The Canadian government provides incentives for Zero Emissions Vehicles (iZEV). The Canadian government is providing an additional $73 million in incentives to offer purchases of zero-emission vehicles until the end of March 2022, when the next federal budget is due.
The Zero Emissions Vehicle incentive program was first launched in 2019, with a total budget of $300 million. This incentive amount only lasted 20 months before being refilled last year for $287. By the end of October 2021, only about $48 million was left of this funding incentive. The additional $73 million now brings the total funding of the iZEV program to nearly $660 million since 2019.
There are several rules in the incentive, among others: $5,000 is available for battery-electric, hydrogen fuel cell, and plug-in hybrid vehicles with a minimum battery capacity of 15 kWh. Short range plug-in hybrids with a battery capacity of less than 15 kWh are incentivized up to $2,500.
There will be some changes to the iZEV program next year. One is to qualify electric SUVs and pickup trucks, which are generally more expensive than the program’s $45,000 base product limit point.
“We know there is more work to be done to make ZEVs accessible to a larger segment of the Canadian population,” said Omar Alghabra, Canada’s Minister for Transport.
“That is why our Government is looking at how the program can be revised to better align with current consumer preferences.” Omar Alghabra says
In addition, there is an addition to include more provisions for used EVs.