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Is A Tax On Electricity (kWh) Consumed The Best Way to Supplement the Fuel Tax for Electric Vehicles?

EV Adoption

As sales of electric vehicles begin to reach significant numbers across the US, states are exploring approaches to replace lost tax revenue since EV drivers don’t pay fuel taxes as drivers of gas-powered cars do at gas stations. Unfortunately there is currently no simple and agreed upon best replacement for the fuel tax.

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Study finds behavior-influencing policies remain critical for mass market success of low-carbon vehicles

Green Car Congress

The researchers found that focusing on the behavioral aspects of consumers in vehicle purchase decisions is key to encouraging the rapid uptake of plug-in hybrid vehicles, battery-electric vehicles, and hydrogen fuel cell vehicles. In Norway, for example, 40% of passenger cars sold in 2017 were either battery-electrics or plug-in hybrids.

Carbon 231