Since mid-February of this year, the federal government has been granting a $2,500 discount to those buying or leasing a vehicle equipped with a plug-in hybrid powertrain (that offers less than 50 km of range).
Several conditions must be met to be eligible for the $2,500 rebate. Notably, the maximum transaction amount must be $50,000.
Auto123 dug around on the Transport Canada website and came up with a list of all plug-in hybrid vehicles that currently qualify for the $2,500 incentive.
Plug-in Hybrid Vehicles Eligible for $2,500 Federal Rebate in Canada• 2026 Chrysler Pacifica (Limited, 100th, Select, Pinnacle)• 2025 Chrysler Pacifica (Select, Limited, FAV)• 2026 Ford Escape• 2025 Ford Escape• 2026 Kia Niro (LX, EX Premium, EX)• 2025 Kia Niro (LX, EX Premium, EX)• 2026 Kia Sorento (LX PHEV)• 2026 Kia Sportage (EX, EX Premium)• 2025 Kia Sportage (EX Premium)• 2026 Mitsubishi Outlander PHEV (ES)• 2025 Mitsubishi Outlander PHEV (ES)• 2026 Toyota Prius Plug-in Hybrid (SE, XSE, XSE Premium, Nightshade)• 2026 Toyota RAV4 Plug-in Hybrid (SE)
| Photo: D.Boshouwers
Transport Canada cautions that its list is for informational purposes only, and that at any time, models and versions may become eligible or no longer be eligible depending on pricing changes.
Some sharp-eyed analysts might be surprised to see the Chrysler Pacifica on this list. Indeed, Stellantis announced in January that it was ending the production of all variants of the minivan equipped with plug-in hybrid powertrains. However, William Clavey (Product Communications Manager for Quebec and Western Provinces) clarified that “some 2026 Pacifica PHEVs were indeed built, and inventory remains at certain dealerships across the country until supplies are exhausted.”
Leasing also earns a rebate
Finally, it’s important to mention that the rebate also applies in the case of a lease. That said, the amount granted is proportional to the length of the lease. The rebate is $2,500 for a 48-month lease, $1,875 for 36 months, $1,250 for 24 months and $625 for 12 months.