{"id":34534,"date":"2019-10-29T07:40:42","date_gmt":"2019-10-28T21:10:42","guid":{"rendered":"https:\/\/www.solarquotes.com.au\/blog\/?p=34534"},"modified":"2024-09-05T08:28:42","modified_gmt":"2024-09-04T22:58:42","slug":"australia-electric-vehicle-tax-mb1270","status":"publish","type":"post","link":"https:\/\/www.solarquotes.com.au\/blog\/australia-electric-vehicle-tax-mb1270\/","title":{"rendered":"AAA Supports Electric Vehicle Usage Tax"},"content":{"rendered":"
\"Electric

Image: stux<\/a><\/p><\/div>\n

A poll commissioned by the Australian Automobile Association indicates the majority of Australian drivers support an electric vehicle usage fee or tax – and so does the AAA.<\/p>\n

Australians currently pay a fuel excise tax<\/a> of 41.8c per litre of petrol or diesel they buy. Fuel excise is the largest source of road-related revenue, around\u00a0 $18 billion a year before excise rebates. Australian EV owners of course bypass this tax, using the mains grid and home solar systems for electric car charging<\/a>.<\/p>\n

Fuel excise revenue has been dropping and increased uptake of electric vehicles will put more downwards pressure on how much is collected in the years ahead. It’s a situation that hasn’t escaped the notice of Australia’s ICE (internal combustion engine) vehicle owners.<\/p>\n

The Australian Automobile Association<\/a> describes itself as the peak organisation for Australia\u2019s motoring clubs and their 8 million members. It commissioned a survey<\/a> of 1,500 Australians that found 76 per cent of respondents believe owners of electric vehicles should be financially contributing to transport infrastructure. Almost half believed it’s “unfair” EV owners avoid paying fuel excise.<\/p>\n

In an interview on 2GB yesterday, Automobile Association of Australia Managing Director Michael Bradley suggested electric vehicle owners should be brought into the road use tax system sooner rather than later.<\/p>\n

“I think what the AAA and motoring clubs want is a situation in which we can bring electric vehicles into the tax system in a sustainable way and do so in a way that doesn’t disincentivize their uptake in Australia,” he said.<\/p><\/blockquote>\n

Mr. Bradley said he didn’t want to see a heavy-handed tax on technology, but the money needs to be there for public transport and roads in the future. He has suggested a “discounted rate” for electric vehicles; but what that rate might be and how it would be applied wasn’t detailed.<\/p>\n

The full 2GB interview can be found here<\/a>.<\/p>\n

Australia’s Fuel Excise Tax And Roads<\/h2>\n

If an electric vehicle usage tax\/fee was to be introduced expressly for the purpose of contributing to road infrastructure funding, it would have to be pretty low to be fair.<\/p>\n

An important point when considering such a scheme is the proportion of fuel excise tax that actually goes towards financing road infrastructure. Last year, SQ’s Ronald wrote on the controversial topic of electric vehicle subsidies<\/a> and mentioned:<\/p>\n

“Australia already has a hefty incentive for people to go electric and that\u2019s the 40 cent per litre fuel excise on petrol and diesel.\u00a0 Of this about 10 cents goes to pay for roads with 30 cents going into general revenue.”<\/p><\/blockquote>\n

Just 10c – or thereabouts.<\/p>\n

Ronald also detailed the savings electric vehicles can bring to Australia, and not just their owners. He estimated just the environmental and health costs associated with emissions from petrol and diesel at around 84 cents per litre, so far more than the fuel excise collects.<\/p>\n

So, it seems EV owners may already be paying their way by not burning a fuel that causes environmental havoc and human misery; both of which will have an increasingly hefty financial cost to Australian taxpayers.<\/p>\n

With electric cars still pretty pricey in Australia (for now) and any signal of an EV usage tax – whether it goes ahead or not – potentially acting as a disincentive to uptake, perhaps supporters of such a move should be mentioning these points when discussing.<\/p>\n","protected":false},"excerpt":{"rendered":"

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Something\u2026","rel":"","context":"In "General Solar & Storage News"","block_context":{"text":"General Solar & Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"South Australia electric car tax","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/electric-car-tax.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/electric-car-tax.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/electric-car-tax.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/electric-car-tax.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/electric-car-tax.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":89483,"url":"https:\/\/www.solarquotes.com.au\/blog\/ev-road-user-charges-mb3115\/","url_meta":{"origin":34534,"position":2},"title":"EV Road User Charges Back In The Spotlight","author":"Michael Bloch","date":"February 12, 2025","format":false,"excerpt":"The debate over road-user charges (RUC) for electric vehicles has been reignited courtesy of interpretation of comments reportedly made recently by Treasurer Jim Chalmers. There have been several attempts at introducing an EV road user \"tax\" on a state-level basis. Back in 2020 in South Australia, the then-Marshall Government intended\u2026","rel":"","context":"In "General Solar & Storage News"","block_context":{"text":"General Solar & Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"Electric vehicle road user charges","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/02\/ev-charges-tax.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/02\/ev-charges-tax.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/02\/ev-charges-tax.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/02\/ev-charges-tax.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/02\/ev-charges-tax.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":93829,"url":"https:\/\/www.solarquotes.com.au\/blog\/ev-road-charges-mb3246\/","url_meta":{"origin":34534,"position":3},"title":"EV Road User Charge Discussions Accelerate","author":"Michael Bloch","date":"August 13, 2025","format":false,"excerpt":"A road user charge for electric vehicle use in Australia seems not a matter of if, more a question of when. But should common sense prevail, it won't just apply to EVs. Early this year, Federal Treasurer Jim Chalmers was said to have floated the idea at a private dinner\u2026","rel":"","context":"In "Electric Vehicles"","block_context":{"text":"Electric Vehicles","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/electric-vehicles\/"},"img":{"alt_text":"Driving an EV","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/08\/ev-road-charges.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/08\/ev-road-charges.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/08\/ev-road-charges.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/08\/ev-road-charges.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/08\/ev-road-charges.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":94389,"url":"https:\/\/www.solarquotes.com.au\/blog\/ev-ruc-australia-mb3264\/","url_meta":{"origin":34534,"position":4},"title":"Another Step Towards An EV Road User Charge In Australia","author":"Michael Bloch","date":"September 8, 2025","format":false,"excerpt":"Federal Treasurer Jim Chalmers met with his state\/territory counterparts on Friday to discuss (among other things) a potential road user charge (RUC) for electric vehicles. What Was The Outcome Of The Meeting? An options paper was put together for the meeting, a goal of which was for state and territory\u2026","rel":"","context":"In "Electric Vehicles"","block_context":{"text":"Electric Vehicles","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/electric-vehicles\/"},"img":{"alt_text":"Electric vehicle road user charge","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/09\/chalmers-ev-ruc.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/09\/chalmers-ev-ruc.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/09\/chalmers-ev-ruc.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/09\/chalmers-ev-ruc.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/09\/chalmers-ev-ruc.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":79385,"url":"https:\/\/www.solarquotes.com.au\/blog\/ev-tax-ruling\/","url_meta":{"origin":34534,"position":5},"title":"EV Owners Triumph: High Court Strikes Victoria’s 2.8c Per Km Tax","author":"Richard Chirgwin","date":"October 18, 2023","format":false,"excerpt":"Victoria\u2019s attempt to levy a 2.8c per kilometre tax on EV owners has ended, with the High Court not just striking down the law in Victoria, but ruling it amounted to an \u201cexcise\u201d - which Australia's Constitution forbids states from collecting. The judgement, available here on the Australian Legal Information\u2026","rel":"","context":"In "General Solar & Storage News"","block_context":{"text":"General Solar & Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"Victoria's EV tax ruled unconstitutional","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/10\/ev-tax-gone.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/10\/ev-tax-gone.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/10\/ev-tax-gone.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/10\/ev-tax-gone.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/10\/ev-tax-gone.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/34534","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/comments?post=34534"}],"version-history":[{"count":12,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/34534\/revisions"}],"predecessor-version":[{"id":86518,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/34534\/revisions\/86518"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/media\/34535"}],"wp:attachment":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/media?parent=34534"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/categories?post=34534"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/tags?post=34534"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}