Electric Vehicles & Sustainable Driving

Driving is the single largest source of air pollution and climate-damaging emissions in the city. However, there are important steps that drivers can take to shift to more sustainable driving modes, improving air quality and saving on fuel costs.

See below for more information on electric vehicles, hybrid vehicles, carpooling incentives, and specialty/heavy-duty vehicles:

Electric vehicles (EVs)

Benefits of EVs

Electric vehicles offer far lower polluting emissions than standard gas-powered cars, and they can also save money due to lower fuel and maintenance costs.

  • Save money — On average, electric vehicles have 50% lower fuel costs and 25% lower maintenance costs than gas-powered vehicles.1 This can save thousands to tens of thousands of dollars over the lifetime of the car which often makes EVs cheaper than gas alternatives in the long run.
  • Reduce pollution — Choosing an electric vehicle over a gas one can reduce the amount of heat-trapping carbon dioxide by over 80%.
  • Faster travel — EVs can use carpool/HOV lanes, saving time on commutes, and they may also be eligible for discounted tolls.
  • Discounts — See below for more information on funding for EV purchases and EV chargers

EV incentives

There are a wide range of incentive programs to help reduce the cost of EVs for all residents, particularly low-moderate income residents or those with very old cars.

Used EVs

  • PCE Used EV — Low-moderate income EPA residents qualify for $2,000 off the price of a used EV (or plug-in hybrid) directly at the time of purchase. See here for details.
  • Used EV tax credit — Low-moderate income residents qualify for a tax credit of 30% of the cost of a used EV, up to $4,000. Only EVs that cost less than $25,000 are eligible.
  • PG&E Used EV — All EPA residents quality for a $1,000 rebate on used EVs, and low-moderate income residents can receive up to a $4,000 rebate
  • Full list of resources

New EVs

Trade in programs: There are also incentives for residents with particularly old, highly-polluting cars to trade in their cars for more funding towards new (or used) cleaner vehicles. 

  • Clean Cars for All — Low-moderate income residents who own a vehicle with model year 2007 or older can retire their car and receive $9,500-12,000 off of an EV, $7,000 off a hybrid, or $7,500 to purchase e-bikes or use on public transit. See here for eligibility, rebate amounts depend on vehicle type and where in the city you live.
  • BAR Vehicle Retirement — Residents with a vehicle which has failed its smog check (but is still functional) can receive a $1,000-1,500 rebate for scrapping the car (depending on income level)

EV charging & funding

Support for installing chargers: In many cases, using a standard electrical outlet for charging may be enough. However, for those without chargers near where they park or who travel many miles per day, there is also support for installing new charger ports or higher capacity outlets.

  • PG&E Empower EV — Low-moderate income residents who have begun leasing a new or used EV in the past six months are eligible to get a free Level 2 charger and up to $2,000 to upgrade their electrical panel (if necessary)
  • PG&E Used EV — Low-moderate income residents who purchase a qualifying used EV may also qualify for a $700 rebate on EV charging equipment
  • Business tax credit — Businesses are eligible to get up to 30% of the cost of EV charging installation back as a tax credit up to $100,000

Finding public chargers: Many common destinations such as work places, markets, shopping centers, and more offer EV charging on site, often for a fee. For long-distance travel, there are also fast chargers throughout the nation which offer rapid charging, often in under 30 minutes.

Common questions & concerns

What cars qualify for the federal incentive? — Only vehicles below a certain sale price limit qualify: $80,000 for new SUVs/larger vehicles, $55,000 for smaller new EVs, or $25,000 for used EVs. Additionally, some vehicles that don't meet material source requirements may only be eligible for half of the total rebate amount.

When will I receive these credits: before or after the purchase? — It depends on the program, but when purchasing from qualified dealers, many PG&E and PCE rebates can be directly deducted from the sale price.

What kinds of EVs are available? — The US Department of Energy maintains a complete list, but you can also ask local dealerships for what they have available.

Are there EV trucks, vans, and larger vehicles? — Yes, there are several EV trucks and vans available, and many specialty vehicles have EV options coming to market soon.

Where can I charge my EV? — See the public charger map

How will this affect my electricity bill? — PG&E offers special electric rates for EV owners which help reduce your electric costs if you charge your EV at low demand times, such as late at night. Please see PG&E’s EV rates page for more information.

How does insurance work for EVs? — Insurance is the same for EVs as regular gas vehicles.

Do EVs have different warranties? — No, they work the same way as for gas vehicles.

Where can I get an EV fixed? — Most local auto shops will also repair EVs.

Hybrid vehicles

While hybrid vehicles still use gas, they are much more efficient which helps save money and reduces emissions. They work very similarly to gas vehicles, and they do not require any charging equipment. There are also a few incentive programs which also apply to hybrid vehicles:

  • Clean Cars for All — Low-moderate income residents who own a vehicle with model year 2007 or older can retire their car and receive $9,500-12,000 off of an EV, $7,000 off a hybrid, or $7,500 to purchase e-bikes or use on public transit. See here for eligibility, rebate amounts depend on vehicle type and where in the city you live.

Carpooling

Carpooling is just using one car to drive multiple people which saves on gas, reduces wear on vehicles, and can even avoid having to buy a car in the first place. The best way to get involved is to talk to neighbors or coworkers about riding with them or having them ride with you.

Carpooling also has a wide range of benefits to riders:

  • Faster travel — EVs can use carpool/HOV lanes, saving time on commutes.
  • Financial incentives — Commutes who carpool qualify for up to $100 of rewards through Commute.org.
  • Express lanes — Local express lanes, including those on the 101, are free for cars with 3+ people and 50% for cars with two people.

Specialty & off-road vehicles

Several programs exist specifically for heavy duty, trucking, and off-road vehicles (including charging):

  • Printer-friendly version