Drive Clean Rebate for Electric Cars

Drive Clean Rebate — Point-of-Sale EV Incentive

Supports New York EV adoption through point-of-sale rebates for eligible new vehicles.

Eligibility · United States · US-NY

The Drive Clean Rebate is a point-of-sale incentive program administered by the New York State Energy Research and Development Authority that reduces the purchase or lease price of new plug-in hybrid and battery electric vehicles at the time of transaction. Funded through the Clean Energy Fund's transportation portfolio, the rebate is applied directly by NYSERDA-registered participating dealers — buyers do not file a separate claim. Approximately 79,000 new electric vehicles were registered in New York in 2023, reflecting the scale of EV adoption supported in part by this program. More than 60 eligible EV and PHEV models are on the NYSERDA vehicle list.

Rebate amounts are tiered by vehicle electric range: $2,000 for EVs with a range of 200 miles or more; $1,000 for EVs with a range of 40 to 199 miles; and $500 for vehicles with a range under 40 miles. Regardless of range, any vehicle with an MSRP above $42,000 is capped at a $500 rebate. Eligible purchasers include New York State residents, businesses, and government entities buying or leasing a new qualifying vehicle from a registered participating dealer. The rebate applies to both purchases and leases at point of sale.

The Drive Clean Rebate stacks with other incentives. New York State offers an additional 25 percent clean vehicle credit on the state tax return, and federal IRA clean vehicle credits of up to $7,500 apply to qualifying new EV purchases, enabling buyers to layer multiple incentive streams. No application deadline exists for buyers; the rebate is available on a rolling basis as long as program funding remains active. Customers should verify a dealer is registered with NYSERDA and confirm their target vehicle appears on the current eligible vehicle list before completing a transaction.