Electric truck incentives seeks to create new markets and reduce pollution
In order to help develop a new market for electric trucks that reduce air pollution, ODOT is launching a new electric truck buyer incentive program. Using federal funds from a program aimed at reducing air pollution from vehicles, ODOT will provide incentives to offset the cost of purchasing up to 200 eligible zero-emission urban delivery trucks.
“This is a unique opportunity for us to continue shining the spotlight on our state as a leader and innovator in reducing greenhouse gas emissions brought on by the transportation sector,” said ODOT Director Matthew Garrett. “In addition to immediate and substantial air quality benefits, the state will get real-time data from program participants that will to help demonstrate the utility and economy of the new zero-emission trucks coming into the market.”
The Commercial Electric Truck Incentive Program (CETIP) will be offered in the form of $20,000 vouchers per eligible all-electric vehicle over 10,000 pounds. In addition to the air quality benefits, ODOT hopes that this program will help encourage mass adoption of electric trucks and support fleet conversion from diesel to electricity throughout Oregon. Electric trucks can save their owners tens of thousands of dollars in fuel costs over their lifetimes compared to diesel trucks, but they are significantly more expensive to purchase, and many businesses may be reluctant to make a major purchase even with the long-term savings without an incentive like that offered under CETIP.
Replacing 200 average diesels truck of this size with a zero emission alternative could save more than a half million gallons of diesel fuel annually and reduce greenhouse gas emissions by 5800 tons.
The program was approved by the Oregon Transportation Commission after analysis by the Department of Environmental Quality (DEQ) showed it was a cost-effective means of reducing pollution from diesel engines that impacts human health. “Diesel emissions represent a significant risk for multiple health effects, ranging from asthma and lung cancer to heart disease,” said Dick Pedersen, director of the Oregon Department of Environmental Quality. “The diesel emissions eliminated by this program may be worth as much as $1.2 million a year in avoided direct and indirect public health and environmental costs.”
The incentives are available to companies in CMAQ-eligible communities in Oregon, including the tri-county Portland metro area, the Rogue Valley and Grants Pass, Klamath Falls, La Grande, Lakeview and Oakridge. CMAQ funding provides for projects in areas of the state that are in need of improving air quality for ozone, carbon monoxide and particulate matter. In order to qualify, companies will have to replace an existing diesel-powered vehicle with an eligible electric truck.
For more information about the program, visit the CETIP website.