Transport electrification: an energy boost for Quebec's economy

The electrification of our transportation, notably in public transit and commercial vehicle fleets, represents a golden economic development opportunity for Quebec.

Published on March 30, 2019Sarah Houde, President and Chief Executive Officer, Propulsion QuébecArticle
Transport electrification: an energy boost for Quebec's economy

Electric and smart mobility is generating remarkable enthusiasm worldwide. And for good reason: many believe the future of mobility lies in connected, autonomous, shared and electric vehicles.

The electrification of our transport, notably in public transit and commercial vehicle fleets, is an essential strategic area to achieve significant progress in reducing our carbon footprint — a sector responsible for more than 43% of greenhouse gas emissions in Quebec on its own. It also represents a golden economic development opportunity for Quebec.

Excellent budget news

Budget week brought several welcome announcements for the electric vehicle sector. The federal government’s decision to move forward with an incentive for the purchase of a zero-emission vehicle is excellent news. Combined with the rebate in place in Quebec, the total incentives now reach up to $13,000 for Quebecers who want to switch to electric.

Quebec’s budget also estimates that renewing the Roulez vert program will encourage the acquisition of more than 60,000 electric vehicles and the installation of nearly 27,500 home charging stations. These stations are, for the vast majority, designed, manufactured and used in Quebec.

Just as we encourage our fellow citizens to choose an electric car, we must rely on bold measures to prompt more public entities, transit companies, industries and businesses to favor zero-emission vehicles now, while continuing to vigorously support sustainable mobility, including both traditional and innovative public transit options.

To do this, it is essential to adopt a broad strategy to accelerate the large-scale conversion of vehicle fleets that spend their days crisscrossing our roads to transport, deliver and clean.

This strategy, made possible by technological advances and demanded by environmental imperatives, represents an extraordinary opportunity to support local companies.

Quebec has a rich ecosystem in the transportation sector. And it is in the specialized vehicle industry that Quebec entrepreneurs stand out and assert their global leadership.

These innovative companies design and manufacture shuttles, buses, outdoor maintenance vehicles, snowmobiles, garbage and urban delivery trucks that travel our roads and those of other world metropolises.

As a result, adopting measures to stimulate the conversion to electrified vehicle fleets helps boost metropolitan and regional economies by supporting local companies that are now developing the mobility of the future.

Tax deduction

In its budget tabled on March 19, the federal government announced that businesses will now be able to benefit from a full tax deduction for the acquisition of zero-emission vehicles for the year in which they are put into service.

This incentive should, in the near future, lead to a number of examples of organizations that have brilliantly succeeded in this transition. Among them, the SAQ, which recently chose to equip itself with fully electric urban delivery vehicles designed by La compagnie électrique Lion, a company from Saint-Jérôme. Another tangible example? Laval-based Nordresa, specializing in electrifying vehicles for goods transport, counts among its first clients Isuzu Commercial Truck of America and innovative fleet operators like Déménagement Myette.

Our actions must not stop there: in parallel, it is essential to invest in our electrical infrastructure, deploy the charging station network across the territory, and support research and development to foster the rise of new technologies and key sectors, such as lithium batteries. It is also necessary to provide technological showcases to demonstrate the effectiveness of the vehicles, share our successes and, in doing so, reduce anxiety about range and charging.

Around the world, countries and cities are setting targets to reduce the number of combustion vehicles on the roads as well as deadlines after which electric transport will, strictly speaking, become the norm. Our companies know this and are deploying their know-how and creativity to establish themselves in this promising sector. We must seize the economic opportunities arising from this boom and actively contribute to promoting our innovative entrepreneurs to ensure the success of this inevitable transformation of the transport market.

This text was published inLa Presse

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With the financial support of:

Gouvernement du QuébecGouvernement du CanadaCommunauté métropolitaine de MontréalFaskenHydro-QuébecFonds de solidarité FTQ