Newsom says California will intervene if Trump ends federal EV incentives

[Jack]

CALIFORNIA GOVERNOR GAVIN NEWSOM IS GEARING UP FOR A FIGHT AGAINST PRESIDENT ELECT DONALD TRUMP-

WITH THIS EARLY CONFLICT COMING OVER ELECTRIC VEHICLES.

TRUMP IS EXPECTED TO TRY AND ROLL BACK THE FEDERAL TAX CREDITS FOR EVS INSTITUTED UNDER THE BIDEN ADMINISTRATION’S INFLATION REDUCTION ACT.

NEWSOM SAYS THAT EVEN IF THIS DOES HAPPEN-

CALIFORNIA WILL CONTINUE TO OFFER THE 7,500 DOLLAR INCENTIVE TO GO ELECTRIC.

TO DO THIS, THE GOVERNOR HAS PROPOSED RESTARTING THE STATE’S REBATE PROGRAM FOR ZERO EMISSIONS VEHICLES-

WHICH RAN FROM 20-10 UNTIL 20-23, WHEN THE FEDERAL TAX CREDIT TOOK EFFECT.

THE PROGRAM BEGAN AS A 5,000 DOLLAR DIRECT-TO-CONSUMER REBATE FOR BATTERY ELECTRIC VEHICLES.

BUT CHANGED OVER TIME, EVENTUALLY OFFERING UP TO THE FULL FEDERAL INCENTIVE OF 7,500 DOLLARS.

DURING ITS RUN, CALIFORNIA OFFICIALS SAY THE PROGRAM HELPED FUND MORE THAN 594,000 VEHICLES AND SAVED MORE THAN 456 MILLION GALLONS OF FUEL.

HOWEVER, FUNDING A REVIVAL OF THE REBATE WILL REQUIRE MONEY AT A TIME WHEN THE STATE IS SOMEWHAT STRAPPED FOR CASH.

JUST LAST WEEK, CALIFORNIA’S NONPARTISAN FINANCIAL ADVISORS WARNED THIS YEAR’S STATE BUDGET DOES NOT HAVE THE CAPACITY FOR NEW COMMITMENTS.

SO, FOR NEWSOM TO BRING BACK THE PROGRAM, HE’LL LIKELY HAVE TAP INTO THE STATE’S CAP AND TRADE FUND.

THIS IS HOW INDUSTRIAL POLLUTERS BUY AND SELL EMISSIONS CREDITS IN CALIFORNIA-

GENERATING AS MUCH AS FIVE BILLION DOLLARS A YEAR-

MONEY WHICH HAS BEEN USED TO UNDERWRITE A VARIETY OF CLIMATE PROGRAMS.

IN ORDER TO REMOVE THE FEDERAL EV CREDITS, TRUMP WILL STILL NEED CONGRESS TO EITHER AMEND OR REPLACE THE INFLATION REDUCTION ACT.

THOUGH WITH THE INCOMING PRESIDENT’S TRANSITION TEAM INDICATING MAKING THIS HAPPEN WILL BE A PRIORITY-

AN EV CENTERED BACK-AND-FORTH BETWEEN THE WHITE HOUSE AND CALIFORNIA COULD TAKE SHAPE IN THE COMING YEARS.

FOR STRAIGHT ARROW NEWS I’M JACK AYLMER-

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