Upcoming ZEV Incentives: Updates for Fleet Owners in CT, NV, and WA

Upcoming ZEV Incentives: Updates for Fleet Owners in CT, NV, and WA

Incentives for zero-emissions vehicles constantly shift across the nation and around the globe. By learning about upcoming programs in your state and understanding the details beforehand, you position yourself to maximize savings for your fleet.

New voucher programs are in the pipeline in Connecticut, Nevada, and Washington. Modeled after California’s Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project (HVIP), these new incentives may offer significant cost reductions as cleaner technology is adopted.

Let’s look at the anticipated offerings in these three states to help prepare you for action when they go live.

Three Distinct Benefits of Vouchers

Fleets transitioning to zero-emissions vehicles (ZEVs) do well to keep an eye on new voucher programs for three specific reasons:

1. Point-of-Sale Discounts: Vouchers can provide immediate savings. Instead of waiting for rebates or tax credits to come in after purchasing a battery electric or hydrogen fuel cell truck, vouchers may reduce your financial burden upfront at the point-of-sale.

2. No Scrapping Requirements: Most voucher programs can streamline your new truck purchase. Other incentives can often require scrapping an old diesel truck after ordering a specific ZEV replacement. These particular vouchers usually have no restrictions, which can enable you to retire your old truck on your terms.

3. Dealer Assistance: Dealers can help manage the voucher process which can mean less paperwork for fleet owners and a more efficient overall process.

With that in mind, we’ll look at the three vouchers soon offered by Connecticut, Nevada, and Washington for fleets transitioning to ZEVs.

Connecticut’s Updated Hydrogen & Electric Automobile Purchase Rebate (CHEAPR)

Connecticut legislators passed the Clean Air Act in 2022, providing $15 million per year for new incentives. Following successful results with CHEAPR for standard automobiles, the state plans to launch a secondary voucher program that extends benefits to medium- and heavy-duty vehicles. The program has yet to be implemented, but is expected to include the following:

• Program Funding: $15 million per year is expected for the updated program.
• Voucher Amount: Up to $120,000 per truck.
• Eligibility Details: Small fleets (up to 20 vehicles and no more than $15 million in annual revenue) and disadvantaged communities are expected to be prioritized.
• Expected Launch: End of 2024 or early 2025.

Fleet owners who remain informed and ready to apply for the upcoming program when it is available put themselves in a position to receive these benefits.

Nevada’s Clean Trucks & Buses Incentives Program (AB-184)

Nevada passed Assembly Bill 184 in 2023. However, the state is waiting for clarification on the use of Federal funds for the program. Modeled after California’s HVIP, AB-184 seeks to use federal funds for the greatest benefit to fleet owners who purchase Class 8 Heavy-Duty ZEVs. Here is the breakdown of what the program may include:

• Program Funding: $4 million per year.
• Voucher Amount: Up to $175,000 per truck.
• Eligibility Details: Fleets who purchase Class 8 Heavy-Duty Zero-Emissions Trucks may apply for the voucher.
• Expected Launch: Currently unknown.

Washington’s Pending Voucher Program

The first incentive for ZEVs in Washington State is expected to be available at the beginning of next year. Modeled closely after California’s HVIP, this voucher will most likely operate in the standard fashion with dealer-managed applications, point-of-sale discounts, and no scrappage requirements. Further, federal tax credits may be able to be stacked with the voucher to potentially provide an additional $40,000 of savings per year.

Although this new program has been in development for some time and the specific guidelines and application deadlines are yet to be finalized, here are the anticipated details:

• Program Funding: $100 million on a first-come, first-served basis.
• Voucher Amount: Up to $120,000 per truck.
• Eligibility Details: Only Class 8 Heavy-Duty Zero-Emissions Vehicles may apply.
• Expected Launch: Early 2025.

This upcoming incentive is expected to fill a gap for fleet owners in Washington state who have yet to receive local benefits for transitioning to ZEVs. As more details are forthcoming, stay connected with Nikola for updates.

Prepare Today for Tomorrow’s Incentives with Nikola

Vouchers come with limited funds and application deadlines, so staying informed is important.

Stay current on incentives in your state by contacting [email protected] or subscribing to our incentives newsletter.

Contact an authorized dealer to start the processes and take advantage of these valuable incentives as soon as they become available.