The states that give discounts to electric car owners

When electric vehicles first came onto the market, they became increasingly popular. But with sales now declining, several states have created their own incentives for the energy-efficient machines.

While Tesla initially conquered the market for electric vehicles, sales figures fell short of expectations and its market share fell from 61 percent to just 50 percent in the year to date.

Still, states use rebates to encourage more residents to buy the sometimes expensive vehicles – a typical electric vehicle can cost between $30,000 and $100,000, depending on the model and manufacturer. Government rebates typically apply to those who own the vehicles and can save hundreds or thousands in tax benefits or cash.

Newsweek has compiled a complete list of benefits available in each state.

Electric vehicle charger
An electric vehicle charging station in Monterey Park, California, on May 18, 2021. Some states, including California, offer incentives for electric vehicle owners.
FREDERIC J. BROWN/AFP via Getty Images

Full list of EV benefits by state

In Alabama, residents can receive a discounted time-of-use rate from Alabama Power when they lease or own an electric vehicle or plug-in hybrid.

Meanwhile, Alaska residents can receive a $200 bill credit per residential charger from the Chugach Electric Association. It’s also possible to get a $1,000 bonus from Alaska Power and Telephone when you purchase an electric vehicle with a battery size of at least 14 kilowatts.

In Arizona, electric vehicle drivers are given access to a dedicated lane for high-occupancy vehicles, regardless of how many passengers are on board. Customers who purchase a Level 2 electric vehicle charging station from Arizona Public Service Company will also receive a $250 discount.

The South also gets its fair share of discounts. In Arkansas, the Entergy Electric eTech program offers $250 to anyone who installs a Level 2 electric car charger. The same goes for Southwestern Electric Power Company, making Arkansas a good state for electric vehicle owners.

There are also a number of options for electric vehicle owners in California. If your income is below a certain minimum, you are eligible to receive more than $30,000 through the Inflation Reduction Act, the Clean Vehicle Rebate Project, Clean Cars for All, the California Air Resources Board, and the Clean Fuel Reward Program.

While each program is different, the Inflation Reduction Act and the Clean Vehicle Rebate Project each raise up to $7,500, while Clean Cars for All alone raises up to $12,000 for a new electric vehicle with an income at or below 300 percent of the federal poverty level is purchased.

Colorado residents can also receive up to $8,000 in rebates, depending on the exact type of vehicle you purchase. For example, light-duty electric trucks can net you $2,800, while medium-duty and heavy-duty electric trucks can earn you $4,000 and $8,000, respectively.

Connecticut offers a rebate ranging from $1,000 to $7,500 as part of its hydrogen and electric car purchase rebate program.

In Delaware, you’ll earn $2,500 when you purchase or lease a new electric vehicle after May 2023 and through a participating dealer.

Those living in Washington, DC also have a tax incentive to switch to electric vehicles: 50 percent of the cost of installing a charging station in private homes is covered. You can also earn up to $19,000 based on your alternative fuel vehicle.

In Florida, you can expect a $10 monthly credit from Duke Energy when you charge your electric vehicle at a Level 2 charging station during off-peak hours.

In Georgia, Cobb EMC will provide $250 after purchasing and installing an ENERGY STAR-certified Level 2 electric vehicle charging station.

There are incentives for purchasing an electric vehicle in Hawaii. Hawaii Electric Company charges a lower rate for those who charge during certain times of day, and Smart Charge Hawaii offers a discounted rate for chargers.

Idaho exempts electric vehicles from state-mandated maintenance programs and inspections, while Illinois offers a rebate of up to $4,000.

Indiana customers can receive a $500 rebate when they enroll in Indiana Michigan Power’s off-peak electric vehicle charging program with a new or existing Level 2 charger.

The Kansas Department of Revenue is also supporting electric vehicle owners with an offer of up to $2,400 per qualifying vehicle, while Louisiana is offering a $250 rebate for installing Level 2 EV chargers at home.

Maine offers one of the highest incentives for electric vehicle owners, with a rebate of up to $7,500 per vehicle. In Maryland you earn $3,000 and Massachusetts pays $3,500 from the Department of Energy Resources.

Sometimes the incentives go beyond mere discounts. In Minnesota, for example, electric vehicle drivers receive access to a one-time E-ZPass for all E-ZPass toll lanes in the state, saving consumers $250.

Mississippi also provides up to $1,250 for a new or leased electric vehicle, while Missouri gives residents $500 if they purchase and install a Level 2 electric vehicle charging station.

New Hampshire Electric Co-op offers electric vehicle owners a $1,000 rebate on new and used vehicles, while New Jersey residents can receive up to $4,000 in rebates.

New York is also rewarding electric vehicle owners with up to $2,000, available through the New York State Energy Research and Development Authority.

In Ohio, Firelands Electric Cooperative customers earn $250 if they own an electric vehicle, while Pennsylvania residents can earn $2,000 or more if they make below a certain income.

Those living in Vermont shouldn’t miss out on the savings either, as the Vermont Drive Electric program gives residents a 25 percent discount on the cost (up to $5,000) of purchasing an electric vehicle.

Dominion Energy customers in Virginia, meanwhile, can receive $125 per electric vehicle charging station purchase.

In Washington state, electric vehicle owners pay no sales tax on the first $20,000 of a qualified new electric vehicle purchase.

Rick Schindler

Rick Schindler is a Worldtimetodays U.S. News Reporter based in Canada. His focus is on U.S. politics and the environment. He has covered climate change extensively, as well as healthcare and crime. Rick Schindler joined Worldtimetodays in 2023 from the Daily Express and previously worked for Chemist and Druggist and the Jewish Chronicle. He is a graduate of Cambridge University. Languages: English. You can get in touch with me by emailing: RickSchindler@worldtimetodays.com.

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