Good news and bad news for those who bought, or are looking to buy a hybrid or electric car in the upcoming year. The US Government’s energy tax credits for those who purchase energy-efficient technology has changed a bit in the past year, as well as taking its focus specifically to the automobile.
While modifying your car to be eco-friendly won’t help you earn a rebate, if you’re looking to purchase a energy-saving car, perhaps now is the best time. But choose wisely, only some models will get you in on the 3,000 to 7,500 rebate promised. It all depends on how many models are sold. Say you bought a Toyota Prius last year; because over 60,000 cars were sold in 2008, the rebate begins to diminish at this point, and with the popularity of the Prius, it is likely there will be no rebate at all.
If you’re looking for some incentive, go to some lesser-known or less popular hybrid models, like the two-wheel-drive Ford Escape hybrid, a purchase of which entitles you to the full $3,000 rebate.
If you’re looking to buy in 2009 there is good news in the fact that electric plug-in models are being added to the incentive rebate at up to $7,500, and begins to phase out after the selling of 250,000 cars. A real boost to electric cars, especially up against the hybrid rebate deal.
Of course the rebate scheme was originally designed to boost auto sales in the energy-saving automobile industry, especially as hybrids and electrics first took to the market, a market where fuel prices were getting worse, but the high cost of hybrids turned may consumers away. But now hybrids and plug-ins appear to be working on their own. Whether because of the steep rise in oil prices or the worldwide energy crisis, it seems the age of energy-saving credits for consumers may be coming towards an end. Considering many hybrid models now sell well more than 60,000 cars a year, the Government’s focus in promoting these cars appears to be turning in favor of the plug-in upstart.
For many urban drivers living in an environment ideal for plug-in transportation, this may be the factor that pulls them over to the electric side. Of course, a plug-ins energy saving properties all depend on where the energy is coming from (hopefully a renewable source), but it is certain the US government has taken to promoting these vehicles, at least until they’ve fully caught-on.