Plug-in hybrids (PHEVs) have two power sources, a battery and an engine. PHEVs have a 30-60km short electric range, depending on the vehicle. Even though the push is more towards purchasing or leasing all-electric cars, PHEVs are still a great option. The federal government offers up to $2,500 for eligible PHEVs, which is less than what is offered for electric vehicles ($5,000). Electric vehicle incentives help offset the cost of purchasing or leasing a plug-in hybrid. Unfortunately, not as many provinces offer incentives for PHEVs. British Columbia, New Brunswick, Nova Scotia, Prince Edward Island, and Quebec offer PHEV incentives. We broke down every EV incentive available across Canada in a previous article. This article explores which PHEVs are eligible for provincial and federal electric vehicle incentive programs.
PHEVs By Make, Model, and Trim that Qualify for PHEV Federal Incentives
To encourage the purchase or lease of PHEVs, the Canadian Federal Government offers up to $2,500 for eligible vehicles. The PHEV incentive is a part of the Incentives for Zero-Emission Vehicles Program (iZEV). To receive the iZEV incentive, you must purchase or lease an eligible PHEV. The eligible PHEVs are listed below.
The government also offers a 100% tax-write-off for businesses that purchase eligible electric vehicles. The write-off applies to approved plug-in hybrids and all-electric cars purchased between March 19, 2019, to January 1, 2024. The 100% write-off can be used to $55,000 of the purchase price, plus the federal and provincial sales tax. Businesses can not receive the iZEV incentive and the 100% write-off, only one or the other.
Audi
Model
- Audi A3 Sportback e-tron
Year
- 2018
Trim Level
- Progressiv Technik
BMW
Models
- BMW i3
- BMW 330e
Years
- 2018-2021
- 2021-2022
Trim Levels
- i3 2018-2021: Range Extender and S Range Extender
- 330 2021-2022: RWD and xDrive
Chrysler
- Chrysler Pacifica Hybrid
- 2017-2022
- 2017-2019: Touring, Touring L, Touring Plus, Premium, Platinum, and Limited
- 2020: Touring, Touring L, and Limited
- 2021-2022: Touring, Touring-L Plus, Limited, and Pinnacle
Chevrolet
Ford
Models
- Ford Fusion Energi
- Ford Escape PHEV
Years
- Fusion Energi: 2018-2020
- Escape: 2020-2022
Trim Levels
- Fusion Energi 2018-2019 : SEL, Titanium, and Platinum
- Fusion Energi 2020: SEL and Titanium
- Escape 2020-2022: SE, SEL, and Titanium
Honda
Model
- Honda Clarity Plug-In Hybrid
Years
- 2018-2021
Trim Levels
- Base and Touring
Hyundai
Models
- Hyundai Ioniq Plug-In Hybrid
- Hyundai Ioniq Electric Plus
- Hyundai Sonata PHEV
- Hyundai Tucson PHEV
- Hyundai Santa Fe PHEV
Years
- 2020-2022
- 2018-2019
- 2017-2019
- 2022
- 2022
Trim Levels
- Hybrid 2020: Preferred and Ultimate
- Hybrid 2021-2022: Essential, Preferred, and Ultimate
- Electric Plus 2018: SE and Limited
- Electric Plus 2019: Preferred and Ultimate
- Sonata 2017-2019: Ultimate
- Tucson 2022: Luxury and Ultimate
- Santa Fe 2022: Preferred and Luxury
Kia
Models
- Kia Niro PHEV
- Kia Optima PHEV
Years
- 2019-2022
- 2017-2020
Trim Levels
- Niro 2019: EX Premium and SX
- Niro 2020: EX Premium and SX Touring
- Niro 2021-2022: EX, EX Premium, and SX Touring
- Optima 2017-2020: EX and EX Premium
Mini
Mitsubishi
Model
- Mitsubishi Outlander PHEV
Years
- 2018-2022
Trim Levels
- 2018-2019: SE-Base, SE Limited Edition, SE Touring, and GT
- 2020-2021: SE, LE, SEL, and GT
- 2022: SE, LE, Black Edition, GT
Subaru
Toyota
Models
- Toyota Prius Prime
- Toyota RAV4 Prime
Years
- 2018-2022
- 2021
Trim Levels
- Prius 2018-2020: Base, Upgrade, and Technology
- Prius 2021-2022: Base and Technology
- RAV4 2021: SE and XSE
PHEVs That Qualify For Provincial Incentives
Not every province offers incentives for the purchase or lease of PHEVs. Alberta, Saskatchewan, Manitoba, Ontario, Newfoundland and Labrador do not currently offer incentives to purchase or lease a PHEV.
British Columbia, New Brunswick, Nova Scotia, and Prince Edward Island all offer PHEV incentives and use the federal iZEV program’s list of eligible vehicles. Provincial PHEV incentive amounts vary by province and can be stacked with federal incentives.
Provincial incentive amounts for eligible PHEVs:
- British Columbia: $1,500
- New Brunswick: up to $5,000
- Nova Scotia: up to $3,000
- Prince Edward Island: up to $2,500
Quebec offers incentives for the same vehicles as the iZEV program but includes a few other makes and models. In Quebec, you can receive up to $8,000 on eligible plug-in hybrids.
Additionally, the BC government offers a PST tax exemption for used PHEVs that have driven at least 6,000kms and have a purchase price of $55,000-$75,000.
Quebec’s Additional Eligible Vehicles
BMW
Jeep
Model
- Wrangler 4xe
Year
- 2021
Trim Levels
- Rubicon and Sahara
Lexus
Model
- NX 450h+
Year
- 2022
Trim Level
- Ultra Premium (Standard Package)
Lincoln
Not sure if a plug-in hybrid is for you? Continue your search for the perfect electric vehicle with our guide to electric vehicle maintenance and top lists of electric SUVs, trucks, and sedans.
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