Electric vehicle charging companies are claiming that Volkswagen should not have the power to shape the nascent electric car charging space and is vehemently calling for independent oversight of the $2 billion Volkswagen AG is required to invest in clean car infrastructure.
As part of its penalties for equipping hundreds of thousands of its diesel vehicles sold in the United States with software designed to cheat tailpipe emissions tests, the tainted German automaker agreed to invest the money, which includes $1.2 billion nationally and $800 million in California.
Charging station companies worry that if the money that VW plans to invest as a part of its clean energy drive is misspent, it could hurt competition and hence have called the money to be a potential “game changer.”
“The agreement shouldn’t pick winners and losers, especially given that this emerging market transition will in no small part define 21st century transportation,” said twenty eight companies, including ChargePoint, EV Connect and Electric Vehicle Charging Association, in a letter to the U.S. Justice Department on Friday.
In the letter that came to light this week, the companies have urged the authorities that regardless of business model and technology, an independent administrator is key and should be instituted to ensuring that the program treats all industry participants fairly.
There were no comments from VW following the cropping up of the contents of the letter.
“The program should be structured to benefit drivers in California and across the nation, not enable the settling defendants to enter or influence the markets for (zero emission vehicle) charging and fueling equipment and services,” the letter said.
In order to encourage and incentivize employers, apartment owners, workplaces and other facility managers who want to install EV charging stations, regulators should earmark some of the funds for a rebate program, the companies said in the letter.
One of the key hurdles to the widespread adoption of electric vehicles, as claimed by such automakers an experts is a shortage of charging stations at workplaces and multi-unit apartment dwellings.
The California Air Resources Board and the U.S. Environmental Protection Agency will oversee VW’s plan for spending the $2 billion which has yet to be released.
Apart from investing in the proposed green energy sources for electric cars, the settlement plan also included vehicle buybacks and lease terminations, emissions modifications and cash payments to affected customers for approximately 475,000 eligible 2.0L TDI vehicles by VW.
$2.7 billion is to be contributed by VW towards the building of an environmental remediation fund and another $2.0 billion is to be given by the company as initiatives and incentives to promote and encourage the use of zero emissions vehicles in the U.S.
The settlement had been reached between the German company and the United States Department of Justice (DOJ) and the State of California; the U.S. Federal Trade Commission (FTC); and private plaintiffs represented by the Plaintiffs’ Steering Committee (PSC).
“We take our commitment to make things right very seriously and believe these agreements are a significant step forward,” Matthias Müller, Chief Executive Officer of Volkswagen AG had said at that time.
(Adapted from Reuters)









