To make up for the lower amount of tax collected on fuel sales, maybe. Where I live (ireland), taxes on diesel are lower to the extent that it's cheaper than p

To make up for the lower amount of tax collected on fuel sales, maybe. Where I live (ireland), taxes on diesel are lower to the extent that it's cheaper than petrol. (done some time in the 80's, I think. To reduce fuel imports) Since 2006 car tax is entirely based on CO2 output, previously it was engine displacement. Meaning EVs have €0 car tax. (you can tell, because you're required to display the tax-disc in the window and it says how much it cost on it.)