Electrifying California: A Comprehensive Guide to EV Rebates & Charging Incentives

Content Table

California Electric Vehicle Rebates, Tax Credits and Incentives

California EV Charger Rebates

California EV Law, Policies and Regulations

EV Charging Rates in California

Home Electrification Incentives in California

Photo by Maarten van den Heuvel on Unsplash 

California's commitment to reducing greenhouse gas emissions is no secret. With ambitious goals to phase out new gasoline car sales by 2035, the state has rolled out some of the most comprehensive EV support programs in the nation. But what does this mean for you, the consumer? It translates into significant savings, from purchase rebates to charging station incentives, tailored to make EV ownership a practical choice for everyone. In California, making the switch to electric vehicles is not just environmentally friendly, but also wallet-friendly.

California Electric Vehicle Rebates, Tax Credits and Incentives

California's rebates, tax credits, and incentives for the purchase of electric vehicles have played a critical role in supporting the high rate of electric vehicle adoption in the Golden State.

For example, the Clean Vehicle Rebate Program (CVRP) promoted the adoption of clean vehicles in California by providing rebates from $1,000 to $7,500 for the purchase or lease of new, qualifying zero-emission vehicles, including electric, plug-in hybrid, and fuel cell vehicles. Unfortunately, CVRP funding is no longer available, but the program has been replaced by Clean Cars 4 All.

Clean Cars 4 All – California Electric Vehicle Rebate Program

Clean Cars 4 All offers incentives of up to $12,000 to help low-income consumers living in priority populations replace old and high-polluting vehicles with newer and  cleaner transportation. California residents who meet income requirements can receive up to $12,000 to phase out older gas-powered vehicles and replace them with cleaner alternatives such as hybrids, plug-in hybrids and zero-emission vehicles. Those who don't retire their old cars can receive up to $7,500 for the purchase of a vehicle.

Consumer Assistance Program Vehicle Retirement

The Consumer Assistance Program's (CAP) vehicle retirement option provides incentives for eligible consumers to retire their operating vehicles. Consumers who meet income eligibility requirements may receive $1,500 per vehicle scrapped. All other vehicle owners may receive $1,000 to retire their vehicle at a BAR-contracted dismantler.

Federal Tax Credits For Electric Vehicles

It is important to note that purchasers may also be eligible for federal tax credits, such as Clean Vehicle Tax Credit of up to $7,500 for new vehicles, or the Used Clean Vehicle Tax Credit for up to $4,000. Income limits as well as battery component and critical mineral limits may apply. Make sure you consult a qualified CPA or tax professional to confirm your eligibility.

California Utility Rebates For Electric Cars

California utilities have their own electrification programs for energy conversion technologies such as electric vehicles. Be sure to check with your local utility company to find out what programs are available in your area.

Alameda Municipal Power (AMP) offers rebates of up to $4,000 on used electric vehicles with a purchase price for less than $40,000. Income-qualifying customers may receive an additional $2,000 rebate. For more information, visit the AMP EV website.

Burbank Water and Power (BWP) is offering rebates of up to $1,000 for residential customers who purchase a used electric vehicle. For more information, visit the BWP Used EV Rebate website.

Central Coast Community Energy (CCCE) offers rebates of up to $4,000 to residential, commercial and public agency customers for the purchase of a new or used electric vehicle or electric motorcycle. CCCE also offers rebates of up to $10,000 for the installation of a Level 2 EV charging station at home or work. For more information, visit the CCCE Electrify Your Ride website.

MCE offers a $3,500 rebate for residential customers who purchase or lease a new EV or PHEV and a $2,000 rebate for who purchase or lease a used EV or PHEV. To qualify for the rebate, applicants must live in MCE's service area, be an MCE customer, and meet at least one qualifying income requirement. For more information, visit the MCE EV Rebate website.

Pacific Gas & Electric Company (PG&E) offers a $1,000 rebate to residential customers who purchase a used EV. Low-income residents are eligible for rebates of up to $4,000. Additional terms and conditions apply. For more information, see the PG&E Drive Forward Electric website.

Pasadena Water & Power (PWP) is offering a $250 rebate to residential customers who purchase or lease an eligible new or used EV. An additional $250 is available for purchasing or leasing an eligible EV from a Pasadena dealership. Customers enrolled in the PWP income-qualifying programs may receive an additional $1,000 rebate, for a total of $1,500. Rebates are available for up to 2 EVs per address per 3-year period. Other terms and conditions apply. For more information, visit the PWP Residential EV and Charger Incentive Program website.

With SCE's Pre-Owned EV Rebate, you can receive a $1,000 or $4,000 rebate based on household income. Please apply within 180 days from the purchase or lease of a used EV to determine your eligibility. For more information, visit the SCE's Pre-Owned EV Rebate website.

California EV Charger Rebates

In addition to the above incentives for purchasing an electric vehicle, California residents can also apply for a rebate ranging from $150 to $15,000 for the purchase and installation of a Level 2 EV charger. Scroll down for more details on specific utility providers in California.

California Utility Rebates for Level 2 EV Chargers & Installation

Alameda Municipal Power (AMP) is offering rebates to residential, commercial, and multifamily customers who purchase Level 2 EV charging stations. $500 for residential, $6,000 for commercial, and $8,000 for multifamily. See the AMP EV Program page for details.

Anaheim Public Utilities (APU) offers rebates to residential, commercial, industrial and municipal customers who purchase and install Level 2 or direct current fast charging (DCFC) stations. A $1,500 rebate is available for residential Level 2 charging stations. The program has limited funding and is scheduled to reopen July 1, 2024. See the APU EV Rebate Program website for details and restrictions.

Azusa Light & Water is offering a $150 rebate to customers who purchase an ENERGY STAR certified Level 2 EV charging station. For more information, visit the Azusa’s EVs website.

Burbank Water & Power (BWP) is offering rebates to commercial and residential customers for the purchase of Level 2 EV charging stations. Residential customers may receive up to a $500 rebate for the purchase and installation of a Level 2 charging station. Commercial or multi-unit residential customers may receive up to a $15,000 rebate for the purchase and installation of Level 2 or DC fast charging stations. For more information, visit the BWP Rebates and Incentives page.

Glendale Water and Power (GWP) is offering rebates to commercial and residential customers for the purchase of Level 2 EV charging stations. Commercial or multi-unit residential customers who purchase and install EV charging stations are eligible for a rebate of up to $6,000 per charging station, up to a maximum of four rebates. Residential customers who install a charger may receive up to $599. Applications must be submitted within four months from  the date of purchase. Rebates are available on a first-come, first-served basis until funds are exhausted. For program guidelines and application materials, visit the GWP Electric Vehicles website.

The Los Angeles Department of Water and Power (LADWP) offers rebates of up to $1,000 for the purchase and installation of qualified Level 2 EV charging stations and $250 for the installation of a dedicated EV charging station meter. Customers participating in LADWP Lifeline or EZ-SAVE Low-Income Customer Assistance programs are eligible for an additional $500 rebate. For more information, including program guidelines and application materials, visit LADWP Charge Up L.A.! website.

Under the Liberty EV Charger Rebate Program, customers can receive rebates to offset the cost of installing a smart EV charger. Rebates are available to residential and small business customers. Liberty's home charging rebate helps EV owners install powerful, smart home chargers with rebates of up to $1,500. Small businesses can attract new business and demonstrate their commitment to clean transportation with incentives of up to $2,500.

MCE is offering rebates of up to $3,000, with a maximum of $60,000 per site, for the purchase and installation of qualifying Level 2 EV charging stations at MUDs and workplaces in the MCE territory. Customers participating in the MCE Deep Green program may receive an additional $500 rebate per port, up to a maximum of $10,000 per site. For more information, including how to apply and eligible EV charging stations, visit the MCE EV Rebate website.

Pasadena Water and Power (PWP) offers residential customers a $600 rebate for the installation of a WiFi-enabled EV charging station, or a $200 rebate for the installation of non-WiFi-enabled EV charging stations. Additional terms and conditions apply. For more information, including how to apply, visit the PWP Residential EV and Charger Incentive Program website.

PG&E is offering a Residential Charging Solutions Rebate for income-eligible households with $700 on the purchase of PG&E-approved EV charging equipment. Equipment must come from PG&E's pre-approved equipment list and be purchased on or after November 17, 2023. Currently, only products listed under “Eligible equipment” are eligible for the rebate. Each customer household, represented by an individual residential PG&E Electric Service Agreement ID, is only eligible for only one rebate.

Qualified Sonoma Clean Power (SCP) customers are eligible to receive a Level 2 EV charging station with Wi-Fi capabilities for free. Customers are responsible for shipping and installation costs. Customers may also receive a $5 per month bonus if they connect their EV charging station to the GridSavvy Rewards program. Other terms and conditions may apply. For more information, visit the SCP GridSavvy website.

Southern California Edison (SCE) customers can upgrade EV charging capacity at home to keep your EV ready. Through SCE's Charge Ready Home Rebate Program, if you install a Level 2 EV charger within 120 days of getting your EV, you will qualify for a rebate of up to $4,200. For more information, visit the SCE's Charge Ready Home Rebate Program website.

At the non-residential level, SCE's Charge Ready Program offers customer rebates to businesses, government organizations, and multifamily properties to install EV charging stations at business, public sector, or multifamily residential locations. Rebate amounts vary, and locations in disadvantaged communities are eligible for additional rebates. For more information, including eligibility requirements and funding availability, visit the SCE Charge Ready Program website.

The Turlock Irrigation District (TID) offers a $500 rebate to residential customers who purchase or lease an eligible new or used EV. TID also offers a $300 rebate to residential customers who purchase and install an eligible Level 2 EV charging station.

Low-income customers participating in the TID CARES program are eligible for an additional rebate of $700 per EV and $100 per EV charging station. A maximum of two rebates per residential account may be claimed for EVs and EV charging stations. For more information, including eligibility requirements, see the TID Residential EV Rebates and CARES Program pages.

California EV Law, Policies and Regulations

In August 2022, California made history by adopting a bold plan to completely phase out the sale of internal combustion engines (ICE) vehicles by 2035. Since then, the Golden State has been developing a strong legal framework to support this groundbreaking measure.

California’s 2035 EV Mandate

Beginning in the model year 2026, regulations will require 35% of passenger cars and light-duty trucks to be zero-emission versions. This will increase to about 51 percent by 2028 and increase each year until it reaches 100% by 2035. For more information about Resolution 22-12, see the Advanced Clean Vehicles II Regulation.

A full and comprehensive list of California EV laws and regulations is available on the Alternative Fuels Data Center: Electricity Laws and Incentives in California.

EV Charging Rates in California

Time-of-Use (TOU) rate plans offer lower electric rates during off-peak hours, such as overnight. Below is a list of TOU rate plans offered by major California utilities.

Special EV Charging Rates from California Utilities

Alameda Municipal Power (AMP) offers TOU rates for customers who own or lease an EV. For more information, visit the AMP Electric Vehicles website.

Azusa Light & Water offers a $0.05 per kilowatt-hour (kWh) discount on electricity rates for electric vehicle charging during off-peak hours. Customers must use a minimum of 50 kWh to qualify for the discount. For more information, visit Azusa Light & Water Schedule EV website.

Burbank Water and Power (BWP) offers an TOU rate to residential or multi-family customers. Customers must remain on the EV TOU rate for at least one year. For more information, visit the BWP EVs website.

Liberty Utilities offers a TOU rate to residential and commercial customers for charging EVs. For more information, visit the Liberty Utilities EV Program website. Liberty's TOU-EV rate reduces the cost of energy during off peak hours, so customers who can charge their cars overnight can benefit most. See full details on the TOU-EV rates page.

MCE offers a $50 incentive to residential customers who participate in the MCE managed charging program. Participants in the program may receive a rebate of up to $10 per month. MCE Sync automatically charges your EV during the cheapest off-peak hours based on your electricity rate and returns the savings to you. For more information, including participation and eligibility requirements, visit the MCE EV Smart Charging App website.

Pacific Gas & Electric (PG&E) has a special electricity rate designed to encourage customers to avoid using electricity during the early evening when rates are highest. For more information, visit the PG&E EV Rates Program page.

Register your EV on your Sacramento Municipal Utility District (SMUD) account to receive a 1.5¢ discount on all electricity used between midnight and 6 AM. To receive the EV rate discount on your SMUD account, plug-in electric vehicles must be registered with the DMV using the same service address as your SMUD account. For more information, visit the SMUD Residential Electric Vehicles page.

Additionally, SMUD is working with automakers to test how to help Sacramento-area customers charge their EVs during times of day when energy demand is lower, rewarding drivers who charge their EVs when it’s best for the electricity grid and allowing us to use more renewable energy. Automakers currently participating include BMW, Ford, General Motors and Tesla (via Optiwatt).

Once your vehicle is connected to the communication platform and SMUD has verified your eligibility, you’ll be eligible to receive a participation incentive. Participants will receive a one-time initial incentive and quarterly rewards. To learn more, visit the Managed EV Charging page.

San Diego Gas & Electric (SDG&E) offers the EV-TOU-5 program for customers to charge their EVs at home during off-peak hours. Pricing is based on your electricity usage and times of day, with three pricing periods. If you are able to shift some of your electricity usage away from peak hours of 4-9 PM and you are able to regularly charge your EV during super off-peak hours late at night, then this program is for you. For more information, visit the SDG&E Rate Counselor page.

Home Electrification Incentives in California

Photo by Vivint Solar on Unsplash 

In 2024, California is expected to provide home energy rebates through the Inflation Reduction Act, making $291 million for home energy efficiency rebates and $290 million for home electrification available for appliance rebates, insulation and air sealing, heat pumps for space and water heating, and upgrades to smart electrical panels necessary to enable those profits.

Combining EV ownership with other electrification projects, such as upgrading your home with solar panels & battery storage, or investing in a heat pump, will help you save even more while reducing your impact on the environment.

In California, in addition to the U.S. federal government, you may qualify home electrification incentives through your electricity provider. Scroll down to read rebate and incentive details for specific home electrification technologies.

Battery Storage

California has implemented a statewide battery storage incentive. The Self-Generation Incentive Program (SGIP) offers rebates to customers who install a battery storage system that can be used during a power outage. The value of the rebate depends on your utility company, the size of the battery (in kilowatt-hours, kWh), and whether you are a low-income customer or live in a high-fire-risk area.

In addition, the 25D Residential Clean Energy Tax Credit provides a 30% federal tax credit on the cost of new battery storage systems size 3 kWh and larger.

Electrical Panels

The 25C Energy Efficient Home Improvement Tax Credit provides a federal tax credit (up to 30% of project cost, capped at $600) for electrical panel upgrades needed to complete electrification projects such as heat pumps and heat pump water heaters. The 25C tax credits are available to renters and homeowners making upgrades to their primary or secondary home.

Qualifying electrical panels must meet National Electrical Code (NEC) standards and have a capacity of 200 amps or more. This means that your new/upgraded electrical panel must be able to serve a load of at least 200 amps, but you do not need 200 amps of electrical service. Smart panels may qualify if they allow you to serve a load of 200 Amps.

If you are claiming 25D for a residential solar or battery storage project and the installation requires you to upgrade your main electrical panel, you may also be able to apply the 25D to the cost of the electrical panel.

If you live in a single-family home with an electrical panel that draws less than 200 amps, SCE offers a Charge Ready rebate of up to $4,200 for a panel upgrade if you meet the utility's income requirements. Rebates of up to $2,100 are also available for customers who live in disadvantaged communities and do not meet electric utility income requirements.

Heat Pumps & Heat Pump Water Heaters

The 25C Energy Efficient Home Improvement Tax Credit also applies to heat pumps and heat pump water heaters. A 30% federal tax credit (capped at $2,000) is available. Eligible technologies must meet certain energy efficiency requirements.

Alameda Municipal Power offers rebates of up to $1,500 for new heat pump HVAC systems installed by California ratepayers in their service area.

Solar Panels

The 25D Residential Clean Energy Tax Credit also provides a 30% federal tax credit on the cost of photovoltaic (PV) solar panel systems.

Alameda Municipal Power offers a $500 rebate to income-eligible customers who install solar equipment.

Rancho Mirage Energy Authority offers a $500 rebate to customers who install a new PV solar panel system or expand an existing system.

The Bottom Line

As we wrap up our exploration of California’s EV rebates and charging incentives, it’s clear that the Golden State is leading the charge towards a more sustainable and electrified future. With generous rebates on electric vehicles, substantial incentives for installing home charging stations, and an expanding network of public charging infrastructure, California is setting a high bar for environmental stewardship and clean energy adoption.

For those contemplating the switch to an electric vehicle, now is an ideal time to take advantage of these benefits. Not only will you be contributing to a reduction in greenhouse gas emissions, but you’ll also enjoy significant cost savings and the convenience of a growing EV ecosystem. Embrace the future of mobility with confidence, knowing that California has your back in this electrifying transition.