As electric vehicle (EV) adoption rises, the focus on infrastructure expansion is critical. Beyond the tangible expenses like hardware, software, and construction, the less understood “soft costs” significantly impact the deployment of EV charging systems. These include costs related to permitting, inspections, administrative tasks, and utility connections.
The National Renewable Energy Laboratory (NREL), leading a new multi-laboratory initiative funded by the U.S. Department of Energy (DOE), is working to reduce these soft costs. Building on past successes in lowering solar energy costs, NREL collaborates with Lawrence Berkeley National Laboratory and Idaho National Laboratory to apply similar strategies to EV charging infrastructure.
This initiative, backed by the Joint Office of Energy and Transportation, aims to streamline the installation process and remove barriers to the mass adoption of EVs. By engaging with stakeholders such as utility companies, federal agencies, and installation businesses, the project seeks to identify, benchmark, and track relevant soft costs. This effort will facilitate the development of a robust nationwide EV charging network.
Ranjit Desai, principal investigator at NREL, highlights the variability in EV charging infrastructure costs, which can complicate project comparisons. The team is using various methods, including gathering data from state agencies and conducting stakeholder interviews, to gain insights into the factors influencing these costs.
One significant soft cost is time, particularly the time spent on permitting processes, which can be lengthy and variable. Erin Andrews-Sharer, a research project manager at NREL, notes that by analyzing these time-related soft costs, the project aims to streamline the permitting process and reduce overall installation costs.
The project also involves extensive analysis of over 4,000 station buildout invoices across different states to document and quantify soft costs. These efforts are supported by tools like NREL’s Electric Vehicle Infrastructure Locally Optimized Charging Assessment Tool and Estimator (EVI-LOCATE), which generates site-specific EVSE designs and cost estimates.
As the project progresses, the team is developing a cost model that incorporates various uncertainties from stakeholder interviews. This model will evolve with ongoing feedback and will be shared publicly along with other findings later in 2024. NREL is also creating infographics to help stakeholders benchmark and identify EVSE soft cost baselines.
Desai emphasizes the importance of understanding and documenting soft costs, as they often make up a significant portion of total project expenses. This knowledge will help stakeholders optimize their projects, reduce costs, and ultimately support the wider adoption of EV charging infrastructure.
