You already know the core benefits of electric vehicle (EV) ownership. It complements your household’s eco-friendly practices and helps reduce your carbon footprint on the road. But as of the spring of 2019 the prospect got a lot more lucrative. In March, the federal government announced a new incentive for EV owners as part of its goal to tackle climate change and on May 1 the program took effect. Today, we will take a look at the recent stimulus plan along with other financial benefits enjoyed by Edmonton area residents.
Why Edmonton Households Are Switching to Electric Vehicles and Installing Charging Stations on Their Property
The feds are giving you $5000 to buy a new car. Finance Minister Bill Morneau made this announcement when he relayed his 2019 budget to Canadians. As a key component in the federal government’s plan to chip away at the negative effects of climate change they have allocated $435 million for zero-emission (hydrogen fuel cell and electric) vehicles.
Before you go out and buy a Tesla Roadster, take note that this rebate only applies to qualified vehicles with six or fewer seats priced under $55,000 CAD, and SUVs and minivans packing in seven or more seats priced below $60,000 CAD. These totals are up from a $45,000 flat price when the plan was originally announced.
At press, a total of 16 electric cars sold in Canada are eligible for the program, including the Nissan Leaf and the Chevrolet Bolt. You can view the updated list from Transport Canada here. There are an additional 15 plug-in hybrids eligible, but there is a small caveat for the latter.
Less for Hybrids, But Still Great
The new incentive plan is explicitly tied to zero-emissions. Canadian consumers buying a hybrid won’t qualify for the full $5K, but instead get a $2,500 rebate given the fact that a hybrid vehicle does not take as many emissions off the road. Again, this is not a plan to stimulate automotive sales in Canada - it is a concept steeped deeply in reversing the negative impact of climate change.
More if You Own a Business
Business owners will enjoy even greater incentives under the new plan. In addition to the $5000 (or $2500 for hybrids) a business will be able to write off capital costs for eligible zero-emission vehicles in the year that the vehicle was purchased. Before, businesses could only write off EV ownership over an longer period, seeing a slower ROI in the process.
In addition, eligible vehicles used in the course of doing business will also come with a higher deductible rate. Gasoline engine vehicles have a deductible rate set at $30,000, but hydrogen fuel cell and electric vehicles offer a write off at $55,000. That’s a big bonus.
Demand for Charging Stations Driving Home Installations
Electric vehicle ownership just got a lot more financially viable, yet some households remain on the fence about parking one in their garage. This is due to concern around availability of charging stations. According to ChargeHub, the city of Edmonton currently has 60 public charging stations (level 2 and 3) within a radius of 10 miles, with over 50 percent of them free of charge (pun intended). It’s a step in the right direction, but with the growth of EV ownership outpacing charging station availability, households across the city need more options. That’s where we come in.
BLDG Electric offers charging station installation for single detached homes, townhouses, and multi-residential properties in the greater Edmonton area. By having a dedicated installation on your property, you will no longer have to worry about whether or not you have a place to “fuel” your electric vehicle.
The federal government is doing its part to make the prospect of owning an electric vehicle more affordable, and together with the City of Edmonton BLDG Electric is making it more practical. Invest in reducing your household’s carbon footprint while reaping the financial benefits by contacting us today at (780) 328-6491 to discuss a dedicated charging station installation for your Edmonton home.