Canada speeds up electric goal for light-duty vehicles

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OTTAWA (CU)_Canada is among many developed economies which have committed to reach net zero carbon emissions by 2050, which means the North American nation will either emit no greenhouse gases or offset its emission by mid-century. In order to achieve this goal the government of Canada previously set a target of having all passenger vehicles sold in the country by 2040 to be zero-emission vehicles.

However, last week, Transport Minister Omar Alghabra announced that the Ottawa has decided to speed up this goal and therefore this target of all new cars and light-duty trucks being electric has been brought forward to 2035. “Let me just say, our target is ambitious, undoubtedly, but it is a must,” the minister said. “We believe that it’s doable. It needs determination, it needs focus, it needs effort.”

In terms of Ottawa’s contribution to achieving this goal, at least $600 million has already been poured into the rebate programme which offers buyers an upfront discount of up to either $5,000 or $2,500 when they buy new electric vehicles. Here, the seller is required to claim the incentives to be reimbursed.  “We know that we need to do more,” Alghabra said, adding that categories of vehicles which are covered by the programme will be expanded to include ones that are used as well.

Moreover, Environment Minister Jonathan Wilkinson revealed that the government intends to consult with stakeholders on improving current regulatory measures which cover this area, while Ottawa also intends to work with neighbouring United States on fuel efficiency.

Despite the government’s growing efforts, electric vehicles only comprise of about three to four per cent of Canada’s car sales, although in other developed economies like the United Kingdom, France and Germany, there has been a big jump in the sale of EVs. This makes it clear that Canada’s new targets needs to be supported by policy reforms which expand the availability of electric vehicles in dealership lots, set up more EV charging stations and increasing incentives for electric SUVs and trucks.

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