Minnesota approved an electric car rebate scheme that provides up to a $2,500 discount on top of the $7,500 federal subsidy in order to encourage more individuals to buy EVs, but the program is not yet operational.
Minnesota ranks second in the EV Midwest registration battle, trailing Illinois, which has 80,000 EVs.
Over a two-year period, lawmakers allocated almost $17 million to EVs. This includes $7 million for electric vehicle school bus grants, $5.6 million for the first year of the electric vehicles rebate program and $5.1 million for the second year, as well as $1 million for grants to car sellers seeking certification to sell EVs as well as reimbursement for reasonable administrative costs incurred by the department.
Who Is Eligible for the Electric Vehicle Rebate Program?
If an electric car meets the following criteria, it may be eligible for a rebate of $2,500 for a new vehicle or $600 for a used vehicle:
- Purchased on or after May 25, 2023.
- The buyer can produce documentation proving the purchase.
- A new electric vehicle costs $55,000 or less (without taxes and fees).
- Used: an electric car that costs $25,000 or less (without taxes and fees).
Completed applications are going to be evaluated on a first-come, first-served basis once the program opens.
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Other State EV Program Range
It is unsure how many vehicle purchases will be subsidized by the funding. In accordance with a research by The Center Square, other state EV schemes vary.
- New York State: 106,282 electric vehicle rebates totaling $115.6 million.
- Oregon has received 27,849 rebates totaling $78 million.
- New Jersey will spend $82 million on vehicle rebates, totaling 22,448 vehicles.
- Illinois: $4,873 electric vehicle subsidies worth $19 million
Minnesota has more EV registrations than Michigan (34,380), Ohio (34,060), Missouri (17,810), and Indiana (17,710) combined, but it is still 958,583 EV registrations short of meeting the state climate plan goal of 1 million EVs on the road by 2030.
Minnesota will have to register 136,940 automobiles per year until 2030, or 11,411 vehicles per month for the next seven years, to meet that target.
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