INDUSTRY INSIDER | December 12, 2024

The California E-Bike Incentive Project Provides up to $2,000 in Incentives

Aiming to get more e-bikes in use across the state, California officials said they will start providing income-eligible residents with up to $2,000 toward the purchase of a new e-bike and related accessories starting Dec. 18.

It’s the latest example of how the state is attempting to boost expanded access to zero-emissions transportation options.

The California E-bike Incentive Project is being launched in partnership with more than 20 community-based organizations that have agreed to handle outreach and provide application assistance, said a statement from California Climate Investments, part of the California Air Resources Board.

The program will begin accepting applications on its website at 6 p.m. on Dec. 18, with applications being processed in the order received until voucher funds are exhausted.

The first installment of the state’s launch will offer $3 million to help fund up to 1,500 e-bikes.

Potential purchasers are expected to also watch a rider safety video before collecting the voucher, according to the California Climate Investments’ statement.

Once they’re approved, income-eligible individuals can redeem the voucher at various state-approved retailers statewide.

Pedago Redding owner Jasper Hudson said e-bikes at his store range in price up to $4,000. The state’s e-bike vouchers have been in the works for a while, said Hudson, adding that he’s mentioned the possibility of vouchers to a “handful” of shoppers in the past.

The statewide California Climate Investments program uses money raised by Cap-and-Trade programs to reduce pollution from greenhouse gas emissions to cover the grants.

Funding for the program is approved by the legislature and comes from two sources: the state’s general fund, which is the main source, and the Greenhouse Gas Reduction Fund, which comes from the Cap-and-Trade Program, said a spokesman for CARB.

Applicants can contact info@ebikeincentives.org to find out if there is local community-based organization in their area, or program administrator, for application assistance.

Potential applicants should sign up for updates on the website to learn about additional resources, including a video guide on how to prepare for the application process, CARB said. The website also outlines eligibility requirements are also outlined on the website.

E-bikes contain an electric motor that is activated when riders start pedaling, making it easier for people to climb hills and travel longer distances on their bikes. E-bikes can be a suitable alternative to car travel on shorter trips, according to the Institute for Transportation and Development Policy.

The California legislature appropriated funding for the e-bike program to cut pollution, lower transportation costs for low-income Californians and help replace car trips, according to the state’s release.

“By using e-bikes, people can get around and meet everyday needs while improving air quality,” said CARB’s Executive Officer, Dr. Steven Cliff. “Prioritizing equity and access is key as we work to achieve our zero-emissions goals and this incentive program will support those efforts by helping e-bikes be part of the solution.”

Before being rolled out statewide, the program was tested in four locations across California, including Barrio Logan in San Diego, downtown Fresno, the East Bay Area and in partnership with a few tribal governments.

In September, California launched a new income-based grant and loan assistance program to help with the purchase of clean vehicles. A recently approved funding plan focuses incentive resources on supporting small businesses with the switch to cleaner technology for their fleets, according to the state’s press release.

The upcoming e-bike purchase voucher follows an effort in 2021, when the McConnell Foundation community-building group in Redding snared a $1 million, four-year grant intended to launch the city’s first electric bike-sharing program.

The Shasta Bike Depot is seen from the outside on Saturday, Oct. 19, 2024 prior to a public gathering to celebrate the project’s completion. Next to the Bike Depot is Pipeline Redding. That restaurant and the depot make up the Bell Plaza in downtown Redding.

As for the e-bike purchase incentives, she said, people eligible for the income-based vouchers often live in small spaces, perhaps on an upper floor, and may not have a garage or other location to keep the bike safe.

And, she said, people of moderate incomes often don’t have the money for upkeep or repairs, or to pay for the up-front portion of an e-bike’s cost that is not covered by a rebate.

While calling the various e-bike ownerships rebate efforts “noble,” Thomas said, the people the rebates are designed for “are people living with many challenges. The bikes are not cheap, even with the rebates.”