Electric cars haven’t always been affordable. But gas prices keep rising, and so do the costs of our carbon emissions.
Our decisions directly impact our environment, from the products we buy to the cars we drive. As consumers, it’s our responsibility to make greener choices.
You want to do your part to reduce your carbon footprint and prevent climate change. Maybe you’ve always wanted to buy an electric vehicle, but the cost held you back. Did you know that there are federal and provincial rebates for EVs?
In Canada, you can receive up to $5,000 for the purchase of a new electric vehicle. With this rebate, electric vehicles just became a lot more affordable!
Ready to swap out your gas-guzzling car for one that’s completely electric? Here’s what you need to know:
iZEV, which stands for Incentives for Zero-Emission Vehicles, was launched in May 2019. It’s a federal program that aims to provide consumers with financial aid to purchase electric vehicles.
First, let’s clear up what a zero emission vehicle is. It’s any car that doesn’t produce tailpipe emissions. Any battery-electric vehicle, hydrogen fuel cell vehicle, or plug-in hybrid electric vehicle is considered a ZEV. E-bikes, motorcycles, and used vehicles are not eligible.
Want to know how to qualify for this rebate? You must:
- Purchase a new vehicle. Used vehicles don’t qualify. However, you can purchase a demonstrator vehicle that has less than 10,000 km on the odometer.
- Or, lease a vehicle for at least 12 months. The incentive amount varies based on the lease; if the car is leased for 48 months, you’ll receive the full amount, but if the lease is 24 months, you’ll only receive half.
If the vehicle has 6 or fewer seats, the Manufacturer’s Suggested Retail Price (MSRP) must be less than $45,000. If the vehicle has 7 or more seats, the MSRP must be less than $55,000.
Have you been thinking about buying an electric vehicle? Now’s the time. You can purchase or lease an electric vehicle and receive up to $5,000 towards the final cost. Depending on where you live, you can combine this federal initiative with other provincial rebates.
Which electric vehicles are eligible?
Curious about which specific vehicles are eligible for this rebate? You can view the list here. Keep in mind that this list is continually updated; if there’s a vehicle you have your eye on, be sure to check back often.
Depending on the type of electric vehicle you purchase, the incentive rebate will vary. A longer-range plug-in vehicle (with a battery capacity of at least 15 kWh) is eligible for up to $5,000. A shorter-range electric vehicle (with a battery capacity of less than 15 kWh) is eligible for up to $2,500.
How many vehicles can I purchase?
As an individual, you’re eligible to use this incentive once a year (until funding runs out or the program ends).
When does this rebate end?
Currently, the iZEV program is scheduled to end on March 31, 2022. It may end earlier if funding runs out.
Applying for your rebate
Here’s another great thing about this rebate: it’s applied at the point of sale. That means you don’t need to wait to be reimbursed; you’ll receive the funding as soon as you purchase the vehicle.
The incentive amount is deducted from the purchase price after taxes and fees are applied. It’s included in the lease agreement of the bill of sale. After you purchase your vehicle, the car dealership will send all the relevant documents to the government to be reimbursed.
Which provinces and territories have a rebate program?
By combining the federal rebate with provincial programs, you can save even more on your next EV purchase. Here’s how you can use EV rebates across Canada:
Currently, Manitoba does not have a provincial rebate for electric vehicles. However, residents of Manitoba still qualify for the federal iZEV program.
If you’re interested in a home charging station, you should look into the British Columbia “Home EV Charger Rebate” program. You can get a rebate of up to $350 for installing a charging station at your residence.
Do you live in Yukon? With the provincial government’s Clean-Energy Rebate, you can receive a $5,000 rebate for EVs. You can also apply this rebate retroactively to any vehicles purchased after November 14, 2019. Each resident is eligible for 2 rebates as long as the program runs.
Prince Edward Island
If you live in this coastal province, then you’re in luck; it offers one of the best rebate programs for zero emission vehicles.
The Electric Vehicle Incentive gives residents of Prince Edward Island up to $5,000 for a new or used EV. You can even combine this incentive program with the government rebate for up to $10,000 of savings, and get a free Level 2 Charging Station (you’ll just need to cover installation costs).
In SK, you can use the iZEV federal rebate towards your EV purchase. Any resident of Saskatchewan can use this program to receive up to $5,000 off the purchase of a new electric vehicle.
Newfoundland & Labrador
With the Electric Vehicle Accelerator incentive, residents of this province can receive $2,500 for an EV purchase; this can be used in conjunction with the iZEV incentive.
If you’re looking for a used vehicle rather than a brand new one, the Ontario Used EV Incentive will grant you $1,000 for your purchase. And if you want to recycle your former gas car while you’re at it, the Scrappage Incentive will provide you with $1,000. Combine these incentives for up to $2,000 towards your used electric car.
With Quebec’s New Vehicle Rebate, you can receive up to $8,000 for your next electric vehicle. The MSRP must be less than $60,000 to qualify.
NB’s rebate program can be used for new or used electric cars. With the Plug-In NB rebate, you can receive up to $5,000 for new EVs and $2,500 for used models. By combining both provincial and federal vehicle rebates, you’ll get up to $10,000 towards your purchase.
The future of the automobile industry is electric. With provincial and federal rebates, more Canadians are choosing EVs than ever before. Use these incentives to keep the environment (and your wallet) green.
If you have any questions about applying for an electric car rebate in Canada, contact Powertec Solar. We install home EV charging stations in Winnipeg. For more information, call us today.