NJ Rebate Program

New Jersey Zero Emission Incentive Program

Administered by New Jersey Economic Development Authority

AI summary · 7/12/2026

NJ ZIP provides vouchers worth $15,000–$175,000 to reduce the upfront cost of new zero-emission medium- and heavy-duty vehicles for your business or organization; you must operate the vehicle 75% of the time in New Jersey, maintain registration for 3 years, and purchase from an approved vendor. Applications are rolling and first-come, first-served until funds are reserved—visit the NJEDA website to apply as a Purchaser if your organization is commercial, industrial, or institutional and registered in New Jersey with valid tax clearance.

NJ ZIP creates customer demand by offsetting significant vehicle costs (up to $175,000 depending on vehicle class), allowing your customers to purchase zero-emission trucks and buses that might otherwise be unaffordable; you must hold a valid NJ dealer license, accept the full voucher amount as payment, install telematics, provide 3-year/50,000-mile warranty coverage, and maintain in-state servicing. The program is rolling with first-come, first-served funding, so early vendor registration and customer referrals can secure allocations before funds deplete.

NJ ZIP is a RGGI-funded voucher pilot administered by NJEDA that has redeemed 259 vouchers worth $28.7M as of June 2026, targeting commercial fleets in medium–heavy-duty segments (Class 2B–Class 8, $15k–$175k base vouchers). Phase 3 is rolling with 50% of funding reserved for small businesses in Overburdened Communities for the first 6 months each round; bonuses stack for woman/minority/veteran ownership (4% each), small business (25%), school buses (25%), and vehicle scrappage ($3k); applicants cap at $3M per round, vehicles must operate 75% VMT in NJ over a 3-year compliance term, and telematics-verified data supports post-award audits and program evaluation.

Program details

Program ID
22204
Effective
4/6/2021
Last updated
7/25/2025

Eligibility

Sectors
commercial local government nonprofit schools institutional
Technologies
medium-duty electric vehicles electric school buses electric transit buses

Incentive amount

$15 million

Program summary

The New Jersey Zero Emission Incentive Program (NJ ZIP) is a voucher program that opened for applications on April 6, 2021. As of July 2025, it is on its third iteration.

This program provides incentives for businesses and institutions purchasing new, medium-duty zero-emission vehicles that will operate in greater Camden and Greater Newark areas. This program provides vouchers with values from $15,000-$175,000. Visit the program website for more information.

Contact & resources

Please verify current program details with the administering agency before making any financial decisions.

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