The U.S. Postal Service (USPS) is standing firm on its commitment to electrify its delivery fleet, despite potential challenges from a future Trump administration. Postmaster General Louis DeJoy defended the agency’s plan to purchase a growing number of electric vehicles (EVs) during a recent House hearing. This commitment comes amidst reports that a potential Trump transition team is considering canceling existing EV contracts.
Table Content:
USPS’s Multi-Billion Dollar EV Investment
In 2023, Congress allocated $3 billion to the USPS for EV acquisition and charging infrastructure as part of a broader climate bill. Of this funding, $1.2 billion is specifically designated for electric vehicles. The USPS intends to purchase approximately 66,000 EVs by 2028. DeJoy asserted that this transition to an electric fleet is a sound business decision for the USPS.
This plan, however, faces potential opposition. Sources indicate that a possible Trump transition team is exploring options to reverse the USPS’s multibillion-dollar EV contracts, including those with Oshkosh Corporation for next-generation delivery vehicles and with Ford Motor Company for electric vans.
Congressional Pushback and DeJoy’s Response
Representative William Timmons (R-SC), whose district includes the Oshkosh plant producing the EVs, argued that the USPS should revert to its original plan of purchasing 90% gas-powered vehicles. He expressed concerns about the financial implications of the EV mandate and pledged to work with a potential incoming Trump administration to revise the current strategy. However, Timmons stopped short of advocating for complete contract cancellation.
DeJoy countered that any alteration to the current plan would require congressional legislation. He emphasized the USPS’s commitment to the existing agreements and the need for a legislative solution to effect any changes.
Current and Future Vehicle Purchases
Oshkosh is slated to deliver approximately 45,000 next-generation electric delivery vehicles and 21,000 commercially available EVs, which include 9,250 Ford E-Transit vans. DeJoy clarified that the USPS acquired 28,000 vehicles in the current year, with 22,000 being gas-powered. He projected that purchases in 2025 would consist of a roughly equal split between EVs and gas-powered vehicles. The USPS has also stated that all next-generation delivery vehicles purchased from 2026 onward are expected to be fully electric.
DeJoy acknowledged that the Oshkosh next-generation electric delivery vehicles cost around $20,000 more than their gas-powered counterparts, and off-the-shelf EVs are approximately $10,000 more expensive. The USPS has previously indicated that it anticipates spending $9.6 billion on vehicle acquisitions through 2028.
Biden’s Executive Order and USPS Independence
President Biden’s 2021 executive order mandates that 50% of all new passenger cars and light trucks be zero-emission vehicles by 2030, with all light-duty government vehicles being emission-free by 2027. However, these regulations do not apply to the USPS due to its status as an independent federal agency.
The USPS’s commitment to electrifying its fleet underscores a significant shift towards sustainable transportation within the federal government. The future of this initiative remains uncertain, contingent upon potential policy changes under a new administration and forthcoming congressional action.
