Gov. Gavin Newsom said last week that California is unable to replace the expiring $7,500 federal tax credit for electric vehicle buyers.
What happened: After a celebratory morning signing a sweeping package of energy affordability bills, Newsom acknowledged at a press conference that the state “can’t make up” for the Biden-era incentive that the Trump administration will end on Sept. 30.
“We can’t make up for federal vandalism of those tax credits, but we can continue to make the unprecedented investments in infrastructure, which we’re doing,” he said.
Newsom’s announcement marked a retreat. In November last year, he committed to restarting a state rebate program for EV buyers if Republicans rolled back the federal incentives. Spokespeople for the governor did not immediately respond to emails seeking comment on what led the governor to conclude the state is unable to backfill the federal tax credits after previously saying it would do so.