Utility Program Development
"Utility definition" is legislation that details which entities are to be considered utilities for the purpose of state or public service commission regulation.
Three entities drive the creation of the majority of utility programs for advanced vehicle technology deployment: state legislatures or governors, public utility and public service commissions (commissions), and the utilities themselves. Municipal utilities and electric cooperatives have more leeway than investor-owned utilities (IOUs) that operate under commission regulations. All new or updated IOU programs require commission approval while EV and/or EV charger programs implemented by municipal utilities and electric cooperatives might not require commission approval. Commissions represent public interest by ensuring power distribution is safe, reliable, and available at fair prices, and the commissions are tasked with helping legislators and utilities work out the details of utility regulations and programs. For each state in which an IOU has a service territory, the utility must comply with the corresponding state's commission regulations, meaning an IOU with a service territory in multiple states must file separate petitions with each commission and thus may offer very different programs in each state in which it operates.
To begin a new program, IOUs file a petition with the state commission, requesting evaluation and approval. The commission evaluates the utility's proposal through a legal process that includes public hearings and comments, briefs, discoveries, workpapers, expert testimony, rebuttal testimony, and more. These documents contain detailed information on the intricacies of the utility's new program, budget explanations and justifications, financial forecasting, and demand projections. Each document can take a great deal of time to compile before the commission begins analysis. The commission can continue to request new documents throughout the review process.
Once the commission has reviewed a case, the commission may approve a case as-is, approve it with modifications, or deny it. This is a months- to years-long process, which means there are many cases currently pending and under review by commissions across the country. Even if a state has many utility-based EV incentive programs before its commission, the programs will not be in effect for years. Eventually, utilities implement their programs and make them available for customers.
Examples provided here show utility programs in the development process. Utilities with approved EV and/or EV charger programs (residential and non-residential) appear on the Utility Incentives page.
State Mandates and Executive Orders
Some state legislatures pass mandates that require utilities to begin incentive or pilot programs. Similarly, state governors may issue executive orders that require utilities or commissions to begin a program. Typically, these mandates support a state goal related to zero emission vehicle deployment, EVSE infrastructure, or greenhouse gas (GHG) emissions reductions. Utilities must still get commission approval for new rates, rebates, grants, and programs even though the state legislature or governor mandated the program(s).
New Jersey
Senate Bill 2252, 2018, requires that each public electric utility in New Jersey submit a proposal to the New Jersey Board of Public Utilities to assist the state in developing a public charging network. SB 2522, 2018, allows utilities to propose development and operation of electrical infrastructure, financing plans, financial incentives, rate designs and tariffs, partnership programs with other government entities, consumer education programs, and other initiatives.
Utah
House Bill 296, 2020, and Utah Code 54-4-41 authorize the Utah Public Service Commission to establish a large-scale EVSE program with utility-owned EVSE, EVSE rate structures, and public education. This bill stimulates utility filings with the Utah PSC, but the bill alone does not require that utilities submit filings. Instead, Utah's legislature requires that the commission make funding available for EVSE programs. Whether utilities will be required to submit a filing rests on whether the PSC requires utilities in its jurisdiction to file for the program or not.
Florida
Passage of SB 7018, 2020, directs the Florida Department of Transportation, in consultation with the Florida Public Service Commission, Office of Energy, and relevant stakeholders, to develop a "Master Plan" for PEV infrastructure expansion. In this case, Florida is requiring utilities to actively engage in EVSE planning and PEV deployment rather than establish any utility programs. However, the Master Plan may later prompt the development of new utility programs related to EVSE and PEVs.
Current Proceedings
Colorado – Public Service Company (petition & docket)
- Proceeding Number: 19A-0471E
- Date Filed: 8/29/2019
- Incentives/Programs: EVSE Make-Ready (government workplace, fleets, mass transit, transit buses, public, rideshare)
- Code: Colo. Rev. Stat. § 40-5-107
No later than May 15, 2020, and on or before May 15 every three years thereafter, an public electric utility shall file with the commission an application for a program for regulated activities to support widespread transportation electrification within the area covered by the utility's certificate of public convenience and necessity. - Summary: Public Service has partnered with several of its municipal and state agency customers, including the State of Colorado, the City and County of Denver, Regional Transportation District, and the City of Lone Tree, in developing make-ready infrastructure projects to support these customers' transportation electrification initiatives.
Arizona – Arizona Public Service Company (petition (PDF) & docket)
- Proceeding Number: E-01345A-17-0134
- Date Filed: 9/1/2017
- Incentives/Programs: EVSE Incentive, Electric School Bus Pilot (multi-unit dwellings (MUDs), workplaces, fleets, schools)
- Code: A.A.C. R14-2-2405
Except as provided in R14-2-2418, on June 1 of each odd year, or annually at the election of each affected utility, each affected utility shall file with Docket Control, for commission review and approval, an implementation plan describing how the affected utility intends to meet the energy efficiency standard for the next one or two calendar years, as applicable, except that the initial implementation plan shall be filed within 30 days of the effective date of this Article. - Summary: The petition proposes a $750/station discount for nonresidential and $100/home for participating homebuilders for prewiring garages for EVSE. This petition also includes a pilot program to provide selected schools with EV buses and charging infrastructure.
California – San Diego Gas & Electric Company (SDG&E) (petition & docket)
- Proceeding Number: A1910012
- Date Filed: 10/28/2019
- Incentives/Programs: EVSE at workplaces and MUDs
- Code: California Code § 740.12
- Summary: The Power Your Drive (PYD) Pilot Program is an electric vehicle charging infrastructure pilot designed to allow SDG&E to install EV charging infrastructure at multi-unit dwellings (MUDs) and workplaces. SDG&E now requests an extension of the pilot program. The PYD Extension Program retains most features of the PYD Pilot as approved in D.16-01-045. Like the Pilot, the PYD Extension Program will install Level 2 charging ports at workplaces and MUDs (locations where employees and residents park their vehicles for long periods of time and on a regular basis). SDG&E will install and own the make-ready charging infrastructure at all the sites (workplaces and MUDs) as well as the charging ports at MUDs. To build upon the success of the PYD Pilot, SDG&E requests authority through the PYD Extension Program to deploy approximately 2,000 Level 2 charging ports over two years. Where modifications to the pilot are proposed here, they reflect lessons learned in the PYD Pilot and are intended to simplify program implementation, further attract customers, and continue to leverage and promote the private market.