{"id":44757,"date":"2020-11-12T05:31:23","date_gmt":"2020-11-11T19:01:23","guid":{"rendered":"https:\/\/www.solarquotes.com.au\/blog\/?p=44757"},"modified":"2020-11-12T05:33:45","modified_gmt":"2020-11-11T19:03:45","slug":"sa-ev-tax-mb1758","status":"publish","type":"post","link":"https:\/\/www.solarquotes.com.au\/blog\/sa-ev-tax-mb1758\/","title":{"rendered":"SA’s Proposed Electric Vehicle Road Charge (Tax): Reactions"},"content":{"rendered":"

\"South<\/p>\n

South Australia’s State Budget 2020-21 promised an ‘adrenalin hit’, but it also contained a hit the state’s electric car owners and potential EV buyers won’t appreciate.<\/p>\n

Last week<\/a>, the Marshall Government was keen to crow about $18.3 million in the upcoming State Budget 2020-21 to support electric vehicle uptake. Something it didn’t mention at that point can be found on page 26 of the 2020-21 State Budget Overview<\/a>:<\/p>\n

\u201cThe government is intending to introduce a road user charge for plug-in electric and zero emission vehicles. The charge will include a fixed component (similar to current registration charging) and a variable charge based on distance travelled.\u201d<\/p><\/blockquote>\n

SA Treasurer Rob Lucas<\/a> says the tax on electric vehicles would be introduced as EV owners don’t pay fuel excise and therefore make a lower contribution to the cost of maintaining road networks.<\/p>\n

No numbers were provided in terms of how much electric car owners would be slugged. Mr. Lucas said in his budget speech<\/a> current estimates are that “less than about $1 million per year” will be collected by the charge. For a treasurer, that was a rather vague statement.<\/p>\n

There are around 2,000 EVs on the road in SA at present. Using round numbers of $1 million and 2,000 EVs, that would average out to approximately $500 per owner. The charge is unlikely to be that much, but it could still turn out to be quite a slug.<\/p>\n

This is not a done deal – Opposition leader Peter Malinauskas wouldn\u2019t rule out blocking the budget measure.<\/p>\n

The Marshall Government’s announcement was welcomed by some including the Australian Automobile Association (AAA), which stated last year it supported an electric vehicle usage fee<\/a> or tax.<\/p>\n

\u201cThe South Australian Government deserves to be congratulated on taking a position of leadership and for taking on a tax reform that has for too long sat in the too-hard basket,\u201d said<\/a> AAA Managing Director Michael Bradley. yesterday.<\/p><\/blockquote>\n

Mr. Bradley said October’s federal Budget indicates Australian motorists will pay $49.3 billion in fuel excise over the next four years, which will fund roads and other land transport infrastructure.<\/p>\n

TAI: “A Great Big New Tax on Not Polluting”<\/h2>\n

The Australia Institute (TAI) points out fuel excise is a federally levied tax that goes into general revenue and is not specifically committed to road funding. SQ’s Ronald mentioned back in 2018 that at that point it worked out to only around 10 cents<\/a> of the 40 cent per litre fuel excise went towards paying for roads.<\/p>\n

TAI says it is “disingenuous” to suggest that roads are funded by the fuel excise.<\/p>\n

\u201cPenalising electric car owners because they don\u2019t consume petrol that pollutes the atmosphere and our environment is absurd,\u201d said<\/a> TAI SA Directory Noah Schultz-Byard. \u201cThis is, in essence, a great big new tax on not polluting.”<\/p><\/blockquote>\n

FCAI: “Simply Beyond Belief”<\/h2>\n

The Federal Chamber of Automotive Industries’ (FCAI’s) Chief Executive Tony Weber said<\/a> South Australia would be discouraging the uptake of environmentally friendly motoring and be “turning its back” on climate change.<\/p>\n

“These vehicles offer economy wide benefits, including improved health outcomes, and will make a major contribution to improving our environmental scorecard.”<\/p><\/blockquote>\n

The improvement in health outcomes is an important point – harking back to Ronald’s article, Ronald estimated just the environmental and health costs associated with emissions from petrol and diesel at around 84 cents per litre; which is far more than the fuel excise.<\/p>\n

EVEA – One Word Reaction<\/h2>\n

At the time of writing, the Australian Electric Vehicle Association\u00a0 (AEVA) had just one word to describe the news:<\/p>\n

“Speechless<\/a>”<\/p>\n

I don’t think they meant speechless from excitement. No doubt they’ll have a bit more to say once they’ve been able to pick their jaws up off the floor.<\/p>\n

SQ’s Finn: Dumb Economics, Dumber Politics<\/h2>\n

SolarQuotes’ founder Finn Peacock<\/a> is an EV owner. I asked for his views on the proposed electric vehicle tax and after he was done with expletives – some combinations of which I’ve never heard before – he offered this comment:<\/p>\n

“This is nuts – and I’m not just saying that because I’ve got 2 EVs on the driveway1<\/a><\/sup>. If we’d taxed solar power 10 years ago because ‘someone’s got to pay for the distribution network’ then SA would not be the world leader in solar energy it is now. This is dumb economics and even dumber politics.”<\/p><\/blockquote>\n

Finn also pointed me to the World Health Organisation’s recommendations on economic instruments to secure better health and environmental outcomes, which include<\/a>:<\/p>\n

“Increasing prices of goods and services that damage health and environment, as well as increasing financial returns in the case of more sustainable approaches that foster more environmentally-friendly production and consumption patterns.”<\/p><\/blockquote>\n

Given the move by the Marshall Government to whack a tax on electric cars, Finn is now concerned it will also attempt to tax the 8 bicycles in his garage.<\/p>\n","protected":false},"excerpt":{"rendered":"

South Australia’s State Budget 2020-21 promised an ‘adrenalin hit’, but it also contained a hit the state’s electric car owners and potential EV buyers won’t appreciate.<\/p>\n","protected":false},"author":17,"featured_media":44758,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[678],"tags":[],"class_list":["post-44757","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-solar-battery-news","entry"],"acf":[],"yoast_head":"\nSA's Proposed Electric Vehicle Road Charge (Tax): Reactions<\/title>\n<meta name=\"description\" content=\"South Australia's State Budget 2020-21 contained a hit the 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At that point,\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\/2021\/06\/sa-ev-tax.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/06\/sa-ev-tax.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/06\/sa-ev-tax.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/06\/sa-ev-tax.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/06\/sa-ev-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":44757,"position":1},"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":71067,"url":"https:\/\/www.solarquotes.com.au\/blog\/sa-ev-tax-abolished-mb2826\/","url_meta":{"origin":44757,"position":2},"title":"South Australia’s EV Tax Officially Ditched","author":"Michael Bloch","date":"February 13, 2023","format":false,"excerpt":"There wasn't a great deal of fanfare, but legislation to repeal SA's electric vehicle taxed passed the Upper House last week. Back in 2020, then-SA Treasurer Rob Lucas revealed the Marshall Government's intention of introducing a road user charge for plug-in electric and other zero emission vehicles. Initially, it was\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 vehicle tax","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/02\/sa-ev-tax.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/02\/sa-ev-tax.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/02\/sa-ev-tax.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/02\/sa-ev-tax.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2023\/02\/sa-ev-tax.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":44611,"url":"https:\/\/www.solarquotes.com.au\/blog\/sa-batteries-efficiency-evs-mb1752\/","url_meta":{"origin":44757,"position":3},"title":"SA Boosts Backing For EVs, Home Batteries And Energy Efficiency","author":"Michael Bloch","date":"November 9, 2020","format":false,"excerpt":"On Friday, South Australia's Marshall Government announced a bundle of bucks earmarked for emissions and electricity cost reduction efforts. More Funding For Home Batteries The Marshall Government's Home Battery Scheme is getting a funding boost to the tune of an additional $18 million, bringing the cost of the scheme to\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 home battery scheme","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/home-battery-scheme.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\/home-battery-scheme.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/home-battery-scheme.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/home-battery-scheme.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/home-battery-scheme.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":61714,"url":"https:\/\/www.solarquotes.com.au\/blog\/wa-ev-rebate-tax-mb2468\/","url_meta":{"origin":44757,"position":4},"title":"WA Electric Vehicle Rebate Launched, EV Tax On The Horizon","author":"Michael Bloch","date":"May 11, 2022","format":false,"excerpt":"Western Australia's McGowan Government is earmarking close to $60 million to boost uptake of electric cars and other zero emission vehicles, but will lump EV drivers with a tax further along the road. As part of WA State Budget 2022-23, the $36.5 million Clean Energy Car Fund will provide up\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":"Western Australia's EV Rebate","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/wa-ev-rebate.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/wa-ev-rebate.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/wa-ev-rebate.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/wa-ev-rebate.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/wa-ev-rebate.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":44757,"position":5},"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":[]}],"_links":{"self":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/44757","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=44757"}],"version-history":[{"count":9,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/44757\/revisions"}],"predecessor-version":[{"id":44767,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/44757\/revisions\/44767"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/media\/44758"}],"wp:attachment":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/media?parent=44757"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/categories?post=44757"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/tags?post=44757"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}