Up to $5,000 business or lease incentives coming for EVs
The government is unveiling its new national automotive strategy aimed at protecting Canada’s auto sector and jobs in the face the U.S. President Donald Trump’s desire to move vehicle production to the U.S. Ottawa is also trying to jump-start the country’s battery-powered vehicle industry.
Carney expects his new emissions system will lead to 75 per cent of new cars sold in Canada being electric by 2035 — an ambitious goal, but still less than the previous mandate that Carney is ditching.
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Carney announced the Liberal government is also launching a new $2.3-billion program to offer consumers and businesses purchase or lease incentives of up to $5,000 for EVs and up to $2,500 for plug-in hybrids.
Plug-in vehicles must be under $50,000 to qualify and be made by countries Canada has free trade agreements with, which would exclude any vehicles made in China. The price cap will not apply to Canadian-made vehicles.
Care to elaborate?
I’m not a fan of having the government subsidizing new car purchases. It’s the last thing we need. The sale of cars that run on fossil fuels should be banned ten years ago or as soon as possible. If the government wants to spend more money it should go towards alternatives to cars, not to bribing the relatively wealthy people who shop for brand new cars to put even more of them on the roads.
I don’t disagree with your statement however, historically taking the carrot approach (rebates) to promote consumer desire towards alternative products works better both on public perception and on actual public shift than restrictions do.
$5000 for a single electric vehicle is what, 10% or less of purchase price?
$500 for a single electric bike would be 10-50% the purchase price of an electric bike (with $5000 being a high end cargobike).
That’s 10x the number of Canadians that can use the funds.
That lowers the floor for Canadians to access the rebate.
That means taking vehicles off the road and reducing road and health liabilities for Canadian cities and provinces.
It is much easier for a bicycle manufacturer to pop up than an entire electric car chain. (Some of the struggling ones might hope the border to become Canadian made).
Yes, this differs replacing gas cars in more rural areas. But it can take the majority of car trips and eliminate then; rather than just electrify them.
It can also position Canada to be a leader in electric bikes, rather than a subsidiary of foreign car companies.
I like the way you think, but let’s not kid ourselves that the pool of people who “would drive a car as their main transportation” is anything close to the pool of people who would do so with an electric bike.
Don’t get me wrong, I love the idea of a generous rebate on bikes. I just think if the goal is emissions reductions, an EV rebate is bound to be more effective, even factoring in the differences.
Sadly, electric bikes a country’s economy does not create…