March 29, 2023 - (Monterey, CA) U.S. Representatives Jimmy Panetta (CA-19), Congressional Bike Caucus Chairman Earl Blumenauer (OR-03), Mike Thompson (CA-04), and Adam Schiff (CA-30) reintroduced the Electric Bicycle Incentive Kickstart for the Environment (E-BIKE) Act to encourage the use of electric bicycles, or e-bikes, through a consumer tax credit. Senator Brian Schatz (D-HI) has introduced companion legislation in the Senate.
E-bike use on the rise throughout the country to reduce vehicle trips, commute times, and carbon emissions. It’s estimated that half of all trips in the U.S. are less than three miles, and nearly 60 percent of vehicle trips are less than 6 miles away from drivers’ homes. A study found that if 15 percent of car trips were made by e-bike, carbon emissions would drop by 12 percent.
“Many people are looking to get out of their cars and get on to e-bikes not just for recreation, but also for transportation purposes,” said Rep. Panetta. “Although we’re seeing more people on them in our communities, more needs to be done to ensure that everybody across our country has access to an e-bike. With its fully refundable tax incentives for those in the lower economic levels, the E-BIKE Act is a commonsense way to encourage the ownership of e-bikes. By incentivizing Americans to own and use e-bikes, we are allowing them the chance to help improve the quality of life in our communities and tackle the climate crisis in our country.”
“Cycling is the most efficient form of human transportation ever devised. By burning calories instead of fossil fuels, we can make our communities healthier and more livable,” said Rep. Earl Blumenauer, the founder and co-chair of the Congressional Bicycle Caucus, “With an e-bike, anyone can be a bike commuter, but the high cost discourages too many consumers. That is why I am so excited about the E-BIKE Act. Let’s get more people off of the highway and into the bike lanes.”
“Cycling is more than a hobby, it is an alternative method of transit that reduces emissions and helps us address the climate crisis,” said Rep. Thompson. “Electric bike use is on the rise but e-bikes remain a financial hurdle that many cannot afford. The E-BIKE Act will make it easier for more Americans to purchase electric bikes and help us reduce emissions and improve the quality of life of our communities.”
“Electric bikes are a phenomenal way to traverse our communities, combining the beauty of the outdoors with the ease and benefits of sustainable transportation,” said Rep. Schiff. “These bikes should be available to all who would choose to use them, which is why I’m proud to join Rep. Panetta’s Electric Bicycle Incentive Kickstart for the Environment Act to help reduce the cost of e-bikes to be more accessible for all families and individuals.”
“Transitioning to a clean energy economy includes changing the way we get around. That means transit, rail, and electric buses, cars, and bikes. Our bill will make it more affordable for working people to buy an e-bike and help get cars off the road,” said Senator Schatz, chairman of the Senate Appropriations Subcommittee on Transportation, Housing and Urban Development.
The E-BIKE Act consumer tax credit:
• Covers 30% of the cost of the electric bicycle, up to a $1,500 credit
• Applies to new electric bicycles that cost less than $8,000
• Is fully refundable, allowing lower-income workers to claim the credit
In 2022, Denver implemented an e-bike rebate program. By the end of the year, more than 4,700 e-bike rebates were issued with nearly half going to low-income residents. In a survey, 71 percent of those who rode e-bikes said it helped them cut down on their car usage. The program was estimated to have cut 2,040 metric tons of carbon dioxide in 2022 and saved nearly $1 million in avoided fuel and electricity costs, according to the Rocky Mountain Institute.
The E-BIKE Act is endorsed by; PeopleForBikes, the League of American Bicyclists, Sierra Club, the Natural Resources Defense Council, Environment America, U.S. PIRG, New Urban Mobility alliance (NUMO), REI, CALSTART, E2, GreenLatinos, Ecology Action, and the Outdoor Industry Association,.
“Incentivizing electric bicycles makes them a competitive transportation option for more Americans and supports a national effort to lower carbon emissions,” said PeopleForBikes CEO Jenn Dice. “The E-BIKE Act rightfully positions electric bicycles as a critical part of a larger solution to climate change and equitable mobility. We’re grateful to our climate leaders in Congress leading the charge on e-bikes.”
“The League knows life is better for everyone when more people ride bikes, and we know e-bikes make biking a more accessible and easier option for more Americans,” said Bill Nesper, executive director of the League of American Bicyclists. “We’re encouraged by congressional leadership on the E-BIKE Act, a bill that if passed will enable Americans to fight climate change and improve public health through the simple act of bicycling.”
“This incentive will benefit small businesses that sell e-bikes around the country; it will lower emissions and it will allow more people the ability to access a cost saving, flexible, healthier transportation option,” said Sandra Purohit, Director of Federal Advocacy for (E2) Environmental Entrepreneurs. “It is the type of win-win-win for the economy, the environment and everyday people that we need.”
“Ebikes allow a wide variety of users to go further and faster with less effort than a pedal bike, therefore increasing sustainable and healthy mobility,” said Piet Canin, Ecology Action Strategic Development Director. “But many American’s cannot afford the upfront cost of an ebike, even though ebikes will save them money over the long run. Regional financial ebike purchase incentives have eliminated that barrier, giving many low and medium income families access to this new green transportation technology.”
“E-bikes let Americans have our cake and eat it too. They’re fast, fun and a climate solution to boot. We should accelerate adoption of e-bikes by providing tax credits to make healthy, green transportation options more affordable. Thank you Rep. Panetta for leading the charge!” said Lisa Frank, Executive Director, Washington Legislative Office, Environment America.
“Everyone deserves zero emission transportation they can afford and access. Low income communities of color disproportionately lacke modes of transportation that support their well-being and overall environment,” said Amanda Pantoja, Sustainable Communities Consultant for GreenLatinos. “As we work to decarbonize our transportation system, we need innovative federal solutions, like the E-BIKE Act, that give people the resources to choose mobility options that keep them healthy and tackle carbon emissions in their community.”
“E-bikes are a significant low-carbon, accessible and convenient option for many, many trips and with this proposal, affordable to many,” said Harriet Tregoning, Director of NUMO. “It’s a very smart and cost-effective way to help decarbonize the transportation sector and provide an affordable travel option.”
“At REI Co-op, we believe time outside is fundamental to a life well lived. The Electric Bicycle Incentive Kickstart for the Environment Act would offer a 30 percent tax credit of up to $1,500 on the purchase of new e-bikes, helping to make electric bicycles a competitive transportation option for more Americans. We are excited to support this savvy solution that not only helps more individuals get outside and stay physically active, but also bolsters national efforts to lower carbon emissions,” said Taldi Harrison, Head of Government Affairs REI Co-op.
“Every trip taken by bike instead of car is a win for the climate. Increasing access to e-bikes will revolutionize our transportation system by changing the way people commute and replacing vehicle trips. This is already happening and e-bike sales are soaring. A federal e-bike tax credit will improve affordability and help us reach an adoption tipping point,” said Will Anderson, Sierra Club’s Deputy Legislative Director for the Clean Transportation for All campaign.
“E-bikes are changing the way people move around their communities, and this is a win-win for public health and the environment,” said Laura Davis, Transportation Advocate, U.S. PIRG. “With federal tax credits, more people will have the freedom to choose this sustainable and healthy mode of transportation, resulting in less traffic congestion and air pollution for everyone.”
“Reaching our industry’s goals to be climate positive by 2030, not to mention President Biden’s aim to reduce our nation’s overall emissions by 50 percent by the end of the decade, will be no easy feat. Fortunately, through legislation like the E-BIKE Act, we can positively incentivize all Americans to take small acts on their own to lower their carbon footprint, while also improving the overall health and wellness of our communities,” said Kent Ebersole, interim executive director of Outdoor Industry Association.
“Emerging transportation technologies and operating models are critical in reducing our transportation footprint. The E-BIKE Act is part of the whole system approach to reduce vehicle miles traveled as we grow the zero-emission transportation sector. Putting the power of new mobility in the hands of communities, especially those historically and currently underserved by traditional transportation systems, is at the heart of CALSTART’s Innovative Mobility Initiative. CALSTART is grateful for leaders in Congress who are working every day to advance zero-emission transportation technologies and we look forward to working with advocates, policymakers, and the bike industry to advance this important legislation,” said Robyn Marquis, CALSTART Director of Innovative Mobility.
