Officials backtrack on major policy that would transform automotive industry: 'The world has changed'

One Canadian province has decided to hit the brakes on a major policy that aimed to drastically reshape the automotive market.

What's happening?

As reported by CBC, the Quebec government has revised a policy that would have banned the sale of new gas-powered cars by 2035. Instead, officials are now changing the target to 90% zero-emission vehicle sales instead of 100%.

This policy change will also place conventional hybrids in the ZEV category in order to accommodate more eco-friendly vehicle options. According to Quebec Environment Minister Bernard Drainville, the move will provide more choice for the people of Quebec while also alleviating pressure on the auto industry.

Why is Quebec's policy change important?

The abrupt policy change comes after Quebec previously announced the gradual phase-out of gas-powered vehicles in December 2024. The original policy directly aligned with the government's electrification goals that targeted having two million electric vehicles on the road in Quebec by 2030.

The goal of the original ZEV standard was to incentivize the automotive market to develop a larger selection of electric models. This was part of a concerted effort to reduce the province's reliance on planet-heating fossil fuels and work towards a low-carbon future. While the government still eyes a path to electrification, the policy change appears to slow down the progress just a bit.

"The world has changed, and Quebec must adapt," Drainville said in a statement. "My priority is to find the right balance between environmental protection and economic development. That's sustainable development: combining environmental and economic imperatives to protect our collective future, while supporting our businesses in a demanding North American context. Quebec consumers will benefit from this, with a greater choice of electric and hybrid vehicles."

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What's being said about the loosened restrictions on gas-powered vehicles?

Although some may consider the backtracking of the gas-powered ban as a step in the wrong direction, EV advocacy groups consider the move as a measured response. Electric Mobility Canada offered its support of the Quebec government's decision. The group noted that the policy change will not prevent the positive impact that the province will feel thanks to fewer gas-powered vehicles on the road over the next decade.

"We commend the Quebec government for reaffirming its commitment to zero-emission mobility. Adjusting ZEV targets to reflect current market realities demonstrates a pragmatic approach, while maintaining medium- and long-term ambition," CEO of Electric Mobility Canada Daniel Breton said in a statement.

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