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California Governor Proposes Electric Vehicle Rebates Amid Federal Tax Credit Uncertainty

California Governor Gavin Newsom plans to revive vehicle purchase rebates if Trump's administration cuts federal credits, aiming to maintain clean energy initiatives in the state.

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Overview

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California Governor Gavin Newsom announced plans to reinstate the state's rebate program for electric vehicle (EV) purchases in response to expected cuts to federal EV tax credits under President-elect Donald Trump. Newsom's proposal aims to protect California's commitment to clean energy, despite potential budget challenges, with funding options including the state's cap-and-trade program. The original Clean Vehicle Rebate Program was phased out in 2023, having supported over 594,000 EVs. The governor intends to offer equitable support for zero-emission vehicle purchases to progress against federal rollbacks.

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