EV Charging Infrastructure and Home Energy Storage Projected to Surge with California's 2035 Gas Vehicle Ban

Financialnewsmedia.com Market Commentary

PALM BEACH, Fla., Oct. 28, 2020 /PRNewswire/ -- Executive order in California, home to 40 million and the world's fifth-largest economy, will create opportunities for clean energy companies - On September 23, 2020, Governor Gavin Newsom announced an executive order requiring all new passenger vehicle sales in California to be zero-emission by 2035. The initiative, intended to combat climate change by reducing carbon emissions, will dramatically accelerate the state's vehicle charging infrastructure and influence further demand for residential energy storage systems.  Mentioned in today's commentary includes:  NeoVolta (OTCQB: NEOV), Tesla (NASDAQ: TSLA), NIkola (NASDAQ: NKLA), General Motors (NYSE: GM).

As Californians commit to zero-emissions vehicles, they will need far greater access to charging stations. Meeting this demand in the nation's most populous state could overburden the existing power grid. And when the motivation of electric vehicles is zero emissions, it only makes sense to charge them using clean energy rather than fossil fuels. That's why the future of electric vehicles in California and beyond will be propelled by off-grid, solar-powered charging stations. The need for thousands more charging stations nationwide will create significant growth opportunities for solar technology companies.   

With the push to go green happening alongside an alarming increase in prolonged blackouts, California is also showing growth signs in the residential energy storage market. In early 2020, Bloomberg reported that home energy storage is on the verge of a major breakthrough in California, predicting that the state's residential battery sales would more than quadruple in 2020. And despite the Covid-19 crisis, the U.S. solar battery market recorded its second-best quarter ever in Q2 2020.

As California moves to zero-emission standards, four of the most active companies are: NeoVolta (NEOV), Tesla (TSLA), Nikola (NKLA) and General Motors (GM).

NeoVolta (OTCQB: NEOV) – San Diego based NeoVolta, which trades at around $4 per share, is the only pure-play energy storage company on this list. Recently NeoVolta announced it has significantly expanded its distribution network, adding 34 dealers across Southern California and Northern California. These include some of the leading solar installers in the state.