Listen to this article
Estimated 2 minutes
The audio version of this article is generated by AI-based technology. Mispronunciations can occur. We are working with our partners to continually review and improve the results.
Nova Scotia’s new tax on electric vehicles and plug-in hybrids comes into effect Oct. 1, but traditional hybrids — ones that aren’t plugged in — are exempt.
Introduced in the provincial government’s most recent budget, the fee ensures drivers who pay little or no fuel tax at the pump still contribute to road repairs.
Starting in October, electric vehicle owners will pay an additional $500 every two years when renewing their registration, while plug-in hybrid owners will pay $250.
With about 5,500 EVs and 4,500 plug-in hybrids in the province, Finance Department officials estimate the levy will bring in about $1.9 million per year.
For context, paving one kilometre of a two-lane highway costs over $1 million, while resurfacing costs $700,000 per kilometre, according to the Public Works Department.
A government news release Friday said that Nova Scotia will become the fourth province with a tax on electric vehicles.
Saskatchewan charges $300 per year, Alberta charges $200 a year, and Quebec plans to introduce a $125 a year fee next year.
Nova Scotia’s new fees apply to passenger vehicles, light trucks, and vans, but exempt municipal, fire and police vehicles.
MORE TOP STORIES