Growing Demand

Electric vehicles have gone from 2% to 22% of new car sales in California. California was one of the first major car markets to reach that tipping point, in 2018, and so far 23 countries have been added to the list. The growing demand for public charging is due to a 30% increase in EV sales over the last three years through 2023.

Incentive Programs

If the property is located in designated transportation regions the National Electric Vehicle Infrastructure (NEVI) and utility incentive programs will fund a portion of the installation costs. Similar programs exist from ride share providers to incentivize the installation of these charging stations that can be used for their driving fleet.

High Profit Margin and Quick Return of Capital

The proposed structure estimates a 41% profit margin over the cost of the electricity. This high profit margin allows for a very quick payback period on the initial investment. Based on conservative assumptions, it is estimated investors will receive a 100% payback within the first 3.5 years of the investment.

Political Momentum

California is requiring that all new cars sold in 2035 and beyond are zero-emission vehicles. Governor Newsom proposed, and the Legislature has approved, $2.7 billion in fiscal year 2022-23, and $3.9 billion over three years, for investment in ZEV (Zero Emission Vehicles) adoption.