Companies like Rivan and Lucid could be exempt from the price caps that bar EVs from qualifying for California's new incentive program.
Patrick T. Fallon/AFP via Getty Images
California is launching a new incentive program for first-time electric vehicle buyers that gives companies like Rivian and Lucid an edge.Gov. Gavin Newsom signed a bill, SB 168, into law on Monday that will give first-time EV customers an instant incentive of $3,500 on a new vehicle and $1,750 toward a used one at the point of sale.The program, called MyFirstEV, is expected to launch this summer, though the state did not announce an exact start date. A spokesperson for the California Air Resources Board (CARB), which will administer the statewide program, told Business Insider that the agency expects to announce participating automakers next month.The bill has a price cap for EVs to qualify. New vehicles can't have a manufacturer's suggested retail price above $50,000, while used vehicles can't sell for more than $25,000.However, the law exempts EV makers headquartered in California that manufacture only zero-emission vehicles, allowing companies like Rivian and Lucid to participate in the incentive program regardless of vehicle prices. Rivian is headquartered in Irvine, while Lucid is based in Newark.Both companies sell vehicles priced well above the bill's caps. Rivian's R1T truck has a starting price of under $80,000. Lucid primarily sells luxury EVs, with the Air sedan starting at around $71,000.A Lucid spokesperson told Business Insider that it intends to participate in the statewide program and that Lucid Air and Gravity vehicles will be eligible for California customers.
