The Plug-In Electric Vehicle Credit
Since 2009, the Plug-In Electric Vehicle Credit has aided in the purchase of thousands of electric vehicles for Eco conscious car buyers. The credit started at $2500 for electric vehicles drawing power from a 5 kilowatt hour battery or more.
A kilowatt hour is the power to light ten (10) one hundred watt bulbs for one hour. Therefore, a five kilowatt battery is a battery that can power ten (10) one hundred watt light bulbs for five hours. By way of comparison, a five kilowatt battery can power a 500 watt fryer for ten hours, a 3200 watt air conditioner for about an hour and a half, or a box fan on high for about 48 hours.
The credit is increased depending on the capacity of the battery on which the motor draws. For every kilowatt hour added, the credit increases $417. The maximum credit allowed is $7500.