The government of Texas has announced rebates on select electric vehicle (EV) purchases, including certain Tesla models, through a time-limited grant program.
This information was discovered by Anuarbek Imanbaev, a user on X. The EV rebate program is officially called “Grants for Alternative Fuel Vehicles and Conversion Systems.” It’s being offered by the Texas Commission on Environmental Quality (TCEQ).
The program is granting rebates of up to $2,500.
The eligible vehicles include various battery-electric and plug-in hybrid models. This includes all trim variants of the Tesla Model 3 and Model Y, and at least one variant of the Tesla Model S. However, TCEQ has not specified which variant of the Model S is eligible.
Applications for the grant rebates will be accepted until March 22, 2024. However, only 2,000 grants will be awarded.
Texas will distribute the rebates on a first come, first served basis. If the 2,000 grants are distributed before March 22, new applications will no longer be accepted.
According to Teslarati, the list of eligible vehicles also includes options from automakers like Ford, Chevrolet, Polestar, Mercedes-Benz, Kia, and Hyundai.
To apply for the Texas EV rebate, drivers need to follow the provided instructions and complete the relevant application forms, available here.
The rebate is notable of light of Texas’s reputation for being hostile to the EV sector. Notably, Texas has prohibited direct vehicle sales. This means that Tesla and other EV manufacturers cannot sell their vehicles in the state without using a franchise, dealer, or third-party retailer.
Furthermore, earlier this year, the state implemented an EV tax. The tax is designed to offset the loss of gas tax revenue caused by vehicle electrification. New EV owners in Texas must pay a registration fee of $400, one of the highest in the United States.
In 2022, Texas had 5.13 EV registrations per 1,000 people, significantly below the national average of 8.66. This is in spite of the fact that Tesla is a major employer in the state. Tesla’s gigafactory in Austin has created an estimated 15,000 jobs since opening in April 2022.