Ottawa offers new EV incentive while N.S. taxes them

Started by Seafoam, Feb 24, 2026, 02:06 PM

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Seafoam

Current cars , 23 Civic, 24 MX-5,16 Tacoma

dkazzed

I thought Alberta was first but Saskatchewan increased theirs from $150 to $300 so they must have been first. Alberta's rate is $200.

The flat rate is probably easier to administer than going by odometer readings but they could at least provide different classes. A first gen Nissan Leaf, Toyota BZ, Hyundai IONIQ 9, and Cadillac Escalade IQL are all going to wear a road differently.

Example:
Under 100 kW charge rate or 40kWh battery, and under 2500 kg GVWR: $100
Under 2500 kg: $150
2500-3999 kg: $200
4000-5499 kg: $300

RRocket

I don't have a problem with a road tax.

Currently, EVs don't pay their share for road maintenance and infrastructure via gas tax like ICE do.

Now whether such a tax would be used appropriately or frittered away is something else entirely.

Johnnymac

As someone who works directly with provincial fuel tax, I can tell you that for the past 5+ years I've tried to get our slow moving government to start some sort of program to get road tax from EV owners. 

My suggestion was yearly odometer readings when registering a vehicle, based off that reading, using the weight of the vehicle and comparing to similar weighted ICE vehicles to get an amount per KM of road tax.  This would ensure that an EV driver pays a similar amount of "road wear/maintenance" to their ICE counterparts. 

I also tried to tell them that just having odometer readings for vehicles would allow government to use that info for better infrastructure planning and development, knowing the average distance traveled for residents in each location could better target where key infrastructure could be utilized to in areas that might benefit from things like a new bridge, new highway, new hospital/clinic/school/etc.  But trying to get another department to take on work is futile until they are forced to do it kicking and screaming.
Past vehicles, 2016 VW Golf R, 2020 VW GLI, 2022 Honda Civic Si

Current vehicle, 2024 Acura Integra Type S

Seafoam

 I can maybe see the tax on a full EV. The Hybrid not so much as they do pay some fuel tax. It would be like  double taxation for hybrids. Most of the wear and tear on the roads are from heavy trucks delivering food . ;D 

The Saskatchewan tax apparently does not include hybrids. file:///C:/Users/smurf/Downloads/FT.012%252BRoad%252BUse%252BCharge%252Bon%252BElectric%252BVehicles.pdf
Current cars , 23 Civic, 24 MX-5,16 Tacoma

dkazzed

Alberta's only applies to BEVs as well.

The "based on an average family of 4" is a weird take, what if they have two vehicles?

Odometer readings is an additional level of administrative effort I think most governments aren't willing to add, but weight ratings with a limited kWh/kW level is best. Charging $200-250 a year whether they drive a 15 year old Nissan Leaf that on a good day has 70 km range now and an Silverado EV driving 50,000 km a year is really unfair.

Johnnymac

Quote from: dkazzed on Today at 11:54 AMAlberta's only applies to BEVs as well.

The "based on an average family of 4" is a weird take, what if they have two vehicles?

Odometer readings is an additional level of administrative effort I think most governments aren't willing to add, but weight ratings with a limited kWh/kW level is best. Charging $200-250 a year whether they drive a 15 year old Nissan Leaf that on a good day has 70 km range now and an Silverado EV driving 50,000 km a year is really unfair.
Is it easier to just use weight, sure, but it's not going to be overly fair.  Let me explain, so fuel tax is a consumption tax, meaning you pay taxes based on how much you consume (fuel).  But if you just blanket the charge at say $200 per year for a vehicle at XX weight, that means the guy who drives say 5,000kms per year with his EV in the city going back and forth to work and running local errands would pay the same as someone with an EV that they drive 25,000kms per year or more. 

As a taxation expert I always like for people and entities to pay their fair share of taxes and not be charged too much or too little.  That's why consumption taxes are so good in my eyes because it's based off of an individuals unique actions, and it's something that people can adjust themselves (through driving less).
Past vehicles, 2016 VW Golf R, 2020 VW GLI, 2022 Honda Civic Si

Current vehicle, 2024 Acura Integra Type S

dkazzed

I wonder if this is something the government can get insurance companies to collect on their behalf? We do estimate our kms driven to the insurance companies (maybe not government run), and it's in our best interests not to provide false information to the insurance companies.

My break even point with the flat $200 a year is roughly 12,500km. A BZ's break even point is roughly 20,000km and a Silverado EV around 10,000km. But the Alberta government is also known to pause gas taxes when oil is above a certain $ per barrel so do EV road taxes get paused then too?

Johnnymac

Quote from: dkazzed on Today at 12:25 PMI wonder if this is something the government can get insurance companies to collect on their behalf? We do estimate our kms driven to the insurance companies (maybe not government run), and it's in our best interests not to provide false information to the insurance companies.

My break even point with the flat $200 a year is roughly 12,500km. A BZ's break even point is roughly 20,000km and a Silverado EV around 10,000km. But the Alberta government is also known to pause gas taxes when oil is above a certain $ per barrel so do EV road taxes get paused then too?
I don't think it would be that hard to get odometer readings for every single personal vehicle if it's a requirement to provide when registering your vehicle, it's no different than having to provide the insurance policy number when doing so. 

You might say, but what about those people who lie about their mileage, well that's where auditors come in or simply a request for inspection where the person has to bring said vehicle to a location to have the odometer verified.  Plus the vast majority of people are honest (some to a fault) and also most people who aren't honest typically are also not the brightest, so they are typically easy to spot.

Knowing that the information you provide to government can be audited, and if you are found to be providing false information an extra penalty and interest would be added as well as the taxes that should have been paid. 
Past vehicles, 2016 VW Golf R, 2020 VW GLI, 2022 Honda Civic Si

Current vehicle, 2024 Acura Integra Type S

RRocket

Just go by gross vehicle weights and the national average for yearly driving.

Anything else is too complicated for govt.

Johnnymac

Quote from: RRocket on Today at 02:07 PMJust go by gross vehicle weights and the national average for yearly driving.

Anything else is too complicated for govt.
True, it would certainly be a step in the right direction as far as making EV owners pay a share of the road tax.
Past vehicles, 2016 VW Golf R, 2020 VW GLI, 2022 Honda Civic Si

Current vehicle, 2024 Acura Integra Type S