Orange EV approved for California incentives of up to $120,000 per Class 8 electric truck
24 August 2016
Orange EV announced that businesses and organizations with fleets in California can receive a preliminary voucher of $95,000, increasable up to $120,000, toward the purchase of a new T-Series battery-electric Class 8 terminal truck with extended duty battery pack.
Orange EV electric terminal trucks have been operating up to 24+ hours per charge at sites from single shift to 24x7 in: railroad intermodal, LTL freight, manufacturing, retail distribution, waste management and warehouse container handling.
Vouchers can be approved within days, Orange EV said. Participating fleets commit to operating trucks in California for a minimum of three years, after which they may redeploy vehicles as needed. HVIP funds are paid directly to Orange EV thus directly reducing the capital fleets need to purchase T-Series trucks.
The balance of the truck purchase price can be financed, further reducing initial cash outlay and helping fleets pay the balance from savings in large expense items like diesel fuel.
Orange EV noted that fleets can spend annually on diesel fuel half or more of what they spend to buy the diesel truck in the first place. The penalties companies pay for operating older, dirtier trucks in California further increase the true cost of diesels. Because fleets can see lower total cost of ownership with electric compared to diesel terminal trucks, financing enables them to deploy electric trucks using budgets planned to buy and operate diesels. Incentives will continue to be an important tool to accelerate initial deployments, but it’s the per truck savings that will drive fleet-wide adoption, the company said.
It makes financial sense to begin deployment now, but if the financial upside of going electric isn’t enough, regulatory mandates have increased the urgency.Mike Saxton, Orange EV chief commercial officer