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What is the Hybrid Voucher Incentive Project (HVIP)?
The California Air Resources Board (ARB) created the HVIP to speed the market introduction of low-emitting hybrid trucks and buses. It does this by reducing the cost of these vehicles for truck and bus fleets that purchase and operate the vehicles in the State of California. The HVIP voucher is intended to reduce about half the incremental costs of purchasing hybrid heavy-duty trucks and buses. Read About the Project to learn more.
Why did the ARB do this?
Hybrid trucks and buses are fairly new technology and are therefore more expensive than traditional vehicles, especially in the early market when production volumes are low. ARB recognizes that hybrids have the proven ability to reduce criteria and greenhouse gas (GHG) pollutants in California and aims to accelerate the penetration of these cleaner vehicles to meet state clean air regulations and climate change goals. HVIP will help fleets purchase hybrids immediately and will meaningfully increase the production of these vehicles.
Why did ARB design the program around a voucher?
ARB worked with industry, fleets and other organizations to learn what approach would best speed introduction of low-emitting medium- and heavy-duty hybrids. ARB found several issues needed to be addressed. One of the major barriers was the current high cost of hybrid vehicles at low production, and the fact that commercial fleet purchasers need the cost reduction to come at the time of purchase to change their purchase decision. The amount of reduction needed in the early market was determined to be roughly half the incremental (extra) cost of a hybrid compared to a conventional vehicle. Finally, ARB determined that a simplified program, not requiring a long proposal process, was best for spurring purchase. The voucher provides a streamlined, first-come, first-served incentive and allows fleets to guarantee a reduced price on an eligible vehicle at the time of order. Dealers then get a rapid payment for the voucher at the time of vehicle delivery and registration.
How much are the vouchers worth?
The voucher amount ranges from $10,000 to $45,000 for Eligible Vehicles depending upon the truck or bus Gross Vehicle Weight (GVW), whether it is the first truck purchased by a fleet, and whether it is certified with the ARB. The vouchers will be available on a first-come, first-served basis for purchase of each eligible new hybrid truck or bus. See the list of Eligible Vehicles.
Can I apply for more than one voucher?
Only one voucher will be assigned per vehicle, but you may apply to purchase more than one eligible vehicle and vehicle type. The limit per fleet is 100 vouchers. To apply, fleets work with dealers to place an order for an eligible vehicle(s); the fleet works through his/her dealer to apply for the voucher at that time.
I represent a dealership. How do I apply for a voucher?
Dealers are the lynchpin of HVIP. Dealers have to be registered to be able to submit voucher requests for their customer’s orders. By doing this in advance we greatly streamline the process so voucher payments can be made quickly once the vehicle is delivered. Your first step is to successfully complete HVIP Training. Once the terms and conditions of the program are signed and the training is completed, you will be eligible to apply online for vouchers. However, a dealer always applies with a fleet for each voucher; and each application must represent a real hybrid truck order.
For a sample "Dealer Terms & Conditions" click here
For a sample "Purchaser Terms & Conditions" click here
I represent a fleet. How do I apply for a voucher?
Fleets should first see if the vehicle they plan to buy is on the eligible vehicle list, and prepare to place an order to buy (or lease). A voucher request is made together with a dealer at the time of your order. Please contact your truck or bus dealership to ensure that it is aware of the program and undergoes HVIP Training, or see the list of currently eligible dealerships.
For a sample "Dealer Terms & Conditions" click here
For a sample "Purchaser Terms & Conditions" click here
I’m a large fleet that buys trucks directly from a manufacturer and not a dealer. How would HVIP work for me?
Some large fleets purchase vehicles directly from a manufacturer. The manufacturer in this instance would be treated as a dealer for the purposes of HVIP, and the fleet would work directly with the manufacturer (who has been registered as a dealer for HVIP) to apply for vouchers directly.
I missed the in-person HVIP Training. What do I do now?
Webinars are also available: check the training schedule. In addition to the four in-person training sessions and the webinars, an on-line HVIP Training Webinar will be posted for your convenience. You may complete the training by watching it.
I represent an Original Equipment Manufacturer or a Supplier. How do I get my products on the eligible list for vouchers?
If your company makes hybrid trucks or buses or related components, apply to be on the eligible vehicles list with the ARB. There are specific steps you must follow. Listing is not automatic unless your company gets certified with the ARB.
What are the benefits of medium- and heavy-duty hybrids?
Hybrid trucks and buses have been shown in testing to reduce both greenhouse gases and fuel use by 20-50 percent, depending on the vehicle and its application. Some hybrids are showing even greater reductions, especially when combining reductions from turning off the engine at work sites and at stops, incorporating advanced designs, and including low-carbon fuels. Hybrids also further reduce criteria (smog-causing) emissions beyond the level of the certified engine in the vehicle (on a gram/mile basis). ARB estimates this reduction at 25 percent. Hybrid technology is also an important strategic advantage for the United States: U.S. and North American manufacturers are currently the world’s leaders in developing and producing these vehicles, which retain jobs today and create new green tech jobs in the years ahead.
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