In 2022, Vermont adopted the Advanced Clean Cars (ACC II) mandate. However, Governor Phil Scott has paused the state’s implementation of the rule, citing concerns about feasibility. In today’s episode of Inside Automotive, Matt Cota, managing director of the Vermont Vehicle and Automotive Distributors Association (VADA), joined host Jim Fitzpatrick to share how dealers across the state are responding.
Falling short of the 35% ZEV requirement
Vermont was one of 12 states to adopt California’s zero-emission vehicle (ZEV) regulations, which require 35% of model year 2026 vehicles delivered to the state to be electric or zero-emission. However, Vermont isn’t close to reaching the goal. As of now, ZEV adoption sits around 12%, which does not qualify under the ACC II regulation at all.
Although EV sales in Vermont have steadily increased at an average annual rate of 2%, the pace is too sluggish to meet the 35% requirement by the end of 2026.
Early optimism fades as reality sets in
When the mandate was first adopted, Cota says there was cautious optimism. Vermont dealers have successfully sold EVs thanks to strong incentives and growing consumer interest. However, even with a bevy of state, federal and utility-based incentives, the rate of adoption remains too low.
Cota points out that most Vermonters who’ve made the switch to EVs are sticking with them, but they represent a small minority. With more dirt roads than paved roads, Vermont’s most popular vehicles are trucks and SUVs. However, the EV market still lacks affordable, capable models that meet those consumer needs.
Threats to local agriculture and economy
Further amplifying the challenge, Vermont also adopted the Advanced Clean Truck (ACT) rule, a policy even more burdensome. Vermont’s largest industry is agriculture, particularly dairy hauling. These trucks transport thousands of gallons of milk every day, traveling more than 400 miles round-trip, 365 days a year.
EV alternatives for these trucks aren’t viable – they cost twice as much, have a third of the range, and there is no charging infrastructure to support them. Forcing the transition would not only drive up costs for farmers but could also seriously damage the state’s agricultural and forestry sectors.
Both ACC II and ACT have been paused for 18 months as the state reevaluates its strategy.
A call for realistic timelines
A coalition of 15 trade associations representing thousands of Vermonters supported the call for a pause. While the pause doesn’t signal abandonment of its climate goals, it’s a recognition that the pace is unsustainable. He wagers that other states facing similar challenges will likely follow suit.