Michigan Legislature Invests $80 Million in Clean Mobility in FY 2025 Budget

June 28, 2024

On June 27th, the Michigan Legislature passed the state budget for fiscal year 2025, dedicating substantial funding to advance the state’s clean mobility sector. These investments will foster innovation, sustainability, and economic growth, positioning Michigan as a leader in the transition to cleaner transportation solutions. Key appropriations for clean mobility in the budget include: 

$30 Million for EV Charging and Hydrogen Refueling Infrastructure

Michigan is investing $30 million to expand its electric vehicle charging network and develop hydrogen refueling infrastructure. This initiative aims to fill gaps in the charging network by focusing on underserved areas such as multifamily housing, transit hubs, and fleet applications, making EVs more accessible. Additionally, by starting to build hydrogen refueling stations, the state is paving the way for hydrogen as a viable clean fuel alternative. 

$22.3 Million for Hydrogen Refueling for Medium- and Heavy-Duty Vehicles

The legislature appropriated $22.3 million in supplemental funding to enhance hydrogen refueling infrastructure for heavy-duty applications. This will significantly cut greenhouse gas emissions by transitioning heavy-duty vehicles to zero-emission hydrogen alternatives, and support long-haul and heavy-duty operations by improving the efficiency and sustainability of freight and logistics. 

$1 Million for State Fleet Transition to Clean Vehicles

The budget allocates $1 million to support the transition of state fleet vehicles to electric and other zero-emission alternatives, aligned with Governor Whitmer’s Executive Directive 2023-5. This transition will set a strong example of leadership, encouraging other public and private entities to adopt clean vehicles. Over time, it will lead to operational savings due to lower maintenance and fuel costs and will directly cut down on pollutants from state-operated vehicles, contributing to improved air quality and public health.

$2.9 Million for an E-Bike Voucher Program

$2.9 million was appropriated for an electric bike (E-Bike) voucher program pending the passage of HB 4491. This initiative is expected to increase E-Bike adoption by making them accessible to a broader audience. 

$11 Million for the “Truck Stop of the Future” Mobility Hub

$11 million in supplemental funding will support a mobility hub known as the “Truck Stop of the Future” which will provide DCFC EV charging and other zero-emission fuels for fleet vehicles. This project is designed to serve as a test bed for new technologies and business models, fostering innovation in the clean mobility sector. The mobility hub will also attract clean mobility companies, creating economic opportunities and jobs.

Celebrating Michigan’s Commitment to Clean Mobility

Clean Fuels Michigan applauds Governor Whitmer and the Michigan Legislature for their inclusion of many important budget items to promote the clean mobility economy in Michigan and encourages legislators to continue to pursue opportunities that will protect Michigan’s status as a global leader in transportation.

“We applaud the Michigan Legislature for their transformative investments in clean mobility,” said Jane McCurry, executive director of Clean Fuels Michigan. “These investments will not only advance the state’s transportation goals but also bolster Michigan’s position as a national leader in the clean mobility transition by developing our infrastructure, encouraging the deployment of cleaner vehicles, and creating jobs in a rapidly growing sector.”

We will work with relevant state teams to ensure these programs are implemented to their highest efficiency to benefit the industry, and we will continue to pursue additional avenues to fill in the funding gaps where this budget fell short. 

Clean Fuels Michigan members can access a detailed budget brief on these clean mobility budget items and more available here

Michigan’s FY 2025 budget is a testament to the state’s leadership in clean mobility, setting a strong example for others to follow. As these projects unfold, we can expect a more resilient and efficient transportation network that benefits everyone.