The Canadian auto industry says federal budget programs for electric vehicles and charging stations arensa¹ú¼Ê´«Ã½™t enough to reach the governmentsa¹ú¼Ê´«Ã½™s ambitious new sales targets.
The Liberalssa¹ú¼Ê´«Ã½™ new emissions reduction plan changes the goal for electric passenger vehicle sales from 50 per cent to 60 per cent by 2030 and adds a new target to get 20 per cent of sales electric by 2026.
By the end of this year, Environment Minister Steven Guilbeault intends to implement a sales mandate with financial penalties for dealerships that donsa¹ú¼Ê´«Ã½™t hit their targets.
To nudge things along, the 2022 federal budget promises to extend the $5,000 purchase rebate on electric vehicles another three years and adds $900 million in incentives and grants to build more charging stations.
Brian Kingston, president of the Canadian Vehicle Manufacturerssa¹ú¼Ê´«Ã½™ Association, says the industry was surprised the government upped the ante on sales targets because itsa¹ú¼Ê´«Ã½™s now out of line with the United States, which is still aiming for 50 per cent by 2030.
Electric vehicle advocates say carmakers arensa¹ú¼Ê´«Ã½™t producing electric models fast enough and wait times to buy one are lengthy, but Kingston says the industry needs to be certain the demand will be there as it invests heavily in adjusting its production lines.
sa¹ú¼Ê´«Ã½”The Canadian Press