Australian Automobile Association wants electric vehicle tax to go national

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Australia’s leading automotive organization is calling for the taxation of electric vehicle owners to be rolled out on a national basis.

Victoria joined South Australia in announcing that it will introduce a charge for electric vehicles to offset losses in excise duty on fuel.

Electric cars will receive a tax of 2.5 cents per kilometer, while drivers of low-emission cars will be charged two cents per kilometer.

Environmental groups have criticized the plan, which will cost the average electric car driver between $ 260 and $ 300 each year.

Michael Bradley, CEO of the Australian Automobile Association, said states deserve to be commended for their “leadership position”.

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“The technological changes we are seeing in the automotive market are good for consumers and the environment, but they will also significantly undermine the federal budget and its reliance on fuel excise revenue to fund fuel projects. transport, “he said in a statement on Sunday.

“The federal government needs to step in and ensure that tax changes are nationally consistent, fair and progressed in a way that does not discourage technology transition.

Mr Bradley said 80% of respondents to an AAA survey this month agreed that electric vehicle owners should somehow contribute to the costs of roads.

A similar proportion supported keeping any load at a level that would not discourage adoption of electric vehicles.

Victorian Treasurer Tim Pallas dismissed the idea that the new levy would discourage potential buyers.

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“Even after the introduction of this charge for the use of our road network, drivers of electric vehicles will pay between 40 and 45% less than motorists driving a gasoline or diesel car,” he said.

Over $ 45 million is budgeted to accelerate vehicle adoption.

Electric Vehicle Council Director General Behyad Jafari said the announcement was counterproductive and made no sense.

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“Fuel excise revenues are not quarantined for roads and will decline in the long run,” he said.

“But as we move away from gasoline and diesel, illnesses from air pollution and other costs associated with climate change will also decrease.

“The time has come to encourage electric vehicles, not to withhold them with a new tax.”

SA expects their yet unspecified charge to raise $ 1 million per year starting next July.

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