The federal government’s deal with Volkswagen made earlier this year to incentivize the European automaking giant to build its first overseas electric vehicle (EV) battery manufacturing plant in Ontario will cost taxpayers over $16 billion, says the Parliamentary Budget Officer (PBO).
“Based on our analysis, the federal government’s financial commitment to Volkswagen will total around $16.3 billion over the period of the agreement,” PBO Yves Giroux said in a news release on June 14 after his office released its “Fiscal Analysis of Canada’s Support for Volkswagen’s Electric Vehicle Battery Manufacturing Plant.”
