EV Incentives Work and We Need More in California

Energy Independence Now (EIN) released a new white paper in partnership with the Leonardo DiCaprio Foundation. The publication reflects research and feedback from policymakers, automakers, and other key stakeholders to provide invaluable insights and recommendations to accelerate the zero-emission transportation future. California needs significantly more zero-emission vehicles (ZEVs), including both battery electric and hydrogen electric cars/trucks, to achieve its air quality and carbon reduction goals. The report concludes that well-designed incentives accelerate consumer adoption of ZEVs and enable greater deployment of electric charging and hydrogen fueling infrastructure.

For almost two decades EIN has been a leading advocate for clean transportation for California and the rest of the nation,” said Leonardo DiCaprio Foundation CEO Terry Tamminen. “This report provides a unique perspective on how California’s public investments and consumer incentives strengthen the clean energy economy.”

The report’s key findings are especially timely because the financial incentives that have helped make ZEVs more attractive to consumers are beginning to run out, despite soaring sales in recent months.

The report recommends:

1) Create policies that promote sustained public sector, corporate and utility-scale investment in electric charging and hydrogen fueling infrastructure.
2) Bolster alternative, non-monetary incentives such as High-Occupancy Vehicle (HOV) stickers and free/preferred parking. T
3) Prioritize the development of incentive programs targeting the ride-hailing and ride-sharing marketplaces i
4) Increase California’s clean vehicle incentive packages to counter deteriorating US environmental policies/incentives,
like the $7,500 federal clean vehicle tax credit that was not renewed in 2018.
5) Streamline the redemption process to deliver consumer ZEV incentives as close to the point-of-sale as possible.
6) Implement incentive programs aimed at motivating auto dealers to offer, promote and sell ZEVs, similar toConnecticut’s model, which grants state-supported cash bonuses to both dealers and individual sellers.
7) Establish second-hand market incentives to increase ZEV access among low-income communities, thereby
expediting the replacement of older, less efficient vehicleswith ZEVs and ultimately expanding the clean vehicle marketplace.
8) Safeguard California’s commitment to provide sustained funding for clean vehicle incentives such as fuel credit and vehicle rebate programs.
9) Present straightforward incentive guidelines for consumers, service providers, automotive manufacturers and dealers through an online portal that communicates the full-scale of incentives and benefits.
10) Reduce high costs of installing and operating hydrogen fueling and electric charging rtducing electricity costs for EV charging stations
and hydrogen production as well as expediting incentives allocated toward infrastructure deployment.

“Nearly half of California’s GHG emissions come from the transportation sector and too many of our citizens suffer from poor air quality. Governor Newsom’s administration has the opportunity to set a global example by ensuring access to clean air and affordable zero emission transportation,” said EIN Executive Director Brian Goldstein. “This report outlines concrete steps that policymakers can take to meet our state’s ambitious climate and clean air goals by accelerating the transition to ZEVs.”

The Electrifying Clean Vehicle Report can be accessed at https://einow.org/zevincentives.

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