Rep. Levin, Sen. Levin to Introduce Legislation to Expand Electric Vehicle Tax Credit
Legislation Would Increase Per-Manufacturer Cap to 500,000
Wednesday, January 26, 2011
WASHINGTON - U.S. Rep. Sander M. Levin, D-Mich., today introduced legislation that aims to expand the production and use of electric vehicles in the United States. Sen. Carl Levin, D-Mich., plans to introduce companion legislation in the Senate. The bill would increase the per-manufacturer cap on the Sec. 30D plug-in hybrid $7,500 tax credit from 200,000 vehicles to 500,000 vehicles. The bills introduction comes a day after President Obama reiterated the goal that with more research and incentives we can have 1 million electric cars on the road by 2015.
"Green vehicles represent the vanguard of automotive innovation, but they have to be economical for consumers and profitable for manufacturers," said Rep. Sander Levin. "Raising the cap on this credit will help carmakers reach the demand and production scale necessary for long-term viability."
"The U.S. auto industry is poised for a technological explosion that promises to fundamentally change transportation here and around the world," said Sen. Carl Levin. "But if we fail to support this revolution, workers in China, India, South Korea and our other competitors will build these vehicles instead of American workers."
The $7,500 tax credit is now available for car- buyers, but phases out after a manufacturer sells 200,000 vehicles. The current credit was enacted as part of the Recovery Act in February 2009. Five vehicles, including the Chevy Volt, are currently eligible. GM CEO Dan Akerson has said he wants to increase production of the Volt to 25,000 vehicles this year and 120,000 vehicles next year.