More than 250,000 Californians have received a financial Clean Fuel Reward, worth more than $319 million, as they have purchased or leased a plug-in zero emission vehicle (ZEV), pushing ZEVs up to 16 percent of all new vehicles sold in that state.
Electric vehicles are one of the state’s top exports. California represents half of the United States’ ZEV market. Gov. Gavin Newsome said his $10 billion ZEV package, part of his $37.6 billion climate package, will expand ZEV accessibility and affordability while supporting the build-out of infrastructure across the state. Newsom’s package builds on his plan to shift the automotive industry entirely to all electric by 2035, using California’s influence to accelerate the ZEV transition to reduce the state’s reliance on fossil fuels.
“Our state is on the frontlines of extreme weather, and we’re taking aggressive steps to protect Californians from the costs of climate change – transitioning away from the big polluters fueling this crisis and towards clean energy,” said Governor Newsom. “These incentives make it easier and cheaper to make that transition.”
The announcement comes only 18 months after the California Air Resources Board’s California Clean Fuel Reward program, which provides an instant price reduction of up to $750 at the point of sale or lease for eligible new plug-in electric vehicles, began. Since its launch in November 2020, electric vehicle buyers have received more than $319 million in rewards.
According to the California Energy Commission, new ZEV sales in the state have surpassed 1.135 million. ZEV sales account for 16.32 percent of all new vehicles sold in 2022 – up from 12.41 percent in 2021 and 7.78 percent in 2020.