The Pennsylvania General Assembly passed Senate Bill 656, introducing an annual tax on electric vehicles (EVs): $200 in the first year, $250 in the second, with adjustments for inflation starting in the third year. The bill also removed the Alternative Fuel Tax for residential charging but retained it for public charging sites.
Electrification Coalition VP of Policy Anne Blair issued the following statement:
“Shifting to electric vehicles (EVs) is critical to ending our nation’s dependence on oil and strengthening our economic and national security.Across the nation, gas tax revenues are declining, primarily due to inflation and overall vehicle efficiency. States are increasingly turning to annual fees on EVs as a solution to help fill the road funding gap. While EV drivers should pay their fair share to maintain Pennsylvania’s roads, they should not be penalized for switching away from gas-fueled vehicles. The passed fee penalizes EV drivers for making efficient choices, but we commend the legislature for removing the residential charging tax.
The EC appreciates the efforts by the legislature to hear the concerns of constituents, have an important and balanced debate and find a solution that will address road funding concerns in the near term and allow Pennsylvania to continue supporting EV adoption.”