The Clean Cars Act of 2022
Aligning with the aim of increasing the prevalence of green technology, the Clean Cars Act (CCA) is specifically geared towards funding zero-emission vehicles and providing Maryland electric heavy equipment incentives. Administered by the Maryland Energy Administration, the CCA performs several functions regarding electric vehicle tax credits:
- Changes the vehicle excise tax credit
- Lowers the maximum qualifying base price
- In some specific cases, reduces the vehicle excise tax credit
Importantly, the act also includes an annual budget bill appropriation of roughly $750,000 from 2024-2027. This appropriation will allow in-state individuals, corporations, municipalities, and others, are eligible to receive funding towards the purchase of a medium- or heavy-duty zero emission vehicles and equipment. In total, the CCA can help cover 20% of the purchase price of new electrical industrial heavy equipment sold in Maryland.
The CCA covers a variety of sustainably-oriented Maryland heavy equipment incentives and grants with varying eligibility requirements. For electric heavy equipment, the funds will come directly from the CCA-established the Medium-Duty and Heavy-Duty Zero-Emission Vehicle Grant Program. Through this program, the state will cover up to 20% of the cost to purchase zero-emissions vehicles, electric vehicle charging stations, or off-road equipment. The most critical component of the requirements, however, is that the purchase in question must be over 8,500 pounds in weight and be powered exclusively by electricity or hydrogen. With HEVI’s lightest piece of electric heavy equipment, the GEL-1800, weighing in around 12,000 pounds qualification for this grant is expect with all of HEVI’s electric heavy equipment product line.