, some homeowners will need power added to their circuit breaker (not costly) or run some conduit/wire from the cabinet to the charging station.
Bottom line, home charging installation can cost as little as $350 if the charge unit is mounted next to the circuit breaker box. Or, the installation can run as much as several thousand dollars if a conduit/wire needs to be run from another part of the house — say an unattached garage — or if new or upgraded electrical service is required at your home.
That’s why incentives are important for consumers and most sales staff at dealerships won’t have a clue about these offers or communicate.
Utility Charging Incentives
As stated, utilities have now seen the light with electric cars and the potential for increased revenue due to increased electricity demand. According to the Edison Electric Institute estimate, 18 million EVs will be on U.S. roads by 2030 and as of 2020, there’s only 1.4 million.
Recently, The Electric Highway Coalition was created and announced a plan for DC fast charging stations across the Southern, Atlantic and Midwest via the group — mostly highway charging stations. The coalition includes American Electric Power, Dominion Energy, Duke Energy, Entergy Corp., Southern Co., and the Tennessee Valley Authority.
However, these utilities are also providing home charging incentives and that’s why I recommend purchasing Level 2 station. Many of the rebates range from $250 to $1,000 dollars off the price of charging station. Besides the rebates for home charging installation and equipment, utilities also can offer discount pricing at various times tied directly to EVs. In Illinois, I can also choose wholesale pricing and this does offer a increased discount on the kWh pricing if charging during off-peak hours. And I can also purchase power from 3rd party providers — community solar.
Plugged In Tip — If you’re buying from a legacy automaker, VW or Chevy, see if they will throw in charging station unit or credit with the purchase.
Below is a partial list of some utilities in the U.S. with EV Incentive programs.
Utility Electric Vehicle Programs & Residential Incentives
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I've lived without any charging at home for well over a year, but that's about to change :) Condo board approved the first major condo charging project in Calgary, AB. Unico Power is doing it before May this year. I would definitely also think about limiting increased demand usage, which most EVSE system operators don't really do anything about. Demand charges can be huge! And there are ways to prevent peak demand usage from increasing.