To read the full release, scan the QR code. https://www.governor.virginia.gov/ newsroom/news-releases/2024/ june/name-1028520-en.html OOn June 5, 2024, Gov. Youngkin announced the end of the California electric vehicle mandate in Virginia, effective at the end of 2024 when California’s current regulations expire. An official opinion from Attorney General Jason Miyares, in response to a request by Gov. and Senate Republican Leader Ryan McDougle, confirmed that Virginia is not required to comply with expansive new mandates adopted by the unelected California Air Resources Board (CARB) set to take effect Jan. 1, 2025. VADA President and CEO Don Hall’s Statement Our support for the California Air Resources Board standards was done to drive demand for fully electric vehicles in Virginia and support dealer interests, as doing so put the Commonwealth in a stronger position for manufacturers to send EVs to our dealers and consumers. The reality, however, is that consumer demand for EVs in Virginia and nationally has not yet materialized, compounded by costs, “range anxiety” and the lack of charging and electrical infrastructure to support these new vehicles. We continue to believe EV goals are achievable, but on a longer timeline. We respectfully have come to the point where we believe Virginia should uncouple itself from these standards at this time. The lack of bipartisan support and funding for the standards means an unfunded mandate is weighing down Virginia with goals that are impossible to attain in the 2035 timeframe, as currently required. Virginia and many other states continue to be held under federal emissions standards, which do not necessarily require all vehicles be zero-emissions, opening the door for more hybrid vehicles in addition to a mix of EVs and internal-combustion engine (ICE) vehicles. Despite government-driven goals, it is important to recognize that Virginians, and all Americans, will always have a choice in the type of vehicles they buy. Virginia dealers continue to be “all in” to sell and service not only EVs, but also hybrid and ICE cars and trucks. Virginia dealers will continue to make investments to prepare for the electrification of the transportation industry. We appreciate the attorney general’s focus on protecting consumers and Virginia businesses. Without full support from the legislature and Virginia’s administration, an unfunded mandate only hurts our dealers — and the drivers and families they serve. Moving forward, it is critical to find a balanced approach that considers industry realities, consumer needs, and policies that help, not hinder, progress. We remain committed to discussions at the state and national level to ensure automobile dealers can continue to meet the needs of their customers and communities. Background on CARB in Virginia In 2021, Virginia lawmakers, with VADA’s support, adopted California’s CARB zero-emissions vehicle (ZEV) mandates. The move was meant to help pave the way for more fully electric vehicles in Virginia. Under CARB, Virginia regulations require 100% of all new vehicles in Virginia to be fully electric by 2035. Why? Because states that adopted and implemented the ZEV standards were put in a stronger position to receive EVs consumers want to buy, as manufacturers receive federal tax credits for EV sales. Furthermore, most auto manufacturers made it clear they are committed to phasing out gas-powered engines over the vada.com 9
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