In an unexpected turn within the Biden administration’s environmental policy, areas known for their affluence, such as Martha’s Vineyard, Montauk, and parts of Nantucket, have now been designated as “low-income” communities, rendering them eligible for federal tax credits for electric vehicle (EV) charger installations, according to a report by the Daily Caller.
The move comes as part of the administration’s initiative to promote the adoption of EVs by extending a subsidy program initially aimed at enhancing access to EV chargers in underserved communities. The White House recently announced the initiative, offering “up to 30% off the cost of the charger to individuals and businesses in low-income communities and non-urban areas.”
According to the White House, the Department of Treasury and the Department of Energy are releasing intended definitions for eligible census tracts, ensuring that the 30C EV charging tax credit is available to approximately two-thirds of Americans. This tax credit aims to make EV charging infrastructure more affordable and increase access in underserved communities.
However, the designation of affluent areas as “low-income” has sparked controversy. The U.S. Department of Energy’s eligibility map reveals that regions like Martha’s Vineyard, known for its high-priced real estate, are marked as eligible for these subsidies. This classification is based on a part of the IRS code that considers areas low-income if their median family income falls below 80% of the surrounding metropolitan area or state, regardless of the actual wealth present.
For instance, Martha’s Vineyard, a favored destination for the rich and powerful, including former President Barack Obama, who owns a multimillion-dollar estate there, has been marked as eligible for EV charger subsidies, despite the high property values.
Similarly, areas such as Nantucket Island, Cape Cod, Fishers Island, and Montauk, renowned for their exclusivity and expensive properties, have also been labeled as “low-income” zones eligible for EV charger subsidies. This includes regions with homes valued at millions of dollars and frequented by affluent individuals and families.
The Daily Caller highlighted examples of properties in these areas, such as multimillion-dollar estates and high-value homes, which are now included in the “low-income” zones eligible for EV charging subsidies. The designation has raised serious questions about the criteria used and the implications for federal subsidy programs.
