Electric Vehicle Subsidies Could Hide in Larger Spending Bill

A free-market advocate is concerned that more than just keeping government going could be on the agenda later this month.

“The current bill that funds the federal government ends on December 20,” said Phil Kerpen with American Commitment. “Just five days before Christmas, they’re going to be able to use this threat and the risk of a government shutdown to pass the bill that funds the government and it looks increasingly likely that totally unrelated provisions may be included, including tax provisions.”

Kerpen is concerned about a proposal that started in the House of Representatives as the GREEN Act.

“It’s got a five-year extension of the wind production tax credit, a five-year extension of the solar investment tax credit, revives the biodiesel blenders credit,” said Kerpen. “It blows the cap off the electric vehicle subsidies.”

In addition to increasing the cap for new electric cars, the GREEN Act also proposes allowing tax credits for the sale of used electric vehicles. Kerpen’s argument is things have changed a lot since the program started.

“The electric vehicle program in particular started 12 years ago,” said Kerpen. “Republicans voted for it because they were worried about the national security implications of oil dependency, foreign oil dependency. Well, last month we exported more oil than we imported. We’re now a net oil exporter for the first time in 50 or 60 years. The circumstance that they were trying to address is no longer even relevant.”

In addition, Kerpen believes there is enough market penetration for the program to stand on its own feet, but he is concerned that if it gets rolled into the budget bill, it will be hard for President Trump to veto, so he’s asking Kansans to let their Senators know they want them to vote on the GREEN Act separately.