Tesla appears to have acknowledged California’s state incentives and is encouraging buyers in the state to take advantage of them. In an email to the Golden State’s Tesla users, the brand stated that up to $15,000 were available in incentives and tax credits.
The Austin-headquartered brand is encouraging buyers to consider three incentives: the federal tax credit, California Clean Vehicle Rebate Project (CVRP), and a Clean Cars 4 All Program, as per an email shared with Drive Tesla Canada. Buyers can save up to $15,000 if they qualify for all of the aforementioned programs, as per Tesla.
In addition to the $7,500 federal tax credit, he qualified for another $7,500 from the CVRP and went on to obtain additional rebates from the Electrify Your Ride Program and Monterey Bay Air Resources District due to a unique income situation. We also reported previously that Tesla owners from select California districts could obtain a Model 3 for under $20,000.
Gallery: 2022 Tesla Model 3
Although, note the eligibility requirements for the rebates. Buyers cannot obtain CVRP benefits if their annual income as single filers is over $135,000. For heads of households and joint filers, the income limits are $175,000 and $200,000, respectively. The CVRP is designed to aid middle- and low-income individuals and also offers increased rebates for bigger households.
Moreover, EVs must fall under certain categories. In the federal tax credit, there’s a critical minerals clause, which states that automakers must source key minerals like lithium, nickel, manganese, etc., from within the US, or from countries the US has a free trade agreement with.
As a reminder, several states offer incentives for new EV purchases, and the amount is likely to vary state-wise. Buyers may not be able to obtain multiple rebates concurrently. Additionally, Tesla triggered a global price war after slashing prices of its EVs in multiple markets like the US and China, prompting other automakers to follow.
The effect of the price war was so significant that one American EV subscription company nearly shuttered, while smaller automakers in China risked shutting shop or consolidating. However, consumers might benefit from this wave of price cuts as the highly popular Model 3 and Model Y become cheaper.