GNYADA April 2016 Newsletter

GNYADA Holds Collaborative Meeting on ZEVs Dealers inform regulators of barriers to achieving CARB’s sales goal

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regions. They jointly put forth these arguments:

During the opening week of the 2016 New York International Auto Show, GNYADA hosted a meeting between environmental agency representatives

include: rebates for fuel cell, electric, and plug-in hybrid vehicles with bat- tery capacities of more than 4 kilo- watt hours; a $2,000 consumer rebate; municipal purchasing rebates between $750-$5,000. NYSERDA will be responsible for the management and governance of the program, and will be ensuring that the program goes into effect no later than one year after the budget is enacted. Giving manufacturers credit for a ZEV sale for simply delivering a vehicle to a dealership lot, does not sufficiently motivate OEMs to get these vehicles into consumers’ hands. Incentives for buyers and dealers are needed to overcome ‘built-in’ disadvantages. Specifically, it takes salespeople longer to explain how to use a ZEV, and customers are usually much more comfortable with technology they’re already familiar with. Financial incentives, while not a permanent solution, are effective ways to help sales along. This includes sizable customer rebates — especially important given cur- rently low gas prices — as well as payment bonuses for any salespeo- ple who deliver a ZEV. ‘Range anxiety’ is a major hurdle for customers to get over. In addi- tion, in cold weather regions like n n n n

— from the New York State Department of Environmental Conservation, California Air

Resources Board and Northeast States for Coordinated Air Use Management — and representatives from northeast dealer associations. GNYADA welcomed the group at the Javits Center, and Association President Mark Schienberg then start- ed the dialogue that would allow deal- ers to advise regulators on the chal- lenges of selling ZEVs in northeastern markets. During the talks, attendees also began brainstorming solutions. The current standards created by CARB mandate that 15% of vehicles sold in the US be ZEVs, by 2025. The NESCAUM states, including New York, have signed on to meeting this requirement. At the meeting, dealers were in agree- ment on the current barriers to achiev- ing CARB’s goal, in their respective

incentives for consumers considering a ZEV purchase, we commend Governor Cuomo and the Legislature for addressing GNYADA’s position that the State must create the right financial climate for buying and sell- ing clean-technology vehicles. GNYADA will continue working with NYSERDA and the Governor’s office to implement the most effective ZEV incentive program for dealers, con- sumers, and the state. the northeast, battery lives are greatly reduced when winter hits. Selling ZEVs will become much easier once battery technology improves. Bob Waterfall from the NYS DEC proposed a workgroup comprising various attendees of this initial meet- ing, to discuss and ultimately enact incentives. GNYADA commends the environ- mental agencies involved in this meeting for their eagerness to collab- orate with dealers on meeting these sales goals. GNYADA President Mark Schienberg addresses a panel of environmental agencies on the barriers to achieving CARB's 2025 goal.

NYS Legislature Agrees on ZEV Incentive Program

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The Governor’s Office and the NYS Legislature recently finalized the 2016-2017 state budget. GNYADA is happy to report that the budget includes a Zero Emission Vehicle (ZEV) incentive program for both consumers and municipalities. GNYADA has been working with the Governor, legislative leaders and environmental agencies since last year to enact such a program.

Key provisions of the program

While we would have liked greater

Greater New York Automobile Dealers Association • www.gnyada.com

The Newsletter • April 2016

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