Requesting Support: Equal Tax Credit for PHEVs

[xcel]

Consider it a choice to help vs. a choice to do nothing…

Jack Chen - CleanMPG - Aug 28, 2012

2012 Toyota Prius PHEV-11 – $32,000 to start, 11-miles all-electric range on the plug and a 50- mpgUS combined figure on gasoline. A limited $2,500 tax credit is available because the pack is too small?

We believe a new EV/Plug-in vehicle sales is big step forward to resolve national security and global warming issues. However, we still have 99.96% vehicles continue to run on fossil fuel. To replacing those vehicles with new ones may take two decades even we are selling 100% EV/Plug-in vehicles every day and time is not on our side.

It is obvious to us that aftermarket plug-in conversion should be a big piece of the puzzle to solve the problem. However, it hasn't been considered by any major organizations, governments and corporations. The US Federal policy discourages aftermarket plug-in conversion in general with no tax incentives that are provided to new plug-in vehicles ($2,500-$7,500 tax credit). Without the same incentives, the plug-in conversion industry will be put into disadvantage position and can't be formed. In practice, an aftermarket EV/plug-in vehicle will have better environmental effect as a new vehicle and at lower cost, smaller carbon footprint since it reuses most of the parts.

Ironically, without fair competition, OEM will continue to hold the plug-in vehicle / EV price high resulting in limited adoption of plug-in technology in large population. Aftermarket vendors can create a plug-in kit under $3500. We would expect large volume OEMs can do it under $2000 instead of $8000 premium in an entry level OEM Plug-in vehicle with 11 mile EV range.

We need to reach our goal of 25,000 signatures in order to be considered by the officials. Please reach out to your friends and families who deeply care about the environment and national security and have their voice heard!

========== White House Petition ===========

We should support OEM and Aftermarket Plug-in vehicles with the same tax incentives.

While the Federal government should continue providing Qualified Plug-in Electric Drive Motor Vehicles (IRC 30D) tax incentives for new plug-in vehicles, they should extend the same incentives to EV / plug-in conversions. Conversions target 250M existing vehicles on the roads, can save over 40% of fuel use or no fuel at all, have a smaller carbon footprint than new car since they reuse most of the original vehicle, and cost less to buy as an incremental expense making plug-in more affordable.

Supporting Equal Incentives for Conversions will: stimulate jobs to a different workforce segment than new cars, more quickly expand the number of fuel saving vehicles on the road, develop plug-in / EV industry expertise more broadly and quickly across the country and reach 1M plug-ins by 2015.

We ask for your digital signature as support for the above proposition through the following White House Petition.

[300TTto545]

That is the problems with incentives. They never encompass all alternatives and always favor one industry over another.

Reminds me of the insulation credits of 2-4 years ago. No good on new houses. So you get no credit for going above code on a new house but you get credit for retrofitting whatever you want despite the fact that almost always costs more for the same benefit.

[ItsNotAboutTheMoney]

Originally Posted by 300TTto545

That is the problems with incentives. They never encompass all alternatives and always favor one industry over another.

Reminds me of the insulation credits of 2-4 years ago. No good on new houses. So you get no credit for going above code on a new house but you get credit for retrofitting whatever you want despite the fact that almost always costs more for the same benefit.

That's a good analogy in some ways. The key is that the policy goals can make things seem unfair but you have to focus on the policy goals. In the case of insulating new build houses, it's because the economics already support good insulation. In the case of plug-ins it's because the policy aim is to drag manufacturers into PEVs and sustain a high level of investment while prepping the market so that it can grow quickly if prices drop as expected..

I could support conversion tax breaks but only with stringent conditions such as CARB-like 10/150000 or at least 8/100000 warranties, backed by escrowed funds and with a demonstration of an ability to scale. Otherwise you might as well wait until 2020 to see what's going to happen.

[herm]

Many opportunities for scams so the tax law change has to be written carefully. While we are at it require that 1% of gasoline and diesel in the national blend be synthetic.. from coal, methane or organic waste AND manufactured in the US.

[300TTto545]

The economics do not support good insulation of a new house when the house turns over in 7 years or when NG is available at today's prices. Since resale doesn't payback either - most of the time exceeding code is not a wise financial decision.

The shell of a house may last 100 years but paybacks from going over code are usually in the 10 year + range. So no spec builder and few custom builders do it. Obviously, it would be beneficial from a society point of view to build with something more like a 50 year payback.

[pwp1943]

This is a great idea, but my guess is that it will never fly. The current environment is Washington is not aimed at helping the middle class. These are the folks who must buy any type of mileage improvement technology be it either OEM or aftermarket. We need to have significant penetration in that market to make any improvement in our dependence on foreign oil.

[PaleMelanesian]

I hate to say it, but a higher gas tax would promote vehicles like this without questions of eligibility. It uses less gas, so you pay less to operate it.

[herm]

We chose not to go the high fuel tax route, unlike Europe and many other places.

[evilgeniustodd]

I'm blown away by how pathetic the response has been to this petition.

[herm]

Originally Posted by evilgeniustodd

I'm blown away by how pathetic the response has been to this petition.

We are just being polite, something that you could stand to do also..