EV drivers upset as Saskatchewan doubles their annual road-use charge to $300
Electric vehicle drivers need to pay fair share for road maintenance: government
Saskatchewan is making it more expensive to drive an electric vehicle and some drivers are calling it a shortsighted move.
The government announced it's doubling the road-use charge on EVs to $300 annually from $150. The surcharge is collected by Saskatchewan Government Insurance (SGI) at the time of registration and will go toward fixing roads.
In a news release, the government said the additional fee for electric vehicles is a matter of fairness.
"These vehicles contribute to wear and tear on provincial roadways but, since they do not consume traditional fuels, they do not contribute to highway maintenance through the provincial fuel tax," the release says.
In 2021, Saskatchewan became the first province in Canada to introduce a road-use charge. Those who supported the move argued that without one, EV drivers were getting an unfair subsidy. Alberta recently followed Saskatchewan's lead and introduced its own $200 tax on EVs in early January.
Incentives, not barriers
SaskEV, a provincial association that lobbies on behalf of electric vehicle drivers, fought the initial fee four years ago. Now, Tyler Krause, an electric vehicle owner and board member, is frustrated to hear it's doubling.
"It's short-sighted," Krause said, noting Saskatchewan has one of the lowest rates of electric vehicle uptake in the country. "While I agree that at some point an EV tax is necessary to deal with road maintenance costs, we're not at that point yet. We just don't have enough EV's to justify this kind of tax."
As of July, 2023, there were 1,446 electric vehicles registered in Saskatchewan, according to SGI.
Krause calls the charge discriminatory because all electric vehicles are hit with a $300 charge, whereas gas vehicle drivers pay the fuel tax based on how much gas they buy.
Glenn Wright, a farmer near Vanscoy who owns three electric vehicles, says he generally agrees that drivers need to help pay for road maintenance, but argues it's bad timing for this tax.
"I think it's unfortunate because we recognize we're in a climate emergency and we are car culture here in Saskatchewan, so adding this extra charge is actually sort of disincentivizing that transition to move us away from fossil fuel transportation to electric transportation," Wright said.
"It's the wrong move at the wrong time."
