Program overview

The Government of Canada knows that the higher upfront purchase cost of zero-emission vehicles (ZEVs) can make it more difficult to adopt this clean technology. The Incentives for Zero-Emission Vehicles (iZEV) Program is helping to make it more affordable.

Purchase and lease incentives

How to receive the incentive

The incentive will be applied at the point-of-sale by the dealership once they have confirmed your eligibility. As part of the eligibility verification, you will need to complete the Consumer Consent Form. Once your eligibility is confirmed, you will need to complete the appropriate Incentive Received Form and then, the incentive will appear directly on the bill of sale or lease agreement of the eligible ZEVs. The dealership must apply taxes and fees to the purchase or lease before applying the incentive. You should not be required to make a deposit to receive the incentive, and the incentive should not be reimbursement in the form of a cheque at a later date.

The dealership must submit the documentation required to be reimbursed for an incentive provided at the point-of-sale. Consumers cannot submit a request for reimbursement, only enrolled dealerships can.

The federal incentive for eligible ZEVs will be applied in addition to any provincial or territorial incentive offered.

Incentive limits

There is a limit to how many incentives Canadians can benefit from under the iZEV Program per calendar year:

• Individuals are eligible for one incentive;
• Organizations and businesses are eligible for up to 10 incentives. Organizations and businesses that share common ownership, other than common ownership as a result of being a publicly traded company, are considered as one single organization eligible for a combined total of 10 incentives^{Footnote 1}; 
• Provincial/territorial and municipal governments operating fleets are eligible for up to 10 incentives; and
• Carsharing companies that are pre-approved by Transport Canada are eligible for up to 50 incentives.

The iZEV Program monitors the incentives limits closely. Canada reserves the right to seek reimbursement should a recipient be found to have received more than the eligible number of incentives from the iZEV Program in a calendar year.

Carsharing companies

In order to be eligible under the iZEV Program as a carsharing company, a company must:

1. be a not-for-profit or for-profit organization, with its own business number; and
2. offer a membership or subscription-based program, whereby individuals or entities who become members or subscribers are entitled to 24/7 self-service access to a fleet for use at regular intervals (usually with a per-minute or per-hour fee).

To be added as an eligible carsharing company under the iZEV Program, please send an email to iZEV-iVZE@tc.gc.ca.

Only carsharing companies deemed eligible by Transport Canada, based on the above-mentioned criteria, can receive up to 50 incentives per calendar year for eligible vehicle purchases or leases made on or after March 28, 2023. Eligibility, including the continuation of eligibility, remains at the discretion of Transport Canada.

Types of incentives

There are two levels of incentives:

• Battery electric, hydrogen fuel cell, and longer-range plug-in hybrid vehicles are eligible for up to $5,000;
  • longer-range plug-in hybrid vehicles have an electric range equal to or greater than 50 km.
• Shorter range plug-in hybrid electric vehicles are eligible for up to $2,500;
  • shorter range plug-in hybrid vehicles have an electric range under 50 km.

Contact Us

If you have any questions, please contact us at iZEV-iVZE@tc.gc.ca or our toll-free number at 1-800-O-Canada for general inquiries.