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Tax incentives and/or other incentives for drivers of electric vehicles in CA.
The Sacramento Municipal Utility District (SMUD) offers a discounted rate to residential customers for electricity used to charge PEVs. For more information, see the SMUD Time-of-Day Rate website.
Compressed natural gas, hydrogen, electric, and plug-in hybrid electric vehicles meeting specified California and federal emissions standards and affixed with a California Department of Motor Vehicles (DMV) Clean Air Vehicle sticker may use HOV lanes regardless of the number of occupants in the vehicle. DMV issues Red Clean Air Vehicle stickers to applicants that have not already been issued a White or Green Clean Air Vehicle sticker, with the exception of the instances mentioned below. Stickers are valid through the following dates:
A low-speed EV, also known as a neighborhood electric vehicle, is defined as a motor vehicle with four wheels, a gross vehicle weight rating of 3,000 pounds or less, and capable of achieving a minimum speed of 20 miles per hour (mph) and a maximum speed of 25 mph. Low-speed EVs are subject to all provisions applicable to a motor vehicle and must meet federal safety standards established in Title 49 of the Code of Federal Regulations, section 571.500. Drivers of low-speed EVs must comply with all provisions applicable to drivers of motor vehicles. The operator of a low-speed EV may not operate the vehicle on any roadway with a posted speed limit greater than 35 mph except to cross a roadway at an intersection. (Reference California Vehicle Code 385.5 and 21250-21266)
The Carl Moyer Memorial Air Quality Standards Attainment Program (Program) provides incentives to cover the incremental cost of purchasing engines and equipment that are cleaner than required by law. Eligible projects include heavy-duty fleet modernization, light-duty vehicle replacements and retrofits, idle reduction technology, off-road vehicle and equipment purchases, and alternative fuel and electric vehicle infrastructure projects. The Program provides funds for significant near-term reductions in nitrogen oxide emissions, reactive organic gases, and particulate matter emissions. Funding is available until January 1, 2024. The California Air Resources Board, in consultation with local air districts, must convene working groups to evaluate the Program's policies and goals.Contact local air districts and see the Program website for more information about grant funding availability and distribution.
(Reference California Health and Safety Code 44275-44299.2)
The Los Angeles Department of Water and Power (LADWP) offers a $0.025 per kilowatt-hour discount for electricity used to charge PEVs during off-peak times. Residential customers who install a separate time-of-use meter panel will also receive a $250 credit. For more information, see the LADWP Electric Vehicle Incentives website.
Southern California Edison (SCE) offers a discounted rate to customers for electricity used to charge PEVs. Two rate schedules are available for PEV charging during on- and off-peak hours. For more information, see the SCE Electric Vehicle Plans website.
Pacific Gas & Electric (PG&E) offers discounted residential time-of-use rates for electricity used for PEV charging during off-peak hours. Discounted rates are also available for CNG or uncompressed natural gas used in vehicle home fueling appliances. For more information, see the PG&E Electric Vehicle Rate Plans and CNG for Vehicles websites.
Converting a vehicle to operate on an alternative fuel in lieu of the original gasoline or diesel fuel is prohibited unless the California Air Resources Board (ARB) has evaluated and certified the retrofit system. ARB will issue certification to the manufacturer of the system in the form of an Executive Order once the manufacturer demonstrates compliance with the emissions, warranty, and durability requirements. A manufacturer is defined as a person or company who manufactures or assembles an alternative fuel retrofit system for sale in California; this definition does not include individuals wishing to convert vehicles for personal use. Individuals interested in converting their vehicles to operate on an alternative fuel must ensure that the alternative fuel retrofit systems used for their vehicles have been ARB certified. For more information, see the ARB Alternative Fuel Retrofit Systems website.
A hybrid electric vehicle that is Model Year 2000 or newer and is a passenger car, light-duty truck, or medium-duty vehicle may be converted to incorporate off-vehicle charging capability if the manufacturer demonstrates compliance with emissions, warranty, and durability requirements. ARB issues certification to the manufacturer and the vehicle must meet California emissions standards for the model year of the original vehicle.
San Diego Gas & Electric (SDG&E) offers three PEV Time-of-Use (TOU) rates to customers, using a single meter or requiring the installation of a second meter. Lower natural gas rates are available to customers who own a natural gas vehicle (NGV) and use a qualified compressed natural gas fueling appliance at home. For more information about rates, see the SDG&E EV Plans and NGV Rates websites.
The Clean Vehicle Rebate Project (CVRP) offers rebates for the purchase or lease of qualified vehicles. Qualified vehicles are light-duty zero emission vehicles and plug-in hybrid electric vehicles (PHEVs) the California Air Resources Board (ARB) has approved or certified. The rebates are for up to $4,500 for fuel cell electric vehicles (FCEVs), $2,000 for battery electric vehicles, $1,000 for PHEVs, and $750 for zero emission motorcycles. Rebates are available on a first-come, first-served basis to individuals, business owners, and government entities in California that purchase or lease new eligible vehicles. Residents of San Diego County may be eligible for a preapproved rebate through the CVRP Rebate Now pilot. Manufacturers must apply to ARB to have their vehicles included in the CVRP.Individuals are eligible for the rebate based on gross annual income, as stated on the individual's federal tax return. Individuals with a gross annual income above the following thresholds are only eligible for rebates for FCEVs: