Honorable Chair Jessica Vega Pederson and Honorable Members
House Committee on Energy and Environment
Oregon State Legislature
900 Court St. NE
Salem, Oregon 97301
 
Dear members of the House Energy and Environment Committee:
 
As companies active in Oregon’s electric vehicle industry, we are writing to express our strong support for the transportation electrification elements of House Bill 4036, the Oregon Clean Electricity and Coal Transition Plan.

This common sense proposal is good for the electric vehicle industry, for utility ratepayers, for the environment, and for Oregon’s economy.
 
Good for the Industry. The biggest problem facing the electric vehicle market today is that most consumers don’t know these vehicles exist. Electric utilities have a long history of educating their customers about the benefits of electric appliances, and experience has shown that an actively engaged utility will help accelerate electric vehicle sales. Utilities also have the expertise to add charging infrastructure where it will do the most good, at the least cost, and have the patience to recover those investments over several years.
 
Good for Utility Ratepayers. While some critics have claimed HB 4036 will “subsidize” charging, there is ample evidence that electric vehicles lower rates for all Oregonians. Electric cars tend to charge overnight, when demand is low, and let utilities spread fixed costs to more customers. One California study found that each electric car was worth between $2,778 and $9,799 to the utility and its ratepayers over its lifetime(1).  House Bill 4036 requires that any utility investments produce net benefits to ratepayers, and requires Oregon’s Public Utility Commission to review utility proposals against that benchmark.
 
Good for the Economy. Electric vehicles stimulate Oregon’s economy by returning money to owners that would otherwise be spent on imported gasoline. One study found that every dollar shifted out of gasoline spending produces 16 times more jobs(2).  Each electric car also brings a $7,500 federal tax credit to Oregon, and can increase total Oregon GDP by as much as $2,000 a year(3), with corresponding increases in jobs and tax revenue. Oregonians spend about $6 billion a year on gasoline, so the potential benefits of this “electric dividend” are enormous – and not just for the families that buy electric vehicles.
 
Good for the Environment. The carbon benefits of electric vehicles are dramatic. The Union of Concerned Scientists found that electric vehicles in our region have the CO2 emissions equivalent of a 94 MPG car(4)  – and that is before the coal in Oregon’s mix is replaced by renewable energy as required by this bill.

Oregon’s electric vehicle industry strongly urges your support for HB 4036.
 
Sincerely,
 
Jeff Allen
Executive Director
Drive Oregon

(1)  https://www.ethree.com/documents/E3-NRDC_EVs_Paper_Final_20150129.pdf
(2)  http://www.caletc.com/wp-content/uploads/2012/11/Economic-Jobs-Assessment-Exec-Summary.pdf 
(3)  http://driveoregon.org/wp-content/uploads/2015/02/Oregon-EV-Returns.pdf 
(4)  http://www.ucsusa.org/clean-vehicles/electric-vehicles/life-cycle-ev-emissions#.VqkYKFIyf8F