Green Driver State Incentives in MichiganPage Overview
Michigan offers a handful of green driver incentives to encourage locals to adopt eco-friendly driving habits. Not only does going green help save the planet, it also can save you time and money. Keep reading for details.
As environmental awareness and sensitivity gain more ground, MI green vehicle laws and incentives around green driving might also change. Keep up with the latest by also referencing your local Department of Motor Vehicles (SOS) branch and the Alternate Fuels Data Center—regardless of whether you drive an electric car, hybrid, alternative fuel vehicle or are simply in the market to buy a more fuel-efficient car.
Although Michigan does not test emissions for the purposes of vehicle registration, most vehicles must undergo an inspection. However, if you drive a qualifying alternative fuel vehicle (AFV), you’re off the hook. That’s because Michigan exempts vehicles that only have an alternative fuel as their fuel source from being inspected. Some alternative fuels include:
- Compressed natural gas (CNG).
- Diesel fuel.
Additionally, new motor vehicles can also forego this inspection immediately following its first title until the year of the next biennial inspection.
At this time, Michigan does not offer state tax incentives to green-minded drivers. However, if you purchase a qualifying eco-friendly vehicle, you can take advantage of a federal tax break. Eligible alternative energy vehicles include:
- Electric cars (EV.)
- Plug-in hybrids (PEV).
- Alternative fuel vehicles (AFV).
For additional information on federal tax credits, jump over to fueleconomy.gov.
To encourage customers to adopt greener driving habits (including buying a fuel-efficient vehicle), some Michigan auto insurance providers offer insurance discounts to eco-friendly drivers. Consult your car insurance company about potential green vehicle discounts such as:
- Hybrid auto discounts.
- Alternative fuel vehicle (AFV) discounts.
- Economy car discounts.
- Low-mileage discounts.
- Pay as you drive discounts.
Not all auto insurance providers offer same discounts. You have to shop around and compare. What's more, circumstances can also dictate how much you'll save. For example, you might receive a 10% discount on car insurance for owning or leasing a hybrid car, while maintaining low mileage can earn you up to a 30% auto insurance discount.
If your current MI auto insurance carrier doesn’t reward eco-friendly driving, find one that does. Compare auto insurance rates online and save some green for going green.
Indiana Michigan Power and Consumers Energy each offer local customers two incentives for making the switch to plug-in electric vehicles:
- Reduced rates for off-peak charging.
- $2,500 rebates for installing an at-home charging station.
If you currently own a PEV or are in the market to buy an electric car, read on.
Reduced PEV Charging Rates
Save money by charging your electric vehicle when grid demand is low. Each company offers a break on rates.
Indiana Michigan Power—Michigan PEV owners receive special rates for charging their vehicle at low-demand times. For more on off-peak hours and how to take advantage of the reduced rate, contact Indian Michigan Power at (800) 311-6424.
Consumers Energy—You can combine EV charging with all other household electric use with Consumer Energy’s low-cost Residential Home and Plug-in Electric Vehicle Time-of-Day Rate (REV-1). You don't need additional metering with this reduced-rate option for off-peak charging. To learn more, including how to apply and details on the peak time pricing table, check out Consumer Energy’s PEV Rates page.
Home Charging Station Rebates
Both companies also offer a $2,500 incentive for using home-charging stations to power your electric vehicle.
Indiana Michigan Power—To qualify for the $2,500 rebate, you must:
- Own a plug-in electric vehicle.
- Live within Indiana Michigan Power’s service area.
- Have a licensed electrician install your at-home charging stating inline with National Electric Code requirements.
Indiana Michigan Power is only rewarding 250 qualified EV owners with the sizable rebate. Call (800) 311-6424 for further details.
Consumers Energy—The Plug-in Electric Vehicle Incentive Program helps customers offset the cost of purchasing, installing, and wiring a Level 2 charging station with a reimbursement of up to $2,500. If interested, act fast as Consumers Energy limits the program to the first 2,500 qualified applicants. To get started, download the PEV Reimbursement Application and Plug-in Ready Form online. For more info, call (877) 904-9246.