Buyers Guide to Saving Money on an Electric Vehicle

Are you looking to buy a new electric vehicle (EV)? Did you know there are many EV rebates and incentives to help you lower the price? Navigating all of this can be confusing. That’s why MCE put together this guide to help you take advantage of what’s available.

You can combine several rebates and incentives to maximize your savings. Check out the MCEv rebate and incentive breakdown to learn which are stackable.

Rebates and incentives to apply for…

Apply before purchasing or leasing your EV:

Clean Cars for All (CC4A)

CC4A provides incentives to lower-income California residents to replace their cars with plug-in hybrid vehicles (PHEVs) and battery electric vehicles (BEVs).

Savings

$5,000 – $9,500

Eligibility

Income Requirements	Yes
Location Requirements	Bay Area residents
Vehicle Requirements	List of Eligible Vehicles PHEV BEG HEV Hydrogen Fuel Cell
Used Vehicles Accepted?	Yes (Used replacement vehicles must be model year 2014 or later and have less than 75,000 miles on their odometer.)
Leased Vehicles Accepted?	Yes

How to Apply

Register for an account with the Bay Area Air Quality Management District and apply to see if you’re eligible

Clean Vehicle Assistance Program Grant (CVAP)

The Center of Sustainable Energy administers the CVAP grant for the California Air Resources Board. The grant offers rebates for the purchase or lease of qualified vehicles. This grant is currently waitlisted.

Savings

Up to $5,000

Eligibility

Income Requirements	Yes
Location Requirements	California Residents
Vehicle Requirements	List of Eligible Vehicles PHEV BEV HEV
Used Vehicles Accepted?	Yes
Leased Vehicles Accepted?	Yes

How to Apply

Create an account and complete an application on the Clean Vehicle Assistance Program website.

Driving Clean Assistance Program

The Community Housing Development Corporation provides grants through the Driving Clean Assistance Program for new and used PHEVs and BEVs with less than 75,000 miles.

Savings

$5,000

Eligibility

Income Requirements	Yes
Location Requirements	Must be a resident of one of the following counties: Alameda, Contra Costa, Marin, Napa, Sacramento, San Francisco, San Mateo, Santa Clara, Santa Cruz, Solano, Sonoma, Yolo
Vehicle Requirements	Any vehicle qualifying as PHEV, EV, BEV, or fuel cell.
Used Vehicles Accepted?	Yes
Leased Vehicles Accepted?	No

How to Apply

Complete an online application on the Driving Clean Assistance Program website.

Access while purchasing or leasing your EV:

California Clean Fuel Reward

The California Clean Fuel Reward is an incentive for the purchase or lease of an eligible new EV at participating retailers.

Savings

$750

Eligibility

Income Requirements	No
Location Requirements	Participating California retailers
Vehicle Requirements	List of Eligible Vehicles PHEV BEV
Used Vehicles Accepted?	No
Leased Vehicles Accepted?	Yes

How to Apply

Participating retailers include the reward in the sales transaction.

Apply no later than 3 months after purchasing or leasing your EV:

MCEv Rebate

MCE offers an EV rebate to income-qualified customers to help lower the price of newly purchased and leased EVs.

Savings

$3,500

Eligibility

Income Requirements	Yes Customers are also deemed eligible if they’re enrolled in one of the programs listed under the eligibility requirements.
Location Requirements	Must be an MCE customer in MCE’s service area.
Vehicle Requirements	List of Eligible Vehicles PHEV BEV
Used Vehicles Accepted?	No
Leased Vehicles Accepted?	Yes

How to Apply

Complete the EV Rebate Interest Form or contact info@mceCleanEnergy.org.

Clean Vehicle Rebate Project (CVRP)

The California Clean Vehicle Rebate Project offers rebates for the purchase or lease of qualified vehicles.

Savings

Up to $7,000

Eligibility

Income Requirements	Yes
Location Requirements	Based in California at the time of vehicle purchase or lease.
Vehicle Requirements	List of Eligible Vehicles PHEV BEV
Used Vehicles Accepted?	No
Leased Vehicles Accepted?	Yes

How to Apply

Fill out an online application.

Apply while filing your taxes:

Federal Tax Credit

This federal tax credit is available for the purchase of a new PHEV. The credit amount depends on the car’s battery capacity.

Savings

$2,500 – $7,500

Eligibility

Income Requirements	No
Location Requirements	Must be a U.S. resident.
Vehicle Requirements	Must have purchased a new all-electric or PHEV after 2010. See all eligible vehicles and their respective tax credits here.
Used Vehicles Accepted?	No
Leased Vehicles Accepted?	Yes (The dealer/creditor of the lease claims the tax credit, and it should be appropriately applied to a lower monthly payment for the customer.)

How to Apply

You must have federal tax liability in the year you purchased the EV equal to or greater than the tax credit you’re claiming.

For example, if you purchase an EV in 2021 that’s eligible for the maximum $7,500 federal tax credit, then your 2021 tax returns filed in 2022 must show that you paid or owe the federal government at least $7,500 in taxes.

A lower federal tax liability means a lower federal tax credit. Contact a tax professional to determine if you’re eligible.

MCE offers free customer support to help you take advantage of all other available rebates and incentives. Depending on your eligibility, you could receive up to $13,750 in rebates for an EV⎯even more if you trade in an older vehicle. For more information, complete the EV Rebate Interest Form or contact info@mceCleanEnergy.org.