Tesla made a suspicious number of rebate requests on last days of Canadian EV incentive
The Canadian government is now investigating Tesla after an unusual surge in rebate claims during the final days of the country’s EV incentive program. Transport Canada has taken notice of an exceptionally high number of rebate requests from Tesla, particularly from a single dealership in Quebec. This has raised suspicions, leading to concerns that Tesla may have manipulated the system to secure a massive chunk of the available rebate funds.
Canada’s electric vehicle incentive program, which offered up to $5,000 per EV purchase, was originally set to end in March. However, by mid-January, the government announced that funds were running out much faster than anticipated. With this early cutoff date in sight, a wave of last-minute buyers rushed to secure their incentives before they disappeared.
As expected, Tesla, the leading EV brand in Canada, was at the center of this buying frenzy. While a spike in Tesla deliveries was expected, the numbers reported have raised serious doubts. Could Tesla have really delivered as many vehicles as it claimed in such a short window?
Tesla’s Jaw-Dropping Rebate Claims
According to a report by the Toronto Star, Tesla locations in Canada filed for 8,653 rebates in just the last three days of the program. That’s a staggering $43.1 million in rebate requests—more than half of the remaining $71.8 million in funds.
One dealership in Quebec City is at the heart of the controversy. This single location reportedly filed over 2,500 rebate requests in a single day and 4,000 over the weekend. However, skeptics point out that the dealership simply doesn’t have the capacity to physically deliver that many vehicles in such a short time. With only space for a few hundred cars at a time, how could it possibly have processed thousands of sales?
The sudden flood of Tesla’s rebate claims left other dealerships in the dust. The Canadian Automobile Dealers Association (CADA) surveyed its members and found that 2,295 EVs were sold under the assumption that rebates would be reimbursed. However, those rebates—worth about $10 million—are now in limbo.
CADA spokesperson Huw Williams criticized the situation, saying:
“These dealers in good faith gave customers the money for a program that is always refunded. They shouldn’t be left making a payment on behalf of the Government of Canada.”
As a result, CADA has been pushing Ottawa to investigate Tesla’s claims, arguing that many dealerships fairly delivered EVs but are now stuck without the rebate funds they were promised.
Transport Canada Responds
Following mounting pressure, Transport Canada has stepped in to review Tesla’s rebate filings. Officials have acknowledged the complaints and are now conducting a thorough investigation.
A statement from the agency to CADA read:
“This report is unacceptable and I am asking the department that is responsible for administering this program to provide me with detailed and complete information.”
Meanwhile, some auto industry leaders aren’t holding back their opinions. Terry Budd, who owns multiple dealerships in Ontario, expressed his doubts about Tesla’s reported delivery numbers:
“There’s no way they delivered or sold that many cars in a weekend. They cleared everyone else out.”
Did Tesla Really Deliver That Many Cars?
Tesla has built a reputation for strategically managing its deliveries, often pushing a last-minute surge at the end of fiscal quarters. This allows the automaker to maximize reported sales numbers. However, even for Tesla, these figures seem incredibly high. Delivering 2,500 cars in a single day from one dealership? Selling 4,000 over a weekend? That’s an extraordinary claim that demands scrutiny.
One possibility is that Tesla delivered more vehicles in the weeks leading up to the rebate’s end and then processed the rebate claims all at once in large batches. While that might be within the rules, it still raises questions about how fair the system was to other dealerships.
For now, Canadian dealerships that lost out on rebates are still waiting to see if the government will step in to rectify the situation. If Tesla is found to have manipulated the system, it could face consequences, including potential financial penalties or new regulations to prevent similar issues in the future.
As the investigation unfolds, one thing is clear—Tesla’s dominance in the EV market has once again sparked controversy. Whether the company genuinely managed to deliver thousands of cars in record time or found a way to exploit the rebate system, the truth will soon come to light.
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