(The Center Square) – By providing thousands in rebates and credits, the state of Colorado has an ambitious plan to put more electric vehicles on the roads.
There are up to $26,000 in state and federal grants available to Colorado motorists looking to purchase electric vehicles as part of the state’s plan to increase the number of electric vehicles on roads by more than tenfold. roads by 2030.
The state’s goal is to put 940,000 light electric vehicles on the roads within seven years. As of January 2023, there were 72,840 electric vehicles on Colorado roads, according to Drive the electric Colorado.
The Colorado Energy Office says that even if $26,000 of different incentives are available, motorists would not be eligible for the full $26,000 at once.
“For example, Xcel Energy EV rebates are not stackable with state electric vehicle tax credits, so Coloradans who qualify for the Xcel rebate should choose between using the Xcel rebate or using the state tax,” Ari Rosenblum, public information officer. for the Colorado Energy Office, told The Center Square in an email. “Additionally, the federal tax credit has vehicle requirements that exclude many electric vehicle models currently on the market. Until more automakers comply with these requirements, Coloradans could not be able to use the federal tax credit to receive a discount on the vehicle they would like to purchase.
“The federal tax credit is also non-refundable, meaning low-income individuals may not have to pay enough federal tax to take advantage of the full $7,500 federal tax credit” , added Rosenblum.
The innovative motor vehicle credit was increased to $5,000 on July 1 for the purchase or lease of an eligible electric or plug-in hybrid vehicle. This does not apply to electric, plug-in or hybrid trucks.
From 2016 to 2020, the number of credits granted increased by 66%, from 3,058 to 5,086, according to the State. The state awarded $20.1 million in innovative motor vehicle credits in 2020.
The state launched the Vehicle Exchange Colorado program at the end of August. It helps people on a fixed income to replace their high-emission vehicles with electric vehicles and partially cover the initial cost. A household of three must have a household income of $85,200 or less to qualify for a rebate.
Electric vehicles eligible for the Vehicle Exchange Colorado program must have a sticker price of $50,000 or less.