Ottawa, ON – Under provisions in the federal government’s new proposed budget, Canadian fleets will be able to write off the full cost of zero-emissions trucks.
Electric, plug-in hybrid (with batteries above 15 kwh) and hydrogen fuel cell freight trucks rated above 11,788 kilograms would be eligible for full deductions under the 2019 federal budget, presented in the House of Commons on March 19. Current regulations allow 40 per cent of the cost of zero-emissions trucks to be deducted.
“We will provide immediate expensing to a full range of zero-emission vehicles so that businesses that want to switch over their fleets can recoup that investment sooner,” Finance Minister Bill Morneau said in remarks in the House of Commons.
The expanded deductions would last in full until 2023. They were among a package of proposals to increase adoption of zero-emissions cars among people and businesses in Canada. It included purchase incentives for up to C$5,000 (the Canadian dollar equals US$0.75) for individual car buyers.
“While these vehicles are not yet common in communities across Canada, they can provide a cleaner, more efficient way to transport people and goods and, over the long run, help Canadians reduce the everyday cost of transportation,” Morneau said.
The government is also proposing to spend C$130 million on expanding recharging and refueling stations across Canada.