Tennessee electric vehicle rebates questioned

A Nissan Leaf electric sedan charges up at 2 North Shore where five charging stations for electric vehicles and a parking area underneath a solar photovoltaic array are available to the public. A Nissan Leaf electric sedan charges up at 2 North Shore where five charging stations for electric vehicles and a parking area underneath a solar photovoltaic array are available to the public.

By Mike Pare May 23, 2015 3 min read

HOW REBATE PROGRAM WORKS

* Amounts: $2,500 on zero-emission battery electric vehicles: $1,500 on plug-in hybrid electric vehicles * Terms: Must be sold or leased (three-year minimum lease) by a Tennessee dealership to Tennessee residents; claim filed by dealership * When: Vehicle purchases or leases after June 15 * Time period: Rebates dispersed until $682,500 in state earmarked funds are exhausted Source: Tennessee Department of Environment and Conservation

Tennessee has revived a rebate program for buyers of electric cars, but a public policy group questioned the money for the effort and claimed the state is “basically just throwing it away.”

The Tennessee Department of Environment and Conservation is using $682,500 to renew an initiative that began in 2009 but expired in 2013. The funds were unspent and the state decided to reboot the rebate effort, an official said.

After June 15, the state said it will rebate $2,500 on new zero-emission battery electric vehicles, such as the Tennessee-made Nissan LEAF, and $1,500 on plug-in hybrid EVs, which include the Toyota Prius.

But, calculations show the money easily could be used up within a month if the rate of sales of electric vehicles tracks last year, potentially serving fewer than 400 buyers.