South Carolina Advances Electric Vehicle Infrastructure through Free-Market Principles
As South Carolina continues to attract billions in electric vehicle (EV) manufacturing investments, state lawmakers are taking proactive steps to prepare for the growing number of EVs on its roads. The key challenge lies in developing adequate charging infrastructure, a task that falls under the purview of both private businesses and government regulation.
State Rep. William G. “Bill” Herbkersman, chairman of the House Labor, Commerce and Industry Committee, believes that the private sector should lead the development of EV charging networks. To facilitate this, South Carolina has enacted Senate Bill 275, which received unanimous support in both the Senate and House before being signed into law by Gov. Henry McMaster on May 8.
The legislation aims to create a level playing field by preventing electric utilities from gaining an unfair competitive advantage through the use of ratepayer funds to build, own, or operate EV charging stations. This move is expected to encourage private businesses to invest in the EV charging market, as they will be assured that their investments won’t be undermined by subsidized competition.
“Private businesses will only invest if they have certainty their investments will not be subject to unfair competition from ratepayer subsidized charging stations,” Herbkersman explained. The law reflects a commitment to free-market principles, ensuring that the development of EV charging infrastructure is driven by private capital rather than public funds.
The timing of this legislation is particularly significant given the recent pause in federal grant funding for EV charging infrastructure under the Trump administration. By establishing a competitive market environment, South Carolina is positioning itself to be less reliant on fluctuating federal funding programs.
This approach not only fosters innovation and investment in the EV sector but also ensures that the benefits of competition are extended to consumers. Herbkersman envisions a future where EV drivers enjoy the same level of choice and competitive pricing that has long characterized the traditional liquid fuels market.
As South Carolina continues to attract new residents and businesses, its forward-thinking policy framework is set to make the state a leader in the EV charging market. The success of this legislation could serve as a model for other states grappling with how to develop sustainable EV infrastructure without over-relying on public funds.
By embracing free-market competition and private investment, South Carolina is poised to support the growing demand for EV charging solutions while minimizing the burden on taxpayers. This balanced approach is likely to benefit both the state’s economy and its environment, as it transitions towards a more sustainable transportation future.
