From Gas to Grid

The report argues that the electric vehicle revolution is inevitable due to falling battery costs and increasing consumer demand, making the urgent deployment of charging infrastructure a priority for U.S. utilities and regulators. It identifies high capital costs and unfavorable utility tariffs—specifically high demand charges—as primary barriers to the profitability of DC fast charging (DCFC). The authors advocate for a mix of Level 2 chargers for residential and workplace needs and DCFC for high-traffic corridors, supported by time-of-use (TOU) tariffs to optimize grid integration. Through case studies of California, Colorado, Hawaii, Ohio, and Texas, the report demonstrates how different regulatory environments and grid compositions influence the cost of charging and the potential for EVs to absorb excess renewable energy.

• Electric vehicle adoption is accelerating, with projections suggesting 2.9 million EVs could be on U.S. roads within five years, adding over 11,000 GWh of load and approximately $1.5 billion in annual electricity sales.
• The cost of installing DC fast chargers (DCFC) is high, typically around $50,000 per unit, but total deployment costs including permitting and system upgrades can reach $300,000 each.
• Demand charges are a primary economic barrier for public DCFC operators; in some cases, they can account for over 90% of electricity costs when utilization rates are low.
• Time-of-use (TOU) tariffs are identified as the most effective passive management tool to shift EV charging to off-peak periods, with price ratios of 2:1 shifting 78% of charging and 6:1 shifting 85% to super off-peak periods.
• The report recommends a 'no-regrets' infrastructure path: deploying Level 2 chargers at homes and workplaces for long dwell times, and DCFC in high-traffic shopping areas and highway corridors for short dwell times.
• In California, the 'duck curve' creates an opportunity for managed EV charging to absorb excess midday solar and wind power, potentially displacing natural gas consumption.
• Hawaii presents a unique case where vehicle electrification can displace petroleum both in the vehicles and in the grid power supply, as the state's grid is 73% powered by petroleum.
• The Volkswagen-funded Electrify America program is expected to invest $2 billion over 10 years, which could double the number of existing DCFC charging ports nationally and significantly increase power delivery capacity to 150 kW or 320 kW.
• Shared autonomous electric vehicles (SAEVs) are projected to significantly disrupt the market, with some estimates suggesting they could capture two-thirds of the U.S. mobility market in 15 to la 20 years.

APA

Fitzgerald, G., & Nelder, C. (2017). From Gas to Grid. RMI. https://rmi.org/app/uploads/2017/10/RMI-From-Gas-To-Grid.pdf

Chicago

Fitzgerald, Garrett, and Chris Nelder. From Gas to Grid. RMI, 2017. https://rmi.org/app/uploads/2017/10/RMI-From-Gas-To-Grid.pdf.

Wikipedia

{{cite report |last1=Fitzgerald |first1=Garrett |last2=Nelder |first2=Chris |title=From Gas to Grid |publisher=RMI |date=September 2017 |url=https://rmi.org/app/uploads/2017/10/RMI-From-Gas-To-Grid.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{fitzgerald2017from, author = {Fitzgerald, Garrett and Nelder, Chris}, title = {{From Gas to Grid}}, institution = {RMI}, year = {2017}, month = sep, url = {https://rmi.org/app/uploads/2017/10/RMI-From-Gas-To-Grid.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }