New Jersey Board of Public Utilities opens second year of electric vehicle rebate program, incentives

The second year of the New Jersey Board of Public Utilities (NJBPU) Charge Up New Jersey electric vehicle (EV) incentive program launched this week, providing up to $5,000 rebates for new EVs purchased or leased in-state.

These rebates are available solely at the point of sale, during the purchase or leasing process at dealerships. It requires purchasers to have a valid New Jersey driver’s license and will only be offered for EVs registered and purchased in New Jersey. According to the Center for Sustainable Energy, which administers the program, more than 7,000 drivers utilized the incentive in its first year. As a result, funding for the first year was completely committed by December 2020.

Only EVs ordered, purchased, or leased after the official launch of Year 2 will be eligible to receive incentives. Changes for this year include modifications to spur adoption, boost funding availability and further encourage buyers to go electric.

A two-tier incentive will be based on the final manufacturer’s suggested retail price (MSRP). Evs up to $45,000 will be eligible for $25 for each mile of all-electric driving range, up to $5,000. Eligible EV models with 200 miles or more of EPA-rated all-electric range will receive the maximum amount. EV models with an MSRP between $45,000 and $55,000, $25 for each mile of all-electric driving range will be provided up to $2,000. Incentives are limited to vehicles with a final MSRP of less than $55,000.

“Transportation is responsible for over 40 percent of the state’s greenhouse gas emissions, as well as harmful air pollution, which often disproportionately impacts overburdened communities,” Joseph Fiordaliso, NJBPU president, said. “Electrifying the transportation sector is a core strategy of Governor Murphy’s Energy Master Plan because it will help tackle climate change while improving public health and air quality. Making EVs more affordable will encourage EV adoption and get us closer to 100 percent clean energy by 2050.”

The state’s goal is to get 330,000 EVs on the road by 2025. To support this, these rebates will be provided for battery electric vehicles and plug-in hybrid electric vehicles.