Despite regional variability in climate, electricity sources, congestion, and the wide variation in individual driving patterns, electric vehicles generate less greenhouse gas emissions and do not cost more than comparable gas-powered vehicles for drivers and vehicle fleet owners in most parts of the United States, according to a new study by MIT researchers.

The team’s approach captures many key factors that contribute to regional and individual differences in the life-cycle emissions and ownership cost of electric vehicles, including meteorological data, the distance and duration of trips, and fuel prices.

To paint a fuller picture of emissions and costs than was previously available, the researchers sourced data from thousands of U.S. zip codes and drilled down to the level of individual drivers within those locations. Their study considers time-averaged fuel prices so as not to be overly influenced by fluctuations in prices at any one point in time. They finalized their analysis at the end of 2024 and early 2025.

Their results indicate that a person’s driving behaviors can matter as much as regional factors like the local electricity mix when it comes to the emissions savings of an electric vehicle, compared to a similar gas-powered vehicle. In most locations, a battery-electric vehicle reduces emissions between 40 and 60 percent, with larger impacts in urban areas. 

They also found that colder climates do not reduce overall emission benefits as much as some media reports assume.

The researchers utilized this detailed analysis to update a public tool they previously developed, carboncounter.com, which enables individuals to compare the life-cycle emissions and total ownership costs of nearly any car on the market. A new version of carboncounter.com is also being released today.

“There are a lot of statements being thrown around, like that electric vehicles don’t reduce emissions very much in cool climates, and we wanted to analyze these factors systematically and evaluate these statements against one another simultaneously. Rather than simply asking, ‘Are EVs better?’, this paper helps answer ‘better for whom, and under what conditions?’” says Marco Miotti PhD ’20, a senior researcher at ETH Zurich who completed this research while a graduate student in the Institute for Data, Systems, and Society (IDSS) at MIT. 

He is joined on the paper by senior author Jessika Trancik, a professor in IDSS. The research appears today in Environmental Research Letters.

A holistic approach

Many prior studies that compare emissions and costs of electric vehicles (EVs) to combustion-engine vehicles cover a few factors, like the amount of renewable energy in the grid and how gas prices impact affordability, Miotti says.

“To our knowledge, there have been few efforts so far that bring all these factors together. But if someone wants to buy a car and have a better understanding of the factors that affect emissions and costs, this holistic approach is important,” he adds.

The researchers focused on two types of EVs: battery-electric vehicles, which only operate on electricity, and plug-in hybrid electric vehicles, which also have a combustion engine that works in tandem with the battery to optimize fuel savings.

The team expanded and improved a set of previously developed vehicle cost and emissions models to incorporate a wider variety of factors and data types.

For instance, they refined an existing model that estimates energy use and gas mileage so it could capture more nuances of local climate variability. 

“But the real effort was not just in extending these different models, but in bringing together all these different data and making them work with the models in a consistent manner,” Miotti says.

The team sourced data on a wide variety of factors for each U.S. zip code, such as typical drive cycles, the amount of traffic, local gas and electricity prices, makeup of the regional electricity mix, meteorological profiles, and more. They used statistical approaches to amalgamate different types of data. 

For example, the team used a probabilistic matching technique to combine data on how often people drive, which was drawn from nationwide travel surveys, with more detailed GPS data that includes factors like drivers’ acceleration patterns and the distance they usually drive on each day of the week.

The researchers designed their analysis to focus on the spatial picture of emissions and costs, based on U.S. zip codes, while simultaneously considering the impact of the size and features of each specific vehicle model.

“At the end of the day, it’s the vehicle and fleet owners who make decisions about vehicle purchases. So, we wanted to make sure to consider their wide-ranging individual perspectives rather than simply performing a region-by-region comparison,” says Trancik.

Lower emissions, comparable costs

In the end, their modeling framework revealed that all factors they analyzed matter about equally in determining emissions-reduction potential of EVs compared to internal combustion vehicles. 

EVs reduce emissions the most in areas with a cleaner electricity mix, denser traffic, higher annual travel distances, and a mild climate, in decreasing order of importance. In each area, emission reductions increase for drivers who drive more often, drive larger vehicles, and are more frequently stuck in traffic. 

In a colder area like North Dakota, fuel economy of battery-electric vehicles might be reduced by as much as 50 percent on a particularly frigid night, but the effect on annual emission benefits is minimal. 

“We even did a sensitivity study to see if the range is reduced in very cold climates, and we found that, even in the most unfavorable conditions, EVs still reduce emissions by a substantial amount,” Miotti says.

On the cost side, the models show that, in most places across the U.S., EVs are competitive with comparable combustion-engine vehicles in terms of lifetime ownership cost, even without clean vehicle tax credits. And in areas where electricity is relatively affordable, battery-electric vehicles tend to cost less than their plug-in hybrid or combustion-engine counterparts.

In the future, the researchers want to expand this analysis to include a temporal dimension, so the framework also considers how changes in vehicle, fuel, and electricity prices affect emissions and costs over time. 

“While we found that the electricity mix is a big driver of the spatial variation in emissions savings of EVs, the electricity grid is decarbonizing everywhere. As that happens, emissions savings across space will become more homogenous for EVs, but the differences across one driver to another will remain,” Miotti says.

They could also use the framework to explore regions outside the United States or incorporate data on hybrid-electric vehicles that cannot be plugged in.

This work was funded, in part, by the MIT Martin Family Society of Fellows for Sustainability.

Advancements in battery innovation are transforming both mobility and energy systems alike, according to Kurt Kelty, vice president of battery, propulsion, and sustainability at General Motors (GM). At the MIT Energy Initiative (MITEI) Fall Colloquium, Kelty explored how GM is bringing next-generation battery technologies from lab to commercialization, driving American battery innovation forward. The colloquium is part of the ongoing MITEI Presents: Advancing the Energy Transition speaker series.

At GM, Kelty’s team is primarily focused on three things: first, improving affordability to get more electric vehicles (EVs) on the road. “How do you drive down the cost?” Kelty asked the audience. “It's the batteries. The batteries make up about 30 percent of the cost of the vehicle.” Second, his team strives to improve battery performance, including charging speed and energy density. Third, they are working on localizing the supply chain. “We've got to build up our resilience and our independence here in North America, so we're not relying on materials coming from China,” Kelty explained.

To aid their efforts, resources are being poured into the virtualization space, significantly cutting down on time dedicated to research and development. Now, Kelty’s team can do modeling up front using artificial intelligence, reducing what previously would have taken months to a couple of days.

“If you want to modify … the nickel content ever so slightly, we can very quickly model: ‘OK, how’s that going to affect the energy density? The safety? How’s that going to affect the charge capability?’” said Kelty. “We can look at that at the cell level, then the pack level, then the vehicle level.”

Kelty revealed that they have found a solution that addresses affordability, accessibility, and commercialization: lithium manganese-rich (LMR) batteries. Previously, the industry looked to reduce costs by lowering the amount of cobalt in batteries by adding greater amounts of nickel. These high-nickel batteries are in most cars on the road in the United States due to their high range. LMR batteries, though, take things a step further by reducing the amount of nickel and adding more manganese, which drives the cost of batteries down even further while maintaining range.

Lithium-iron-phosphate (LFP) batteries are the chemistry of choice in China, known for low cost, high cycle life, and high safety. With LMR batteries, the cost is comparable to LFP with a range that is closer to high-nickel. “That’s what’s really a breakthrough,” said Kelty.

LMR batteries are not new, but there have been challenges to adopting them, according to Kelty. “People knew about it, but they didn’t know how to commercialize it. They didn’t know how to make it work in an EV,” he explained. Now that GM has figured out commercialization, they will be the first to market these batteries in their EVs in 2028.

Kelty also expressed excitement over the use of vehicle-to-grid technologies in the future. Using a bidirectional charger with a two-way flow of energy, EVs could charge, but also send power from their batteries back to the electrical grid. This would allow customers to charge “their vehicles at night when the electricity prices are really low, and they can discharge it during the day when electricity rates are really high,” he said.

In addition to working in the transportation sector, GM is exploring ways to extend their battery expertise into applications in grid-scale energy storage. “It’s a big market right now, but it’s growing very quickly because of the data center growth,” said Kelty.

When looking to the future of battery manufacturing and EVs in the United States, Kelty remains optimistic: “we’ve got the technology here to make it happen. We’ve always had the innovation here. Now, we’re getting more and more of the manufacturing. We’re getting that all together. We’ve got just tremendous opportunity here that I’m hopeful we’re going to be able to take advantage of and really build a massive battery industry here.”

This speaker series highlights energy experts and leaders at the forefront of the scientific, technological, and policy solutions needed to transform our energy systems. Visit MITEI’s Events page for more information on this and additional events.

The MIT Sailing Pavilion hosted an altogether different marine vessel recently: a prototype of a solar electric boat developed by James Worden ’89, the founder of the MIT Solar Electric Vehicle Team (SEVT). Worden visited the pavilion on a sizzling, sunny day in late July to offer students from the SEVT, the MIT Edgerton Center, MIT Sea Grant, and the broader community an inside look at the Anita, named for his late wife.

Worden’s fascination with solar power began at age 10, when he picked up a solar chip at a “hippy-like” conference in his hometown of Arlington, Massachusetts. “My eyes just lit up,” he says. He built his first solar electric vehicle in high school, fashioned out of cardboard and wood (taking first place at the 1984 Massachusetts Science Fair), and continued his journey at MIT, founding SEVT in 1986. It was through SEVT that he met his wife and lifelong business partner, Anita Rajan Worden ’90. Together, they founded two companies in the solar electric and hybrid vehicles space, and in 2022 launched a solar electric boat company.

On the Charles River, Worden took visitors for short rides on Anita, including a group of current SEVT students who peppered him with questions. The 20-foot pontoon boat, just 12 feet wide and 7 feet tall, is made of carbon fiber composites, single crystalline solar photovoltaic cells, and lithium iron phosphate battery cells. Ultimately, Worden envisions the prototype could have applications as mini-ferry boats and water taxis.

With warmth and humor, he drew parallels between the boat’s components and mechanics and those of the solar cars the students are building. “It’s fun! If you think about all the stuff you guys are doing, it’s all the same stuff,” he told them, “optimizing all the different systems and making them work.” He also explained the design considerations unique to boating applications, like refining the hull shape for efficiency and maneuverability in variable water and wind conditions, and the critical importance of protecting wiring and controls from open water and condensate.

“Seeing Anita in all its glory was super cool,” says Nicole Lin, vice captain of SEVT. “When I first saw it, I could immediately map the different parts of the solar car to its marine counterparts, which was astonishing to see how far I’ve come as an engineer with SEVT. James also explained the boat using solar car terms, as he drew on his experience with solar cars for his solar boats. It blew my mind to see the engineering we learned with SEVT in action.”

Over the years, the Wordens have been avid supporters of SEVT and the Edgerton Center, so the visit was, in part, a way to pay it forward to MIT. “There’s a lot of connections,” he says. He’s still awed by the fact that Harold “Doc” Edgerton, upon learning about his interest in building solar cars, carved out a lab space for him to use in Building 20 — as a first-year student. And a few years ago, as Worden became interested in marine vessels, he tapped Sea Grant Education Administrator Drew Bennett for a 90-minute whiteboard lecture, “MIT fire-hose style,” on hydrodynamics. “It was awesome!” he says.

On May 6, MIT AgeLab’s Advanced Vehicle Technology (AVT) Consortium, part of the MIT Center for Transportation and Logistics, celebrated 10 years of its global academic-industry collaboration. AVT was founded with the aim of developing new data that contribute to automotive manufacturers, suppliers, and insurers’ real-world understanding of how drivers use and respond to increasingly sophisticated vehicle technologies, such as assistive and automated driving, while accelerating the applied insight needed to advance design and development. The celebration event brought together stakeholders from across the industry for a set of keynote addresses and panel discussions on critical topics significant to the industry and its future, including artificial intelligence, automotive technology, collision repair, consumer behavior, sustainability, vehicle safety policy, and global competitiveness.

Bryan Reimer, founder and co-director of the AVT Consortium, opened the event by remarking that over the decade AVT has collected hundreds of terabytes of data, presented and discussed research with its over 25 member organizations, supported members’ strategic and policy initiatives, published select outcomes, and built AVT into a global influencer with tremendous impact in the automotive industry. He noted that current opportunities and challenges for the industry include distracted driving, a lack of consumer trust and concerns around transparency in assistive and automated driving features, and high consumer expectations for vehicle technology, safety, and affordability. How will industry respond? Major players in attendance weighed in.

In a powerful exchange on vehicle safety regulation, John Bozzella, president and CEO of the Alliance for Automotive Innovation, and Mark Rosekind, former chief safety innovation officer of Zoox, former administrator of the National Highway Traffic Safety Administration, and former member of the National Transportation Safety Board, challenged industry and government to adopt a more strategic, data-driven, and collaborative approach to safety. They asserted that regulation must evolve alongside innovation, not lag behind it by decades. Appealing to the automakers in attendance, Bozzella cited the success of voluntary commitments on automatic emergency braking as a model for future progress. “That’s a way to do something important and impactful ahead of regulation.” They advocated for shared data platforms, anonymous reporting, and a common regulatory vision that sets safety baselines while allowing room for experimentation. The 40,000 annual road fatalities demand urgency — what’s needed is a move away from tactical fixes and toward a systemic safety strategy. “Safety delayed is safety denied,” Rosekind stated. “Tell me how you’re going to improve safety. Let’s be explicit.”

Drawing inspiration from aviation’s exemplary safety record, Kathy Abbott, chief scientific and technical advisor for the Federal Aviation Administration, pointed to a culture of rigorous regulation, continuous improvement, and cross-sectoral data sharing. Aviation’s model, built on highly trained personnel and strict predictability standards, contrasts sharply with the fragmented approach in the automotive industry. The keynote emphasized that a foundation of safety culture — one that recognizes that technological ability alone isn’t justification for deployment — must guide the auto industry forward. Just as aviation doesn’t equate absence of failure with success, vehicle safety must be measured holistically and proactively.

With assistive and automated driving top of mind in the industry, Pete Bigelow of Automotive News offered a pragmatic diagnosis. With companies like Ford and Volkswagen stepping back from full autonomy projects like Argo AI, the industry is now focused on Level 2 and 3 technologies, which refer to assisted and automated driving, respectively. Tesla, GM, and Mercedes are experimenting with subscription models for driver assistance systems, yet consumer confusion remains high. JD Power reports that many drivers do not grasp the differences between L2 and L2+, or whether these technologies offer safety or convenience features. Safety benefits have yet to manifest in reduced traffic deaths, which have risen by 20 percent since 2020. The recurring challenge: L3 systems demand that human drivers take over during technical difficulties, despite driver disengagement being their primary benefit, potentially worsening outcomes. Bigelow cited a quote from Bryan Reimer as one of the best he’s received in his career: “Level 3 systems are an engineer’s dream and a plaintiff attorney’s next yacht,” highlighting the legal and design complexity of systems that demand handoffs between machine and human.

In terms of the impact of AI on the automotive industry, Mauricio Muñoz, senior research engineer at AI Sweden, underscored that despite AI’s transformative potential, the automotive industry cannot rely on general AI megatrends to solve domain-specific challenges. While landmark achievements like AlphaFold demonstrate AI’s prowess, automotive applications require domain expertise, data sovereignty, and targeted collaboration. Energy constraints, data firewalls, and the high costs of AI infrastructure all pose limitations, making it critical that companies fund purpose-driven research that can reduce costs and improve implementation fidelity. Muñoz warned that while excitement abounds — with some predicting artificial superintelligence by 2028 — real progress demands organizational alignment and a deep understanding of the automotive context, not just computational power.

Turning the focus to consumers, a collision repair panel drawing Richard Billyeald from Thatcham Research, Hami Ebrahimi from Caliber Collision, and Mike Nelson from Nelson Law explored the unintended consequences of vehicle technology advances: spiraling repair costs, labor shortages, and a lack of repairability standards. Panelists warned that even minor repairs for advanced vehicles now require costly and complex sensor recalibrations — compounded by inconsistent manufacturer guidance and no clear consumer alerts when systems are out of calibration. The panel called for greater standardization, consumer education, and repair-friendly design. As insurance premiums climb and more people forgo insurance claims, the lack of coordination between automakers, regulators, and service providers threatens consumer safety and undermines trust. The group warned that until Level 2 systems function reliably and affordably, moving toward Level 3 autonomy is premature and risky.

While the repair panel emphasized today’s urgent challenges, other speakers looked to the future. Honda’s Ryan Harty, for example, highlighted the company’s aggressive push toward sustainability and safety. Honda aims for zero environmental impact and zero traffic fatalities, with plans to be 100 percent electric by 2040 and to lead in energy storage and clean power integration. The company has developed tools to coach young drivers and is investing in charging infrastructure, grid-aware battery usage, and green hydrogen storage. “What consumers buy in the market dictates what the manufacturers make,” Harty noted, underscoring the importance of aligning product strategy with user demand and environmental responsibility. He stressed that manufacturers can only decarbonize as fast as the industry allows, and emphasized the need to shift from cost-based to life-cycle-based product strategies.

Finally, a panel involving Laura Chace of ITS America, Jon Demerly of Qualcomm, Brad Stertz of Audi/VW Group, and Anant Thaker of Aptiv covered the near-, mid-, and long-term future of vehicle technology. Panelists emphasized that consumer expectations, infrastructure investment, and regulatory modernization must evolve together. Despite record bicycle fatality rates and persistent distracted driving, features like school bus detection and stop sign alerts remain underutilized due to skepticism and cost. Panelists stressed that we must design systems for proactive safety rather than reactive response. The slow integration of digital infrastructure — sensors, edge computing, data analytics — stems not only from technical hurdles, but procurement and policy challenges as well. 

Reimer concluded the event by urging industry leaders to re-center the consumer in all conversations — from affordability to maintenance and repair. With the rising costs of ownership, growing gaps in trust in technology, and misalignment between innovation and consumer value, the future of mobility depends on rebuilding trust and reshaping industry economics. He called for global collaboration, greater standardization, and transparent innovation that consumers can understand and afford. He highlighted that global competitiveness and public safety both hang in the balance. As Reimer noted, “success will come through partnerships” — between industry, academia, and government — that work toward shared investment, cultural change, and a collective willingness to prioritize the public good.

As a major contributor to global carbon dioxide (CO₂) emissions, the transportation sector has immense potential to advance decarbonization. However, a zero-emissions global supply chain requires re-imagining reliance on a heavy-duty trucking industry that emits 810,000 tons of CO₂, or 6 percent of the United States’ greenhouse gas emissions, and consumes 29 billion gallons of diesel annually in the U.S. alone.

A new study by MIT researchers, presented at the recent American Society of Mechanical Engineers 2024 International Design Engineering Technical Conferences and Computers and Information in Engineering Conference, quantifies the impact of a zero-emission truck’s design range on its energy storage requirements and operational revenue. The multivariable model outlined in the paper allows fleet owners and operators to better understand the design choices that impact the economic feasibility of battery-electric and hydrogen fuel cell heavy-duty trucks for commercial application, equipping stakeholders to make informed fleet transition decisions.

“The whole issue [of decarbonizing trucking] is like a very big, messy pie. One of the things we can do, from an academic standpoint, is quantify some of those pieces of pie with modeling, based on information and experience we’ve learned from industry stakeholders,” says ZhiYi Liang, PhD student on the renewable hydrogen team at the MIT K. Lisa Yang Global Engineering and Research Center (GEAR) and lead author of the study. Co-authored by Bryony DuPont, visiting scholar at GEAR, and Amos Winter, the Germeshausen Professor in the MIT Department of Mechanical Engineering, the paper elucidates operational and socioeconomic factors that need to be considered in efforts to decarbonize heavy-duty vehicles (HDVs).

Operational and infrastructure challenges

The team’s model shows that a technical challenge lies in the amount of energy that needs to be stored on the truck to meet the range and towing performance needs of commercial trucking applications. Due to the high energy density and low cost of diesel, existing diesel drivetrains remain more competitive than alternative lithium battery-electric vehicle (Li-BEV) and hydrogen fuel-cell-electric vehicle (H2 FCEV) drivetrains. Although Li-BEV drivetrains have the highest energy efficiency of all three, they are limited to short-to-medium range routes (under 500 miles) with low freight capacity, due to the weight and volume of the onboard energy storage needed. In addition, the authors note that existing electric grid infrastructure will need significant upgrades to support large-scale deployment of Li-BEV HDVs.

While the hydrogen-powered drivetrain has a significant weight advantage that enables higher cargo capacity and routes over 750 miles, the current state of hydrogen fuel networks limits economic viability, especially once operational cost and projected revenue are taken into account. Deployment will most likely require government intervention in the form of incentives and subsidies to reduce the price of hydrogen by more than half, as well as continued investment by corporations to ensure a stable supply. Also, as H2-FCEVs are still a relatively new technology, the ongoing design of conformal onboard hydrogen storage systems — one of which is the subject of Liang’s PhD — is crucial to successful adoption into the HDV market.

The current efficiency of diesel systems is a result of technological developments and manufacturing processes established over many decades, a precedent that suggests similar strides can be made with alternative drivetrains. However, interactions with fleet owners, automotive manufacturers, and refueling network providers reveal another major hurdle in the way that each “slice of the pie” is interrelated — issues must be addressed simultaneously because of how they affect each other, from renewable fuel infrastructure to technological readiness and capital cost of new fleets, among other considerations. And first steps into an uncertain future, where no one sector is fully in control of potential outcomes, is inherently risky. 

“Besides infrastructure limitations, we only have prototypes [of alternative HDVs] for fleet operator use, so the cost of procuring them is high, which means there isn’t demand for automakers to build manufacturing lines up to a scale that would make them economical to produce,” says Liang, describing just one step of a vicious cycle that is difficult to disrupt, especially for industry stakeholders trying to be competitive in a free market. 

Quantifying a path to feasibility

“Folks in the industry know that some kind of energy transition needs to happen, but they may not necessarily know for certain what the most viable path forward is,” says Liang. Although there is no singular avenue to zero emissions, the new model provides a way to further quantify and assess at least one slice of pie to aid decision-making.

Other MIT-led efforts aimed at helping industry stakeholders navigate decarbonization include an interactive mapping tool developed by Danika MacDonell, Impact Fellow at the MIT Climate and Sustainability Consortium (MCSC); alongside Florian Allroggen, executive director of MITs Zero Impact Aviation Alliance; and undergraduate researchers Micah Borrero, Helena De Figueiredo Valente, and Brooke Bao. The MCSC’s Geospatial Decision Support Tool supports strategic decision-making for fleet operators by allowing them to visualize regional freight flow densities, costs, emissions, planned and available infrastructure, and relevant regulations and incentives by region.

While current limitations reveal the need for joint problem-solving across sectors, the authors believe that stakeholders are motivated and ready to tackle climate problems together. Once-competing businesses already appear to be embracing a culture shift toward collaboration, with the recent agreement between General Motors and Hyundai to explore “future collaboration across key strategic areas,” including clean energy. 

Liang believes that transitioning the transportation sector to zero emissions is just one part of an “energy revolution” that will require all sectors to work together, because “everything is connected. In order for the whole thing to make sense, we need to consider ourselves part of that pie, and the entire system needs to change,” says Liang. “You can’t make a revolution succeed by yourself.” 

The authors acknowledge the MIT Climate and Sustainability Consortium for connecting them with industry members in the HDV ecosystem; and the MIT K. Lisa Yang Global Engineering and Research Center and MIT Morningside Academy for Design for financial support.

Climate anxiety affects nearly half of young people aged 16-25. Students like second-year Rachel Mohammed find hope and inspiration through her involvement in innovative climate solutions, working alongside peers who share her determination. “I’ve met so many people at MIT who are dedicated to finding climate solutions in ways that I had never imagined, dreamed of, or heard of. That is what keeps me going, and I’m doing my part,” she says.

Hydrogen-fueled engines

Hydrogen offers the potential for zero or near-zero emissions, with the ability to reduce greenhouse gases and pollution by 29 percent. However, the hydrogen industry faces many challenges related to storage solutions and costs.

Mohammed leads the hydrogen team on MIT’s Electric Vehicle Team (EVT), which is dedicated to harnessing hydrogen power to build a cleaner, more sustainable future. EVT is one of several student-led build teams at the Edgerton Center focused on innovative climate solutions. Since its founding in 1992, the Edgerton Center has been a hub for MIT students to bring their ideas to life.

Hydrogen is mostly used in large vehicles like trucks and planes because it requires a lot of storage space. EVT is building their second iteration of a motorcycle based on what Mohammed calls a “goofy hypothesis” that you can use hydrogen to power a small vehicle. The team employs a hydrogen fuel cell system, which generates electricity by combining hydrogen with oxygen. However, the technology faces challenges, particularly in storage, which EVT is tackling with innovative designs for smaller vehicles.

Presenting at the 2024 World Hydrogen Summit reaffirmed Mohammed’s confidence in this project. “I often encounter skepticism, with people saying it’s not practical. Seeing others actively working on similar initiatives made me realize that we can do it too,” Mohammed says.

The team’s first successful track test last October allowed them to evaluate the real-world performance of their hydrogen-powered motorcycle, marking a crucial step in proving the feasibility and efficiency of their design.

MIT’s Sustainable Engine Team (SET), founded by junior Charles Yong, uses the combustion method to generate energy with hydrogen. This is a promising technology route for high-power-density applications, like aviation, but Yong believes it hasn’t received enough attention. Yong explains, “In the hydrogen power industry, startups choose fuel cell routes instead of combustion because gas turbine industry giants are 50 years ahead. However, these giants are moving very slowly toward hydrogen due to its not-yet-fully-developed infrastructure. Working under the Edgerton Center allows us to take risks and explore advanced tech directions to demonstrate that hydrogen combustion can be readily available.”

Both EVT and SET are publishing their research and providing detailed instructions for anyone interested in replicating their results.

Charging stations for electric vehicles are essential for cleaning up the transportation sector. A new study by MIT researchers suggests they’re good for business, too.

The study found that, in California, opening a charging station boosted annual spending at each nearby business by an average of about $1,500 in 2019 and about $400 between January 2021 and June 2023. The spending bump amounts to thousands of extra dollars annually for nearby businesses, with the increase particularly pronounced for businesses in underresourced areas.

The study’s authors hope the research paints a more holistic picture of the benefits of EV charging stations, beyond environmental factors.

“These increases are equal to a significant chunk of the cost of installing an EV charger, and I hope this study sheds light on these economic benefits,” says lead author Yunhan Zheng MCP ’21, SM ’21, PhD ’24, a postdoc at the Singapore-MIT Alliance for Research and Technology (SMART). “The findings could also diversify the income stream for charger providers and site hosts, and lead to more informed business models for EV charging stations.”

Zheng’s co-authors on the paper, which was published today in Nature Communications, are David Keith, a senior lecturer at the MIT Sloan School of Management; Jinhua Zhao, an MIT professor of cities and transportation; and alumni Shenhao Wang MCP ’17, SM ’17, PhD ’20 and Mi Diao MCP ’06, PhD ’10.

Understanding the EV effect

Increasing the number of electric vehicle charging stations is seen as a key prerequisite for the transition to a cleaner, electrified transportation sector. As such, the 2021 U.S. Infrastructure Investment and Jobs Act committed $7.5 billion to build a national network of public electric vehicle chargers across the U.S.

But a large amount of private investment will also be needed to make charging stations ubiquitous.

“The U.S. is investing a lot in EV chargers and really encouraging EV adoption, but many EV charging providers can’t make enough money at this stage, and getting to profitability is a major challenge,” Zheng says.

EV advocates have long argued that the presence of charging stations brings economic benefits to surrounding communities, but Zheng says previous studies on their impact relied on surveys or were small-scale. Her team of collaborators wanted to make advocates’ claims more empirical.

For their study, the researchers collected data from over 4,000 charging stations in California and 140,000 businesses, relying on anonymized credit and debit card transactions to measure changes in consumer spending. The researchers used data from 2019 through June of 2023, skipping the year 2020 to minimize the impact of the pandemic.

To judge whether charging stations caused customer spending increases, the researchers compared data from businesses within 500 meters of new charging stations before and after their installation. They also analyzed transactions from similar businesses in the same time frame that weren’t near charging stations.

Supercharging nearby businesses

The researchers found that installing a charging station boosted annual spending at nearby establishments by an average of 1.4 percent in 2019 and 0.8 percent from January 2021 to June 2023.

While that might sound like a small amount per business, it amounts to thousands of dollars in overall consumer spending increases. Specifically, those percentages translate to almost $23,000 in cumulative spending increases in 2019 and about $3,400 per year from 2021 through June 2023.

Zheng says the decline in spending increases over the two time periods might be due to a saturation of EV chargers, leading to lower utilization, as well as an overall decrease in spending per business after the Covid-19 pandemic and a reduced number of businesses served by each EV charging station in the second period. Despite this decline, the annual impact of a charging station on all its surrounding businesses would still cover approximately 11.2 percent of the average infrastructure and installation cost of a standard charging station.

Through both time frames, the spending increases were highest for businesses within about a football field’s distance from the new stations. They were also significant for businesses in disadvantaged and low-income areas, as designated by California and the Justice40 Initiative.

“The positive impacts of EV charging stations on businesses are not constrained solely to some high-income neighborhoods,” Wang says. “It highlights the importance for policymakers to develop EV charging stations in marginalized areas, because they not only foster a cleaner environment, but also serve as a catalyst for enhancing economic vitality.”

Zheng believes the findings hold a lesson for charging station developers seeking to improve the profitability of their projects.

“The joint gas station and convenience store business model could also be adopted to EV charging stations,” Zheng says. “Traditionally, many gas stations are affiliated with retail store chains, which enables owners to both sell fuel and attract customers to diversify their revenue stream. EV charging providers could consider a similar approach to internalize the positive impact of EV charging stations.”

Zheng also says the findings could support the creation of new funding models for charging stations, such as multiple businesses sharing the costs of construction so they can all benefit from the added spending.

Those changes could accelerate the creation of charging networks, but Zheng cautions that further research is needed to understand how much the study’s findings can be extrapolated to other areas. She encourages other researchers to study the economic effects of charging stations and hopes future research includes states beyond California and even other countries.

“A huge number of studies have focused on retail sales effects from traditional transportation infrastructure, such as rail and subway stations, bus stops, and street configurations,” Zhao says. “This research provides evidence for an important, emerging piece of transportation infrastructure and shows a consistently positive effect on local businesses, paving the way for future research in this area.”

The research was supported, in part, by the Singapore-MIT Alliance for Research and Technology (SMART) and the Singapore National Research Foundation. Diao was partially supported by the Natural Science Foundation of Shanghai and the Fundamental Research Funds for the Central Universities of China.