Connecticut Governor Dannel P. Malloy announced on Tuesday the new “CHEAPR” initiative, that offers rebates for purchases and leases of hydrogen fuel cell and plug-in electric vehicles.
Under this new initiative, a cash rebate of up to $3,000 is now available for Connecticut residents, businesses, and municipalities who purchase or lease an eligible electric vehicle. Vehicles covered by CHEAPR include battery electric, fuel cell, and plug-in hybrid vehicles.
Rebates offered through the CHEAPR program are on a sliding scale, with the maximum $3,000 amount for those who purchase or lease an EV with the greatest battery capacity. Rebates of $1,500 and $750 will be provided for EVs that travel shorter distances on battery power.
CHEAPR rebates are being offered at three levels:
– The maximum $3,000 rebate is available for vehicles with a battery capacity of 18 kWh or greater of for any fuel cell electric vehicle. Vehicles in this category include the Nissan Leaf, VW e-Golf, Ford Focus Electric, BMW i3, and Mercedes Benz B-Class Electric Drive.
– A $750 rebate is available for vehicles with a battery capacity of less than 7 kWH, such as the 2015 model year Toyota Prius Plug-In.
Rebates will be available until the $1 million in funding is distributed to consumers. If additional funding becomes available, the program may be extended.
In addition to CHEAPR rebates, consumers can take advantage of a Federal Income Tax Credit to help drive down the cost of purchasing a new plug-in electric vehicle. The credit ranges from $2,500 to $7,500, based on the battery capacity of the vehicle.
Owners of EVs also benefit from lower costs for maintenance, repairs, and operating expenses. Electricity used to fuel an EV is equivalent to paying about a $1.70 per gallon gasoline. Since many EVs operate on batteries only, they do not require oil changes or onboard vehicle pollution controls and are exempt from emissions testing. Taken together, these savings make the total cost of owning an EV lower than traditional vehicles.
The CHEAPR program will also help Connecticut achieve the goals of the eight-state, bi-coastal Zero Emission Vehicle (ZEV) Action Plan designed to put 3.3 million zero-emission vehicles on the road by 2025.