States with the best EV incentives
While federal incentives for electric vehicles may be available for anyone in the country, the following states offer more reasons for drivers to switch to EVs.
California
No matter where you live in California, you’re bound to qualify for some type of incentive, rebate, or discount for purchasing, leasing, or owning an electric vehicle. On the state level, the Clean Vehicle Rebate Project provides rebates of up to $7,500 for BEVs and FCEVs and up to $6,500 for PHEVs. And through the California Air Resources Board, applicants can receive grants of up to $5,000 to partly cover the costs of buying an EV or PHEV. Eligibility for both programs is based on income.
Utility companies and nonprofits throughout the state have their own rebate programs, too. For example, the Bay Area Air Quality Management District offers a rebate of up to $9,500 for income-qualifying residents who retire an older car and replace it with a new, qualifying vehicle. Some insurance companies offer policy discounts for owning an EV in California, and some local governments provide free metered parking or free charging stations for electric vehicles.
Vermont
Through the Vermont Drive Electric program, residents can receive up to $4,000 for purchasing a new eligible EV or up to $5,000 for buying a used high-efficiency vehicle. The amount depends on the type of EV (plug-in hybrid or all-electric), filing status, and income level. You can either claim the incentive directly at a participating auto dealer or by filling out an application.
In addition to the Drive Electric initiative, you may qualify for $3,000 through Vermont’s Replace Your Ride program and cash incentives through your local utility company. You can estimate your potential rebate by using an incentive calculator.
Connecticut
Connecticut residents may qualify for a cash incentive through the Connecticut Hydrogen and Electric Automobile Purchase Rebate Program (CHEAPR) when they buy or lease a battery electric vehicle, fuel-cell electric vehicle, or plug-in hybrid electric vehicle.
You’ll first need to choose an eligible vehicle from a licensed Connecticut automobile dealership or the original manufacturer, and the car’s base MSRP can’t exceed $50,000. The standard rebate is worth $750 to $7,500, based on the EV type you purchase, and income-qualified residents may receive a higher rebate of $2,250 to $9,500.
Oregon
The Clean Vehicle Rebate Program provides rebates to Oregon residents who purchase or lease a battery-powered or plug-in hybrid electric vehicle. The incentive starts at $750 for zero-emission motorcycles and goes up to $2,500 for electric cars, though some income-eligible residents could qualify for a rebate of up to $7,500. To claim the rebate, you need to submit an application no longer than six months after buying the vehicle.
Maine
Through the Efficiency Maine program, state residents can receive a rebate of up to $7,500 for purchasing a battery electric vehicle or plug-in hybrid electric vehicle. You can either buy the car from a participating dealership, which will automatically reduce the price, or purchase directly from the manufacturer and later submit an application. The vehicle must be new, though income-eligible drivers may purchase a qualifying used electric vehicle.