California’s Ban on Gas Vehicles is Also Good News for the Grid and the Auto Sector
Summary
The document supports Governor Gavin Newsom's September 23, 2020, executive order to phase out internal combustion engine (ICE) vehicles in California by 2035. It contends that this move signals a market shift toward electric vehicles (EVs), ensuring the US remains competitive with China and the EU. The author asserts that EVs, acting as mobile batteries, can enhance grid reliability and resilience through a "transactive grid" enabled by digital technologies and FERC order 2222, provided that grid capacity is expanded to accommodate new loads.
Key insights
- California's executive order to phase out internal combustion engine (ICE) vehicles by 2035 is a key step toward achieving net zero emissions statewide by 2045 and signals to the market that emissions-generating vehicles are becoming obsolete.
- Electric passenger vehicles are currently more affordable than ICE vehicles when considering the total cost of ownership, and are expected to become cheaper on an up-front basis within a few years.
- The document argues that recent California power outages were caused by insufficient overall electric capacity and operational management errors, rather than by the adoption of electric vehicles or renewable energy.
- Electric vehicles can function as assets for the electric grid by acting as mobile batteries to balance supply and demand, supported by FERC order 2222 and digital blockchain technologies.
Cite the original document
- APA
- RMI (2020). California’s Ban on Gas Vehicles is Also Good News for the Grid and the Auto Sector. https://rmi.org/resources/californias-ban-on-gas-vehicles-is-also-good-news-for-the-grid-and-the-auto-sector/
- Chicago
- RMI. California’s Ban on Gas Vehicles is Also Good News for the Grid and the Auto Sector. 2020. https://rmi.org/resources/californias-ban-on-gas-vehicles-is-also-good-news-for-the-grid-and-the-auto-sector/.
- Wikipedia
- {{cite press release |author=RMI |title=California’s Ban on Gas Vehicles is Also Good News for the Grid and the Auto Sector |date=25 September 2020 |url=https://rmi.org/resources/californias-ban-on-gas-vehicles-is-also-good-news-for-the-grid-and-the-auto-sector/ |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @misc{rmi2020californias, author = {{RMI}}, title = {{California’s Ban on Gas Vehicles is Also Good News for the Grid and the Auto Sector}}, publisher = {RMI}, year = {2020}, month = sep, url = {https://rmi.org/resources/californias-ban-on-gas-vehicles-is-also-good-news-for-the-grid-and-the-auto-sector/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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