- cross-posted to:
- [email protected]
- cross-posted to:
- [email protected]
A specific road use tax on EVs and hybrids makes no sense.
Given the harms caused by traditional vehicles, society should welcome the decline in fuel excise revenue caused by the transition to EVs – in the same way we should welcome declining revenue from cigarette taxes.
Vehicle registration fees make only a modest contribution to road costs. That’s why all motorists should pay a road-user charge. The payment should be based on a combination of vehicle mass and distance travelled
As the article points out, the fuel excise tax does not pay for roads, it goes into general revenue and does not collect enough to pay for the damage done by air pollution. The argument is that roads should be paid for by a tax on vehicle weight and distance travelled whether ICE or EV in addition to the fuel excise tax.