California Hybrid Truck and Bus Voucher Incentive Project
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Hybrid Truck & Bus Voucher Incentive Project
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ABOUT THE HYBRID TRUCK & BUS VOUCHER INCENTIVE PROJECT (HVIP)
 
The California Hybrid Truck and Bus Voucher Incentive Project (HVIP) is a unique and streamlined program to help speed the early market introduction of clean, low-carbon hybrid trucks. HVIP accomplishes this by addressing the biggest barrier for fleet purchase of medium- and heavy-duty hybrids: the high incremental cost of these vehicles in the early market years when production volumes are still low.

The HVIP is designed to offset about half of the incremental additional cost of eligible hybrid medium- and heavy-duty vehicles using a simplified purchase voucher. This amount was deemed critical by fleets and manufacturers to assist the early market. The HVIP is also designed to assist fleets and dealers by reducing this cost right at the time of purchase, and has been designed to simplify implementation. Dealers request a voucher with their fleet customers at the time of order; the amounts are pre-set for each qualified vehicle. This first-in-the-nation approach can become a model for effectively spurring clean vehicle technologies.

HVIP provides a meaningful "kick-start" to the low-emission hybrid truck and bus industry; it could help deploy up to 800 vehicles, potentially growing the nation's early market hybrid truck volumes by 50 percent. Since hybrid technology reduces greenhouse gas and criteria emissions, and cuts petroleum use, HVIP provides a strong public benefit by helping speed commercialization of these technologies and supporting a critical ramp-up in production that is necessary to meeting California’s clean air goals.

The HVIP vouchers range from $10,000 to $45,000 on a first-come, first-served basis for the purchase of an eligible new hybrid truck or bus. The HVIP is administered and implemented through a partnership between ARB and CALSTART (which was selected by ARB via a competitive grant solicitation).

The complete rules and conditions of the program are available in the HVIP Implementation Manual .

To find out what dealers need to know to take part, visit the Dealer section of this web site. For fleet background on how to take part, visit the Fleet section. Vehicle manufacturers can learn how to qualify their hybrid products on the Manufacturers page.

Background

In 2007, Governor Schwarzenegger signed into law the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007 (AB 118, Statutes of 2007, Chapter 750). AB 118 created the Air Quality Improvement Program (AQIP), a voluntary incentive program administered by ARB to fund clean vehicle and equipment projects, air quality research, and workforce training. ARB’s funding, based on projected revenues for AQIP projects in the Fiscal Year (FY) 2009-10 State Budget, is $34.6 million.

In April 2009, ARB adopted AQIP Guidelines that establish minimum administrative and implementation requirements, providing the overarching rules for how ARB will run this incentive program. The AQIP Guidelines include the procedures for issuing project solicitations and selecting projects.

In April 2009, ARB also approved the AQIP Funding Plan for FY 2009-10 (Funding Plan), which serves as the blueprint for expending FY 2009-10 AQIP funds. The Funding Plan establishes ARB’s priorities for the funding cycle, describes the projects ARB will fund in FY 2009-10, and sets funding targets for each project. Under the Funding Plan, AQIP funds will be focused on supporting development and deployment of the advanced technologies needed to meet California’s longer-term, post-2020 air quality goals. The Funding Plan establishes the HVIP as the cornerstone of the AQIP for FY 2009-10, accounting for about 60 percent of this year’s funds. The AQIP Guidelines and Funding Plan are available at: http://www.arb.ca.gov/msprog/aqip/aqip.htm.
 
 

This project sponsored by the California Air Resources Board and implemented by CALSTART.