OTTAWA (Pakistan Point News / Sputnik - 12th July, 2022) The Canadian government said Monday it is launching an EV incentive program for medium- and heavy-duty vehicles that will cover about 50% of the price difference between an electric vehicle and a traditional vehicle.
"Today, as part of #EVWeek in Canada, the Minister of Transport, the Honourable Omar Alghabra, announced the new Incentives for Medium- and Heavy-Duty Zero-Emission Vehicles (iMHZEV) Program. Starting on July 11, this four-year, close to $550 million program ($423 million), will help businesses and communities across the country make the switch to zero-emission vehicles," the ministry said in a press release.
As of today, iMHZEV will finance up to 50% of the price difference between electric and fossil vehicles for the next four years. Already existing provincial incentives will also be applied, the release added.
The new funding aims to reduce Federal expenses and cut greenhouse gas emissions in order to achieve Canada's climate targets.
Minister of Transport Omar Alghabra added that the incentive is also intended to help Canada reach its objectives of 100% sales of medium- and heavy-duty vehicles being zero-emission vehicles by 2040.
According to the ministry, the transport sector is the second contributor of greenhouse emissions in the country.
Canada expects the financing scheme for the purchase of medium- and heavy-duty zero-emission vehicles will help reduce annual transport emissions by 200,000 tones in 2026 and 3 million by 2030, the statement added.
