• DOT to review $7.5B federal EV charging program, funded with 2021 Bipartisan Infrastructure Law
• Keeps funding projects in progress but rescinds guidance for continued buildout
• Means new state proposals for rules not yet released, months of delay for states’ funding
• Tesla has captured more than $41 million in government money for the buildout

The Trump Administration is stalling on dispersing more funds to U.S. states for the Biden Administration’s electric vehicle charging infrastructure program—one that Tesla has profited from handily.

The National Electric Vehicle Infrastructure (NEVI) Formula Program calls for 500,000 charging stations nationwide, and was funded with $7.5 billion under the 2021 infrastructure law to make that happen. That total was split into $5 billion for a highway-based program, and $2.5 billion for rural and underserved communities, with states submitting proposals for use of the available funds.

But on Thursday the Department of Transportation (DOT) said it had “decided to review the policies underlying the implementation” of the NEVI program, and was rescinding all previous guidance. That’s being used as an excuse to stop the funding of new projects.

 

The DOT stated that “effective immediately, no new obligations may occur under the NEVI Formula Program until the updated final NEVI Formula Program Guidance is issued and new state plans are submitted and approved.” Payments will still be made for projects already in progress, though.

“Until new guidance is issued, reimbursement of existing obligations will be allowed in order to not disrupt current financial commitments,” the DOT said.

Lawsuits will likely follow to free up the rest of the money, which the DOT is legally obligated to release to projects that meet requirements set out in the infrastructure law. While the DOT can issue guidance to clarify specifics, it can’t contradict the law itself or withhold funds in perpetuity.

As of late Thursday evening, the Federal Highway Administration (FHWA) had also removed NEVI documents from its website. This follows a reported pattern of information being removed from federal websites since Trump’s return to office.

As Elon Musk continues to exert influence on the federal government as a private citizen, it’s worth noting that Tesla ended up winning many NEVI contracts, so this will have a serious financial affect on the EV company—and a growing conflict of interest. As of January 18, Tesla had captured more than $41 million in federal funding covering 99 different NEVI sites, according to the Paren NEVI Database.

The Ionna charging network—funded by eight full-line automakers and the most likely rival to Tesla’s Supercharger network in North America—has also suggested it will look to take advantage of the NEVI program.

Although it picked up speed last spring, NEVI-funded project rollout has been slow because states submitting plans must also deal with individual regulators, utilities, and other bureaucracies. Now that they have to submit new plans, all over again, it’s a major setback for the buildout—many months, if not years—even if the money isn’t actually taken away.