On Monday, California's Governor, Gavin Newsom, put pen to paper on the SB 168 bill, formally inaugurating the "My First Electric Vehicle" subsidy initiative. This program grants an instant rebate of $3,500 to individuals purchasing an electric vehicle (EV) for the first time. The funding for this initiative is a blend of $135.5 million from state government coffers and equivalent contributions from automobile manufacturers, amounting to a total of roughly $270 million.

The subsidies are applicable to brand-new vehicles with a manufacturer's suggested retail price (MSRP) capped at $50,000. Additionally, they extend to used electric vehicles priced at a maximum of $25,000, albeit with a slightly reduced subsidy of $1,750. Notably, Tesla's entry-level versions of the Model 3 and Model Y meet the criteria for these subsidies. However, the Cybertruck and Tesla's more premium models are excluded due to their prices surpassing the set limits.