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Global News
9 hours ago
- Automotive
- Global News
Slowing sales raise questions about B.C.'s electric vehicle mandate
The British Columbia government is facing renewed questions about whether its aggressive electric vehicle (EV) sales mandates can be achieved. Under current B.C. law, 26 per cent of new light-duty vehicles sold in B.C. must be zero-emission by 2026, a figure climbing to 90 per cent in 2030 and 100 per cent in 2035. B.C. has, to date, been a Canadian leader in EV adoption, with 24 per cent of new vehicle shoppers snapping one up in 2024. But that momentum has run into trouble. Both Ottawa and B.C. phased out their EV subsidies earlier this year, and the auto industry says sales dropped quickly afterward. 2:24 BIV: EV sales in Canada plummet over last year 'The first quarter, we were pushing 19 per cent in adoption rate. In April, it was down to 15 per cent … in May it's about flat with 15 per cent again, so the math is just not there to achieve the 26 per cent in 2026,' said Blair Qualey, president and CEO of the New Car Dealers' Association of B.C. Story continues below advertisement 'The 2030 number is virtually impossible.' Get daily National news Get the day's top news, political, economic, and current affairs headlines, delivered to your inbox once a day. Sign up for daily National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy Powering British Columbia's roads under a fully electric scenario is another concern. Barry Penner, chair of the Energy Futures Institute, said his group modelled the electricity needs B.C. would face if it did meet its 100 per cent adoption target by 2035. 'It would require, at full implementation, two more site C dams worth of electricity. And this year, we have been importing electricity,' Penner said. 'In the last couple of years, on average, we've imported 20 to 25 percent. Of our domestic electricity needs from outside the province.' Penner said consumer behaviour has also been shifting towards plug-in hybrids, which are cheaper, but have typically not qualified for government rebates. 3:48 B.C. electric vehicle rebate pause The Ministry of Energy and Climate Solutions did not respond to a request for comment by deadline. Story continues below advertisement However, Global News obtained a technical review of B.C.'s Zero-Emission Vehicles Act and Regulation, which appears to show the government is open to adjusting the program. The document shows the province is considering 'several changes' to the legislation 'to respond to current economic conditions, support affordability for consumers, and lessen pressures on automakers.' Those changes include revising the 2030 zero-emission sales targets, amending compliance ratios for battery electric and hydrogen-powered vehicles, changing the percentage of plug-in hybrids dealers can sell under the law, and changing range requirements to ensure more vehicles qualify for credits. The document further notes that challenges to EV adoption still include range anxiety and vehicle price. 'They're more expensive on average than a non-electric vehicle. Some studies suggest about $8,000 per vehicle,' Penner said. 'Internal government polling shows almost 60 per cent of British Columbians say that's the number one problem buying an electric cars is the cost and yet what have they done? They've removed the rebate.' B.C. has been working to upgrade infrastructure; BC Hydro has installed about 600 fast chargers around the province, with more to come. 'And while the province has paused EV subsidies for now, the policy document hints that it is looking at 'new initiative agreement pathways to support affordability for consumers.' Story continues below advertisement The province is also conducting a wider review of its entire CleanBC program. Qualey said new rebates would help the situation, but argued that even with them in place, the targets are too aggressive. 'Ideally, we would like a pause on all of it right now to continue the conversation so the manufacturers, who are the obligated parties in all of this, can sit with government … (and determine) what targets are achievable,' he said.
Global News
30-04-2025
- Automotive
- Global News
B.C.'s rebate pause will hurt electric vehicle adoption, car dealers warn
New car dealers in British Columbia are pushing back against the province's plan to pause its electric vehicle rebate program. The federal government moved to pause its rebates earlier this year, and on Tuesday, provincial Energy Minister Adrian Dix said B.C. was pausing its own rebate as it reviews its CleanBC climate program. But auto dealers say the move will put the price of new electric vehicles out of reach for many people, particularly as the industry braces for the effects of U.S. auto tariffs. 1:52 BC Hydro touts new EV charging stations 'Support still needs to be there, there's still a gap in the price, electric vehicles still cost more than the equivalent vehicles, we need some way to bridge that,' said Blair Qualey, president and CEO of New Car Dealers Association. Story continues below advertisement British Columbia has doled out more than $650 million to help incentivize electric vehicle adoption since it started its rebate program. Leigh Heppner, general manager at Preston GM in Langley, said those incentives have been critical in convincing EV-curious shoppers to make the switch. Get breaking National news For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen. Sign up for breaking National newsletter Sign Up By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy 'Bringing the price down to where it can be more affordable is a huge help to those people who are on the fence,' he said. 'It feels very sudden. I think it's hard for our customers to plan when maybe they have ordered a vehicle and they are relying on that rebate to be on when it comes in, and it's not here yet. Or maybe they've been considering a new purchase.' 2:37 Consumer Matters: B.C. car dealers call for help to offset U.S. tariffs The freezing of the rebate program has also raised questions about how B.C. will meet the aggressive targets under its electric vehicle mandate. Story continues below advertisement Under B.C. law, 90 per cent of new vehicles sold in B.C. by 2030 must be zero-emission, rising to 100 per cent in 2035. Dealers will pay a $20,000 penalty per gas-powered vehicle they sell outside the mandate, a cost Qualey said will get passed on to the customer. According to the provincial government, just under one in four (22.4 per cent) new light-duty vehicles sold in B.C. in 2024 were zero-emission. Barry Penner, chair of the Energy Futures Institute, said scrapping the EV subsidy would make achieving the targets impossible. 'On the one hand they are saying you must drive an electric car, we are bringing in these mandates so you don't have any choice … and on the other hand they are taking way the financial support that would make it more affordable,' he said. 'If the government is withdrawing financial support for people who are being told they have to buy EVs, then it's time to get rid of the mandates.' It's a position the auto sales industry agrees with. Qualey said he's hopeful the province's CleanBC program review will also look at the EV mandates, which he also argued have become unreachable. 'They were the most aggressive targets in North America,' he said. Story continues below advertisement 'Taking this market support away will make a difference and ensure we will never get to those targets.' Heppner argued that consumers still need more time to come around to the new technology, particularly as the number of EV options grows in the years to come. 'I really think we need time to let the products come to market and get the education to the consumer to a point where we can see higher adoption levels,' he said. 'It doesn't work for every consumer in every situation, and if the mandates don't go away, it's only going to lead to higher costs for everybody.' The province, meanwhile, argues the EV transition is already well underway, with the number of zero-emission vehicles on the road surging from just 5,000 in 2016 to almost 195,000 and a public charging network boasting 7,000 stations provincewide. The Energy Ministry said the province remains 'committed to working with automakers and dealers to determine the best ways to continue supporting ZEV adoption,' work that will be a part of the broader CleanBC program review.
