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Delaware House Democrats

House Passes Phillips Bill Offering Rebates for Electric Vehicles

June 20, 2023

DOVER – The House passed legislation Tuesday that would codify an existing rebate program for electric vehicles, part of an ambitious effort to reduce greenhouse gas emissions and achieve a goal of net zero emissions by 2050.

Sponsored by Rep. Sophie Phillips, House Bill 12 would codify the Clean Vehicle Rebate program the Department of Natural Resources and Environmental Control has offered since 2014 to incentivize the purchase of electric and hybrid vehicles.

“Electric vehicles have grown in popularity and reliability in recent years, and we should be taking steps to encourage consumers who are on the fence to invest in one,” said Rep. Phillips, D-Bear/Christiana. “Ensuring that we continue to offer a modest rebate for EVs will make them more affordable to middle-class families who want a cleaner environment and don’t want to fill their gas tank up at $3.50 a gallon. I’m grateful to my colleagues for advancing this bill.”

Under HB 12, the program would allow up to a $2,500 rebate for electric vehicles and a maximum of $1,000 for hybrid vehicles for vehicles that retail for up to $50,000. DNREC would be required to develop standards, forms, and procedures necessary to implement this program. This program, combined with a tax credit offered under the federal Inflation Reduction Act, would bring the overall cost of EVs down, encouraging residents to make a more environmentally friendly decision.

“As the market for automobiles continues to shift away from gas-powered cars and toward electric vehicles, we have an opportunity to provide a financial incentive to a growing number of Delawareans who wish to purchase an EV,” said Sen. Sarah McBride, Senate prime sponsor of HB 12. “Codifying our state’s existing Clean Vehicle Rebate Program will continue our commitment toward a more energy-efficient future by helping consumers make the transition to electric.”

HB 12 is part of a series of measures filed this spring designed to drive Delaware toward a more sustainable future by reducing the state’s carbon footprint, cutting emissions, offering incentives to residents, and ensuring businesses are prepared to utilize renewable energy.

Earlier this month, the House passed a measure to reduce net emissions by 50% by 2030 and 100% by 2050. House Bill 99 lays out those targets from the 2005 baseline and would codify a planning process to guide the state to meet those goals and require the state to draft and implement a climate action plan that would serve as a framework to guide state agencies to meet these goals.

The House also passed House Bill 11 last week, which would require new commercial buildings with a foundation footprint of 50,000 square feet or greater to meet standards ensuring that their roof is able to support solar infrastructure.

HB 12, which passed on a party-line vote, now heads to the Senate for consideration.

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