$200 Tax For Alberta EV Owners Starting January 2025

Starting January 2025, existing or would-be electric vehicles (EV) owners will pay Alberta federal government a $200 tax every year for provincial road maintenance and to support public services.

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$200 Annual Tax To EV Owners Is In Line With ICE’s Annual Fuel Tax – Alberta Province’s Fiscal Plan

On Thursday, Finance Minister Nate Horner said that current and new EV owners will have to pay $200 a year when registering their vehicles starting January 2025. Reported by the Global News, the province said that EVs tend to be heavier than its counterpart internal combustion engine (ICE) vehicles and “cause more wear and tear on provincial roadways.”

According to Honer, the new tax for EV owners will be their contribution to keep the maintain the provincial roads and to support other public services. It is also in line with the estimate annual fuel tax that the ICE drivers pay in Alberta.

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EV Owners Shocked At Having To Pay The Provincial Tax

Reported by the Global News, Calgary EV owners were shocked about the provincial tax that they’re going to pay. Their EV have retail prices which are usually higher than regular vehicles. A newly resident of Alberta, Rahul Tomar from Ontario said, “Shouldn’t they be promoting electric vehicles by giving more rebates instead of taking more money?”

The Canadian Vehicle Manufacturers’ Association (CVMA) said that the new tax for EV owners will cost the people of the province and will make it difficult to hit sales targets. CVMA’s president and CEO, Brian Kington, said that all levels of government should put efforts on helping Albertans to switch to electric and address key barriers to EV adoption which includes affordability and lack of charging infrastructure.

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