Ontario offers $10,000 rebate for those who buy electric cars

Premier McGuinty announced today that the Ontario government would offer a $10,000 rebate to consumers who decide to invest in electric cars or plug-in hybrids.

According to CBC News, the Ontario government will make the rebates available next year to consumers and will be an incentive to ‘go green’, and help the common everyday consumer afford these vehicles. Toyota will be introducing some newer electric hybrids later this year. The company will offer a "plug in" version of its Prius, while General Motors is scheduled to make available their new hybrid-electric car called the Chevrolet Volt, in 2010. The cost of the Chevrolet Volt is currently $40,000. The rebate would offset the cost of the car bringing it down to $30,000. The concern is whether consumers will be enticed to buy the new electric vehicles, many of which only go about 60 kilometers per hour. This past January, Ontario Premier Dalton McGuinty threw his support behind building battery-recharging stations all across the province. The Ontario government is also partnering with a California-based high-tech company Better Place to plan the recharging facilities for the cars. Better Place will also build a car demonstration and education center and set up its office in Toronto next year. As CBC reports, McGuinty said: ”I think one of the most important things we can do is demonstrate that we are truly an electric-car-friendly jurisdiction.” The electric vehicles and plug-in hybrids, also known as extended-range electric vehicles, are projected to make up about 20 per cent of the Ontario government’s fleet vehicles by 2020. However, the Ontario government has yet to say how much money it will commit to the needed infrastructure for the electric cars and what financial incentives it will give automakers to build the vehicles, which analysts predict will be quite expensive.