Table Of Contents
Arizona Electric Vehicle Incentives, Rebates, and Tax Credits
Ranking among the states with the most affordable electric rates, it’s no surprise that Arizona is emerging as a popular state for electrification—whether for residential upgrades, commercial charger installations, or electric vehicle (EV) adoption.
For Arizonans considering an EV lease or purchase, the following programs can help offset initial costs.
As of 2024, there aren’t any Arizona EV incentives, nor does the state offer rebates or tax credits. However, EV owners can save time thanks to a statewide HOV lane exemption. Plus, driving an EV means you won’t have to comply with the state’s emission testing requirements.
Federal Tax Credits For Electric Vehicles
EV buyers may qualify for federal tax credits like the clean vehicle tax credit of up to $7,500 for new vehicles, or the used clean vehicle tax credit for up to $4,000. Income restrictions as well as battery component and critical mineral restrictions may apply. Be sure to speak to a qualified CPA or tax professional to check your eligibility.
Arizona EV Charger Rebates
There are no rebates or tax credits on EV charger installation at the state level. However, a few of Arizona’s utility providers offer ways to save on purchasing and installing a Level 2 charger to power your EV.
EV Charger Rebates from Arizona Utilities
Four utilities offer charger rebates and other incentives to help you save on electrification.
Arizona Public Service is the largest electricity provider in the state, with 1.4 million customers. These customers can qualify for an initial incentive of $25 and a monthly bill credit of $5 if they join the utility’s SmartCharge program. This program will collect data regarding EV charging habits within the utility’s service territory.
If you’re a residential customer of the Salt River Project, you can qualify for a $250 rebate on a Level 2 EV charger purchased through the SRP marketplace.
Commercial customers can receive rebates of up to $2,500 per Level 2 charging port installed at a business location. Government buildings, multifamily properties, nonprofits, and schools can get up to $4,000 per port to save on commercial EV charger installation. The utility also offers up to $20,000 or $25,000 per DC Fast charging station for businesses and other commercial entities. Additional funding is available for commercial properties located in disadvantaged communities. Businesses can also receive rebates on electric forklifts, scrubbers, pallet jacks, boom lifts, and more.
Tucson Electric Power offers up to $500 on a connected residential Level 2 EV charger as long as the rebate amount doesn’t exceed 75% of the purchase price. After buying your charger, you can submit a form or get an instant rebate through the utility’s marketplace. If you’re building a new home, the utility will offer you $100 for pre-wiring your home for EV charging. Note that you won’t qualify for this incentive if your new home is located in a jurisdiction with an EV charging ordinance.
If you’re a commercial entity getting your electricity through Tucson Electric Power, you can apply for a rebate program and receive up to $4,000 on a Level 2 workplace charger, with a cap at 75% of the project’s cost. Multifamily EV charging projects and nonprofits can receive up to $5,400 per port, and DC Fast charging projects can get up to $20,500. Additional funding is available if your property is in a disadvantaged community.
UNS Electric Inc. offers a $500 rebate to help you save on a Level 2 charger, not to exceed 75% of the purchase price. Commercial customers can qualify for additional rebates through the utility’s Smart EV charging program. This program includes $1,200 rebates on workplace, multifamily, nonprofit, and municipal Level 2 chargers. You can receive up to $12,000 per DC Fast charger. The utility also offers up to $40,000 on DC Fast chargers for public transit charging projects. Additional funding is available in disadvantaged communities.
EV Charging Rates in Arizona
Arizona is the ninth state in terms of EV adoption, with over 84,000 registered electric vehicles. Although there are no Arizona EV incentives for purchasing these vehicles, EV owners can save thanks to its low electric rates. Plus, 11 utilities offer time-of-use billing rates to save even more.
Arizona Public Service
APS offers a time-of-use plan with a demand rate that allows you to charge for as little as 5.943 cents per kWh in the summer and 3.495 cents per kWh in the winter during “super off-peak” hours. The demand charge is based on utilization during your busiest hour, making this program ideal if you can stagger your energy usage.
You can also opt for a time-of-use program without a demand charge. The off-peak rate is slightly higher, but this program is a more flexible option if you’re unable to stagger your energy usage. You’ll pay 12.345 cents per kWh during off-peak hours in the summer and 3.495 cents per kWh in the winter during super off-peak hours.
Commercial customers can also qualify for time-of-use plans with rates based on utilization, which help save on electric fleet charging.
City of Mesa
The City of Mesa offers a time-of-use rate plan to those who own or lease an EV. You’ll save the most by shifting your electricity usage to 11 p.m. and 5 a.m. thanks to the utility’s super off-peak rate, and you can also get a discounted off-peak rate outside of 2 to 9 p.m. during the summer and outside of 5 to 9 a.m. to 5 to 9 p.m. in the winter for weekdays.
Duncan Valley Electric Cooperative
The utility’s time-of-use plan includes an off-peak rate of 5.778 cents per kWh from 7 p.m. to 1 p.m. the next day in the summer. In the winter, you’ll pay 5.778 cents per kWh if you charge outside of 6 to 9 a.m. and 6 to 9 p.m.
Garkane Power Association
Garkane Power Association offers a time-of-use plan called Half-Price Power. You’ll pay 11.7 cents per on-peak kWh from 6 to 11 a.m. in the winter and 3 to 9 p.m. in the summer. You’ll also benefit from a discounted rate of 5.58 cents per kWh outside of these hours.
Mohave Electric Cooperative
You can save by paying 18 cents per kWh during on-peak hours and only 3 cents per kWh during off-peak hours for your first 400 kWh per month. On-peak hours last from 12 p.m. to 7:30 p.m. on weekdays in the summer, and from 6 a.m. to 10 a.m. and 5 p.m. to 10 p.m. in the winter.
Navopache Electric Co-Op
The Navopache Electric Co-Op can help you save on EV charging with its time-of-use program. In the winter, you’ll pay 15.635 cents per kWh from 6 to 11 a.m. and 5 to 10 p.m., while your off-peak rate will be 5.584 cents per kWh. In the summer, you’ll pay 15.635 cents per kWh between 3 and 10 p.m. and 5.584 cents per kWh outside these hours.
Salt River Project
The Salt River Project’s EV charging plan can help you save 8.6% on your energy bills according to the utility. You’ll pay 7.69 cents per kWh from 11 p.m. to 5 a.m. in the winter and 7.87 cents per kWh in the summer.
Sulphur Springs Valley Electric Co-Op
The utility’s time-of-use plan allows you to save on EV charging with an off-peak rate of 6.74 cents per kWh between 7 p.m. and 1 p.m. the next day in the summer. In the winter, you’ll benefit from a rate of 6.74 cents per kWh from 9 a.m. to 6 p.m. and 9 p.m. to 6 a.m. The utility’s on-peak rate is 20.41 cents per kWh.
Trico Electric Cooperative
The Trico Electric Cooperative offers two flexible time-of-use rates. The first one comes with a 45% discount on the first 400 kWh you use each month, as long as you shift your energy usage to 10 p.m. to 5 a.m. It means you’ll pay 6.5 cents per kWh by charging at night instead of the standard rate of 11.7 cents per kWh.
The second option is an unlimited charging plan. The utility will install and own a Level 2 charger at your house, and you’ll have access to unlimited charging from 9 a.m. to 4 p.m. and 10 p.m. to 6 a.m. for a flat rate that starts at $64 per month. If you charge your EV outside of these hours, you’ll pay an additional 25 cents per kWh.
Tucson Electric Power
Tucson Electric Power offers two time-of-use plans. The first one has a basic charge of $12 per month. Summer rates range from 19.27 cents per on-peak kWh to 12.19 cents per kWh during off-peak hours, while winter rates go from 13.33 cents per kWh during on-peak hours to 12.48 cents per kWh during off-peak hours.
The utility also offers a time-of-use plan with a demand charge. Depending on your usage, you’ll pay a demand charge of $11.60 or $16.85 per month on top of the basic $12 charge. However, you’ll benefit from super off-peak rates of 1.9 cents per kWh from 10 p.m. to 5 a.m. Your on-peak and off-peak rates will also be lower than the standard time-of-use plan.
UNS Electric Inc
UNS Electric Inc. offers three time-of-use plans to its residential customers. The most advantageous one is a plan with a super off-peak rate for EV owners. Summer rates vary between 14 cents per kWh during on-peak hours and 4 cents per kWh during super off-peak hours, while winter rates range from 12 cents to 3 cents per kWh. Super off-peak hours happen from 10 p.m. to 5 a.m.
If you can stagger your electricity usage, the utility’s demand-charge plan can be a good option. Instead of paying an energy charge ranging from 4 to 5 cents per kWh depending on usage, you’ll pay a flat fee of $6.82 for the first 7 kW you use during your busiest hour and $9.61 afterward.
You can also sign up for a standard time-of-use plan that isn’t specific to EV charging. The rates are slightly higher than the EV time-of-use plan, and you won’t benefit from the super off-peak rates.
Public EV Charging Stations in Arizona
Arizona has received 76.5 million in NEVI funding to develop its statewide charging network. Besides developing an EV charging network in urban areas, the state has identified nine highway segments that will become Alternative Fuels Corridors.
How Many Public EV Charging Stations Are in Arizona?
Arizona has over 1,270 public charging stations available to EV drivers and more than 2,600 public charging ports. This includes over 1,100 Level 2 and 176 DC Fast stations.
There are 49 Tesla Supercharger stations and 770 Tesla Supercharger ports in Arizona.
How Much Do Public EV Charging Stations Cost in Arizona?
On average, you can expect to pay 53 cents per kWh. However, pricing can vary based on the location, network, and charging level. For instance, the Level 2 Blink chargers located at the Mason Oliver Apartments in Phoenix cost 16 cents per kWh on top of a $2 hourly parking charge.
Are There Free Electric Car Charging Stations in Arizona?
Yes, you can find free public chargers offered as a perk by some local businesses, such as hotels or malls, and some state parks also have free EV charging, including the Grand Canyon National Park.
Where Are Public Charging Stations Located for Electric Cars in Arizona?
You’ll find many public EV charging stations in urban areas. Parking garages, car dealerships, hotels, and destination businesses like malls have are embracing EV charging. Municipal buildings, public libraries, museums, and state parks are other places where you’re likely to find public charging options.
Tesla has built a Supercharger network of fast charging stations throughout the state, with locations approximately 150 miles apart along I-10, I-17 and I-40.
Visit the U.S. Department of Energy’s Alternative Fuels Data Center Map of EV Charging Station Locations in Arizona, which can be sorted and filtered based on public access, charger type (Level 1, Level 2, DC Fast), and connector type (NACS, J1772, CCS, CHAdeMO).
Home Electrification Incentives in Arizona
In 2024, Arizona is expected to offer home energy rebates funded through the Inflation Reduction Act, making $76.8 million for home efficiency rebates and $76.4 million for home electrification available for things like appliance rebates, insulation and air sealing, heat pumps for space and water heating, and upgrades to smart electrical panels necessary to enable those retrofits.
Combining EV ownership with other electrification projects, such as upgrading your home with solar panels & battery storage, or investing in a heat pump, will help you save even more while reducing your environmental impact.
In Arizona, you may qualify for home electrification incentives through your electricity provider in addition to the U.S. federal government. Scroll down to read rebate and incentive details for specific home electrification technologies.
Battery Storage
Currently there are no state or utility incentives for battery storage in Arizona. However, the 25D Residential Clean Energy Tax Credit provides a 30% federal tax credit on the cost of new battery storage systems size 3kWh and larger.
Electrical Panels
The 25C Energy Efficient Home Improvement Tax Credit provides a federal tax credit for electrical panel upgrades needed to complete electrification projects like heat pumps and heat pump water heaters (up to 30% of project costs, capped at $600). The 25C tax credit can be used by renters, and homeowners making upgrades to their primary or secondary home.
Qualifying electrical panels must meet the standards of the National Electric Code (NEC) and have a capacity of 200 Amps or more. This means that your new/upgraded panel must be able to serve a load of at least 200 Amps, but you don’t need 200 Amps of incoming utility service. Smart panels may qualify if they allow you to serve a load of 200 Amps.
If you’re claiming 25D for a residential solar or battery storage project and the installation required you to upgrade your main panel, you may be able to apply 25D to electrical panel costs as well.
Heat Pumps & Heat Pump Water Heaters
Under the Efficiency Arizona Home Energy Rebate Program (HEAR Program), eligible homeowners can receive up to $8,000 in rebates for a new heat pump. The program involves replacing an air conditioner with a heat pump, which is a more energy-efficient alternative to an air conditioning unit.
Utilities in Arizona may have special programs for upgrading to heat pumps and heat pump water heaters. SRP offers rebates up to $225/ton to install an inverter-driven minisplit heat pump with a rating of 15 SEER2 or higher. Heat pump water heaters also have a $500 rebate.
Appalachian Power’s Efficient Products Program offers rebates up to $400 to install a heat pump water heater, and up to $300 for ductless mini-split heat pumps (replacements).
The 25C Energy Efficient Home Improvement Tax Credit also applies to heat pumps and heat pump water heaters. A 30% federal tax credit is available (capped at $2,000 dollars). Eligible technologies must meet certain energy efficiency requirements.
Solar Panels
If you live in Arizona, you can claim a state tax credit worth 25% of your solar panel system cost, up to $1,000. The system can be installed on either your primary or secondary residence, but you can only claim $1,000 per year. If you don’t have a big enough tax bill to claim the full credit, you can rollover unused credit for up to five years
The 25D Residential Clean Energy Tax Credit provides a 30% federal tax credit on the cost of photovoltaic (PV) solar panel systems.
Recent Arizona EV Charging News
ADOT to add 18 new EV charging stations in Arizona, including two east of Yuma
In Arizona townhouse project, an EV charger in every garage
Arizona is already a hub for the EV sector. Smart policies will keep it that way
Why Qmerit is the #1 EV Charger Installer in Arizona
With the savings available from Arizona utilities, alongside the rapidly growing rate of EV adoption and public EV charging infrastructure, there’s never been a better time to make the switch to electrification.
The cost savings created by adopting clean, sustainable energy are just the start of the benefits you’ll see, and by partnering with a qualified electrician who can tailor an EV charger installation to your specific needs, you can maximize these benefits even more.
As North America’s most trusted and largest network of certified EV charger installers, Qmerit is recommended by automakers, EV charger manufacturers, utilities, businesses, and homeowners alike. Rated #1 in customer satisfaction, our expert network has installed over 450,000 EV charging stations across the U.S. and Canada.
Discover how Qmerit is paving the way forward for residential EV charger installation and whole-home electrification solutions. Contact us today to find out how easy home electrification can be!