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A major missing piece of the picture here is the introduction of Road User Charges (RUC) for EVs. RUC are a tax levied on diesel vehicles in NZ. The idea being
by verve_rat 3y ago
A major missing piece of the picture here is the introduction of Road User Charges (RUC) for EVs. RUC are a tax levied on diesel vehicles in NZ. The idea being that the cost of maintaining roads is built into petrol taxes, but many (most?) diesel vehicles don't use the roads. Think farm tractors, construction equipment, etc. So the road tax is levied on diesel vehicles based on the distance they travel. You need to buy RUC credits to pay for your use of the roads.
Until recently EVs were exempt from RUC and so were extra cheap to operate. Now there is the double whammy of the removal of the subsidy and the extra cost of having to pay RUC.
You can argue that this is fair and expected, EV owners should pay for the roads they use, same as every one else. But the question remains as to whether the trade off of more ICEs vs EVs in the NZ vehicle fleet is worth it.
- TheAlchemist 3y agoGood points indeed. Regarding your last remark - yeah, it's a valid question. It also shows that without heavy subsides, in most countries, electric vehicles would sell a fraction of what they sold in the past 2 years.
- slyall 3y agoThe Road User Charges level for Plugin-hybrids is also felt by somebody to be a too high. It has been pointed out that some efficient petrol cars might be cheaper to run. Owners of older plugin-hybrids that only get a very short distance on battery are especially disadvantaged.