Considering the high prices of most EVs, policymakers are keen to find ways to help lower-income consumers afford them. To this end, California’s Clean Vehicle Rebate Project (CVRP), which has issued over $335 million in rebates for more than 157,300 vehicles since 2010, has revised its eligibility rules.

For lower-income consumers, CVRP rebates are increasing by an additional $500. The total available is now $4,500 for EVs, $3,500 for PHEVs, and $7,000 for fuel cell vehicles.  Combined with the maximum federal tax credit, that adds up to $12,000 for an EV, $11,000 for a PHEV, or $15,000 for a fuel cell vehicle.

To qualify for the increased rebates, applicants must have household incomes less than or equal to 300 percent of the federal poverty level ($35,640 for an individual, or $72,900 for a family of four).

Higher-income consumers (with gross annual income over $150,000 for single tax filers, or $300,000 for joint filers) will not be eligible for CVRP rebates for EVs or PHEVs. The caps do not apply to fuel cell vehicles, which currently represent less than one percent of CVRP’s applications.

Another change is that PHEVs with an electric range of less than 20 miles will no longer qualify for the program. Rebates for zero-emission motorcycles remain at $900.

Source: California Air Resources Board