Canada I ZEV base increase Canada

[electriceddy]

This afternoon, Transport Canada announced the expansion of the Incentives for Zero-Emission Vehicles Program (IZEV).

The new provisions start on April 25, 2022, and expand the IZEV program to include minivans, light-duty pick-up trucks and SUVs.

For a vehicle to be eligible:

• a passenger car, where the base model Manufacturer's Suggested Retail Price (MSRP) is less than $55,000; and
  • higher priced trims of these vehicles, up to a maximum MSRP of $65,000, will also be eligible for purchase incentives;

or

• a station wagon, pickup truck (light truck), sport utility vehicle (SUV), minivan, van, or special purpose vehicle, where the base model Manufacturer's Suggested Retail Price (MSRP) is less than $60,000; and
  • higher priced trims of these vehicles, up to a maximum MSRP of $70,000, will also be eligible for purchase incentives.
  • Source:
  • https://tc.canada.ca/en/road-transp.../incentives-purchasing-zero-emission-vehicles
  • 
    
  • "Is SUV a passenger car?
    
    
    A sport utility vehicle or SUV is a car classification that combines elements of road-going passenger cars with features from off-road vehicles, such as raised ground clearance and four-wheel drive. There is no commonly agreed-upon definition of an SUV and usage of the term varies between countries."

 

[teslarati97]

Also a bad thing because manufacturers can now do an inflationary adjustment MSRP to $59,999 for crossover "station wagons" like the IONIQ5 or EV6 instead of $44,999 base trim previously. Alternatively a manufacturer could simply do the "package loophole" and price their vehicles at $54,999 with a $20,000 technology package! Tesla should hop back on and abuse the system again!

 

[R P]

Bad news,... but I guess no surprise. Maybe if they can raise the prices by 10K, the manufacturers will send more new cars to Canada?

 

[teslarati97]

Bad news,... but I guess no surprise. Maybe if they can raise the prices by 10K, the manufacturers will send more new cars to Canada?

It is indeed really bad news for middle class affordability, but GREAT news for the wealthy!

Tesla could bring back their 94 mile (151km) Model 3 in AWD format and then offer a $64,999 AWD model with a $10,000+ FSD package. If you live in Quebec, then your FSD, 19" sport wheels, and red multi-coat paint could be heavily subsidized by the governments again!!!

 

[electriceddy]

I don't see this as "bad news" rather an opportunity for Canadians to receive incentive on the AWD versions of EVs that suit our climate in the winter months. Larger packs are also a necessity to achieve a range adequate in those same conditions (given our charging infrastructure), and they come with a cost.
I am curious how many of these under $45 K base models were actually delivered under the old parameters.
I guess it could have been dealt with differently, such as increasing the top end cap alone, but Gov only sees a window, and the prices are going up anyway due to other constraints. For the time being I see this as a positive

 

[teslarati97]

I don't see this as "bad news" rather an opportunity for Canadians to receive incentive on the AWD versions of EVs that suit our climate in the winter months. Larger packs are also a necessity to achieve a range adequate in those same conditions (given our charging infrastructure), and they come with a cost.
I am curious how many of these under $45 K base models were actually delivered under the old parameters.
I guess it could have been dealt with differently, such as increasing the top end cap alone, but Gov only sees a window, and the prices are going up anyway due to other constraints. For the time being I see this as a positive

If you want some rough numbers for March 31, 2022:
BEV only (PHEV excluded): Bolt $55.51M, Bolt EUV $5.59M, Ioniq electric $22.97M, Ioniq electric plus $1.87M, Kona Electric $72.58M, Niro EV $19.91M, Soul EV $16.76M, MX-30 $1.42M, MINI 3-door $4.65M, Leaf $24.16M, Leaf Plus $2.5M, e-Golf $12.09M. That's $240.01M or roughly ~48,000 vehicles since May 2019. Tesla Model 3 accounts for $203.91M since May 2019, and $8.068M of the $23.15M Mar 2022 iZEV rebates despite being no longer eligible after Nov 23, 2021. As of March 31, 2022 there has been $611M of rebates for the iZEV program.

Many of the middle class cannot afford to purchase their vehicle outright and may have no trade-in equity if they are still leasing.

 

[bwilson4web]

Had to do some formatting to make it readsble:

If you want some rough numbers for March 31, 2022:

BEV only (PHEV excluded):

• Bolt $55.51M, Bolt EUV $5.59M,
• Ioniq electric $22.97M, Ioniq electric plus $1.87M,
• Kona Electric $72.58M,
• Niro EV $19.91M,
• Soul EV $16.76M,
• MX-30 $1.42M,
• MINI 3-door $4.65M,
• Leaf $24.16M, Leaf Plus $2.5M,
• e-Golf $12.09M.

That's $240.01M or roughly ~48,000 vehicles since May 2019. Tesla Model 3 accounts for $203.91M since May 2019, and $8.068M of the $23.15M Mar 2022 iZEV rebates despite being no longer eligible after Nov 23, 2021. As of March 31, 2022 there has been $611M of rebates for the iZEV program.

Many of the middle class cannot afford to purchase their vehicle outright and may have no trade-in equity if they are still leasing.

 

[teslarati97]

Had to do some formatting to make it readsble:

Thanks. The list was halved because I excluded the PHEVs which accounted for $150.8M of $611M the rebates.

The three largest recipient provinces of the rebate (Mar 31, 2022) are:

• Quebec [+8,000] $324.6M (53.13%) - $62.6M Tesla Model 3
  
• British Columbia [+3,000] $184.8M (30.24%) - $91.6M Tesla Model 3
  
• Ontario [+0] $78.28M (12.81%) - $42.1M Tesla Model 3

That's 98.18% of the iZEV rebates across the country in just three provinces. Clearly bigger rebates (off the sticker price) sell more BEV & PHEVs and those who have the luxury of vehicle equity can repeat purchase a brand new EV (trade in or privately sell) each calendar year. Tesla just needs to bring back the $54,999 94 mile Model 3 to be eligible so they can offer a $64,999 version with a $20,000 "plaid package".

 

[miatadan]

I disagree that it is a bad thing. Since I am taking delivery of my 2022 Mach-E on May 14, I now get the federal EV rebate, retail of is $51,495 before destination charges.

I do not believe that overnight on April 25th that all the EV's that had the $44,999 base price will all be $55,000 starting on the 26th.
It just means in the future base EV's will not all start at $44,999.
The Nissan Leaf, Chevy Bolt, Mini Cooper SE all have lower prices than the minimum required for the rebate. Also some of the PHEV's such as Ford Escape now get the $5000 instead of $2500 which is better.

Dan

 

[teslarati97]

I disagree that it is a bad thing. Since I am taking delivery of my 2022 Mach-E on May 14, I now get the federal EV rebate, retail of is $51,495 before destination charges.

I do not believe that overnight on April 25th that all the EV's that had the $44,999 base price will all be $55,000 starting on the 26th.
It just means in the future base EV's will not all start at $44,999.
The Nissan Leaf, Chevy Bolt, Mini Cooper SE all have lower prices than the minimum required for the rebate. Also some of the PHEV's such as Ford Escape now get the $5000 instead of $2500 which is better.

Dan

A surprise windfall for you and future Mach E select & premium buyers! Buy ASAP before inflation eats away at the rebate! As a potential Ford buyer, I wouldn't want an Escape PHEV that's FWD only. You need AWD in the BC lower mainland with the freeze-thaw cycles! With middle class household incomes of $200,000 for a family of four, one might barely able to afford a home in Vancouver. It's time to move to somewhere more affordable like Regina or Winnipeg.