Canadian Government Offering Grants To Small Businesses And Consumers To Purchase EVs

5 years ago by Mike Buchanan 10

The providence of Ontario will start allowing business and consumers to get up to $8,500 rebate on plug-in hybrids or full electric cars.

The Ontario Ministry of Transportation, or MTO, is currently offering government backed grants for small businesses or end user consumers to lease or purchase either a hybrid-electric or pure electric vehicle. This current incentive is part of the many Canadian Government Funding Incentives for Greening your Business, also according to the article.

The program, which has been called the Electric Vehicle Incentive Program, is exclusive to the purchase or lease of only highway capable, plug-in hybrids or pure battery powered EVs. No matter who purchases the vehicle, either business or end user, they can receive up to $8,500. But for

Businesses could claim up to five EV's per year only if they are registered for at least 36 months in Ontario.

businesses, they have the ability to claim this incentive on as many as 5 vehicles per calender year. However to maximize the rebate they must have all units registered for three years in Ontario, Canada.

InsideEVs own Jay Cole has utilitzed this program on a couple of occasions and reports that:

“The process is very straight forward and simple, you simple fill out a form and email or fax in your bill of sale, and you get an instant rebate of up to $8,500 within a couple weeks.  

The adoption of electric vehicles in the US would certainly be quicker, simplier and available to everyone if were not a ‘credit for those who qualify at tax time’ program but an instant rebate program.”

(Attached below is a copy of his $8,500 rebate on a purchase of a 2011 Nissan LEAF)

Canada’s Government Funding Incentives for Greening your Business is only part of the massive incentives for a greener Canada. According to Mentor Works, federal and provincial governments as providing funding and resources to help small businesses invents in equipment, property, and other capital expenditures to expand and improve current operations in a greener manner. Pertaining to vehicles, however, the Ontario Government is trying to increase the number of hybrid-electric and electric vehicles driven inside their province to one out of 20 vehicles by 2020.

Stub From Ontario's "Electric Vehicle Incentive" Program, That Offers Up To $8,500 In Rebates

To learn more about this program take a look at the article on Business Insider.

10 responses to "Canadian Government Offering Grants To Small Businesses And Consumers To Purchase EVs"

  1. ClarksonCote says:

    Hopefully this means that we will start to see more EV sales in Canada. It’ll be interesting to see what future sales tallies in 2012 look like given this news.

    1. Jay Cole says:

      Unlike some places (like California) supply is really tight still in Canada on EVs, I know I drove around for about a year in my EV before I saw another on the road not so long ago.

      I think on a ‘per capita basis’ EVs should do well in Canada. Especially in places like Toronto, that has over 6 million people living on top of each other in the greater area…or GTA if you will.

      Canadians are used to speeding on average a lot more for cars than in the US, thanks to a historical bad Canadian to US dollar ratio (as bad as $1.60 to $1), but it is now on par, and the EVs have been priced fairly close to US pricing.

      $38,395 for a LEAF – $29,895* in Ontario
      $41,500 for a Volt – $33,000* in Ontario
      $32,998 for a I-MiEV – $24,498* in Ontario
      * = including $8,500 rebate

      …and we have some other twirlly, low cost stuff you can’t get in the US

      $26,990 SMART ForTwo EV – $18,490* in Ontario
      $29,900 SMART ForTwo EV Converible – $21,400* in Ontario

      We did a article on the Smart EV here if anyone is interested…it will be coming to the US, but probably once they figure out how (and where) to sell them proper.

      Other provinces have different rebate programs, ie) $8,000 in Quebec and $5,000 in BC

  2. Jay Cole says:

    I should add, the nice thing about the program and the rebate itself, is that you can acquire the car and don’t happen to have 30-40K lying around to pay for it, you can then use the $8,500 for the initial payments, while setting aside the money you would have spent on gas.

    Depending on the car and your driving, you can spend nothing for the car other than what you would have anyway for petrol.

    ie) SMART ForTwo $26,990 works out to about $465 over 72 months (all-in) financed (without counting the $8,500 rebate).

    The rebate can then be used to make the first 18 payments entirely, and if you were driving 1,200 miles a month previously in say a 22 MPG car, you will save 55 gallons of gas ($4.90sh in Canada) or about $270 per month.

    In that scenario, if you put away the money you saved on gas you’d pay about $5,500 (cost of electricity) for car over the six years…but essentially nothing for the first 4.5-5 years.

    This is why the rebate program is so much better than the exisiting $7,500 credit program in the US. Not only does it allow everyone, regardless of income, to be eligible to receive the money, but it makes any of the major EVs products as affordable (if not moreso) as owning a Hyundai Accent from the moment you drive off the lot.

  3. Josh says:

    Jay,

    I completely agree the incentive should change to instant rebate. That is more important than raising the amount at this point. I think Obama’s proposal was to raise it to 10k and make it at the time of purchase, but that seems unlikely with Congress right now.

    Do you mind saying what EV you drive? And how many miles per year you drive it?

    1. Jay Cole says:

      Hey Josh,

      I have ‘trimmed the fleet’ somewhat, lol – and currently only have a Nissan LEAF (my 2nd) in my garage, I’ve also had a Volt in the driveway, as well as an i-MiEV for a brief loaner/trade stay. I’m a notorious flipper, (=

      The debate at my house that is raging atm is whether or not the wife will get an electric SMART Cabrio or I will get a Model S when they ship into Canada in the spring/early summer.

      I (and the wife) drive electrically a lot, probably 95% of our driving. My current LEAF has about 25k on it after 9 months. I’ve probably laid down close to 50,000 miles over the past 19 months.

      We did a long term review a month or two ago of my current LEAF if you want to check it out here.

      1. Delta says:

        Have you lost any ‘bars’ in your leaf like our unfortunate friends in Texas. Especially after your hot summer this year in TOronto?

        1. Jay Cole says:

          ‘Hot’ is relative, we’ve had a few days up around 100, but that isn’t going to damge the LEAF. So I have all my bars, not close to losing any, about 96% capacity last checked.

          Right or wrong, I’ve always had the opinion it is best to charge overnight and on 110 whenever possible…and even on those 100F days, your talking maybe 80 at night. LEAFs up here will last forever. LEAFs in Phoenix/Texas, not so much, (=

      2. Josh says:

        Thanks for that. You have a really good feeling for the difference between the vehicles then. I have almost 23k miles on my LEAF after 14 months.

        Get the Model S! That is my plan when my lease runs out in 2014, or a loaded Gen III if it is close to production.

        BTW, I live in Houston and just lost my second capacity bar last week…

        1. Jay Cole says:

          Ouch on the second bar, sorry to hear about that…at least you were smart and got a lease, (= Hopefully you weren’t banking on the full range of the car.

          23K is a lot for 14 months. Most people I run into seem to be in the 7-8K per year range.

          Sidenote: I try to get as much seat time in all the EVs if I can, whether that be flipping in and out for myself, or hitting up manufacturer ‘show and drives.’ But, I will say it is harder and harder to keep up…so much more stuff with a plug.

          I just spend some time with a Renault Twizy. And even though it is wildly unpractical, I think its fantastic. Probably would start around 12K+ in North America, and be more aimed at taking the scooter business (if we have any), but might work for you in Texas for little jaunts most of the year.

  4. Lindsay says:

    The headline and text should be clarified, the Canadian Government usually refers to the federal government. While the Ontario Provincial Government is, technically, a Canadian government, the headline will lead to intense let down for those of us living outside of the three provinces that offer incentives.