Some pricier vehicles and greater zero-emissions pickups and SUVs — retailing for as a lot as $70,000 — will quickly be eligible for a rebate below an expanded federal Incentives for Zero-Emission Automobiles Program (iZEV).
The brand new standards outlined Friday will supply an unchanged most incentive of $5,000 for zero-emission vehicles whose base mannequin value is lower than $55,000. Greater price variants as much as $65,000 may even be lined by the iZEV program. This compares to base fashions and costlier variants retailing for, respectively, lower than $45,000 and $55,000, below the earlier framework.
Bigger automobiles, reminiscent of SUVs, minivans and pickups, with base costs beneath $60,000 and variants priced as much as $70,000 with choices may even qualify. Beforehand, base mannequin prices had been set at $55,000 and automobiles had been required to have seven or extra seats.
The redesign of this system additionally eliminates a minimal seat rely for bigger automobiles, which can permit extra pickups and SUVs to qualify. the adjustments go into impact April 25.
Minister of Transport Omar Alghabra stated Friday that broadening the iZEV program will give Canadians extra flexibility when selecting an ZEV.
The iZEV program was launched in 2019 and has up to now helped facilitate the acquisition or lease of 141,000 new EVs. However auto sector teams have criticized the federal government’s eligibility standards for this system, saying the low thresholds will forestall EV uptake as a result of fashionable, bigger automobiles don’t qualify.
Auto trade advocates say the adjustments drive the iZEV program towards supporting the SUV and pickup markets, which accounts for greater than 80 per cent of gross sales, however “falls quick.”
“Merely growing the boundaries to make a number of extra automobiles eligible for this system with out growing the quantity of the motivation doesn’t tackle the affordability concern,” stated Canadian Vehicle Sellers Affiliation (CADA) CEO Tim Reuss.
CADA, together with the Canadian Car Producers’ Affiliation (CVMA), which represents the pursuits of the Detroit Three automakers in Canada and World Automakers of Canada (GAC), which represents abroad automakers in Canada, have not too long ago advocated for a $15,000 ZEV buy incentive.
Along with growing the eligibility standards for ZEVs, Transport Canada additionally adjusted how the iZEV program helps plug-in hybrids, swapping electrical vary for battery capability.
Ottawa is now classifying a PHEV as “longer-range” if it has an electrical vary better than 50 kilometres. These PHEVs are eligible for the total $5,000 EV incentive, whereas PHEVs with shorter ranges obtain $2,500.
The CVMA issued a press release on Twitter, saying the brand new {qualifications} aren’t sufficient.