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More Canadians must buy electric cars, Industry Minister François-Philippe Champagne said Thursday after a federal memo proposed that cabinet nearly double rebates.

“We need to make sure we have adoption,” Champagne testified at the Commons industry committee, starting that the feds are "working with [the] provinces." 

“What specifically?” asked New Democrat MP Brian Masse. “The federal incentive program is still in place,” replied Champagne, referring to a cabinet rebate of up to $5,000 for electric car buyers first introduced in 2019. 

Yet automakers, tasked with abysmal sales, want more than the current grant offered to buyers, even though the federal government says its incentive program has helped make EVs more affordable and increase sales. 

The Department of Environment has budgeted $2 billion for federal rebates. However, most Canadians consider electric autos too costly regardless of rebates, reported Blacklock’s Reporter.

According to Leger polling commissioned by the Canadian Taxpayers Federation (CTF), 59% of Canadians oppose the plan to phase out gas and diesel cars while only 29% endorse the mandate to ban the sale of gas and diesel-powered vehicles by 2035.

“We have seen what is going on in the United States,” the minister said, noting that U.S. tax-funded rebates have nearly doubled since their inception. 

“The United States is offering a clean vehicle tax credit that would provide eligible individuals with up to US$7,500 or approximately CDN$9,600 off an eligible new vehicle and up to US$4,000 or CDN$5,100 of an eligible used vehicle,” said the Department of Transport briefing note, Incentives For Zero Emission Vehicles Program.

The Department of Environment and Parliamentary Budget Office put current subsidies at $151.5 billion, including $52.5 billion for auto and battery manufacturers.

Conservative MP Rick Perkins earlier told a parliamentary committee that the EV industry only thrives wherever a “massive government subsidy” is in place, with automakers ‘doubtful’ that Canada will phase out new gas vehicles by 2035.

"Canadians want the option to buy new gas-powered minivans and diesel work trucks and taxpayers know this ban will cost us a fortune," said Franco Terrazzano, CTF Federal Director. 

The average price of a new vehicle in Canada is $66,000 — cheaper than the typical electric vehicle ($73,000). Unaccounted expenses include the “cost of retraining mechanics,” lost revenue for “gas stations with attached convenience stores” and higher insurance premiums.

“Trudeau should listen to Canadians, take this poll as a wake-up call and scrap his ban on new gas and diesel vehicles,” Terrazzano added.