Draft - Smart Transportation - for discussion only (not final and subject to change)

Recommendation 6: The federal government should promote the development and 

adoption of policies, procedures and funding methods that can accelerate the adoption 

of smart, connected, and electrified transportation technologies. Many of these 

technologies incorporate the use of IoT.

Description: 

The federal government should promote the development and adoption of policies, procedures 

and funding methods that can accelerate the adoption of connected and electrified 

transportation technologies. Many of these transportation technologies incorporate the use of 

IoT. Federal funding can also serve to increase private sector investment.

Justification:

Greater adoption of smart, connected, and electrified transportation technologies could help in 

the following examples: 

• Incorporation of technologies enabled by IoT: Opportunities for IoT technologies in 

smart, connected transportation include sensors, cameras, and edge computing devices 

that can improve safety in things such as vulnerable road users (i.e., pedestrians at 

crosswalks), traffic intersections, school and work zones. Opportunities for IoT

technologies in electrified transportation include in car systems or mobile apps that can 

locate charging stations, as well sensors that manage charging stations to gather data 

about usage and performance, to anticipate maintenance needs, and troubleshoot 

problems.

• Improving overall traffic safety: Vehicles that have technologies such as Cellular Vehicle 

to Everything (C-V2X) can communicate basic safety messages and information to 

corresponding infrastructure and other road users thereby reducing traffic and 

pedestrian fatalities.

• Reduction in greenhouse gas emissions: The transportation sector generates the largest 

share of greenhouse gas emissions a big contributor to climate change. Electrification of 

transportation away from traditional fossil fuels are a viable option for transportation. 

Also smart, connected transportation can improve traffic flow and reduce congestion 

which is also better for the environment. 

Implementation considerations:

• With the Bipartisan Infrastructure Law (BIL) and the Inflation Reduction Act (IRA) the 

Federal Government is already taking steps to electrify the transportation sector. Funds are 

being directed to the states to deploy electric vehicle charging stations via the NEVI Formula 

Program (https://afdc.energy.gov/laws/12744). Under the IRA tax credits are available for 
Draft - Smart Transportation - for discussion only (not final and subject to change)

EVs that are primarily assembled in North America. Its important that this legislation stays in 

effect throughout its designated time period. 

• While the BIL and the IRA are significant pieces of legislation, additional legislation is 

probably needed to focus on rural communities.

• The Federal Government could set aside easily and readily tappable funding pools yearround for innovation and next-generation technologies. Grants could be set aside for 

categories that the government deems high importance.

• The Federal Government can leverage innovative procurement technologies like outcomesbased contracting. 

Potential implementation barriers:

● Time and Cost: The time and cost for this transformation could be considerable. Its 

important that these initial investments are focused and targeted. 

● Education: There is an overarching need to educate local governments and consumers 

on these new types of technologies (particularly those related to Electric Vehicles) which 

could be hard and time consuming.

● Supply Chain: The manufacturing industry recognizes the goal from the Administration 

of Buy America, Build America (BABA) however, there are current constraints meeting 

domestic content requirements and there needs to be an appropriate ramp-up, phase in 

period to get to full production. There is also a lack of consistent Buy America, Build 

America across federal and state government agencies.

● The Electric Grid: States with the most EVs today are already struggling to 

accommodate large scale charging loads on congested grids, and these constraints will 

only become a bigger problem as the number of EVs grow. Charging for heavy-duty 

EVs like trucks and busses is even more challenging to accommodate on the distribution 

grid since they require far more power in concentrated locations.

Possible participating agencies

● DOE/DOT Joint Office, DOT, DOE,