Governor Arnold Schwarzenegger announced massive tax breaks for the electric vehicle industry yesterday — and in the process convinced Tesla Motors to site a new facility for a sub $60K vehicle in California. According to the plan (approved last Wednesday), the new law exempts automakers from paying sales and use tax on manufacturing equipment used to build EVs. This is expected to save companies in the industry millions of dollars. From the press release,
“These vehicles can play a big part in helping California successfully implement its groundbreaking laws to fight climate change,” said State Treasurer Bill Lockyer, who chairs CAEATFA. “By offering this financial incentive, our goal is to ensure zero-emission vehicles realize their full potential in our state. In the bargain, we believe the policy will bolster our emerging green economy, create good-paying jobs and reduce our dependence on foreign oil. I’m very pleased the policy helped convince Tesla to build its high-performance electric cars in California.”
Tesla’s new car is slated for production in 2010 — right around the time that Chevrolet is planning on releasing their $30K Volt. Once again, kudos to California for pushing this industry forward.
via autobloggreen
