As e-bike adoption increases across the United States, policymakers are exploring incentive programs that make e-bikes more accessible while advancing broader transportation, environmental, safety, and equity goals. This report examines best practices from e-bike incentive programs across North America and considers their implications for New Jersey in light of the state’s recently enacted 2026 NJ E-bike Law.
We first conducted a literature review to understand the state of the practice. Then, we interviewed stakeholders from statewide and regional incentive programs, university researchers, delivery platforms, and advocacy groups to understand the current successes, challenges, and shortcomings of e-bike rebate programs. We then deployed a survey of nearly 1,000 adult e-bike users and non-users to understand perspectives and opinions of e-bikes and intention to use e-bikes.
Our analysis revealed eight broad themes central across all our interviews:
- Theme 1: Demand for e-bike rebates is significantly higher than supply.
- Theme 2: Program funding longevity is uncertain.
- Theme 3: Ensuring that the program is open to everyone while prioritizing lowest-income, highest-need participants.
- Theme 4: Equity concerns in fund distribution (point-of-sale rebates).
- Theme 5: Higher redemption rates for low-income participants.
- Theme 6: Participant preparedness, expectations, and education.
- Theme 7: Approaches to safety equipment inclusion vary by program.
- Theme 8: Retailer criteria ensure safety while boosting the local economy.
One in three respondents who did not own an e-bike had used an e-bike at some point in their lives and 43% were interested in owning one in the future. A majority of surveyed non-e-bike owners are in favor of supportive e-bike policies. People who had used an e-bike before or who knew someone who used an e-bike were more likely to be in favor of supportive e-bike policies, like rebate programs. At the same time, only 25% of respondents who were interested in owning an e-bike were willing to pay more than $1,000.
Among e-bike owners and non-owners, around one in six did not have a driver’s license. This is important to consider since the 2026 NJ E-bike Law requires all e-bike owners to have a valid driver’s or moped license. An e-bike rebate program can support the new 2026 NJ E-bike Law by requiring e-bike rebate recipients to register their e-bike in order to receive the rebate or tax credit.
We conclude that an e-bike incentive program in New Jersey would have numerous benefits, including:
- Lowering emissions and car trips: Greenhouse Gas (GHG) emissions will decrease through reduced motor-vehicle miles traveled.
- Supporting local bike shops: Rebate dollars stay in New Jersey since purchases are limited to participating local retailers.
- Increasing equitable transportation access for low-income households: Rebates may be larger for lower income households, which reduces the upfront costs for those who need it the most.
- Encouraging safer e-bike purchases: Rebates and incentives are limited to low-speed e-bikes. This steers consumers away from high-speed e-motos and bicycles with unsafe and uncertified batteries.
- Improving education and compliance with the 2026 NJ E-bike Law requirements: Rebates provide an access point for rider education (either through the application portal or at local bike shops). This increases the awareness of license, registration and insurance requirements which are currently unique to New Jersey.
- Creating safer streets: Rebates encourage low-speed vehicles on the roads, reduce car trips, and support safer traffic conditions.