In North America, including many provinces in Canada, electric bicycle rebates have become increasingly popular among transportation planners aiming to encourage people to opt for healthier, more environmentally friendly modes of transportation. However, there’s been limited understanding of the overall impacts of these incentives.
Researchers at UBC’s Research on Active Transportation (REACT) Lab sought to shed light on these questions. They conducted a study focusing on participants in an e-bike incentive program offered by the District of Saanich, British Columbia. The findings reveal that most new e-bike users continued to use their bikes regularly as a substitute for car travel even a year after purchase. Notably, low-income households saw the most significant reductions in car trips and carbon emissions, highlighting the equity benefits of such incentives.
Reduced Car Travel: The Saanich, BC program, active in 2021 and 2022, provided three different rebates to offset the cost of new e-bikes, varying by income level. The basic rebate was $350, while the lowest-income households could receive up to $1,600.
Results showed a substantial increase in e-bike adoption, with 93 percent of users being new to e-bikes, and 60 percent being new to cycling altogether.
A year after purchase, users remained satisfied with their e-bikes, integrating them into their routines for three to four days a week. On average, they reduced weekly car travel by 48 kilometers, representing a 30-40 percent reduction.
Dr. Alex Bigazzi, principal investigator and associate professor of civil engineering at UBC, noted, “The incentive not only encouraged people to switch to e-bikes, but it also resulted in remarkable changes in travel behavior that persisted long after the purchase.”
Lower Carbon Emissions: With reduced car usage, users decreased their travel-related greenhouse gas emissions by an average of 16 kilograms of CO2 per week, one year after purchasing their e-bikes. Notably, those who received the largest incentives saw the greatest reductions in car use and emissions.
Dr. Bigazzi emphasized, “The larger incentives aimed at lower-income families did a great job of getting new riders on the road and provided them with a lower-cost alternative to using their cars.”
Cost-Effectiveness: Contrary to common criticisms, the Saanich program proved to be competitive with other transportation subsidies in Canada, costing approximately $190 to $720 per tonne of GHG emissions reduced. Dr. Bigazzi highlighted the cost-effectiveness of e-bike incentives compared to electric car incentives, considering a range of cycling-related benefits such as increased physical activity and reduced travel costs.
The REACT Lab’s collaboration with the Province of B.C. and other researchers will expand their study to evaluate the province-wide e-bike incentive program. This broader scope will allow researchers to consider various factors influencing e-bike usage and its impacts.