Tritium Customers Win Largest Share of Round 1 Tennessee NEVI Program
Tritium DCFC Limited (Nasdaq: DCFC) was the top-awarded fast charger manufacturer for the first round of the State of Tennessee’s National Electric Vehicle Infrastructure (NEVI) Formula Program, receiving over $10.5 million of the total federal award, accounting for nearly 50% of the state's initial NEVI funding round. The funding will be used to deploy 48 Tritium fast chargers across 12 new charging locations in Tennessee. The company's CEO, Jane Hunter, expressed pride in contributing to the electrification of Tennessee's vehicles and supporting local jobs and industry. Tritium's fast chargers will be manufactured at its state-of-the-art factory in Lebanon, Tennessee, which also exports chargers to Europe and the Asia Pacific region, with an expansion capacity to produce up to 30,000 units per year. The company is well-positioned to meet the Build America Buy America requirement by July of this year.
The allocation of NEVI funding to Tritium highlights the strategic positioning of the company within the EV infrastructure market. The fact that Tritium secured nearly half of Tennessee's first round of NEVI funding demonstrates a strong vote of confidence from the state in Tritium's technology and its potential to facilitate the EV transition. This is particularly significant given the increasing emphasis on EV adoption as a means of reducing carbon emissions and dependence on fossil fuels.
For stakeholders, the immediate benefit is twofold: it not only solidifies Tritium's market share in Tennessee but also potentially serves as a case study for other states looking to roll out similar infrastructure. This could lead to more contracts and an expanded footprint for Tritium. However, the dependency on government funding can be a double-edged sword; should policy priorities shift or funding dry up, Tritium may need to adjust its strategy accordingly.
The announcement from Tritium has tangible implications for its financial performance. With over $10.5 million directed towards the deployment of Tritium's fast chargers, the company is likely to see a boost in revenue. This is particularly noteworthy for investors as it may improve the company's earnings outlook and could be reflected in stock price movements in the short term.
Long-term financial health will depend on Tritium's ability to capitalize on the initial funding and secure additional contracts, both domestically and internationally. Their production capacity, highlighted by the potential to manufacture up to 30,000 units per year, indicates scalability which is often a key metric for investors assessing growth potential.
It is also important to recognize the 'Build America Buy America' requirement. Compliance with this policy not only aligns Tritium with federal mandates but also may provide a competitive edge over manufacturers who are unable to meet these criteria, potentially leading to market share gains and stronger financial stability.
The investment in Tritium's fast chargers under the NEVI program can be seen as a microcosm of the broader economic shift towards green infrastructure and the resultant job creation. Tritium's expansion in Tennessee is indicative of a growing trend where companies are incentivized to establish manufacturing capabilities domestically, in line with the 'Build America Buy America' initiative.
The economic impact extends beyond the immediate job creation at Tritium’s factory. The deployment of EV infrastructure can stimulate local economies through increased demand for construction, maintenance and ancillary services. However, it is crucial to monitor how such investments are distributed and whether they lead to sustainable economic growth without creating market distortions or overreliance on federal funding.
02/05/2024 - 04:00 AM
Nearly 50% of the state’s first round of NEVI funding was awarded to Tritium customers for installation of Tritium fast charging stations
LEBANON, Tenn., Feb. 05, 2024 (GLOBE NEWSWIRE) -- Tritium DCFC Limited (Tritium) (Nasdaq: DCFC), a global leader in direct current (DC) fast chargers for electric vehicles (EVs), today announced that the company was the top-awarded fast charger manufacturer for the first round of the State of Tennessee’s National Electric Vehicle Infrastructure (NEVI) Formula Program.
The Tennessee Department of Transportation (TDOT) and the Tennessee Department of Environment and Conservation (TDEC) awarded a total of over $21 million of federal funding. Over $10.5 million of the total federal award, accounting for nearly 50% of the state's initial NEVI funding round, was awarded to deploy 48 Tritium fast chargers across 12 new charging locations in the state. Tritium partners Universal EV LLC and PowerUp America were awarded funding for eight and four charging sites, respectively, with Lynkwell to provide the charging software for PowerUp America’s chargers.
“We are very proud to play a key role in the electrification of Tennessee's passenger and commercial vehicles and to contribute to the health and well-being of Tennesseans,” said Tritium CEO Jane Hunter. “This recognition underscores the deep roots Tritium is putting down in Tennessee with our plant in Lebanon, and NEVI wins like this will support local jobs and industry.”
Tritium's fast chargers will be manufactured at its state-of-the-art factory in Lebanon, Tennessee, which also exports chargers to Europe and the Asia Pacific region. With an expansion capacity to produce up to 30,000 units per year, Tritium’s fast charger factory is one of the largest in the world. The company believes that it is well-positioned to meet the Build America Buy America requirement that, by July of this year, at least 55% percent of the cost of all charger components be attributable to components manufactured in the United States.
About Tritium
Founded in 2001, Tritium (NASDAQ: DCFC) designs and manufactures proprietary hardware and software to create advanced and reliable DC fast chargers for electric vehicles. Tritium’s compact and robust chargers are designed to look great on Main Street and thrive in harsh conditions, through technology engineered to be easy to install, own, and use. Tritium is focused on continuous innovation in support of our customers around the world.
For more information, visit tritiumcharging.com.
Media Contact media@tritiumcharging.com
Investor Contact ir@tritiumcharging.com
Forward Looking Statements
This press release includes “forward-looking statements.” The Company’s actual results may differ from its expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believe,” “predict,” “potential,” “continue,” “aim” and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, the Company’s expectations, hopes, beliefs, intentions or strategies for the future. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. You should carefully consider the risks and uncertainties described in the documents filed by the Company from time to time with the U.S. Securities and Exchange Commission. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Most of these factors are outside the Company’s control and are difficult to predict. The Company cautions not to place undue reliance upon any forward-looking statements, including projections, which speak only as of the date made. The Company does not undertake or accept any obligation to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions or circumstances on which any such statement is based.
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/96a9472e-3a51-4919-a1d7-ccb815e1b0a9
How much federal funding did Tritium receive for the NEVI program in Tennessee?
Tritium received over $10.5 million of the total federal award, accounting for nearly 50% of the state's initial NEVI funding round.
How many Tritium fast chargers will be deployed in Tennessee with the funding?
The funding will be used to deploy 48 Tritium fast chargers across 12 new charging locations in the state.
Where will Tritium's fast chargers be manufactured?
Tritium's fast chargers will be manufactured at its state-of-the-art factory in Lebanon, Tennessee, which also exports chargers to Europe and the Asia Pacific region.
What is Tritium's expansion capacity for fast charger production?
Tritium's fast charger factory in Lebanon, Tennessee has an expansion capacity to produce up to 30,000 units per year.
What is the Build America Buy America requirement and how is Tritium positioned to meet it?
The Build America Buy America requirement states that at least 55% of the cost of all charger components must be attributable to components manufactured in the United States. Tritium believes it is well-positioned to meet this requirement by July of this year.
