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Friday 15 February 2019

Electric vehicles: AVÉQ proposes to link ev incentives to ice penalties

A few weeks before the first budget Mr. François Legault’s government, the Association of Electric Vehicles of Québec (AVÉQ) proposes to improve efficiency and transparency by linking government rebates to the purchase of a new or pre-owned electric vehicle (bonus) with additional registration costs for vehicles with low gas mileage (penalty).

Indeed, the SAAQ collects a pre-established amount for the registration of vehicles with an engine of 244 cubic inches or more and, "since January 1st, 2016, certain modifications of the additional registration fees are in force in order to reach the objective to reduce pollutant emissions from vehicles and greenhouse gases. "

Since the purpose of this penalty is, among other things, to reduce the GHGs of vehicles, it is logical that such a penalty would help finance the purchase of electric vehicles. The easiest way to reduce GHGs would be to connect the penalty to the bonus.

The bonus cost $ 252 million

Between the beginning of 2012 (start of the Drive Electric program) and December 31st, 2018, the Government of Québec paid approximately $ 252 million for the purchase and lease of partially or fully electric vehicles as well as for the purchase and the installation of charging stations.

The penalty provided revenues of at least $ 467 million

rom 2012-2013 to 2017-2018, the Québec government got revenues of $ 467 million minimum in additional registration fees and acquisition rights for low gas mileage vehicles.

Thus, the penalty for the registration of low gas mileage vehicles has more than offset the purchase bonus for electric vehicles since the start of the Drive Electric program.

"By linking the bonus to the penalty, Québec's new government will make the process of funding and managing the 2 programs more efficient and transparent while contributing to the goal of 100,000 electric vehicles in Québec by December 31st, 2020 ".

Learn more (in french) about AVEQ

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