The Biden administration intends to commit hundreds of billions of dollars to support electric vehicles and renewable energy. The plan comes as part of a much broader $2 trillion infrastructure proposal.
The funds committed to EVs would fund more American production of components and batteries. It would also extend tax incentives and consumer rebates, per Reuter.
To ensure that EVs can go wherever drivers need them to, the proposal also includes grants and incentives to build a 500,000-strong network of chargers by 2030.
The intention is to encourage Americans “to buy American-made EVs while ensuring that these vehicles are affordable for all families and manufactured by workers with good jobs.”
Meanwhile, the government will seek to replace 50,000 diesel transit vehicles and electrify at least 20% of school buses. The federal fleet, including the United States Postal Office, would also be electrified under the proposal.
Read More: President Biden Vows To Switch Federal Fleet Over To Electric Vehicles
The Biden administration will not, however, follow California’s lead and has not set a date to phase out combustion-powered vehicles.
The wider infrastructure proposal also looks to extend tax credits for wind, solar, and energy storage facilities for another ten years. The goal is to drive down the cost of renewable energy for buyers, which would make EVs greener.
The plan will also look to get rid of tax loopholes and subsidies for the fossil fuel industry. Polluters will be required to pay into a fund to pay for environmental cleanup, plugging orphan oil and gas wells, and cleaning up abandoned mines, among other projects.
The proposal must now be approved by Congress before any of it can go into effect.
