One of the centerpieces of President Joe Biden‘s proposed infrastructure plan is $174 billion earmarked for consumer EV rebates and the construction of 500,000 additional electric vehicle charging stations across the U.S. It’s something that Biden touted during his tour of the Ford Rouge Electric Vehicle Center yesterday while the president was also able to drive the all-electric Ford F-150 Lightning. However, Biden appears ready to pursue even more direct consumer EV rebates to speed up sales and EV adoption in the U.S.
During an interview with Bloomberg Technology, White House Climate Advisor Gina McCarthy said that Biden is “looking to invest more than $170 billion and he’s going to build out the electric charging stations that we need for consumers to buy these vehicles and feel confident that they can get where they want to go and back again. He’s looking at actually providing consumer rebates at the point of sale.”
Though Biden has yet to outline the specifics of his infrastructure plan, most believed from the start that his intentions were to offer EV rebates at the time of purchase, reducing the cost of battery-electric vehicles rather than simply offering tax credits, as is the case currently. Biden believes that offering rebates in place of tax credits will benefit low- and middle-income consumers more than the wealthy.
Many also believe that Biden’s proposed rebates will apply to automakers like Tesla and General Motors, which are no longer eligible for the $7,500 tax credit after both passed the 200,000 vehicles sold mark, while newer models like the Ford Mustang Mach-E are. In addition to rebates and money earmarked to beef up EV infrastructure, Biden’s plan also includes $20 billion for electric school buses, $25 billion for zero-emission transit vehicles, and $14 billion in other tax incentives.