Pennsylvania Passes Annual Tax on Electric Vehicles

HARRISBURG—On Thursday, July 11, the Pennsylvania General Assembly passed Senate Bill 656, which puts in place an annual tax on electric vehicles (EVs) of $200 starting in the first year, $250 in the second, with adjustments for inflation beginning in year three. The bill also eliminated the Alternative Fuel Tax for residential charging while keeping it in place 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.”

The bill currently sits on the desk of Governor Josh Shapiro, who has until July 21 to sign it into law. If the governor declines to sign, the bill will automatically become law after 30 days.

###

About the Electrification Coalition: The Electrification Coalition is a nonpartisan, nonprofit organization that promotes policies and actions to facilitate the widespread adoption of plug-in electric vehicles (EVs) on a mass scale to overcome the economic, public health and national security challenges that stem from America’s dependence on oil. ElectrificationCoalition.org

Amy Malaki

Amy Malaki is the head of policy and sustainability at SkyNRG and SkyNRG Americas, pioneering global leaders in sustainable aviation fuel production and supply. Prior to SkyNRG, Amy was the associate director for the transportation portfolio at the ClimateWorks Foundation where she developed philanthropic investment strategies to advance a sustainable, equitable and low-carbon mobility system. She also pioneered the organization’s international aviation decarbonization strategy. Prior to that she focused on Asia business development at Better Place, a Silicon Valley electric vehicle network startup. She has a B.A. in Chinese and China studies from the University of Washington and an M.A. in international policy studies (energy and environment) from Stanford University.