Dive Brief:
- Lawmakers in the Utah House of Representatives are considering a bill to extend the state's tax credit for electric vehicles, but some are worried that rapid growth in EV adoption could lead the state to shell out too much.
- The credit lapsed last year, but Rep. Steve Handy (R) has sponsored House Bill 29 to extend it until 2022. It allows for a $1,500 credit for purchase of a long-range electric vehicle and includes smaller incentives for short-range vehicles and electric motorcycles.
- But Deseret News reported Rep. Tim Quinn (R) has expressed concern that the bill could leave the state on the hook for too much money if sales suddenly rose. "The actual fiscal note on this is infinite," he said.
Dive Insight:
Utah has about 2,000 electric on the roads, but like many states, wants to increase those numbers to help address air quality issues. Within the next decade, Utah would like to see about 50,000 EVs on the roads. But lawmakers are also wary of investing too much of the state's budget to increasing adoption.
Utah currently ranks 7th in the U.S. for electric vehicle adoption, and has partnered with Nevada and Colorado to develop a regional electric vehicle charging network.
Last year, the Governors from Colorado, Utah and Nevada laid out plans for a 2,000-mile regional electric highway, looking to combine efforts to minimize costs, minimize range anxiety and grow the emissions-free transportation market in those state. The three states combine for more than 10,000 cars on the road.
The charging corridor routes will include Interstates 70, 76 and 25 across Colorado; Interstates 70, 80 and 15 across Utah; and Interstates 80 and 15 across Nevada.
The Utah House Revenue and Taxation Committee will take up debate of the state's EV incentives again next week.
