Kentucky Public Service Commission rules electric vehicle charging stations should not be regulated as utilities

The Kentucky Public Service Commission (PSC) recently ruled that electric vehicle (EV) charging stations are not utilities and are, therefore, not subject to PSC regulation.

The order applies to any EV charging station that purchases power from a regulated electric utility or generates its own power solely to charge EVs.

The ruling determined that EV charging stations are themselves consumers and end users of electricity, rather than providers of electric service to the public.

The commission did not distinguish EV charging stations that serve all-electric or hybrid electric vehicles or both, or the type of entity that operates the charging stations.

The commission noted in its order that Kentucky lags behind neighboring states in the availability of public EV charging stations, with only 94 in the state.

The PSC opened the proceeding in November 2018. It received comments from the Kentucky Office of Attorney General, the Kentucky Office of Energy Policy, The Alliance for Transportation Electrification, The Kentucky Association of Electric Cooperatives, Kentucky Utilities Co., Louisville Gas and Electric Co., Duke Energy Kentucky, Kentucky Power Co., ChargePoint, a commercial EV charging station network, and Greenlots, which provides software and services to the EV charging industry.

Most of the commenters argued that EV charging stations are not utility providers and should not be subject to PSC regulation, the commission said. The Attorney General did not take a particular position but submitted a list of decisions from other states that generally supported the position that EV charging stations should not fall under PSC jurisdiction.

Comments from the Kentucky Office of Energy Policy, Duke Energy and others favored policies
that promote EV charging station development, noting that they would be beneficial to the
state’s economy and environment.

The Alliance for Transportation Electrification generally supported the development of an EV charging network but said that some level of state regulation might be needed to avoid effects on the
electric distribution grid.

Kentucky Power said that EV charging stations infringe on an electric utility’s exclusive right to serve its territory and should be allowed only if owned by the utility.