⚡️ Elon’s quid pro quo 🔌

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Here's what we have for you today:

• Elon’s quid pro quo to open the Supercharger Network⚡️

• 2 Links 🔗

• Meme of the week 🤡

Elon’s quid pro quo to open the US Supercharger Network⚡️

Tesla was in the news this week when it was announced that the company would open 7,500 chargers of its charging network by the end of 2024. This White House fact sheet specifies that at least 3,500 of those chargers will be Superchargers (=250kW DC fast chargers), with the remaining 4000 being Level 2 destination charging stations with commonly 11.5kW. This was the result of a negotiation between the federal government and Tesla over the eligibility of Tesla`s stations for funding under the NEVI program.

• Tesla operates ~17,000 Superchargers across the US 🇺🇸 - 3,500 chargers are to be enabled for CCS EVs, representing ~20%

• NEVI-funded Stations must be located no more than 50 miles apart along freeways and highways and no more than 1 mile from a freeway exit or highway roadway. As the NEVI program focuses on sites along major highway corridors, it is likely that the 3,500 chargers are situated along those highways. The remaining 80% of Superchargers will remain Tesla-exclusive for now.

• According to its Twitter, Tesla plans to double its Superchargers to ~ 34,000 by end of 2024. At that point, the 3,500 open chargers would only represent ~10% of the network.

Our thoughts - As always, the devil is in the details and a lot remains unclear:

• Pricing 💵: Will there be price discrimination? If Tesla`s opening strategy in Europe is any indication, drivers of Non-Tesla EVs will likely have to pay a price premium for energy on Tesla`s network. EU-customers 🇪🇺 can pay a monthly subscription fee to lower the charging prices to the level of Tesla customers.

• Cable length. 🔌: Will Tesla start adding longer cables? Tesla uses very short cables as all Tesla vehicles have the chargeport in the same location – driver-side rear. This varies widely with vehicles from other brands, and we have seen that drivers struggle with Teslas short cables in Europe. Considering the leaked photos of the Magic dock from the Tesla Mobile App (we reported under - Tesla taking steps to open up), adding longer cables does not seem to be a near-term plan for the US 🇺🇸.

• Payment. 🧾: Will Tesla support seamless Payment via Plug&Charge? The NEVI funding stipulates that the hardware & software of chargers need to be capable, but it seems up to the charging network operator whether they actually want to offer the feature to drivers.

3 Links 🔗

• Follow-Up on conformity requirements of Easee Wallboxes: Norwegian wall box manufacturer Easse has submitted a statement that refutes the allegations of Swedish Electrical Safety Authority "Elsäkerhetsverket" (link to the Q&A). According to the statement, the manufacturer works with an integrated residual current device (RCD) which does comply with the trigger levels and time limits of applicable security requirements.

• BP on shopping tour: We recently summarized the investments Oil companies are making into charging infrastructure. This week, BP announced that they are buying one of the largest US highway rest stop operators - TravelCenters of America. BP also confirmed its intention to invest $1B into EV charging in North America this week, part of which is to provide fleet charging for Hertz electric rental cars. The acquisition comes only two weeks after TravelCenters announced plans to have Electrify America install ~1,000 chargers at 200 of its rest stop locations. It remains to be seen whether the acquisition will have any impact on this plan, given that BP has its in-house charging infrastructure division.

Meme of the Week 🤡

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DISCLAIMER: None of this is financial or tax advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. The Electric Avenue team may hold investments in the companies discussed.