Owners of electric passenger vehicles registered in Saskatchewan will begin paying an annual road-use fee of $150, effective Oct. 1.
The necessary amendments to The Fuel Tax Act, 2000 were introduced in the legislature this week.
In Saskatchewan, all road-use fuel tax revenue is dedicated to provincial highway maintenance. In the 2019-20 fiscal year, road-use fuel tax revenue totalled about $454 million in Saskatchewan, while road maintenance expenditures totalled nearly $616 million.
The average annual fuel tax paid by owners of non-electric (fuel powered) vehicles in Saskatchewan is estimated at about $150 per vehicle, according to a government press release. The government says the new road-use fee will ensure that owners of electric vehicles pay a comparable amount annually. The revenue from this fee, as with road-use fuel tax revenue, will be dedicated to provincial highway maintenance.
The government is also considering application of a tax at charging stations.
The new electric vehicle road-use fee will be collected by Saskatchewan Government Insurance when the vehicle is registered.