Installing an electric vehicle station in Hollister would have
carried an uncertain cost at a time of economic uncertainty, and it
would have underscored a government disconnect in trying to succeed
where the private sector has experienced little or no success.
Installing an electric vehicle station in Hollister would have carried an uncertain cost at a time of economic uncertainty, and it would have underscored a government disconnect in trying to succeed where the private sector has experienced little or no success.
Hollister council members used sound judgment last week in denying funds from the Association of Monterey Bay Area Governments to install an electric vehicle station here, near the Veterans Memorial Building downtown. AMBAG is using $25,000 in grant funds to install the stations throughout the Central Coast region.
Council members in their denial were focused on an unfavorable contract that would have required unknown costs for maintenance and no clarity as to how the city would receive revenue, in a deal that lasts for a relatively robust five years.
More important, though, is the reality that there is vastly inadequate demand for the service. AMBAG is following the often-cited theory that new technologies often need a jolt from governments to get off the ground. In this case, there isn’t enough evidence to guarantee widespread, short-term growth in the demand for electric vehicles – and here is a public agency taking it a step further and investing in the mechanism for powering those cars.
This is a classic example where an inherently private service – providing electricity is no different in principle than what gas stations or public utilities do – should stay in the private sector. And Hollister wouldn’t have to look too far to realize that even in the private sector, there is a serious risk element involved with electric vehicle stations, as underscored with the local Costco’s recent decision to discontinue offering the service.
If the private sector fails to spur consumer demand, there is no reason to believe a government agency will do any better.
