President-elect Biden’s Climate Plan to provide big boost to EVs and green power

President-elect Biden’s Climate Plan to provide big boost to EVs and green power

Joe Biden, the president-elect of the United States, has long been known for his support for clean energy and climate plans, and those plans are expected to provide a big boost to electric vehicles (EVs) and renewable energy with his entry into the White House.

As the democratic candidate Biden has won the presidential election with a clear majority, set on the way to force climate change skeptic Donald Trump out of the President’s office, many have started raising the question: what would be his plan for Climate Change and Environmental Justice would mean for the EV and green energy industries as well as for cleantech investors.

Biden’s plan for Climate Change and Environmental Justice is said to be the most ambitious plan ever introduced by a US president. It would lead to an estimated $1.7 trillion of federal investment over a period of ten years, with leverage yields of over $5 trillion. In addition, the government would encourage research & development (R&D) and innovation by investing $400 billion in the next years. It would provide the country with an edge over others in the field of clean, environment-friendly technology.

The president-elect’s plan aims to achieve net zero emissions target by the year of 2050, with real enforcement targets to be placed by 2025. During a presidential debate, he had stressed that US industries must transition from conventional oil and coal-based energy to renewable energy in order to achieve zero emissions target.

When President Trump expressed doubt over his plan, Biden stated, “I would transition from the oil industry, yes. The oil industry pollutes, significantly and has to be replaced by renewable energy, over time.”

Biden’s plan is widely expected to provide a big boost to the EV industry by enhancing the EV adoption rate. He said he will work with state governors and city mayors to pave way for deployment of over 500,000 new public charging outlets, a big aim that he wants to achieve by 2030. To further boost EV adoption rates, his administration will offer subsidies, which will help manufacturers in keeping their EVs in affordable range.

The rates of EV adoption and acceptance of green energy have made considerable jumps in the past half-decade period, and with Biden’s plan to make huge investments in the sector in addition to provide various incentives, the post-pandemic era will likely see considerable pent-up demand for EVs as well as green energy.