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CMS Energy (CMS) Arm Launches Community EV Charging Program
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CMS Energy’s (CMS - Free Report) principal subsidiary, Consumers Energy, recently launched a program named PowerMIDrive, which entails the deployment of electric vehicle (EV) chargers at apartment buildings, condominiums and overnight community places across Michigan. This should bolster CMS Energy’s footprint in the expanding EV market of the state.
Benefits of the Program
With the rise in number of EVs, the demand for overnight charging increases. Consumers Energy’s PowerMIDrive program will actively offer rebates for EV chargers at apartments and other multifamily areas.
For now, this new multifamily EV charging program will give a $7,500 rebate to 25 Michigan municipalities to incentivize landlords to spend money on overnight charging for their tenants. By installing an overnight EV charger, the owner will gain a competitive advantage and be able to attract and retain more EV-driving renters.
The number of EVs in communities that Consumers Energy serves has tripled since the end of 2020, per data obtained from the Michigan Secretary of State. No doubt the PowerMIDrive program will bring more surge in this data.
Consumers Energy’s Prospects in U.S. EV Charging Market
Per the Grand View Research report, the U.S. EV charging infrastructure market was valued at $3.15 billion in 2022. It is expected to witness a compound annual growth rate of 29.1% during 2023-2030.
Consumers Energy aims at powering up to 1 million carbon-free vehicles on Michigan roads by 2030. In the Lower Peninsula, it has already built almost 4,000 EV chargers, including roughly 40 fast chargers which can recharge an EV battery in 30 minutes. To further increase the accessibility and affordability of EV ownership in this area, the company plans to install 200 EV chargers, including 100 rapid charging. This should give CMS more access to the market.
Peer Moves
To reap the benefits of the growing U.S. EV charging market, utilities such as Dominion Energy Inc. (D - Free Report) , Duke Energy (DUK - Free Report) and American Electric Power (AEP - Free Report) have also been expanding their footprint in the EV market.
Dominion Energy’s Smart Charging Infrastructure Pilot program provides rebates for smart EV charging stations and installation. In 2021, it had approved $0.966 million for 58 public fast-charging, multifamily and workplace chargers.
D’s long-term (three- to five-year) earnings growth rate is pegged at 20%. The Zacks Consensus Estimate for its 2023 sales indicates an increase of 4% over 2022’s reported figure.
Duke Energy aims to convert all of its 4,000 light-duty vehicles and 50% of its 6,000 medium-duty, heavy-duty and off-road vehicles to EVs, plug-in hybrids or other zero-carbon alternatives by 2030. Its Workplace Charging Program, an initiative to increase employee EV adoption, will install numerous chargers in the next five years.
DUK’s long-term earnings growth rate is pegged at 6.1%. The Zacks Consensus Estimate for its 2023 sales indicates an increase of 0.9% over 2022’s reported figure.
American Electric Power aims to electrify 40% of its on-road fleet and 50% of the forklifts by 2030. Since 2016, the company has installed more than 360 EV charging stations at several of its facilities.
AEP’s long-term earnings growth rate is 5.6%. The Zacks Consensus Estimate for its 2023 sales indicates an increase of 2.4% over 2022’s reported figure.
Price Performance
Over the past three months, shares of CMS have lost 0.8% compared with the industry’s decline of 3.3%.
Image: Bigstock
CMS Energy (CMS) Arm Launches Community EV Charging Program
CMS Energy’s (CMS - Free Report) principal subsidiary, Consumers Energy, recently launched a program named PowerMIDrive, which entails the deployment of electric vehicle (EV) chargers at apartment buildings, condominiums and overnight community places across Michigan. This should bolster CMS Energy’s footprint in the expanding EV market of the state.
Benefits of the Program
With the rise in number of EVs, the demand for overnight charging increases. Consumers Energy’s PowerMIDrive program will actively offer rebates for EV chargers at apartments and other multifamily areas.
For now, this new multifamily EV charging program will give a $7,500 rebate to 25 Michigan municipalities to incentivize landlords to spend money on overnight charging for their tenants. By installing an overnight EV charger, the owner will gain a competitive advantage and be able to attract and retain more EV-driving renters.
The number of EVs in communities that Consumers Energy serves has tripled since the end of 2020, per data obtained from the Michigan Secretary of State. No doubt the PowerMIDrive program will bring more surge in this data.
Consumers Energy’s Prospects in U.S. EV Charging Market
Per the Grand View Research report, the U.S. EV charging infrastructure market was valued at $3.15 billion in 2022. It is expected to witness a compound annual growth rate of 29.1% during 2023-2030.
Consumers Energy aims at powering up to 1 million carbon-free vehicles on Michigan roads by 2030. In the Lower Peninsula, it has already built almost 4,000 EV chargers, including roughly 40 fast chargers which can recharge an EV battery in 30 minutes. To further increase the accessibility and affordability of EV ownership in this area, the company plans to install 200 EV chargers, including 100 rapid charging. This should give CMS more access to the market.
Peer Moves
To reap the benefits of the growing U.S. EV charging market, utilities such as Dominion Energy Inc. (D - Free Report) , Duke Energy (DUK - Free Report) and American Electric Power (AEP - Free Report) have also been expanding their footprint in the EV market.
Dominion Energy’s Smart Charging Infrastructure Pilot program provides rebates for smart EV charging stations and installation. In 2021, it had approved $0.966 million for 58 public fast-charging, multifamily and workplace chargers.
D’s long-term (three- to five-year) earnings growth rate is pegged at 20%. The Zacks Consensus Estimate for its 2023 sales indicates an increase of 4% over 2022’s reported figure.
Duke Energy aims to convert all of its 4,000 light-duty vehicles and 50% of its 6,000 medium-duty, heavy-duty and off-road vehicles to EVs, plug-in hybrids or other zero-carbon alternatives by 2030. Its Workplace Charging Program, an initiative to increase employee EV adoption, will install numerous chargers in the next five years.
DUK’s long-term earnings growth rate is pegged at 6.1%. The Zacks Consensus Estimate for its 2023 sales indicates an increase of 0.9% over 2022’s reported figure.
American Electric Power aims to electrify 40% of its on-road fleet and 50% of the forklifts by 2030. Since 2016, the company has installed more than 360 EV charging stations at several of its facilities.
AEP’s long-term earnings growth rate is 5.6%. The Zacks Consensus Estimate for its 2023 sales indicates an increase of 2.4% over 2022’s reported figure.
Price Performance
Over the past three months, shares of CMS have lost 0.8% compared with the industry’s decline of 3.3%.
Image Source: Zacks Investment Research
Zacks Rank
CMS Energy currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here