The NEVI Formula Program directly targets rural and underserved communities through specific funding mechanisms and eligibility criteria:
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Infrastructure Placement Requirements
Projects must be located along designated Alternative Fuel Corridors unless a state certifies these corridors are fully built out, in which case funds can be used on any public road or publicly accessible location. This ensures rural corridors lacking infrastructure receive priority. -
Equitable Deployment Mandate
States must prioritize equitable distribution of charging stations to ensure rural and disadvantaged communities are “well represented.” The program explicitly addresses “underserved or disadvantaged communities” in its funding allocation. -
Public-Private Partnerships
The program allows contracting with private entities to install charging infrastructure while permitting private contributions to cover the non-federal cost share. This reduces the financial burden on low-income communities. -
Complementary Federal Programs
While not part of NEVI itself, related programs like USDA’s Community Facilities Direct Loan/Grant (supports EV infrastructure for rural essential services) and Rural Energy Savings Program (funds EV charger installations in areas with ≤50k residents) work in tandem with NEVI to amplify rural access. -
Risk Mitigation
Limiting NEVI funding would disproportionately harm rural areas, as private investment often avoids these regions due to perceived lower profitability. The program’s 80% federal cost-share further incentivizes development in economically disadvantaged areas.
Key Impact: By combining location mandates, equity requirements, and high federal cost-sharing, NEVI systematically addresses charging infrastructure gaps in communities that market forces alone might neglect.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/how-does-the-nevi-formula-program-impact-rural-and-low-income-communities/
