Electric Bicycle Incentives: An Effective Tool for Mode Shift

In Saanich, British Columbia, nearly 400 individuals were motivated to reduce their average driving distance by 49 kilometers per week through a purchase incentive for electric bicycles. The findings of a study conducted by UBC’s Research on Active Transportation (REACT) lab revealed the significant impact of these incentives on travel behavior.

Lead author Alex Bigazzi, associate professor of civil engineering at the University of British Columbia, highlighted the remarkable nature of the shifts observed. “Incentive programs can be really effective in enabling mode shift,” he stated. The study provided subsidies ranging from C$350 to $1,600 based on participants’ income, attracting new e-bike purchasers and yielding high satisfaction levels among them.

Compared to individuals who received no incentives, the participants used their bikes three to four days a week, covering distances of 30 to 70 kilometers. Notably, this resulted in a weekly emission reduction of 16 kilograms per person. The cost-effectiveness of e-bike incentives in terms of CO2 reduction per dollar invested surpassed that of provincial car incentives.

Based on these positive outcomes, Bigazzi recommended that communities consider reallocating a portion of their climate mitigation budget from electric car incentives to electric bike incentives. However, he cautioned that the results observed in Saanich may not be replicated in every community due to varying levels of cycling infrastructure. The presence of solid bike infrastructure, such as rail trails and quiet neighborhood streets, in Saanich likely contributed to the success of the program.

While the study emphasized the importance of addressing e-bike incentives for low-income households, it also acknowledged that the most significant impact is likely to be seen among individuals who already have an interest in cycling. Randomly distributing e-bikes may not lead to the same mode shift.

Encouraged by the positive pilot results, Saanich expanded its incentives program in 2023, and the provincial government introduced its own e-bike rebate. The success of these initiatives emphasizes the potential for e-bike incentives in promoting sustainable transportation choices and reducing greenhouse gas emissions.

The findings of the study conducted by UBC’s Research on Active Transportation (REACT) lab shed light on the significant impact of incentives on travel behavior in Saanich, British Columbia. This has implications for the broader industry and market forecasts for electric bicycles.

The success of the e-bike incentive program in Saanich highlights the potential demand for electric bicycles within communities. By offering subsidies based on participants’ income, the program attracted new e-bike purchasers and resulted in high satisfaction levels among them. This suggests that there is a market for electric bicycles and that incentives can be effective in encouraging mode shift.

The study also revealed the environmental benefits of using electric bicycles. Participants who received incentives used their bikes three to four days a week, covering significant distances and resulting in a weekly emission reduction of 16 kilograms per person. This showcases the potential of electric bicycles in reducing greenhouse gas emissions and promoting sustainable transportation choices.

Based on these positive outcomes, lead author Alex Bigazzi recommended that communities consider reallocating a portion of their climate mitigation budget from electric car incentives to electric bike incentives. This suggests that the industry for electric bicycles could experience growth as more communities recognize the benefits of promoting e-bike usage.

However, it is important to note that the success observed in Saanich may not be replicated in every community. The presence of solid cycling infrastructure, such as rail trails and quiet neighborhood streets, likely contributed to the program’s success. This highlights the importance of addressing cycling infrastructure alongside incentives to encourage mode shift towards electric bicycles.

The expansion of the incentives program in Saanich and the introduction of a provincial e-bike rebate indicate that there is government support for promoting electric bicycles. This further suggests that the industry for electric bicycles could experience growth as more communities and governments recognize the potential for e-bike incentives in reducing greenhouse gas emissions and promoting sustainable transportation choices.

For more information on the industry and market forecasts for electric bicycles, you can visit reputable sources such as ebicycles.com or electricbikereport.com. These websites provide detailed insights into the industry, market trends, and issues related to electric bicycles.