Governor’s Budget Proposes More Help to Transition to Electric Trucks and Buses, Cars

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FOR IMMEDIATE RELEASE
January 08, 2021

Contact: Kathryn Phillips--916-893-8494 (mobile)

Governor’s Budget Proposes More Help to Transition to Electric Trucks and Buses, Cars

SACRAMENTO—Governor Gavin Newsom released his 2021-22 state budget proposal and has included critical funding to help advance zero-emission vehicles and meet state goals to transition away from fossil-fueled vehicles.

The governor has proposed spending $465 million in funds on incentives to replace fossil-fuel vehicles with electric vehicles. Of that, $315 would go to incentive programs supporting purchase of heavy-duty trucks, buses and off-road freight equipment. Also, $150 million would be directed toward the Clean Cars for All program, which provides incentives for lower income consumers to replace old, polluting cars with zero-emission electric cars and electric light-duty trucks. 

The governor is also proposing to extend a variety of fee programs that provide funding for zero-emission vehicles from 2024 (when the programs would have expired) to 2045, and then allowing the California Energy Commission to securitize part of those funds for vehicle incentives and charging infrastructure. Securitization would allow the funds to be spent in the early years, when reducing greenhouse gas emissions can help the worst effects of climate change.

Statement from Kathryn Phillips, Director of Sierra Club California:

“In his budget, the governor has highlighted the need to fund programs that get people out of pollution-spewing vehicles and into zero-emission vehicles. This is a good start to the months-long budget debate.

“Quickly transitioning to electric vehicles is one of the surest ways to cut local air pollution, cut climate pollution, and cut dependence on oil companies and their dangerous fuels.”

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Sierra Club California is the legislative and regulatory advocacy arm of the 13 Sierra Club chapters in California, representing more than 500,000 members and supporters statewide.