It was only a matter of time before a member of Congress introduced a bill to repeal the $7,500 tax credit for electric plug-in vehicles (EV). It comes as no surprise that Representative Kelly (R-PA) be the one to drop such a bill.
Over the last year Rep Kelly has expressed his displeasure with the Chevrolet Volt calling it a car for the super wealthy. Here is a clip of Rep. Kelly talking about the Chevrolet Volt:
The bill was introduced on December 30, 2011 while members were out for the holidays and the House stood in a pro forma session. And while there are no reported cosponsors to date, that may change once Representative Kelly has a chance to go before the Republican Study Conference, a gathering of extra-conservative members, to tell his story. Also I’m sure his staff is working on a “the Volt is for the wealthy” Dear Colleague letter to share with fellow members asking for their support.
Dead on Arrival
In my opinion this bill was DoA. For starters it will never make it out of Ways and Means Committee. Why? The committee is chaired by Representative Dave Camp of Michigan, who on his own website posted the following:
“I have authored laws that provide consumers with a tax credit for the purchase of a hybrid, low-sulfur diesel, and plug-in electric vehicle.”
While this bill may have a chance of being discussed during special orders on the House floor, don’t expect much more than that. If it were to make it over the committee-hurdles and the Speaker decides to bring it to the floor, don’t expect it to go anywhere in the Senate. It’s almost a given that the Senators from Michigan, Levin and Stabenow, would never support such a repeal. But don’t think the Senators from Michigan are the only ones with a dog in this fight.
The Senators from Tennessee, Corker and Alexander, are both supporters of EV tax credits. After all Tennessee is not only home to Nissan’s North American Headquarters, but also where the Nissan Leaf is built. It goes without saying the Senators from California, Feinstein and Boxer, would do their part to protect this tax credit. California is home to PEV makers CODA, Fisker and Tesla.
It’s fair to say automakers need spend little money advocating against this legislation and can get back to lobbying for an increase of the current 200,000 unit cap on PEVs and converting the tax credit into an instant rebate.
Full text of Representative Kelly’s legislation follows: