New Jersey halts electric vehicle rebates, demand too high

Apr 18, 2023, 2:05 PM

FILE - A motorist charges his electric vehicle at a Tesla Supercharger station in Detroit, Wednesda...

FILE - A motorist charges his electric vehicle at a Tesla Supercharger station in Detroit, Wednesday, Nov. 16, 2022. New Jersey residents looking to buy or lease an electric vehicle won’t be able to get a government rebate — at least temporarily — because the state program has been so popular that it's already running out of money, officials said, Tuesday, April 18, 2023. (AP Photo/Paul Sancya, File)
Credit: ASSOCIATED PRESS

(AP Photo/Paul Sancya, File)

TRENTON, N.J. (AP) — New Jersey residents looking to buy or lease an electric vehicle won’t be able to get a government rebate — at least temporarily — because the state program is so popular that it’s already running out of money, officials said.

The Charge Up New Jersey program has disbursed an estimated $35 million for the fiscal year ending this July, according to the state’s Board of Public Utilities. The board said Monday it was putting the program on pause because all the earmarked funding will soon be disbursed, based on current rate of application approvals and eligible vehicle orders.

Now in its third year, the program gives state residents up to $4,000 right when they buy or lease a new electric vehicle. On average, EVs now cost more than $58,000, according to Kelley Blue Book, a price that’s beyond the reach of many U.S. households. Federal tax credits and other incentives are designed to bring prices down and attract more buyers.

New Jersey’s utility board estimates the program will support the purchase or lease of more than 10,000 vehicles this fiscal year, and it should be back up and running again once the new fiscal year starts July 1. A spokesperson for the Board of Public Utilities, Peter Peretzman, said Tuesday he wasn’t sure if there are plans to increase the program’s funding for next fiscal year.

The utility board estimates that the program, since its launch in May 2020, will have provided more than $90 million in incentives for leasing or buying nearly 25,000 EVs.

At the end of the 2022 there were more than 91,000 electric vehicles on the state’s roadways, the board said, and EVs made up 8% of all new car sales in New Jersey last year.

New Jersey is among the states that have found success with electric vehicle incentive programs. A rebate program in Oregon will also have to pause next month because too many people are applying and the program is running out of money.

The Biden administration has proposed stiff automobile pollution limits that would require up to two-thirds of new vehicles sold in the U.S. to be electric by 2032, a nearly tenfold increase over current electric vehicle sales.

The proposed regulation, announced last week by the Environmental Protection Agency, would set tailpipe emissions limits for the 2027 through 2032 model years that are the strictest ever imposed. The proposed tailpipe pollution limits don’t require a specific number of electric vehicles to be sold every year but instead mandate limits on greenhouse gas emissions. Depending on how automakers comply, the EPA projects that at least 60% of new passenger vehicles sold in the U.S. would be electric by 2030 and up to 67% by 2032.

Still, a new poll released last week shows that many Americans aren’t yet sold on going electric for their next cars, with high prices and too few charging stations the main deterrents.

Environmental groups say stricter tailpipe pollution standards are needed to clean the air we breathe and prevent the worst of climate change’s future harms, including even more extreme weather events.

___

New Jersey has suspended its rebates for buying or leasing electric vehicles because all the funding earmarked for the popular program in the current fiscal year has already been or will soon be disbursed, according to state officials.

The Charge Up New Jersey Program, now in its third year, provides up to $4,000 at the time a state resident buys or leases a new EV, The state Board of Public Utilities announced Monday that it was pausing the program, citing its current rate of application approvals and eligible vehicle orders,

Point-of-sale incentives at showrooms and dealerships for the current fiscal year started last July, and the estimated $35 million money disbursed through the program this year will support the purchase or lease of more than 10,000 vehicles, BPU officials said. In total, the BPU anticipates the program will have provided more than $90 million in incentives for the lease or purchase of nearly 25,000 EV’s since it was launched in May 2020.

State officials say that at the end of the 2022, there were more than 91,000 electric vehicles on New Jersey roadways, and electric vehicles made up 8 percent of all new car sales for the year.

President Joe Biden has pushed an ambitious goal that half of new passenger vehicles sold in the U.S. run on electricity by 2030, and New Jersey is among states that have had success with electric vehicle incentive programs. In Oregon, officials announced last month that they would temporarily suspend rebates as of next month because too many people are applying and the program is running out of money.

Electric vehicles now cost an average of more than $58,000, according to Kelley Blue Book, a price that’s beyond the reach of many U.S. households. Federal tax credits and other incentives are designed to bring prices down and attract more buyers.

Biden administration officials say that, over time, more EVs and parts will be manufactured in the U.S., creating a domestic supply chain and more jobs. The tax credits and other measures also will end U.S. dependence on China for parts and minerals, officials contend,

National News

Associated Press

San Francisco police: 9 victims hit but no deaths in Mission District mass shooting

SAN FRANCISCO (AP) — Multiple victims were struck by bullets during a mass shooting in San Francisco’s Mission District Friday night, but authorities said there were no fatalities. “We can confirm there are 9 shooting victims — all are expected to survive their injuries,” the San Francisco Police Department said in a tweet. Police said […]

8 hours ago

FILE - Cameron Champ, of the United States, hits out of a bunker on the ninth hole during the Walke...

Associated Press

Beverly Hills-adjacent golf club opens doors to world with U.S. Open

LOS ANGELES (AP) — For much of the past century, the Los Angeles Country Club was quite literally a hidden gem. While Los Angeles grew from a warm-weather outpost into a global metropolis, this picturesque golf club sat in one of the city’s most dazzling settings — 325 acres of multibillion-dollar real estate adjoining Beverly […]

1 day ago

Associated Press

This school reopened quickly after COVID. Kids’ reading was still behind

COLUMBUS, Kan. (AP) — Students spread out in their rural Kansas classroom, answering questions with a partner about invaders atop elephants attempting to sack Rome more than 2,000 years ago. “Do you want to read?” one of the third graders, Parker, asked his partner after the lesson on the Punic Wars. “Because I’m not really […]

1 day ago

Seen is the damage from a collapsed apartment building, Monday, June 5, 2023, in Davenport, Iowa. T...

Associated Press

Cracked floors, bowed walls: Many warnings but no action at Iowa building before deadly collapse

DES MOINES, Iowa (AP) — So many people knew something wasn’t right at the 116-year-old Davenport apartment building. The structural engineer who documented the shaky wall. The head of a masonry company who wouldn’t let his workers onto the site. The city inspector who threatened to close some units. A downtown official who called 911 […]

1 day ago

One of several cameras set up to capture live debate in the chamber of the Nebraska Legislature is ...

Associated Press

Nebraska Legislature as reality TV, featuring filibuster and culture war drama

LINCOLN, Neb. (AP) — Mention televised legislative debates, and what may come to mind are stuffy, policy-wonk discussions broadcast by C-SPAN. This year’s Nebraska Legislature was more like a reality TV show, with culture-war rhetoric, open hostility among lawmakers, name-calling, yelling and more. Many Nebraskans couldn’t get enough of it. “It was addictive,” said Jamie […]

1 day ago

Drag performer Neon Calypso, center, sings and dances to Tina Turner's version of the song "Proud M...

Associated Press

Pride is back in Boston as parade returns after quarrel over inclusivity

BOSTON (AP) — The biggest Pride parade in New England returns to Boston after a three-year hiatus Saturday, with a fresh focus on social justice and inclusion rather than corporate backing. About 10,000 marchers signed up before registration was shut down, according to organizers. Employee groups are welcome to march, but corporations aren’t. “We really […]

1 day ago

Sponsored Articles

Education families...

Education that meets the needs of students, families

Washington Virtual Academies (WAVA) is a program of Omak School District that is a full-time online public school for students in grades K-12.

Emergency preparedness...

Emergency planning for the worst-case scenario

What would you do if you woke up in the middle of the night and heard an intruder in your kitchen? West Coast Armory North can help.

Innovative Education...

The Power of an Innovative Education

Parents and students in Washington state have the power to reimagine the K-12 educational experience through Insight School of Washington.

Medicare fraud...

If you’re on Medicare, you can help stop fraud!

Fraud costs Medicare an estimated $60 billion each year and ultimately raises the cost of health care for everyone.

Men's Health Month...

Men’s Health Month: Why It’s Important to Speak About Your Health

June is Men’s Health Month, with the goal to raise awareness about men’s health and to encourage men to speak about their health.

Internet Washington...

Major Internet Upgrade and Expansion Planned This Year in Washington State

Comcast is investing $280 million this year to offer multi-gigabit Internet speeds to more than four million locations.

New Jersey halts electric vehicle rebates, demand too high