BlackRock commits $650 million for the charging infrastructure in the joint venture with German commercial vehicle manufacturer Daimler Truck and U.S. electric utility NextEra Energy. The joint venture is aiming to start the construction work by next year, for the charging network n freight routes along the U.S. east and west coasts, and in Texas.
The stations that are to be built will be purpose-built for battery-electric medium- and heavy-duty vehicles. However, they will also accommodate light-duty vehicles and hydrogen fueling stations for fuel-cell trucks. The new charging stations and hydrogen filling outlets are intended for commercial trucking. It is underserved in a transition to renewable energy that has seen public charging focused on cars and light trucks that require less energy and time to recharge.
The first phase of construction is expected to begin in 2023 on a network of charging sites on critical freight routes along the East and West coasts and in Texas by 2026. The goal is to take advantage of existing infrastructure and amenities, also adding greenfield sites. Furthermore, BlackRock joined the partnership via its Global Renewable Power group. Where the last year’s deal closed at a $4.8 billion climate infrastructure fund. This fund is backing companies including Australia’s JOLT and Germany’s Ionity.
Charging stations all over the world
Daimler and its main rivals, Volvo and Traton, are spending $593 million to install and operate 1,700 charging stations for commercial trucks in Europe by 2027. Global head of BlackRock’s Renewable Power Group, David Giordano stated, “The commercial transportation sector is a significant contributor to carbon emissions, and we firmly believe that decarbonization of transportation will be a critical societal focus for the next decade,”
BlackRock’s Renewable Power group invests across the spectrum of renewable power and energy transition supporting infrastructure globally. Has more than $9.5 billion in around 350 wind and solar projects. Also includes electric vehicle charging infrastructure and battery energy storage systems, across 15 countries on five continents.
With this joint venture, the total investment of $650 million will be shared among the three companies equally initially. The venture is based on a memorandum of understanding, would design, develop, install and operate a nationwide, high-performance charging network for medium- and heavy-duty battery-electric and hydrogen fuel cell vehicles. NextEra Energy Resources is the world’s largest generator of renewable energy from the wind and sun. It would contribute to its eIQ Mobility software platform that quantifies the value and timing of fleet conversions and its decarbonization-as-a-service platform. This platform helps fleets transition to zero-emission electric and hydrogen vehicles.