Question 1

Which federal EV rebate applies in Canada right now?

Accepted Answer

The iZEV program has ended. It was replaced by the Electric Vehicle Affordability Program (EVAP), live since February 16, 2026, offering up to $5,000 for battery-electric and hydrogen fuel cell vehicles and up to $2,500 for plug-in hybrids. Two conditions must both be met: the final transaction value must be $50,000 or less (no cap for EVs assembled in Canada), and the vehicle must be manufactured in Canada or a country with an active free trade agreement with Canada.

Question 2

Why is the Tesla Model 3 not eligible for Canada's EV rebate?

Accepted Answer

Canadian-market Tesla Model 3s are built at Giga Shanghai, and China does not have a free trade agreement with Canada. EVAP requires manufacture in Canada or a free-trade-agreement country, so the Model 3 is ineligible even at $39,490, well below the $50,000 cap. The Tesla Model Y, imported from Giga Berlin in Germany, does qualify. Quebec's provincial rebate has no free-trade requirement and still applies to the Model 3.

Question 3

Does Ontario have its own EV rebate?

Accepted Answer

No. Ontario's provincial EV purchase rebate ended in 2018 and has not been reinstated. Only the federal EVAP incentive applies in Ontario, plus any dealer or manufacturer incentives on your specific deal.

Question 4

How much does it cost to charge an EV in Ontario?

Accepted Answer

On Ontario's Ultra-Low Overnight rate of 3.9 cents per kWh, a typical electric SUV costs roughly $1.32 per 100 km. The same vehicle on a public fast charging network at $0.69 per kWh costs about $13.66 per 100 km. Comparable gasoline SUVs cost roughly $10 to $15 per 100 km.

Question 5

Do EV batteries need replacing?

Accepted Answer

Rarely. Geotab's study of more than 22,700 real-world EVs found batteries degrade about 2.3% per year, retaining roughly 81.6% of capacity after 8 years, above the 70% threshold most manufacturer warranties guarantee. Only about 0.5% of modern EVs ever need a replacement pack.

Question 6

Is EV insurance more expensive in Canada?

Accepted Answer

On average yes, roughly 36.8% more. Canadian data shows EVs average $3,131 per year versus $2,289 for gasoline vehicles, driven by higher repair costs, parts availability, and ADAS recalibration. Premiums vary widely by model, so quote your specific trim before buying.

Tesla Model 3 Premium RWD

Federal EVAP rebate: Not FTA-built

All-in price breakdown

Running cost vs. a comparable gas vehicle

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