Featured CA bill would make up for federal electric-car incentives as they expire

it's a great state, i wish i lived there.

 

When I first heard about this, I did a Google search trying to find it only to run into a buzzsaw of complaints about the income limit of the subsidy. California is also trying to reduce and block subsidies to those who have high income to hold it out for middle and lower income buyers.

IMHO, I disagree with this approach because I suspect it will suppress more sales than put more EVs on the road. Drive the wealthy away from an efficient, luxury Tesla and they'll just move into a 15-20 MPG gasser. Meanwhile, I don't see the subsidy making that big of an inroad in EV market.

It may make sense to give a pass on California sales tax for EVs on first and second sale. EVs depreciate rapidly so encourage the purchase of second owners who are more likely to be the target demographic. Perhaps letting the off-lease cars get that second sales tax holiday. Of course that will inflate the post lease and used EV value but that is not such a bad thing.

Bob Wilson

 

the wealthy are some of the most frugal people in the world, and that's putting it kindly.

 

seems really counter productive if your goal is lowering local unhealthy pollution and/or global ghg and/or increasing plug-in R&D. Tesla already is back ordered for over a year on the most affordable model, and is investing as much as it will with or without incentives. The extra california money only moves tesla sales to concentrate more in california, not get any more cars on the road. After mid 2019, sure it may do something, but I doubt it will do as much as removing the income tests in california from current tesla and bolt subsidies.

Of course giving some zev credits to phevs and raising the amounts needed might increase plug-in sales in the country, and sell more primes, volts, and clarities in the state. This might actually reduce unhealthy emissions in the state ;-) and increase plug-in R&D, lowering electric car costs. They probably have to do something to make up for the large shortfall in predicted fuel cell sales. By 2019 there may be enough teslas in the state to do battery swap stations and give them zev bonuses ;-) but I doubt anyone would use them much unsubsidized by the credits.

 

have the income restriction proposals been announced?

 

Here are the current ones. I think they are talking about making it even harder to get a credit if you are head of household or single.

Income Eligibility | Clean Vehicle Rebate Project

Which makes things a little rediculous. Have lots of kids, get a bigger rebate. You are single or your spouse doesn't work, you likely don't get a rebate for a tesla (those are the income levels in california). Both spouses work and you file jointly, you are eligible for a rebate at much higher income levels, because, really that is the important thing to clean the air.

 

thanks, i suppose those are low for cali income. it would be interesting to know the income levels of model 3 depositors. i'm sure they are much lower than model s and x buyers.

 

According to earlier studies that mainly looked at income for the leaf, volt, and prius phv - the median income was $146,000. The current california rules would probably cut off more than half of model 3 and bolt likely buyers that are single, divorced, or head of house hold filers. Yes the limit goes up for joint filers where both spouses work, but from my time in the bay area, my guess is most of these long range bev drivers are single, divorced, or head of household. ;-) If you buy a mirai or clarity fuel cell vehicle, there are no income limits. Federal incentives are probably fine for bolt and model 3, S, and X buyers - but of course the new California rules seem to be pushing potential model X buyers to other makers SUVs.