• Thu. Nov 24th, 2022

California is investing $2.6 billion to decarbonize transportation

ByPatricia S. Stevens

Nov 24, 2022

In the US, the California Air Resources Board (CARB) has approved a $2.6 billion investment plan for the state’s transition to zero-emission transportation. The funded projects range from incentives for clean trucks and buses to mobility options such as bike and car sharing and consumer discounts for clean cars.

Investment in clean transportation totals $2.2 billion for clean trucks and buses and off-road equipment and $381 million for clean transportation equity projects. In both cases, CARB says it has focused on underserved communities, including low-income communities and those disproportionately burdened by pollution, as well as small truck fleets. The $2.6 billion investment is part of the expanded $10 billion ZEV package unveiled in January this year, when California Gov. Gavin Newsom outlined expanded plans for investments in presented electromobility. The US state pledged to invest an additional $6.1 billion in electric vehicles and infrastructure.

Governor Newsome said, “This $2.6 billion investment will make it more affordable for our communities to transition to zero-emission vehicles,” Gov. Gavin Newsom said. “This step and the rest of the $10 billion ZEV package we passed will provide the cost-saving incentives people need to transition – part of our overall $54 billion California climate commitment. This collective effort is exactly what we will do to phase out new gas-powered cars by 2035.” According to CARB, the transportation sector is the state’s largest source of air pollution and climate-altering gases.

The new project program includes subsidies for low-income consumers to buy electric cars with up to $15,000 in incentives without having to scrap an older vehicle and $19,500 if an old car can be scrapped, which is more compared to $3000 the current ones incentive levels.

Other changes to the program include support for small fleets, which CARB says will encourage “large-scale deployments of zero-emission trucks in disadvantaged communities.” At the same time, $60 million was allocated for cleaner commercial port vehicles.

According to CARB, California government investments have put more than 400,000 zero-emission cars, trucks, transit buses, school buses and cargo equipment into service in California to date. Earlier this month, California passed a $1 billion EV charging infrastructure program. The program works by providing discounts to customers (“behind the counter”). At the same time, investments will be made in EV infrastructure at commercial, industrial and residential locations from 2025 onwards.