Combined provincial, federal EV investments to cost almost $6B more than government estimates: PBO
Provincial and federal financial support to develop electric vehicle batteries will cost $5.8 billion more than government projections, the Parliamentary Budget Office said Friday morning.
Deals with Northvolt, Volkswagen and Stellantis-LGES to cost $43.6B
Provincial and federal financial support to develop electric vehicle batteries will cost $5.8 billion more than government projections, the Parliamentary Budget Office said Friday morning.
An analysis of government support for the EV battery deals with Northvolt, Volkswagen and Stellantis-LGES┬аsaid that over the next 10 years, that support will amount to $43.6 billion, rather than the announced costs of $37.7 billion.┬а
The deals with the three manufacturers amount┬аto production subsidies of $32.8 billion, with an additional $4.9 billion in support to build the facilities.┬а
The report, which also looked at how long it will take for governments to break even on their investments, found that the Northvolt deal has a break-even time of 11 years, two years longer than the federal government’s estimates.┬а
The break-even time for the $13.2-billion Volkswagen deal is 15 years, while the break-even time for the $15-billion Stellantis-LGES deal was pegged at 23 years, the report said.
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