EV Charging Points in America Are Finally Making Money

By Tsvetana Paraskova - Mar 06, 2024

Utilization rates at electric vehicle (EV) charging stations in the United States have surged over the past year, making the Level 3 charging stations in many states profitable, a new report by start-up Stable Auto Corporation shows.  

Stable Auto, a San Francisco firm helping firms place charging EV infrastructure, says in the report on the EV charging utilization trends that 19 states in the west, south, southeast, and northeast reported for 2023 average charger utilization of over 15%, marking the achievement of profitability.

Stable Auto’s utilization data showed that non-Tesla Level 3 (L3) charging stations, the so-called DCFCs, are now becoming profitable across many U.S. states. Previously, DCFCs were deemed poor investments due to low utilization rates.

L3 (DCFC) utilization has jumped by 104%, growing from an average of 8.8% in January 2023 to 18% in December 2023.

Moreover, the entry of higher-range, faster-charging vehicles into the U.S. market has led to demand for EV charging to outpace EV sales, significantly increasing public DCFC utilization, Stable Auto said.

“This trend likely causes crowding and long wait times at many DCFC stations during peak hours, which can be mitigated through proactive pricing strategies,” Stable Auto noted.

While utilization rates have jumped to make many EV fast-charging stations profitable, the U.S. still needs a lot of additional EV charging infrastructure to alleviate consumer concerns about the range and convenience of fast public charging.

There are about 104 gas pumps per 1,000 road miles on average in the United States compared to just 22 EV charging ports for the same road distance, a study by smart fuel card management platform Coast showed last year.

“While EV adoption continues to surge, ensuring convenient and accessible charging options is crucial for further growth and widespread acceptance of electric vehicles. The transition to electric transportation requires a concerted effort to build a robust charging infrastructure,” the authors of the study wrote.

By Tsvetana Paraskova for Oilprice.com