Auto industry executives say the $150 billion in subsidies received to date is not enough to meet the Trudeau Liberals’ electric vehicle (EV) mandate. Billions more in subsidies are needed to build infrastructure for EVs, CEO of the Canadian Automobile Dealers Association Tim Reuss said Tuesday, according to Blacklock’s Reporter. “The bottom line is Canadians need federal and provincial action for better, more reliable charging infrastructure and supports for purchasing zero emission vehicles in every sector of the market,” said Reuss.More rebates are required in addition to a current $5,000 federal grant to electric car buyers, and more subsidies are needed to build charging stations nationwide, auto dealers say. Canada was “woefully short,” Reuss told reporters.Current subsidies are $151.5 billion, per data from the Department of Environment and Parliamentary Budget Office (PBO). Subsidies include $24.5 billion to build charging stations and $52.5 billion for auto and battery manufacturers E-One Moli, Ford, Honda Motor Co., Northvolt, Stellantis and Volkswagen.CEO of the Canadian Vehicle Manufacturers’ Association Brian Kingston said Canada is not close to meeting cabinet’s mandate. “The mandate requires 100% of sales by 2035,” said Kingston. “In the first quarter of 2024 electric vehicle sales were responsible for 11.3% of total vehicle sales in Canada.”Steven Guilbeault’s environment department to date has acknowledged it has not accounted for all costs of its mandate. In a 2023 regulatory impact analysis it wrote unaccounted expenses included the “cost of retraining mechanics,” lost revenue for “gas stations with attached convenience stores” and higher insurance premiums for electrics that “tend to be heavier due to the weight of batteries on board.”CEO of Global Automakers of Canada David Adams said there was “no turning back” on the mandate. “Much is riding on this transition. There is clearly no turning back at this point in time,” Adams told reporters. “Global automakers have invested $1.3 trillion in the transition to electrified vehicles. The die is cast and we need to figure out how we are going to make that transition. The transition will not be smooth by any means. It is going to be bumpy.”Opposition Leader Pierre Poilievre in a December 19 interview with CFIQ Radio Toronto’s On Point With Alex Pierson said any future Conservative cabinet would repeal the mandate.“If these cars were affordable you wouldn’t need a mandate,” said Poilievre.“The command and control, Draconian approach of Justin Trudeau is going to be extremely expensive particularly for low income families. They have no idea how people are going to pay for it.”“Would you keep these regulations?” asked Pierson. “No, because this is a tax on the poor,” replied Poilievre.“Working class people, that waitress who needs to buy that Toyota Corolla or Honda Civic to get to her job or the barber who needs to buy a modest gas-powered sedan or the working class guy who needs a pick-up truck, is going to be forced to pay $20,000 or $30,000 more for an electric version that may or may not work in cold weather and driving long distances.”
