Detroit EV charging station startup seeks to plug in underserved areas

2022-09-17 01:21:39 By : Mr. Bond Lin

Detroit — A Detroit electric-vehicle charging station startup is partnering with a manufacturer in its hometown to build what it says will be a less expensive way to increase the number of charging stations, particularly in underserved areas.

Plug Zen LLC, a Black-owned EV engineering manufacturing company led by a former Ford Motor Co. innovator, is partnering with Detroit Manufacturing Systems LLC to produce its modular multi-vehicle charging stations. Production is expected to begin in the first quarter of next year of the equipment that founder Kwabena "Q" Johnson says can help save on half the cost of current commercial EV chargers.

The Detroit-based startup also unveiled an "EV everywhere" in-vehicle charging concept at the North American International Auto Show; it hopes to start production within a year.

The innovations focus on one of the biggest challenges to EV adoption: access to charging infrastructure. This particularly is a challenge in low-income and diverse or non-white communities.

"We're really focusing on our underserved communities," Johnson said. "By a lot, they're missed by technology. We can serve underserved communities better than anyone else, because our costs are so much lower."

Plug Zen is taking orders at the Detroit auto show for its level-two vehicle charging station hubs, which can be expanded by adding up to four additional substations, each with two charging ports to accommodate up to 10 vehicles simultaneously. The stations are meant for multi-family housing, workplaces and fleet operators.

"Most of the costs are installation and equipment of the main unit," Johnson said. "The cost of the sub-units are lower, and the cost of the installation is lower, because they plug into the main unit."

Plug Zen will provide its equipment to network providers and distributors. It already is working with Detroit's Walker-Miller Energy Services and ReWire Group LLC in New York, Johnson said.

His goal is to price the charging station system for 10 vehicles at $5,000, though that doesn't include installation costs. Plug Zen is taking orders at the Detroit auto show, and customers will begin receiving the units in early 2023. The company is looking for participants for a free pilot that will help gather data on charging behavior.

Detroit Manufacturing Systems brings more than 20 years of automotive equipment manufacturing experience in the city. There wasn't a number available on how many jobs the Plug Zen agreement will create.

Johnson says pricing for the equipment right now would be around $5,700 based on some supply-chain challenges. The company is seeking to move its supply chain from China, including getting semiconductors from Spain.

Plug Zen is seeking to contract with the federal government to support efforts like the electrification of U.S. Postal Service fleets. To be considered U.S.-made, more than 65% of the charging stations' parts will have to be manufactured in the country. Johnson expects Plug Zen's stations will be sourced 80% from the United States.

The in-vehicle charging station it's developing, meanwhile, would be sold to automakers to install from the factory. It would allow drivers to plug into any outlet without additional equipment.

Plug Zen has five employees today. Johnson expects to grow to 200 in the next five years and hopes to find a home among the startups at Detroit Central Station, the anchor to Ford's future electric and autonomy campus in Corktown.

In addition to Ford, Johnson has worked with EV startups Detroit Electric and Mullen Technologies Inc. He launched Plug Zen in 2020 amid the pandemic, a move he says was "scary."

"With all the EV startups that I worked with, I did always want to talk about how we're going to get this out to everybody," Johnson said. "It really wasn't their focus, but to get it out — period — to whoever can afford it. When I started my own company, I was able to focus on the things that were important to me."

Securing enough capital has been the greatest challenge. Johnson said Plug Zen has raised around $350,000 and hopes to secure twice that in the next round in which it currently is participating.

"We believe that every community should have a voice when it comes to global warming and climate change," Johnson said. "We are focused on leveling the playing field for all communities."