About the Program
The Office of Energy Resources (OER) has created the ZEV Fleet Cost Differential Rebate Program to assist state agencies in transitioning to zero-emission fleet vehicles. The program provides funding to cover up to 100% of the cost differential between comparable internal combustion engine (ICE) vehicles and eligible electric vehicles, up to a specified cap, depending on vehicle classification, make, and model.
Agencies wishing to apply for the ZEV Fleet Cost Differential Rebate Program must work with the Office of Budget Management (OMB) and complete all standard requests, forms, and processes associated with fleet vehicle purchases.
Agencies are strongly encouraged to contact OER early in the process if they are interested in participating in this program or have questions related to eligibility, funding availability, or vehicle options. OER can provide guidance on potential vehicle selections and help agencies understand the funding structure prior to engaging with OMB, which may help inform purchasing decisions and streamline the overall process.
Eligible Entities
The following entities are eligible to apply for the ZEV Fleet Cost Differential Rebate Program:
- Rhode Island state agencies
- Quasi-state agencies
Vehicle Eligibility
Agencies are encouraged to evaluate their operational needs to determine which electric vehicle(s) best meet their requirements. OER strongly encourages state agencies to prioritize the purchase of Battery Electric Vehicles (BEVs) whenever feasible, as BEVs provide the greatest emissions reductions and align most closely with the State’s clean transportation goals.
However, rebates remain available for other eligible electric vehicle types under this program, as outlined below.
For the purposes of this program, the following vehicle types are eligible for reimbursement:
- Battery Electric Vehicles (BEVs)
- Plug-in Hybrid Electric Vehicles (PHEVs)
- Low-Speed Vehicles (LSVs) that meet the following criteria:
- All-electric
- Maximum speed of 35 mph
- Includes vehicles such as golf carts
Hybrid Electric Vehicles (HEVs) that are not plug-in are not eligible for reimbursement under this program.
How it Works
- Vehicle is ordered through standard OMB fleet purchasing processes
- Agency submits completed application and required documentation to OER
- OER reviews and reimburses the eligible cost differential amount
Program Guidance Document
For more information on eligibility requirements, rebate caps, and the application process, please review the ZEV Fleet Cost Differential Rebate Program Guidance Document.
Program Application
If your agency is interested in applying to the ZEV Fleet Cost Differential Rebate Program, please download and complete the ZEV Fleet Cost Differential Rebate Program Application (Fillable Form) and submit the completed form to:
Sara.Canabarro@energy.ri.gov.
Frequently Asked Questions (FAQs)
The program provides funding to cover up to 100% of the cost difference between a comparable internal combustion engine (ICE) vehicle and a zero-emission vehicle (ZEV), up to a specified cap, depending on the vehicle make and model.
All Rhode Island State Agencies and Quasi-State Agencies are eligible to participate in the program.
Agencies are encouraged to evaluate their operational needs to determine which electric vehicle(s) best meet their needs. While agencies are strongly encouraged to consider battery electric vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs) are also eligible for reimbursement under this rebate program.
To be eligible to receive funding through the ZEV Fleet Cost Differential rebate program, vehicles must meet the following requirements:
1. Vehicles must be Battery Electric Vehicles (BEVs) and Plug-in Hybrid Electric Vehicles (PHEVs). Hybrid Electric vehicles (HEVs) are not eligible for this program.
2. Low-speed vehicles, LSVs, also qualify for this program. These vehicles must be all-electric, have a maximum speed of 35 mph, and include vehicles like golf carts. Vehicles must be registered with the state to be eligible.
Yes. Agencies must follow all standard Office of Budget Management (OMB) processes related to fleet vehicle purchases.
However, agencies are encouraged to contact OER early to discuss eligibility, funding availability, and vehicle options before engaging with OMB.
Agencies should reach out to OER early in the planning or vehicle selection phase, especially if:
- You are considering purchasing a ZEV
- You want to understand whether funding may be available
- You would like guidance on vehicle options or cost differentials
Early coordination can help inform purchasing decisions and streamline the overall process.
No. Vehicles are purchased through the agency’s standard fleet purchasing process. OER provides reimbursement for the approved cost differential after program requirements are met.
Funding availability depends on program funds and eligibility. Contacting OER early allows agencies to understand whether funding may be available prior to purchase.
Agencies can:
- Download the application form (PDF) from this page, or
- Contact OER at Sara.Canabarro@energy.ri.gov to request the application or ask questions before applying
Please contact the Office of Energy Resources at:
Sara.Canabarro@energy.ri.gov