Chugach Adjusts Rate for EV Charging
MICHAEL FLIPPO | DREAMSTIME
The Regulatory Commission of Alaska approved a proposal by Chugach Electric Association to adjust the tariff for electric vehicle (EV) fast charging. The new rate should encourage the construction of DC (direct current) charging stations for a growing market of battery-driven cars.
Removing a Barrier
Due to the high electric demand when vehicles are charging, and the relatively infrequent use of the chargers during this early stage of EV adoption, the effective per kWh charge under the standard rate structure was extremely high. Chugach determined the rate was deterring potential station owners from building charging stations.
With input from Chugach members and EV owners, Chugach filed the DC fast charging tariff in January.
EV charging station owners were previously unable to collect fees from users for the quantity of electricity and instead had prices based on the duration of the charging or other measures.
With the tariff approval, EV charging station owners can now charge users for the electricity dispensed, and they also have the assurance that a DC fast charger will be billed similar to a residential rate.
At least two DC fast chargers are scheduled to be installed this year in the Chugach service area, made possible by Alaska Energy Authority’s funding of an interconnected EV fast-charging network along the Railbelt from Homer to Healy. The network, when finished, will include fifteen fast chargers and eight Level 2 chargers at nine charging stations. Additionally, the Infrastructure Investment and Jobs Act allocates millions of federal dollars to build more EV charging in Alaska in the next five years.
Making History
The track of oil and gas development in Alaska shows the footprints of bold companies and hard-working individuals who shaped the industry in the past and continue to innovate today. The May 2024 issue of Alaska Business explores that history while looking forward to new product development, the energy transition for the fishing fleet, and the ethics of AI tools in business.