GreenPower All-Electric Vehicles Eligible for Commercial Clean Vehicle Credit of up to $40,000 Under the Inflation Reduction Act

Rhea-AI Summary

GreenPower Motor Company Inc. (NASDAQ: GP) has become a qualified manufacturer for the commercial clean vehicle credit under the Inflation Reduction Act. This credit allows businesses to receive up to $40,000 for electric vehicles over 14,000 pounds GVWR and $7,500 for those under 14,000 pounds, with no cap on the number of claims. The incentive aims to boost EV adoption and support domestic production. Brendan Riley, President of GreenPower, noted that these credits will make all-electric vehicles more economically attractive compared to internal combustion engine units.

Positive

• Qualified for commercial clean vehicle credit, enhancing market competitiveness.
• Potential tax credits of up to $40,000 for large electric vehicles; boosts demand.

Negative

• None.

LOS ANGELES, Feb. 22, 2023 /PRNewswire/ -- GreenPower Motor Company Inc. (NASDAQ: GP) (TSXV: GPV) ("GreenPower"), a leading manufacturer and distributor of purpose-built, all-electric, zero-emission medium and heavy-duty vehicles serving the cargo and delivery market, shuttle and transit space and school bus sector, today announced the company is now a qualified manufacturer for the commercial clean vehicle credit under the Inflation Reduction Act.

GreenPower's all-electric commercial vehicle models weighing greater than 14,000 pounds GVWR are eligible for up to $40,000 in tax credits. Tax credits for vehicles weighing less than 14,000 pounds GVWR are available for up to $7,500.

On Jan. 1, 2023, the commercial clean vehicle credit became available to businesses and tax-exempt organizations for the purchase of new electric vehicles to incentivize the adoption of EVs and support domestic production. Currently, there is no limit on the number of tax credits a business can claim.

"As businesses continue to explore and invest in electrifying their fleets, they need help with costs to accelerate adoption," said Brendan Riley, President of GreenPower. "By being a qualified U.S. manufacturer, we can proudly provide better, cleaner and safer transportation alternatives to businesses looking to deploy purpose-built, all-electric vehicles including trucks and cargo vans. With the tax credit, owning an all-electric commercial vehicle will be more affordable in the long run than ICE units, in many cases."

GreenPower's innovative technologies can help businesses drive down fuel costs and minimize maintenance costs while delivering outstanding reliability, efficiency and helping address climate change.

GreenPower vehicles available for the credit include:

• EV Star: A multi-purpose, zero-emission, passenger transportation vehicle with a range of up to 150 miles and dual charging capabilities. The EV Star is the only Altoona tested vehicle in its class with the highest score of 92.2 and can be used for paratransit, employee shuttles, micro-transit, and vanpool service.
• EV Star Cab and Chassis: The EV Star remains GreenPower's flagship vehicle designed to take on any mid-and-last mile delivery while maintaining the benefits of being a zero-emissions vehicle. Classified as a heavy-duty class 4 mini-bus, the EV Star has a carrying capacity of 6,000 pounds and offers a 118-kWh battery capacity, capable of up to 150 miles of range on a single charge.
• EV Star Cargo and Cargo Plus: GreenPower's EV Star Cargo line up exceeds delivery needs with a carrying capacity of up to 5,000 pounds, a cargo volume of up to 836 cubic feet and a driving range of 150 miles. The class 4 vehicle is made to carry deliveries and can take on the most challenging routes.
• Type D BEAST: GreenPower's all-electric, zero-noise pollution school bus features a Monocoque chassis and has been designed from the ground up to be battery electric. The BEAST's standardized features include air-ride suspension, ABS disk brakes, and pass-through storage with seating capacity of up to 90 passengers.
• Type A Nano BEAST: Purpose-built on GreenPower's flagship EV Star platform with proven efficiency and reliability, the Nano BEAST's clean sheet design approach facilitates optimal battery pack placement and weight distribution, allowing the vehicle to accommodate a larger energy supply, deliver a longer range and set the new standard for zero-emissions student transportation.

For more information on GreenPower's vehicle offerings visit www.greenpowermotor.com. To learn more about incentives and how to navigate the application process visit https://greenpowermotor.com/e-incentives-gp.

Media and Investor Contacts:
Mark Nestlen
VP of Business Development and Strategy, GreenPower
Mark.n@greenpowermotor.com

Allie Potter
Skyya PR for GreenPower
(218) 766-8856
allie@skyya.com

About GreenPower Motor Company Inc.

GreenPower designs, builds and distributes a full suite of high-floor and low-floor all-electric medium and heavy-duty vehicles, including transit buses, school buses, shuttles, cargo van and a cab and chassis. GreenPower employs a clean-sheet design to manufacture all-electric vehicles that are purpose built to be battery powered with zero emissions while integrating global suppliers for key components. This OEM platform allows GreenPower to meet the specifications of various operators while providing standard parts for ease of maintenance and accessibility for warranty requirements. GreenPower was founded in Vancouver, Canada with primary operational facilities in southern California. Listed on the Toronto exchange since November 2015, GreenPower completed its U.S. IPO and NASDAQ listing in August 2020. For further information go to www.greenpowermotor.com 

Forward-Looking Statements

This document contains forward-looking statements relating to, among other things, GreenPower's business and operations and the environment in which it operates, which are based on GreenPower's operations, estimates, forecasts and projections. Forward-looking statements are not based on historical facts, but rather on current expectations and projections about future events, and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. These statements generally can be identified by the use of forward-looking words such as "upon", "may", "should", "will", "could", "intend", "estimate", "plan", "anticipate", "expect", "believe" or "continue", or the negative thereof or similar variations. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict. A number of important factors including those set forth in other public filings (filed under the Company's profile on www.sedar.com) could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. Consequently, readers should not place any undue reliance on such forward-looking statements. In addition, these forward-looking statements relate to the date on which they are made. GreenPower disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. All amounts in U.S. dollars. ©2023 GreenPower Motor Company Inc. All rights reserved.

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SOURCE GreenPower Motor Company

FAQ

What is the commercial clean vehicle credit introduced by GreenPower (GP)?

The commercial clean vehicle credit allows businesses to receive tax credits up to $40,000 for electric vehicles over 14,000 pounds GVWR and $7,500 for those under 14,000 pounds.

What impact does the commercial clean vehicle credit have on GreenPower (GP)?

It enhances GreenPower's competitiveness by making their all-electric vehicles more affordable for businesses.

When did the commercial clean vehicle credit become available?

The credit became available on January 1, 2023.

How does the commercial clean vehicle credit benefit businesses?

It incentivizes the adoption of electric vehicles, lowering initial purchase costs and promoting fleet electrification.

What types of vehicles does GreenPower (GP) offer under the credit?

GreenPower offers models like the EV Star, EV Star Cab and Chassis, and all-electric school buses, all eligible for tax credits.