Canadian drivers are switching to zero-emission vehicles from cars and trucks powered by internal combustion engines in increasing numbers, but the auto sector still faces affordability and infrastructure barriers that must be broken down to enable all Canadians to make the change to clean-vehicle technology.
THE ZEV TIPPING POINT In 2023, one out of every 10 new passenger vehicles registered in Canada was either a battery-electric vehicle or a plug-in hybrid vehicle , according to data from Statistics Canada. It’s the first year the country’s ZEV-adoption rate crossed the 10-per-cent threshold, the federal agency said.
To make it easier for automakers and consumers to adjust to the sales rules, Ottawa currently offers an incentive of up to $5,000 for the purchase of a ZEV. It has also introduced the $680-million Zero Emission Vehicle Infrastructure Program that backs the installation of charging stations across the country.
While those considered early ZEV adopters often have higher incomes and credit ratings than the typical vehicle buyer, the Green Vehicle Program’s more affordable rates will help make ZEVs accessible to more Canadians, Goslar said.The extra assistance upfront also allows buyers to benefit from the lower cost of ZEV ownership long term. Consumers typically rack up considerable monthly savings by charging their ZEV at home using low-cost electricity instead of fueling up with gasoline or diesel.
CIBC Auto Finance recently rolled out a pair of home charging programs that help consumers outfit their garage or parking space accordingly. With range anxiety remaining one of the key barriers to wider ZEV adoption, the convenience and reassurance provided by a home charger is widely seen across the automotive industry as a near necessity. Industry studies consistently show that ZEV drivers do about 80 per cent of their charging at home, Goslar said, meaning the priority that CIBC Auto Finance is placing on charging is directly in line with client needs.
The typical charging station costs anywhere from $500 to $1,500, she added, so the program alleviates the upfront expense without adding extra hassle for consumers. It also creates a one-stop ZEV shopping experience at dealerships.
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