Get the Most from Canada’s ZEV Incentives

You can save $5,000 on your next vehicle right off the top at the dealership when you purchase or lease it. Did that get your attention? Good, because with the benefits outlined by Transport Canada, you can save a lot of money on your next zero-emission vehicle (ZEV) as part of the Incentives for Zero-Emission Vehicles (iZEV) Program. There are plenty of reasons to check out electric vehicles for sale when shopping for your next car, including their incredible performance and innovative features. However, saving money on your next purchase is one of the best reasons we can think of.

You do need to consider certain things when looking at different vehicles and trying to get the most from the iZEV Program. If you’re interested in a new Nissan model, you have a couple to choose from while still taking advantage of these incentives. Remember that these incentives only apply to new models; pre-owned vehicles do not qualify even if they meet other criteria. Let’s take a look at what requirements you need to know about and how you can get the most from this program.

Vehicle Requirements for the iZEV Program

Let’s start by focusing on the requirements that your potential vehicle needs to meet in order for it to qualify for the iZEV Program at the time of purchase. As we said, first and foremost, it needs to be a new model—in other words, when you buy it, it needs to be the first time that it’s going to be plated. The one semi-exception to this rule is a vehicle that was used as a demonstrator by a dealership for test drives. As long as it has fewer than 10,000 km on it when you buy it, a demonstrator like this is still considered new for eligibility purposes.

Beyond this, any model you’re interested in for the iZEV Program needs to meet all of Canada’s Motor Vehicle Safety Standards, needs to be meant for use on public roads, and must have at least four wheels and be able to legally drive on the highway (so no motorcycles or low-speed vehicles). If you’re buying from us, none of those requirements will be an issue. These rules are essentially put in place to ensure the incentives can’t be used on unusual custom models or imports that haven’t been approved for public use throughout Canada. If you’re interested in a new ZEV from Nissan, then you don’t have to worry about these requirements.

Finally, there are price restrictions on the models that can qualify. The iZEV Program is meant to encourage new adopters of electric vehicles by helping to counteract the higher price of some models. High-end luxury ZEVs are not intended to be a part of this, so there are limits in place based on the Manufacturer’s Suggested Retail Price (MSRP) for the model you’re interested in.

For passenger cars, the base MSRP must be less than $55,000, and the top trim must be less than $65,000. For station wagons, pickup trucks, SUVs, minivans, and similar special-purpose vehicles, the base MSRP must be less than $60,000, and the top trim must be less than $70,000.

When looking at vehicle prices, it’s important to note that these limits are only for the base prices. Additional charges like delivery and freight fees, as well as options you’re interested in, like a special colour or accessories, are not included. If you choose a top trim priced at under $65,000 MSRP, it will qualify, even if the extra options you want increase the final price to over $65,000. Transport Canada has provided a comprehensive list of models that qualify for the iZEV Program, which you can check just to be safe, but the 2023 Nissan LEAF is one of the models that qualify.

One last thing to note is that you, as an individual, can qualify for the iZEV Program only once each calendar year. If you want to buy two ZEVs, you would need to buy them in two separate years to take advantage of these incentives. Businesses purchasing ZEVs as part of a fleet can qualify up to 10 times in a calendar year, so keep that in mind if you’re considering numerous models for commercial use.

Two Levels of Incentives

There are two different levels of iZEV Program incentives available, depending on the type of vehicle you choose, which is important to note when looking at different models. These are:

• Up to $5,000 for battery-electric, hydrogen fuel cell, and longer-range plug-in hybrid vehicles.
• Up to $2,500 for plug-in hybrid vehicles with an electric range under 50 km.

As long as a vehicle you’re interested in meets the requirements we outlined above, it can qualify for one of these incentive levels based on its all-electric performance. Since the Nissan LEAF is a battery-electric vehicle, it qualifies for up to $5,000 in rebate incentives when you purchase a new one from us.

How to Receive the Incentive

Enjoying the benefits of the iZEV Program is incredibly simple. Assuming you’re buying a vehicle that qualifies, then the rebate will be calculated at the dealership when you purchase the car. Taxes and fees have to be applied to the vehicle before the incentive is applied, but then the discount is taken right off the cost of your new car. As a dealership, it’s then up to us to file paperwork to be reimbursed for the incentive provided to you—you don’t have to do anything further. It’s just that simple.

Leasing Considerations

Although you can take advantage of the iZEV Program while leasing an electric vehicle, there’s an important consideration to keep in mind if you’re interested in leasing. In order to get the full value of the rebate, you need to lease the model for four years. If your lease is less than four years, the incentive will be reduced by a proportional amount. Let’s say you want to lease a new 2023 Nissan LEAF, which would qualify you for a full $5,000 rebate if you lease it for four years. Leasing it for three years would get you a $3,750 rebate, while two years would get you a $2,500 rebate and a one-year lease qualifies for just $1,250 in rebate. If you lease for less than one year, then you are not eligible for the iZEV Program. 

The Right Dealer Makes Everything Easier

The good news is that the iZEV Program is just the federal rebate and does not include any additional provincial incentives. The bad news is that right now, there aren’t any provincial incentives offered in Alberta. We hope that will change soon so we can offer even more benefits for our customers, but that’s not up to us. If we do get more incentives, then we’ll be sure to share those with you. In the meantime, there are some great deals you can still take advantage of with an EV, like the Electric Vehicle Smart Charging Pilot program by FortisAlberta, which provides customers using the Optiwatt app with $150 for taking part in their program. Choosing the right dealership ensures you get the most value from these kinds of incentives and that you learn about more programs that can save you money and make EV ownership even better. Contact us at L.A. Nissan today and we will get you all of the information you need!