Looking for Incentive?

In 2003, the government subsidized the SUV market by giving up to $100,000 in deductions for the purchase—making such a vehicle practically free if you could afford the cost upfront. It was technically part of a bill designed to help farmers purchase vehicles, but any vehicle around 6,000 Lb was eligible, not just those intended for use on farms. This loophole was exploited by car salesmen, consumers, and oil companies alike. The environment was not consulted. Over 100 million dollars were allocated that year for such an expense. Although the subsidy was decreased afterward, the loophole remains. Next year, the figure may be as high as $500 million.

With such incentives remaining, it may be easy to see why SUVs continue to be so common. Obama plans to have legislation that requires all vehicles to have at minimum, a 35mpg efficiency. Many SUVs on the road currently have well below that. In the meantime, there is money to be made.

For those of us who care about the environment and are conscientious about how our actions affect others, we are not left out in the cold—completely. While not quite so generous, there are  federal and state subsidies available for those who adopt alternative energy sources and vehicles that rely on them. One of the benefits being offered in many states is that individuals who drive a vehicle based on alternative such as an electric car or a hybrid, may obtain special license plates that allow them to make use of carpool (HOV) lanes. This can cut transit time by half for some. Subsidies were given last year (2010) for Hybrid cars. Those subsidies have since been discontinued in favor of electric cars and plugin hybrids. Each state also provides additional incentives for individuals.

You can look up the benefits available at the links below. 

http://www.hybridcars.com/local-incentives/region-by-region.html
http://www.hybridcars.com/federal-incentives.html 
http://egov.oregon.gov/ENERGY/TRANS/hybridcr.shtml
(Oregon, by Model)