VANCOUVER — Joanna Kyriazis, director of policy and strategy at Clean Energy Canada, made the following statement in response to newly released federal vehicle sales data for March:
“We knew March would be an important month for EV sales: it was the first month that fully captured the return of the $5,000 federal EV rebate in February, and it was the month the war in Iran began driving up gas prices.
“The anecdotal evidence that Canadians were increasingly looking to go electric was strong, but today’s numbers are unmistakable: Canada saw a 75% increase in EV sales in March compared to the same month last year.
“Regionally, this was a phenomenal 136% year-over-year increase in Quebec, a 53% increase in B.C. and the territories, and a 40% increase in Ontario.
“That amounts to 12.2% of new vehicle sales in Canada (compared to 6.5% last March), but provincial numbers tell another story. Roughly a quarter of British Columbians and those in the territories (23.5%) purchased an EV in March, 21.8% of Quebecers did likewise, while Canada’s largest province, Ontario, continues to catch up with EV sales at 8%.
“While price matters, clarity is similarly important. Last year’s EV rebate pause caused many would-be EV buyers to wait on the sidelines, artificially deflating normal EV demand. That is now being rectified.
“To build on this momentum, Canada must ensure that it’s not only providing consumers with rebates but also access to affordable models. The introduction of a limited number of Chinese EVs is already having an impact, with Tesla recently significantly dropping the price of its popular Model 3 after shifting production back to Shanghai. Hopefully, new models from Chinese companies will give Canadians even more budget-friendly options and, critically, keep other automakers on their toes. The forthcoming $35,000 import price quota for a sizable percentage of these vehicles can help realize this important goal.
“Likewise, ensuring Canada’s forthcoming tailpipe standards are designed to achieve roughly 75% EV sales by 2035 is the other, massive piece of this puzzle. Like improving competition, the regulation will compel automakers to meet the market with more affordable EVs.
“Affordable EVs exist, and Canadians are hungry for good options that make financial sense in the short term as well as the long term. Recent Clean Energy Canada analysis found that EVs still save typical drivers about $23,000 to $32,000 over 10 years of ownership. But not everyone can afford to save money a few years down the road. Upfront price matters, and where it works, Canadians are ready to hit the accelerator.
“The proof is in the numbers.”