Md. PSC Staff Request Investigation of Electric Vehicle Charging Regulatory, Licensing Issues

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February 1, 2011

Maryland PSC Staff requested that the Commission institute a proceeding to consider how persons owning or operating electric vehicle charging stations and others involved in the provision, arranging, or billing of charging services should be treated for regulatory purposes, including the potential licensing of such entities as electric suppliers.

"In light of the broad definitions contained in the Public Utilities Article, many charging station owners or operators, and others involved in the provision, arranging, or billing of charging services, could be electricity suppliers and therefore subject to licensure by the Commission," Staff said.

"Whether a charging station owner is purchasing electricity at retail or at wholesale and whether a given charging station is adding a rate markup in fees assessed to charging service customers are likely to be important factors in evaluating the type of regulatory treatment," Staff noted.

"Charging station owners and operators, and branded charging station network operators, appear to be trying to create business models for selling electric vehicle charging services to the public that would not subject them to licensure or other regulatory requirements.  These models generally are aimed at describing and structuring fees to avoid assessing an identifiable fee for electricity," Staff reported.

"Three examples include assessing a per-use or time-based fees for charging services, bundling charging services with parking, and arranging for a licensed supplier to bill the retail customer for electricity," Staff observed.

Staff cited NRG Energy's eVgo, as well as Coulomb's Chargepoint, and SemaConnect's Charge Pro Smart Card program, as various examples of such models.

Aside from safety and reliability issues, Staff suggested that licensure may be appropriate to ensure the collection of motor fuel taxes, to the extent that electricity sold as a motor fuel is subject to such taxes.

Staff reported there are at least five charging stations currently active in Maryland, with up to another 71 to be installed under federal stimulus funds.  Greater proliferation is expected as electric vehicles become more prominent, Staff said.

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