Impact of Electric Vehicle Adoption on Electricity Consumption and Generation: Evidence from California

This is the authors' abstract. We don't add key points for this paper.

The market share of electric vehicles (EV) is growing in the USA, and there are substantial numbers of federal, and state-level incentives for EV consumers. These incentives are in place primarily due to environmental concerns. This study focuses on two interrelated aspects of EV adoption. First, using monthly county-level data from 2010 to 2019, this study reveals that electric vehicles and their supportive infrastructures, such as charging stations, have a significant effect on residential and commercial electricity consumption in California. Second, analyzing electricity generation information by county, this study finds a significant negative relation between electricity usage and the share of electricity that comes from renewable sources. Although EVs emit lower pollutants than conventional vehicles, they require a significant amount of electricity for charging. If the electricity generation doesn’t involve renewable or cleaner sources, public spending on EV may not contribute to a cleaner environment as much as expected.