Popular e-bike voucher program cut as California moves $18 Million to EVs

CALIFORNIA — Last month, California quietly ended its statewide electric-bike voucher program, a popular initiative aimed at helping lower-income residents buy e-bikes.

Now advocates are calling on lawmakers to restore the e-bike incentive funding.

The program, known as the California E-Bike Incentive Project (EBIP), offered up to $2,000 to eligible Californians toward the purchase of a new e-bike.

Despite over 100,000 applications in the first round, just over 2,000 vouchers were awarded across both funding rounds. The initial $10 million fund has now been fully exhausted.

A third round, expected early next year, has now been canceled.

Canceled due to budget constraints

The California Air Resources Board (CARB), which oversees the program’s funds, redirected roughly $18 million to support electric vehicle (EV) and hybrid car incentives.

CalBike, a grassroots bicycle advocacy group, warned that the decision undermines California’s climate goals and ignores strong public demand for low-cost, zero-emission mobility.

In a letter sent to CARB, CalBike and other advocates said they were “disappointed in CARB’s recent decision to reallocate the remaining funding from EBIP into the Clean Cars 4 All program.”

According to a spokesperson for CARB, the decision was driven by budget constraints and legislative direction.

“The legislature had to make some really tough decisions last year about what was going to be funded and prioritized,” said CARB communications director Lindsay Buckley.

She added the e-bike incentives could return one day, but declined to commit to a timeline.

Defunding lacked transparency

Bike advocates and program partners say the decision to defund the program lacked transparency and public discussion. They warn it “undermines California’s ability to foster a cleaner and more sustainable transportation system.”

The diverted $18 million has been funneled into Clean Cars 4 All, a CARB program that helps low-income drivers trade in older, high-polluting vehicles for EVs or hybrids.

Under that program, people who scrap qualifying gas-powered cars can apply for financial assistance toward cleaner vehicles, including e-bikes.