Electric Vehicle Incentive

Q: How much funding can be received?

Electric Vehicle Incentive Funds up to 4000% of admissible expenses.

Q: What is the deadline to apply?

The deadline to apply is not specified.

Q: Is the Electric Vehicle Incentive a grant, loan, or tax credit?

Electric Vehicle Incentive is a Grant and Funding

Q: Who are the financial supporters of the Electric Vehicle Incentive?

Electric Vehicle Incentive is funded by Government of Prince Edward Island

Q: Who is eligible for the Electric Vehicle Incentive program?

To be eligible for the Electric Vehicle Incentive program, you must: • Organizations and private businesses can access up to five incentives per year. • Fleet vehicles are eligible.

Q: Who can I contact for more information about the Electric Vehicle Incentive?

You can contact Government of Prince Edward Island by email at EVIncentive@gov.pe.ca.

Q: Where is the Electric Vehicle Incentive available?

The Electric Vehicle Incentive program is available the province of PE.

Q: Are startups eligible for the Electric Vehicle Incentive program?

Yes, startups are eligible to apply for the Electric Vehicle Incentive program.

Q: Are Indigenous Peoples eligible for the Electric Vehicle Incentive program?

Yes, Indigenous Peoples are eligible to apply for the Electric Vehicle Incentive program.

Last Update: July 25, 2025

PE, Canada

Financial incentive for electric and plug-in hybrid vehicle purchases

At a glance

Eligible Funding

Max. $4,000

Timeline

Unspecified

Financing Type

Grant and Funding

Eligible Industries

Retail trade
Transportation and warehousing
Other services (except public administration)
Public administration

Funds Providers

Unspecified

Program status

Open

Overview

The Electric Vehicle Incentive offered by the Government of Prince Edward Island provides up to $4,000 in rebates for eligible electric vehicles and up to $2,000 for plug-in hybrid electric vehicles. The program supports the purchase or lease of new and used battery electric and plug-in hybrid vehicles to encourage eco-friendly transportation.

Financing terms and conditions

Rebate of $4,000 for eligible new electric vehicles (BEVs) and $2,000 for eligible new plug-in hybrid electric vehicles (PHEVs) purchased after June 2, 2025.
For vehicles leased after June 2, 2025: BEV lease incentive of $4,000 for leases of 48+ months, $3,000 for 36 months, $2,000 for 24 months, and $1,000 for 12 months. PHEV lease incentive of $2,000 for 48+ months, $1,500 for 36 months, $1,000 for 24 months, and $500 for 12 months.
For vehicles purchased prior to June 2, 2025: Rebate of $5,750 for BEVs and $3,250 for PHEVs; lease incentives scaled by term length.
Used BEVs and PHEVs must have a sticker price of $70,000 or less to qualify for the incentive.

Activities funded

Purchase of new battery electric vehicles (BEVs) for individual or organizational use.
Purchase of new plug-in hybrid electric vehicles (PHEVs) for individual or organizational use.
Purchase of used battery electric vehicles (BEVs) or plug-in hybrid electric vehicles (PHEVs) that meet the program's requirements.
Leasing of new battery electric vehicles (BEVs) or plug-in hybrid electric vehicles (PHEVs) for personal, business, nonprofit, municipal, or Indigenous organizational fleets.

Examples of admissible projects:

$ 60,000

Upgrading digital booking systems for artisan bakery operations

$ 99,000

Launching a solar panel installation service for local homeowners

$ 67,000

Implementing accessible washrooms at popular local community centre

$ 93,000

Modernizing meat processing with automated packaging technology

$ 50,000

Expanding youth arts workshop with new multimedia equipment

$ 120,000

Expanding local craft brewery with new canning line investment

Eligibility

The applicant must be a business, non-profit organization, Indigenous group, First Nations organization, or municipality operating in Prince Edward Island.
Eligible organizations may access up to five incentives per year.
The business must purchase an eligible new or used battery electric or plug-in hybrid electric vehicle through a licensed dealership (Island or off-Island) or online.
Fleet vehicles purchased by businesses are eligible.

Who is eligible?

Organizations
Non-profit organizations
Private businesses
First Nations and Indigenous Groups
Municipalities

Who is not eligible

Private sales are not eligible for incentives.
Companies or individuals purchasing Tesla vehicles as of March 25, 2025 are not eligible.

Eligible expenses

Purchase or lease of eligible new or used battery electric vehicles (BEVs) or plug-in hybrid electric vehicles (PHEVs).

Eligible geographic areas

Prince Edward Island

How to apply

Confirm vehicle and rebate eligibility

Determine if you are purchasing from a PEI dealership or from an off-Island dealership
Review applicable rebate amounts based on your vehicle and date of purchase
Check that your vehicle meets Transport Canada’s eligibility requirements

Arrange purchase and apply rebate

If buying from a PEI dealership, visit the dealership to arrange your purchase
The dealership provides the point-of-sale rebate directly on your bill
If buying from an off-Island dealership, register your vehicle in PEI before applying

Prepare necessary documents

Bring the bill of sale or lease agreement from a licensed dealership
Present a valid PEI driver’s license
Provide a payee registration form and a void cheque for direct deposit (form available at Access PEI)

Complete application form

Complete the application form for the rebate
You may fill it out in advance or complete it at Access PEI during vehicle registration
Ask Access PEI staff for assistance if needed

Submit your application

Submit the completed application form and all supporting documents at the Access PEI location
The rebate application will then be processed for approval

Additional information

Incentive amounts differ depending on the purchase date, with updated rebate values applying as of June 2, 2025.
Rebates are administered as point-of-sale reductions at PEI dealerships, while off-island purchases require applicants to register and apply at Access PEI locations.
A prorated repayment of the incentive is required if the vehicle is sold within one year of purchase.
Each vehicle is eligible for one new and one used EV Incentive, tracked by VIN.

Contacts

EVIncentive@gov.pe.ca

Apply to this program

Frequently Asked Questions about the Electric Vehicle Incentive Program

Here are answers to the most common questions about the Electric Vehicle Incentive. This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.