California Still Grappling With How To Incentivize EV Buyers

A proposed plan by the California State Assembly to provide $3 billion worth of incentives towards the purchase of electric vehicles in California has been sidelined by a Senate committee for the time being.

A revised proposal was requested by the Senate committee, which has cast doubts over how a large scale incentive program worth $3 billion would work. A lack of confidence in a stable funding source has complicated matters, with consumers and auto dealers requesting that the General Assembly provide a steady stream of revenue to the tune of $3 billion over 12 years.

Another issue of contention is rebate fulfillment, long complicated by issues at the point of redemption. To date, buyers have had to purchase and apply for a check, a process that has seen car buyers wait up to 90 days to see their incentives applied. Proposals have called for the dealerships to use the incentive at the time of sale.

The General Assembly’s session to evaluate the measure ends Friday, Sept. 22 with a revised proposal by the California State Assembly expected next year.

California leads the country in electric vehicle purchases with approximately 300,000, making up 3 percent of all car sales since 2013. With a rekindled focus towards building cheap EVs with increased range, rebates would apply to lower cost models like the Tesla Model 3 and the Chevy Bolt, costing $35,000 and $37,000, respectively.

Los Angeles Daily News

More Hybrid News...