States take big test on electric vehicle infrastructure and mass transit plans

Money from Volkswagen’s “clean diesel” settlement offers great opportunity, but are too many states failing to make the grade?

Matthew Casale
U.S. PIRG
4 min readMay 24, 2019

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The Volkswagen settlement presents states with with a unique chance to accelerate transportation electrification, and this money should be spent towards that goal. Unfortunately, many plans leave the strong possibility that the money will be spent on outdated diesel technology. Photo Credit: Pioneer Valley Transit Authority.

A common refrain among lawmakers is that they just don’t have the money to transition from fossil-fuel transportation systems to electric infrastructure and school and mass transit fleets. But what if states were given a big check with the very option of meeting that goal? What would they do? Would they lean into electric vehicles, which are cleaner than internal combustion engines? Would they support better and healthier public transportation by investing in electric school and transit buses? Or would they double down on polluting diesel and gas technologies?

Every state in the nation is currently taking that very test thanks to funds received from Volkswagen’s nearly $3 billion settlement with federal authorities over the automaker’s violations of emissions standards in cars marketed as “low emissions.” Sadly, according to U.S. PIRG’s new report card, not nearly enough passed this exam.

In 2016, Volkswagen admitted to installing illegal emissions control software on more than half a million vehicles in the U.S. As a result, they entered into a massive multi-billion dollar settlement with federal authorities. Photo Credit: Paolo Bona / Shutterstock.

There were a few standouts. Washington and Hawaii each earned perfect grades on their report cards. Both states committed all of their funds toward accelerating transportation electrification ($8.1 million in Hawaii, and $112.7 million in Washington). As a result, in the coming years, they’ll both enjoy an influx of new electric buses, new EV charging infrastructure and, in Washington’s case, new electric ferries in the coming years. Rhode Island, Vermont, California, Massachusetts and New York all garnered high scores as well. They all committed to investing significant portions, if not all, of their Volkswagen money to EV technology.

Rhode Island, which received an “A” on the report card, will use its VW money to kickstart the state’s transition to electric buses. The settlement will fund the transition of 36 percent of Rhode Island’s transit buses to zero-emissions models by 2030. Image Credit: Rhode Island Public Transit Authority.

But 35 states, plus Washington, D.C., and Puerto Rico, received a D or an F on this test. While some are spending a portion of their money on EV infrastructure, none of them have created a clear road map for a truly electric transportation system. This likely means an unwanted influx of diesel, compressed natural gas or propane vehicles — rather than options like electric buses.

Why should it matter if so many states earned a bad grade on this Volkswagen report card?

With every passing day, the need to prevent the worst impacts of the climate crisis becomes increasingly clear. From flooding to the the growing number of destructive hurricanes and wildfires, global warming’s devastating effects are already in full view. If we don’t take bold and drastic action, these will only get worse.

Transportation is a vital place to start. It is the country’s largest source of greenhouse gas emissions. To put it plainly, our cars and trucks are driving climate change (pardon the pun).

Pollution from transportation also makes us sick. When you see traffic-induced smog hovering over your hometown or a black cloud belching from the exhaust pipe of a diesel bus, it’s obviously not good. But just how bad is it?

An alarming new report published in the Lancet Planetary Health last month offered compelling evidence on the terrible impact traffic air pollution has on young kids. The report found that as many as 4 million new cases of pediatric asthma occur every year because of exposure to traffic fumes. Kids are the most vulnerable to the negative health effects caused by air pollution because their respiratory systems are still developing and they inhale more air per pound of body weight than adults.

But it’s not just kids. Pregnant women who live closer to traffic-related air pollution are more likely to give birth to small babies. People living near highways or highly traveled roads face an increased risk of developing lung cancer and a greater chance of dying from stroke, lung disease or heart disease.

So, if we want to keep both ourselves and our kids healthy, we need to change the way we get around. That starts with giving people more travel options that don’t include driving. But for the vehicles that remain on the road, including our transit and school buses, we need to kick our oil habit and go electric. With zero-tailpipe emissions, electric vehicles create far less pollution than gasoline-powered cars. EVs produce half the annual carbon footprint and cause fewer of the pollutants that contribute to smog. And because EVs charge on local electricity networks, their environmental benefits will continue to improve as America switches to clean, renewable energy.

That’s where the Volkswagen settlement comes in. Each state is getting a lot of money — funds that could jump start the transition to an all-electric transportation system. Is it going to get us all the way to where we need to be? No. But the awards, which range from around $8 million (Alaska, Hawaii, Wyoming, Washington, D.C., and Puerto Rico) to more than $400 million (California) are a windfall for this much-needed change. When states spend it on outdated diesel or other fossil-fuel technologies, it’s a squandered opportunity.

While the initial Volkswagen report card isn’t good, some hope remains. In many of the states with bad grades plans have, for the most part, been finalized, but the money hasn’t been spent yet. This means states can still change course and direct cash toward projects that accelerate overall transportation electrification. Some states may still have a lot to learn, but school isn’t out just yet.

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Matthew Casale
U.S. PIRG

21st Century Transportation Campaign Director, U.S. PIRG