Illinois to Offer $4,000 Rebate on Electric Vehicle Purchases Starting 2025

Illinois is set to launch a new initiative to boost electric vehicle (EV) adoption, offering residents substantial rebates on EV purchases beginning in 2025. This information comes from a report by WTVO Rockford.

Rebate Details and Eligibility

The Illinois Environmental Protection Agency (IEPA) will provide a $4,000 rebate for electric cars and a $1,500 rebate for electric motorcycles. The program, funded by a $14 million appropriation from the Illinois General Assembly through the Illinois Climate and Equitable Jobs Act, is scheduled to open in mid-January 2025.

To be eligible for the rebate, applicants must:

• Be Illinois residents at the time of purchase and rebate issuance
• Buy the vehicle from an Illinois-based dealer licensed by the Illinois Secretary of State
• Apply within 90 days of vehicle purchase
• Retain ownership of the vehicle for at least 12 consecutive months

Previous Rebate Cycles and Demand

The demand for EV rebates in Illinois has been robust in recent years. In the current year, the IEPA awarded 3,000 rebates from a $12 million fund, despite receiving 5,587 applications. In 2023, out of 7,669 applications, 4,872 were awarded from a $19 million rebate fund.

Focus on Accessibility

The program aims to make EVs more accessible to a broader range of Illinois residents. As an IEPA spokesperson stated, “We will prioritize low-income applicants to ensure that the benefits of electric vehicle ownership are available to all Illinois residents.”

Federal Incentives

In addition to the state rebate, federal tax credits are available for EV purchases. These credits can reach up to $7,500 for new vehicles and $4,000 for used vehicles priced below $25,000. Some dealers registered with the government program can offer these credits as instant rebates at the point of sale.

EVXL’s Take

This new rebate program in Illinois represents a significant step towards accelerating EV adoption in the state. It aligns with the broader trend of government incentives supporting the transition to electric mobility. As we’ve seen in recent Tesla news, the EV market is rapidly evolving, with more affordable options becoming available.

Programs like this Illinois rebate, combined with federal incentives, could make EVs an increasingly attractive option for a wider range of consumers, potentially leading to a tipping point in EV adoption rates in the coming years.