Drive Electric Minnesota Coalition Releases 2025 Policy Platform

Minnesota’s 2025 legislative session began on Tuesday, January 14. Things got off to a rocky start with the balance of power in question and House Democrats sitting out the first few weeks of the session. We have seen court challenges, special elections, and plenty of partisan politics. For now, however, the political stalemate has been ended and legislative leaders have resolved the remaining conflicts.

Electric vehicle (EV) advocates are also tracking changes on the federal level. The Trump Administration has announced plans to repeal President Biden’s signature climate legislation, with a particular focus on rolling back policies that support electric vehicles.

Despite an uncertain political landscape on both the state and federal levels, Drive Electric Minnesota members have been working together to discuss how to make progress on transportation electrification this year. The coalition is releasing its 2025 policy platform to support Minnesota’s electric vehicle market.

Drive Electric Minnesota’s policy priorities for 2025 include increasing access to electric vehicle charging for all Minnesotans, promoting investments by electric utilities in transportation electrification, increasing deployment of electric buses, and other legislative and administrative actions. These policies would benefit all Minnesotans through reduced greenhouse gas emissions, cleaner air, lower transportation costs, and greater energy independence.

As we work to pass supportive EV policies in Minnesota, we are thankful for the ongoing advocacy efforts of our coalition members. The policy statements below reflect member priorities for the 2025 legislative session and are supported by the following members:

Alliance for Transportation Electrification

American Lung Association Minnesota

Connexus Energy

Fresh Energy

Great River Energy

Otter Tail Power Company

Shift2Electric

Xcel Energy

Drive Electric Minnesota supports increasing access to EV charging at home for all Minnesotans

Limited access to home charging prevents many Minnesotans from pursuing EV adoption. This is particularly true for renters and residents of apartment buildings. With 80 percent of EV charging happening at home and home charging much more affordable than public charging, it is critical to ensure that all Minnesotans can access charging where they live. Minnesota could increase access to home charging by enacting right-to-charge laws, supporting investments by electric utilities and the private sector, and other policies.

Drive Electric Minnesota supports increasing access to EV charging at work and on the go

Investing in public and workplace charging can provide needed flexibility for EV drivers and support households that lack access to charging at home. According to the United States Department of Energy’s Electric Vehicle Infrastructure Projection Tool, around 47,000 level 2 public charging ports will be needed by 2035 to support one million EVs on the roads in Minnesota. This is the number of EVs needed to meet Minnesota’s climate goals, according to the Department of Transportation. Today, there are just 1,667 level 2 public charging ports in the state.

Drive Electric Minnesota supports increasing the effectiveness of Minnesota’s electric vehicle rebate program by considering strategies to make the funds go further

Despite EVs’ much lower lifetime fuel and maintenance costs, their higher upfront costs compared to conventional vehicles remain a critical barrier to EV adoption. In 2024, the State of Minnesota launched an EV rebate program for new and used electric vehicles. This type of financial incentive has proved effective in increasing EV sales in other states.

However, the State of Minnesota had limited funds to provide rebates for EVs, limiting the program’s impact. In fact, the program’s funds have already been exhausted. The state should consider options to increase the program’s impact, such as targeting the program to those who need it most.

Drive Electric Minnesota supports legislation promoting transportation electrification investments by electric utilities and planning for proactive grid reinforcement

Electric utilities are well-poised to support increased transportation electrification and integration of EVs into the electric system to benefit all their customers. For example, utilities can support the deployment of charging infrastructure through make-ready programs, unique rate options, and investments in underserved communities. Utilities also play an important role in ensuring the electric grid is prepared to support transportation electrification while avoiding future constraints resulting from EV load growth.

Drive Electric Minnesota supports comprehensive solutions to roadway funding challenges and the calculation of vehicle taxes that treat EVs fairly compared to conventional gas vehicles

Multiple factors contribute to Minnesota’s current and projected highway funding gap. According to an analysis by the Alliance for Transportation Electrification, current revenue losses are driven primarily by improving gas vehicle fuel economy. The growth in EVs, which today account for less than 1 percent of vehicles on the roads in Minnesota, is not currently contributing significantly to that funding gap. In fact, analyses by the Great Plains Institute and the Minnesota Department of Transportation have shown that Minnesota EV drivers currently contribute more to the Highway User Tax Distribution Fund than drivers of equivalent gas cars through the existing $75 annual EV tax plus higher registration and motor vehicle taxes. Increasing the annual EV fee would discourage EV adoption without addressing the main cause of declining revenues. Instead, Drive Electric Minnesota supports comprehensive funding solutions that treat drivers of EVs and conventional vehicles fairly.

Drive Electric Minnesota supports efforts to increase the deployment of electric school and transit buses

Electric school and transit buses benefit communities throughout the state by reducing emissions, lowering fuel and maintenance costs, and improving air quality. The EV manufacturing industry—including electric bus manufacturing at New Flyer facilities in St. Cloud and Crookston—also contributes to job creation and economic benefits in Minnesota. However, electric buses cost almost four times more than diesel buses, and current funding for electric buses is limited. State support for electric bus deployment would also complement federal funding from the Inflation Reduction Act.

Drive Electric Minnesota supports ensuring access to EV charging for Minnesotans with disabilities.

As more EV charging infrastructure is built in the coming years and older stations are upgraded, it will be increasingly important to ensure that charging stations are accessible to and usable by individuals with disabilities.

Drive Electric Minnesota supports programs that promote just transition and diversity in the workforce, including training programs and standardized education and training at all levels of education

For EVs to gain widespread acceptance, a robust ecosystem of skilled workers is essential to ensure their safe and efficient operation. Policies and programs for electric workforce development must be attuned to labor market dynamics. They should also facilitate a fair transition for workers from conventional automotive industries, preparing a sufficient and diverse workforce for current and future job opportunities.

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