EV tax backed in Victoria
Victoria’s new electric vehicle (EV) tax has passed.
The state’s upper house has passed a bill that includes measures to cancel the registration of vehicles that do not comply with the new road user charge.
From July 1, EV owners must record every kilometre they travel each year through odometer readings, and provide that information to authorities at the end of the year.
They will then be taxed 2.5 cents per kilometre for full battery EVs and hydrogen fuel cell vehicles, and 2 cents for hybrids, rising every year with inflation.
Failure to do so can result in registration being suspended or cancelled.
The Victorian Government expects to slug EV-users for an $330 a year on average, but much more for motorists who travel longer distances.
The tax only applies to public roads, but motorists must prove if any of their driving was on private roads.
The new laws have been attacked for potentially deterring people from buying electric cars. The Andrews government has sought to limit this damage by introducing $3,000 subsidies for up to 20,000 new EVs, and a promise to ensure 50 per cent of new car sales are zero or low emission vehicles by 2030.