California has had a cash for clunkers type of program off and on for many years. Basically, if you had a car n years old that was still passing smogchecks (ie, still on the road) then the state would offer to buy it off you for $2000 and then crush it. This had the unintended side effect of making it harder for teens to buy their first cars.

Anyway, California already has a pattern of behavior to spend 2 grand to take a polluter off the road. This bill seems to be in the same vein but instead of the car getting crushed, it stays on the road as an EV.