President Joe Biden's much-touted Inflation Reduction Act is paying off big time, particularly for the many thousands of Americans who have bought electric vehicles this year. EV buyers have saved more than $1 billion in upfront purchase costs since January 1 thanks to the 2022 bill's revamped incentives for electric car purchases, the U.S. Treasury Department said on Wednesday. That $1 billion has helped facilitate the purchase of some 150,000 new and used clean vehicles this year.
Leasing EVs has gotten increasingly popular, largely because the requirements vehicles need to meet to qualify for federal incentives are more lenient if a vehicle is leased. Consumer incentives are key to driving EV sales during a time when electric vehicles still typically cost more than equivalent combustion vehicles. The policy is part of a wider push from the Biden Administration to promote sales of cleaner cars and onshore key parts of the EV supply chain.
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