(The Center Square) – Come 2025, electric vehicle drivers will pay an annual registration fee in Pennsylvania.
The legislation headed to Gov. Josh Shapiro’s desk will charge owners of battery-powered and plug-in hybrid vehicles $200 next year, the first of an incremental scale that will reach $286 in 2030.
Prime sponsor Sen. Greg Rothman, R-Shippensburg, said the fee will help maintain Pennsylvania’s roads and bridges – some of the worst-rated in the nation – and shift some of the burden off the state’s gas tax.
“This legislation will simplify government for electric vehicle owners and ensure all drivers are contributing toward the maintenance of Pennsylvania’s roads and bridges,” Rothman said.
The bill also eliminates the alternative fuels tax on electricity for at-home charging, which netted the state nearly $778,000 in 2023. According to a fiscal note prepared by the House Appropriations Committee, the new electric vehicle fee will generate $16.1 million in 2025 and as much as $28.8 million by 2030.
The current system for electric vehicle owners is to file monthly statements on electric use and remit the tax to the Department of Revenue. Rothman, in a legislative memo, called the process cumbersome and noted that most EV owners don’t file the statements or are unaware that they are required to.
Pennsylvania has had dramatic growth in electric vehicle ownership, with a 45% rise compared to a year ago as state and federal funds drive the buildout of public charging stations on its main highways.
Data released by PennDOT shows that more than 63,000 electric vehicles are registered in the state. Additionally, hybrid EVs number 274,800 statewide, a 24% increase.
Counting plug-in hybrids, the total electric vehicle share in the commonwealth is almost 375,000 vehicles.
Earlier versions of the bill proposed fees as high as $380, though the figure was negotiated down to secure bipartisan support.