Ontario to offer $10,000 electric car incentive

[David Spencer at PASNorth]

July 15, 2009

Ontario to offer $10,000 electric car incentive
The Canadian Press

Ontario's government will announce a plan Wednesday to offer
purchasers of electric cars incentives of up to $10,000 in a bid to
make the environmentally-friendly vehicles more accessible to the
average consumer.

The plan is part of the province's attempts to boost the struggling
auto sector and position itself at the forefront of the emerging
technology, sources told The Canadian Press.

"It's clear that cars are moving in this direction," a government
source said.

"Ontario wants to lead. We think that incentives to make it easier to
buy and drive electric cars mean more jobs for Ontario workers, and
it's good for our environment."

Premier Dalton McGuinty will make the announcement Wednesday at a
Chevrolet dealership in Toronto, along with Transportation Minister
Jim Bradley

General Motors Co.'s hybrid-electric Chevrolet Volt is expected to hit
the roads next year, but will cost as much as $40,000 and would be
more affordable with the rebate.

20% target
The incentives are expected to be available next year.

Sources say the plan also includes a promise to ensure that plug-in or
electric cars will make up 20 per cent of the government's fleet by
2020.

The province was looking at ways to hasten the arrival of electric
cars on its roads, McGuinty had said in January. Ontario wanted to
take advantage of the massive consumer demand for greener vehicles as
Ontario's ailing auto industry struggles to transform itself, he said
at the time.

At the time, he also threw his support behind a plan to build battery
recharging stations across the province, and applauded a move by
California-based Better Place to build a car demonstration and
education centre in Toronto and set up an office in the city.

Financial incentives for buyers was one option he would examine to try
to speed up the introduction of electric vehicles on Ontario roads,
McGuinty said in January.

But the government hasn't yet discussed how much money it may be
willing to commit to help build the necessary infrastructure for
electric cars or encourage automakers to produce electric cars — a
price tag some analysts predict may be steep.

McGuinty has also, so far, refused to allow low-speed electric cars on
Ontario roads, citing safety concerns, even though both Quebec and
British Columbia have approved the use of the cars on roads with speed
limits under 40 or 50 kilometres per hour.

The United States has approximately $25 billion earmarked for research
and development of green automotive technology, while Canada only
invests $500,000 annually.


Source: CBC News
http://www.cbc.ca/canada/story/2009/07/15/ont-electric-cars511.html