Ontario Announces Incentives to Buy, Drive Electric Cars

The Ontario government has reportedly announced rebates of up to $10,000 to people who buy plug-in hybrid and battery-electric vehicles after 1 July 2010. Premier Dalton McGuinty said his government aims to have one out of every 20 vehicles driven in Ontario electrically powered by 2020. The size of the rebate will depend on the vehicle’s battery capacity.

Local news sources quote automotive analyst Dennis DesRosiers said the incentive plan isn’t well thought through: “The fact they are offering such a high upfront incentive is an admission that there is high risk for this technology,” Mr. DesRosiers said. “Years before the vehicles are available they’re putting a bribe of $10,000 in the market place and the only reason they do that is because they anticipate they aren’t going to sell.” DesRosiers said the government would have been further ahead if it followed the lead of the U.S., which has invested $25-billion in a fund to promote electric battery technology. (Tire Review/Akron)