Colorado leads the charge with innovative incentives boosting EV adoption – Matthew Groves
On today’s episode of Inside Automotive, Matthew Groves, CEO of the Colorado Automobile Dealers Association, will give us a glimpse of the Association’s agenda and where the state currently stands on EV adoption.
Key Takeaways
1. Colorado is charting its own path for EV adoption, significantly influenced by state and federal incentives. Colorado offers up to $23,000 in combined incentives for EV purchases, including a $7,500 federal tax credit, a $5,000 state tax credit, and additional utility provider incentives. These substantial incentives help maintain high EV adoption rates in Colorado, even as national trends show a decline.
2. Hybrids are gaining popularity in Colorado, achieving nearly 10% market share without any incentives. Groves sees hybrids as an essential transitional technology, helping to reduce tailpipe emissions and serving as a stepping stone for future EV buyers. The experience of driving a hybrid is expected to make consumers more open to fully electric vehicles in the future.
3. The Colorado Automobile Dealers Association is focusing on becoming more technologically forward. This includes validating data and enhancing communication across all dealership levels. The Association aims to evolve from being just a legislative representative to serving as a consultant for various dealership operations, ensuring comprehensive support from finance to service.
4. The interview highlights the growing interest and concern around AI in the automotive industry. Groves emphasizes the need to understand and manage data responsibly, given that regulations often lag behind technological advancements. The potential of AI is vast, but dealerships need to be cautious about data control and compliance with emerging regulations.
5. Groves discusses the tension between promoting electric vehicles and broader environmental goals. While there is a push for zero-emission vehicles, some environmental advocates are now calling for reduced car usage altogether in favor of public transit and bike lanes. This movement could threaten the auto industry if it gains momentum, although current consumer sentiment still strongly favors personal vehicles.
“I’ve seen purchase orders that are given up to $23,000 back on the purchase of a new electric vehicle in Colorado so that obviously is one of the major reasons that we have not papered off and we’re staying in those high teens.” – Matthew Groves
