Ofgem extends $425Mn funding to scale EV charging network in UK

In a bid to accelerate electric charging station infrastructure across the nation, Britain’s energy regulator has sanctioned a USD 425 million (£300 million) investment to support the country’s shift to clean energy.

Notably, Ofgem has extended a green signal for energy network entities to invest in over 200 low-carbon schemes across Britain in the next two years, including the deployment of 1,800 new ultra-rapid charge stations for motorway service stations and an additional 1,750 charge points in towns and cities.

For the record, the investment will be distributed among regional network firms to benefit urban regions like Warrington, Glasgow, Kirkwall, York, Llandudno, and Truro. In addition to the above, the investment will also cover certain rural areas with charging points focusing on commuters at train stations in north and mid-Wales.     

The UK aims at banning the sale of new petrol and diesel vehicles from 2030 as well as a phase-out of hybrid vehicles from 2035 under the plan to reduce road transport emission volumes. Although, only 11% of new car registrations were for ultra-emission automobiles in 2020.

Rachel Maclean, Transport Minister, Government of UK mentioned that the latest funding will add to the 500,000 electric vehicles already present in the UK’s as people are undertaking conscious efforts to move to greener alternatives.

Sources close to the news claim that the initiative will add 65p to customer’s bills for the next two years and will also include new projects to enhance UK’s power grids so that they can support more low-carbon heating and connect to new low carbon energy plans like solar arrays and wind farms.

Jonathan Brearley, the regulator’s chief executive was quoted stating that the investment marks a down payment on the USD 56.7 billion or £40 billion of green investment which is projected in the next seven years to power UK towards the goal of cutting carbon emissions to net-zero in the next 30 years.

Source Credit:  https://www.theguardian.com/environment/2021/may/24/britain-electric-car-charging-network-ofgem-points