New federal incentives for zero-emission business automobiles will put a much-needed dent in Canada’s excessive transportation emissions

Picture by: TruckPR through CC BY-NC-ND 2.0

OTTAWA — Joanna Kyriazis, clear transportation program supervisor at Clear Vitality Canada, made the next assertion in response to the federal authorities’s announcement of the new Incentives for Medium- and Heavy-Responsibility Zero-Emission Autos Program:

“We welcome the federal authorities’s new incentives for medium- and heavy-duty automobiles, comparable to supply vans, rubbish vans, and long-haul vans.

“The transportation sector is the second greatest supply of emissions in Canada, and business automobiles make up greater than a 3rd of that. Introducing an incentive program is likely one of the simplest methods to get extra battery electrical, plug-in hybrid, and gas cell electrical business automobiles on Canada’s roads. The federal authorities’s comparable rebate for passenger automobiles has persuaded many Canadians to make the change to electrical automobiles, and now companies will discover it simpler than ever to affect their fleets, as nicely.  

“The brand new incentives will minimize emissions, save fleet house owners cash, and help key Canadian manufacturing and export alternatives. Canada is house to a number of main zero-emission truck producers, together with Quebec-based Lion Electrical, which already has an settlement in place to provide Amazon with 1000’s of medium-duty electrical vans.

“We’re particularly happy that a lot of our suggestions have been included within the coverage’s design, which contains various finest practices from different jurisdictions which have put comparable incentive packages in place. In reality, Canada is following within the tire tracks of no less than seven U.S. states with comparable programs. 

“By way of subsequent steps, the brand new program should be a part of a broader zero-emission medium- and heavy-duty coverage bundle that addresses each demand and provide boundaries. This bundle ought to embrace charging incentives to assist fleet operators deploy charging infrastructure alongside a car gross sales mandate to make sure sufficient automobiles are in the stores.

“Along with good coverage design, the federal authorities needs to be counseled for the pace at which this system was designed and rolled out. Local weather change shouldn’t be slowing down, and our coverage response shouldn’t both.”


  • Canada’s transportation sector is the second-biggest emitter in Canada, making up 24% of the nation’s whole emission, with heavy-duty gasoline and diesel automobiles accounting for 37% of that.
  • Canada’s Emissions Discount Plan commits to “launch[ing] an built-in technique to scale back emissions from medium-and heavy-duty automobiles (MHDVs) with the intention of reaching 35% of whole MHDV gross sales being ZEVs by 2030” and “develop[ing] a MHDV ZEV regulation to require 100% MHDV gross sales to be ZEVs by 2040 for a subset of car varieties based mostly on feasibility, with interim 2030 regulated gross sales necessities that will differ for various car classes based mostly on feasibility, and discover interim targets for the mid-2020s.”
  • The federal Finances 2022 put aside $547.5 million over 4 years (or till out there funding is exhausted) for the Incentives for Medium- and Heavy-Responsibility Zero-Emission Autos (iMHZEV) Program
  • This system is efficient as of July 11, 2022, however incentive requests for reimbursement should not anticipated to be out there till Fall 2022.
  • The incentive ranges provided are based mostly on the category of the car, with heavier automobiles receiving bigger incentives. The incentives intention to cowl roughly 50% of the value distinction between an electrical car and a standard car.  Public transit and college transportation are excluded from this program given their protection in different federal incentive packages.
  • In accordance with the U.S. Division of Vitality’s Various Fuels Knowledge Middle, no less than seven U.S. states have some type of MHDV incentive program, together with California, Illinois, Massachusetts, New York, New Jersey, Vermont and Virginia. California’s Hybrid and Zero-Emission Truck and Bus Voucher Incentive Venture has helped to deploy greater than 3,000 zero-emission vans and buses since 2010, with 61% of all zero-emission vans deployed within the U.S. having gone to California.


Clear Vitality Canada’s submission to Transport Canada | Incentives for Medium and Heavy Responsibility Zero Emissions Autos Program

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