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New tax on EVs
This story is about the new transportation infrastructure bill in California. It taxes gasoline, diesel, and EVs. The increase on gasoline is $0.12 per US gallon. It is $100 per year on EVs. A stock version of my car driven 12,000 miles per year would pay $48 more. Clearly, part of the logic of this tax is making EV owners catch up with the rest of the public's tax expenses for roads and such. The "free" ride of the EV shows signs of ending even in go-go EV Cali:
California Lawmakers Approve Gas Tax To Pay For $52 Billion Infrastructure Plan | The Huffington Post |
It makes sense. As the market takes over, subsidies go away and as the market shifts, the tax structure has to shift with it.
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I know it might be controversial, but it's fair to charge EV owners their share on road usage as much as ICE-powered vehicles. Otherwise it would eventually be another excuse to point out at their drivers as selfish smugs. BTW I just get quite confused about how they're going to tax PHEVs and EREVs.
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I guess the love affair is officially over once the tax credits fall off.
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^I'd call that the beginning of the mainstream love affair, but whatever.
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The cars have a following out here in coastal Southern Cali. And they even sell pretty well when used. Partly that is the taxes, prolly. Partly it is the HOV sticker, prolly. Escaping smog testing is another benefit. And torque!! Also, we have lots of charge stations. Every EV on the market is here in force, it seems.
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I don't mind, as the amount isn't astronomical. Fuel taxes also went up, but it's needed as they haven't gone up for a long time. Roads need fixing. Only downside is if the electric car isn't driving 12,000 miles a year, then one would be paying higher than average.
Gil |
It was bound to happen that someone would notice that EVs represent a lot of infrastructural load that isn't paying its share. Better to get in front of that budget burden now and get people used to it, rather than later and fight the inertia.
$100/year is cheap. If I were paying the proposed fuel tax rate this year, I would be at $40 YTD on my hybrid; $100/year would be a bargain. |
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