California is pledging $95.2 million to build more electric-vehicle charging stations and hydrogen refueling sites across the state after seeing zero-emission car sales rebound in the first six months.
Gov. Gavin Newsom announced the funding Tuesday, Aug. 18 after the California Energy Commission approved it Monday as part of the state’s clean transportation program. State officials said the goal is to make it easier for drivers to find places to charge or fuel zero-emission vehicles, or ZEVs. The money will be spent during the current fiscal year ending June 30, 2027, with more money planned through the next year.
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Spokespersons for Newsom and the California Energy Commission, or CEC, weren’t immediately available to comment on where in the state the charging stations would be constructed, the bidding process or how much money might come available in the next fiscal year.
The state’s announcement said that $48 million has been set aside for light-duty electric vehicle charging stations, $30.2 million for medium- and heavy-duty zero emission infrastructure — freight, port, public fleet and school buses — $15 million for hydrogen refueling and $2 million for ZEV workforce training and equipment.
The state has seen a rebound in ZEV sales in the first six months of the year. In the quarter ending June 30, the CEC said consumers bought 86,857 ZEVs, marking a rebound to 19.1% of total new car sales after a slow first quarter. The sales figures include 75,597 battery EVs, 11,179 plug-in hybrids and 81 hydrogen fuel-cell cars. Total ZEV sales in the state have surpassed 2.7 million.
One of the largest beneficiaries of the hydrogen fueling stations could be FirstElement Fuel Inc., a clean energy company founded in 2013. The Irvine-based company operates the True Zero network, which has stations across California, including Alameda, Contra Costa, Los Angeles, Orange, San Bernardino, San Diego and Santa Clara counties, according to the CEC.
The company already partners closely with the CEC on multi-million-dollar clean transportation grants to design, build and expand the hydrogen refueling infrastructure.
FirstElement executives were not immediately available to comment on whether they’d apply for new funding from the state to build more hydrogen stations.
Neither could executives with Rove, which has electric vehicle charging centers in Santa Ana and Costa Mesa, nor Electrify America, an EV fast-charging network, be reached for comment on their interest in state grants to expand. Electrify America has opened up charging centers next to malls in San Francisco and San Diego.
Newsom’s office also said at least 50% of the program funds must go toward projects that benefit or serve low-income Californians and residents of low-income and disadvantaged communities. Newsom claimed that 62% of the clean transportation program and supplemental funds have gone to projects in disadvantaged or low-income communities.
The ZEV and hydrogen funding builds on a Newsom-backed program announced in July that the state hopes will spark a turnaround in new and used EV car-buying with a rebate program, MyFirstEV.
The program provides a $3,500 instant rebate for first-time ZEV buyers, and $1,750 for first-time buyers of a used EV that sells for less than $25,000. The $270 million joint initiative is funded by $135.5 million from the state and matched dollar-for-dollar by 13 participating automakers. It launches this summer.
Other states are trying similar incentive programs, including Colorado, New Jersey, New York and Oregon, according to the Energy Department’s Alternative Fuels Data Center.
Newsom has pushed for the new funding programs after U.S. President Donald Trump did not renew expiring federal electric vehicle tax credits on Sept. 30, 2025, following their elimination under last year’s One Big Beautiful Bill Act. The repeal ended the up to $7,500 new vehicle credit and the $4,000 used vehicle credit.
