Why Are You Rewarding Your EV Charger Supplier? The Carbon Credit Math Behind "Rewards" Programs
In short: Under Canada's Clean Fuel Regulations, every kilowatt-hour you charge at home generates carbon credits with real market value. But if you're a condo owner who paid for your own charger, you can't claim them. The network operator that owns your charging data does. Some suppliers now offer owners a "rebate" or "reward" funded by those credits. When the operator paid for the chargers, as at a public site, keeping most of the value is fair. When you paid for the charger, paid for the installation and pay for every kilowatt-hour, a reward that returns a fraction of what your charging is worth quietly moves the rest of that value from you to the supplier.
That isn't against the rules, but it should be disclosed, and it rarely is. In the worked example below, the credits an owner gives up by 2035 are worth more than the charger itself. Before you or your board sign anything, ask three questions in writing: what are the credits from my charging worth each year, what share comes back to me, and where is the rest reinvested?
A worked example
Take a condo owner in Ontario who paid about $4,000 for a Level 2 charger and its installation, and who charges about 3,000 kWh a year at home. That's roughly 17,000 km of driving. Their network operator offers a rewards program paying 10¢ per kWh, a rate some programs advertise today.
- Credits generated: about 4.5 credits a year, assuming 1.5 credits per 1,000 kWh. That's in line with industry estimates for Ontario home charging; the real figure depends on the vehicle and the grid's carbon intensity.
- What those credits are worth: about $900 a year at $200 a credit. EV credits have traded across a wide range in recent years, and the regulations don't set a price.
- What the owner receives: $300 a year (3,000 kWh × 10¢).
- What the owner gives up: about $600 a year, or two-thirds of the value their charging generates.
- Over the life of the program: residential charging can generate credits until the end of 2035. Over nine years, that's about $5,400 the owner never sees, more than the $4,000 they paid for the charger.
The result swings with the assumptions. Here's how much the credits are worth compared with a 10¢/kWh reward at different credit prices:
| Credit price | Credit value per year | Reward per year | Credits are worth | Owner gives up by 2035 |
|---|---|---|---|---|
| $100 | $450 | $300 | 1.5× the reward | about $1,350 |
| $200 | $900 | $300 | 3× the reward | about $5,400 |
| $300 | $1,350 | $300 | 4.5× the reward | about $9,450 |
Assumes 3,000 kWh a year of home charging, 1.5 credits per 1,000 kWh, and nine years of credit generation to the end of 2035. Illustrative only: credit prices move, and a supplier's own costs, such as broker fees, come out of the credit value before anything is shared.
Even at the low end, the owner never sees most of the number. At recent prices, they're getting roughly a third.
Why this happens: how the rules work
- For residential charging, the network operator is the default credit creator. That's whoever operates the platform that collects your charging data and owns that data. It doesn't matter who owns the charger. Individual owners don't qualify, even when they paid for the equipment, and no assignment from the condo corporation is needed.
- The rest isn't supposed to be profit. Network operators must reinvest credit revenue in expanding EV charging infrastructure, or in incentives that reduce the cost of buying or operating an EV. It must be spent by the end of the second year after the credits are sold, reported every year and independently verified. Credits must also be sold at fair market value, so they can't be passed along cheaply to avoid that requirement.
- A rewards payment can be a legitimate use. Paying drivers per kWh is an incentive to operate an EV, so a small-share program can be perfectly legal. The rules don't say how much has to go back to the driver.
- Residential credits have an end date. They can be generated only until the end of 2035, and only for chargers installed before the end of 2030.
What's fair, and what isn't
At a public charging site, the network operator usually bought and installed the chargers and took the investment risk. It's fair for that operator to keep most of the credit value. A condo garage where owners bought their own chargers is different. The owner put up the equipment and pays for every kilowatt-hour that generates the credit.
In our view, when the owner paid for the charger, the credit value should go back to the owner, in writing and in proportion to what their charging generated. A program that returns a third, without saying what the other two-thirds are worth, amounts to a supplier or network operator benefit disguised as a rebate. And if the supplier also sold the owner the charger and charged for the installation, the reinvested revenue clearly isn't going into the owner's own equipment. Owners are entitled to ask where it is going.
Three questions to ask before you sign
- What are the credits from my charging worth each year, per kWh, at today's prices?
- What share comes back to me, in what form, and for how long?
- Where is the rest reinvested, and how will I see that documented?
Boards reviewing a supplier should also ask who will own the charging data, why any assignment from the corporation or owners is needed if the operator is already the default credit creator, and whether the rewards can be changed or stopped. Get the answers in writing, with a dollar figure or formula and a defined time period. A supplier confident in its program will answer plainly. One that hedges or wants owners to sign quickly is telling you something too.
EV charging is a good investment for condo communities, and the carbon credit program is a real part of the business case, when it's explained honestly to the owner who's actually paying. At HWiSEL, we'd rather show your board and your owners exactly what the credits are worth and where the money goes than hide the number. If an offer you've received doesn't add up, we're glad to run the math with you.
Talk to an honest EV charging advisor →
Frequently asked questions
I paid for my own charger. Can I claim the credits myself?
No. For residential charging, the network operator that owns the charging data is the default credit creator, even when you own the charger.
Is a per-kWh rewards program illegal?
No. Paying drivers from credit revenue can be a legitimate use under the regulations. The issue is disclosure: you should know what your charging generates and what share you're getting.
Why not just use your example's numbers for my building?
Your numbers will differ. How much you charge at home, your vehicle, and the credit price when the credits are sold all change the result. Ask your supplier for the figures for your own charging.
Does our condo corporation own the credits?
Not for residential charging. The corporation would only be the default creator, as site host, for chargers that are neither residential nor public, such as chargers for its own vehicles.
What if we've already signed up?
Ask the supplier, in writing, what your charging generated in credits last year, what they sold for, and what share you received. Have the agreement reviewed independently before renewing or expanding.
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