Canadian Government Takes Big New Steps in EV Plan

The Canadian government today announced new steps to accelerate vehicle electrification in the country.

While investing an additional $9.1 billion to achieve carbon neutrality by 2050, the Trudeau administration will implement the Canadian Net-Zero Emissions Accountability Act that requires automakers to offer a certain number of electric vehicles to Canadians. This comes at a time when EV availability is proving to be a major issue from coast to coast.

More specifically, at least 20 percent of new light-duty vehicle sales will have to be zero-emission vehicles by 2026, at least 60 percent by 2030, and 100 percent by 2035.

Daniel Breton, President and CEO of Electric Mobility Canada, said the new interim targets will “ensure that Canadians have access to an increasing number of affordable electric vehicles across the country.”

Quebec and British Columbia are the only two provinces that have taken similar action so far.

Photo: Agence QMI

iZEV Program Extended

The government will also provide $1.7 billion to extend the Incentives for Zero-Emission Vehicles (iZEV) program for three years.

At the moment, Canadians who purchase an eligible EV model can get a federal rebate of up to $5,000. It’s not immediately clear whether the rules and criteria that define the iZEV program will be modified or not at some point.

Other Investments

Some other major investments that are part of the plan include:

  • $400 million in additional funding for EV charging stations;
  • $547.5 million for a purchase incentive program for medium- and heavy-duty electric vehicles;
  • $199.6 million to retrofit large trucks currently on the road;
  • $2.2 million to support Greening Government fleet electrification commitments.
Photo: General Motors

“Ambitious and Visionary”

In a press release following today’s announcement, Electric Mobility Canada applauded the efforts by the Canadian government to fight climate change.

“The climate crisis demands that we step up to the plate with targets and actions that are equal to the challenge. By presenting a plan that reflects the importance of transportation electrification in addressing climate change and air pollution, the Government of Canada is showing real vision and ambition,” Breton said.

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