Government
incentives for plug-in electric vehicles have been established by several
national and local governments around the world as a financial incentive for
consumers to purchase a plug-in electric vehicle. The amount of these
incentives usually depends on battery size and the vehicle all-electric range,
and some countries extend the benefits to fuel cell vehicles, and electric
vehicle conversions of hybrid electric vehicles and conventional internal
combustion engine vehicles.
Government Subsidy Over the World
Several
countries have established grants and tax credits for the purchase of new
electric cars depending on the battery size. The U.S. offers the federal income
tax credit up to US$7,500, and several states have additional incentives. The
UK offers a Plug-in Car Grant up to a maximum of GB£5,000 (US$7,600). The U.S.
government also pledged US$2.4 billion in federal grants for the development of
advanced technologies for electric cars and batteries. As of April 2011, 15 members
of European Union States provide economic incentives for the purchase of new
electrically charged vehicles, which consist of tax reductions and exemptions,
as well as of bonus payments for buyers of all-electric and plug-in hybrid
vehicles, hybrid electric vehicles, and some alternative fuel vehicles.
United States
First the Energy Improvement and
Extension Act of 2008, and later the American Clean Energy and Security Act of
2009 granted tax credits for new qualified plug-in electric drive motor
vehicles. The American Recovery and Reinvestment Act of 2009 also authorized
federal tax credits for converted plug-ins, though the credit is lower than for
new PEVs.
The Clean
Vehicle Rebate Project initially funded with a total of US $4.1 million by the California
Environmental Protection Agency’s Air Resources Board, which was established in
order to promote the production and use of zero-emission vehicles, including plug-in
electric and fuel cell vehicles. The program was created from Assembly Bill 118
that was signed by Governor Schwarzenegger in October 2007. The funding is
provided on a first-come, first-served basis, and the project is expected to go
through 2015.
References
"Notice 2009-89: New
Qualified Plug-in Electric Drive Motor Vehicle Credit". Internal Revenue
Service. 2009-11-30.
Paul Hudson (2010-02-28).
"£5,000 grant to buy plug-in electric cars". London: The Daily Telegraph.
"Ultra-low carbon cars:
Next steps on delivering the £250 million consumer incentive programme for
electric and plug-in hybrid cars". Department for Transport. July 2009.
Woodyard, Chris (2010-07-14).
"Obama pushes electric cars, battery power this week". USA Today.
Paul Hockenos (2011-07-29).
"Europe’s Incentive Plans for Spurring E.V. Sales". The New York
Times.
"Overview of Purchase and
Tax Incentives for Electric Vehicles in the EU". European Automobile
Manufacturers Association. 2011-03-14.
"Consumer Energy Tax
Incentives: Plug-In Hybrid Conversion Kits". U.S. Department of Energy.
"Clean Vehicle Rebate
Project". Center for Sustainable Energy.
External link



