Are Internal Combustion Engines Going Away in Canada?

Are Internal Combustion Engines Going Away in Canada?

Posted on August 19, 2022

For this conversation, we will focus on light passenger vehicles. Tractor trailers that ferry all of the goods we need to live in Canada will probably be around for at least another decade or so before the technology is able to provide a viable alternative to the internal combustion engine.

Gas-powered cars in Canada will eventually become a thing of the past.

There is a government ban that comes into effect in the middle of the next decade; this ban does not allow carmakers to produce gas-powered cars.

So while you can buy a gas-powered car today, the days of being able to purchase these vehicles are numbered.

EVs are the future; it is just a matter of time

We still need vehicles to get around in Canada, so the car is not going away; it is just the way the vehicle is being powered.

The government has implemented carbon taxes on gasoline, which makes owning a gas-powered car more expensive to operate; the motivation behind these taxes is to make owning a gas-powered car so expensive that drivers have to switch to an EV.

Instead of spending $100+ to refuel your current gas-powered car, you could refuel a similarly equipped EV for a few dollars.

What you need to know about buying an EV in Canada

The biggest reason that most Canadians did not buy EVs when they first hit the market is no one was sure whether the EV would be able to adapt to life in Canada.

We have harsh winters, and the lack of charging infrastructure presented a series of unique challenges that gas-powered car owners would not face.

Fortunately, the latest generation of EVs is comparable in range and price to their gasoline fueled counterparts.

There has also been a substantial push to increase the number of charging stations throughout Canada. These latest developments now make owning an EV a practical option for most Canadians from coast to coast.

Financing the purchase of an EV

Since the retail price of an EV in Canada is similar to what you would pay for a gasoline-powered vehicle, most Canadians are now opting for the EV.

As the number of EVs increase on the road, auto financing companies are now starting to underwrite more loans, this means that you can easily access a competitive EV car loan provided you meet the minimum underwriting requirements.

Requirements to access an EV car loan in Canada

To access the financing for the purchase of an EV in Canada, you need a credit score of 600 or higher.

If your credit score is under 600, you are classified as a subprime borrower. If you are not sure whether you meet this requirement, you should contact your local car dealership and find out from the experts what loan options are currently available.

The sooner you make the switch to an EV, the happier you will be.

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