Norway Removes Gas Trucks for Taxes

In an effort to make up for lost money, officials are moving away from high-end electric vehicles, sparking serious controversy and concerns that the country could jeopardize its plans to sell new cars with combustion engines by 2025. 2017. a list of incentives as part of the ongoing discussion.

There is widespread uncertainty about which taxes will be levied. But the country’s automotive corporations and environmental groups believe that the four most likely to be refunds are plug-in hybrids taxes, a second type EV sales tax, a “higher EV” tax that costs more than that. 600,000 Norwegian krone ($ 68,650), with the rise of the annual EV ownership tax.

Labor Party MP Frode Jacobsen could not elaborate on the ongoing budget talks, but confirmed that the current proposals include a tax increase for some hybrids. The tax on “high EVs” will not be included in next year’s budget, he added, though he did not say he was criticized in later years.

In one country, it would be unusual for a left-wing government to support such policies. But Lasse Fridstrøm, chief research economist at the Institute of Transport Economics Oslo, a research institute, says there are thoughts across the political spectrum that it is time to tax EVs now that they are no longer uncommon. “The new Labor government has just retained the views of the former right wing or Conservative government,” he added. “Then yes, there is agreement. But conservationists are, in fact, unhappy. ”

Norwegian environmentalists say they do not oppose the idea of ​​a tax evasion of EVs as long as excise car fuel taxes are high, too. But there are concerns about improper taxes coming soon. “This can lead to big problems,” says Hauge. “Repaying VAT on more than 600,000 krone vehicles seems strange because those are the most useful vehicles” in rural areas where people spend more time on the road – and they need to drive EVs over long distances, he says.

Berve is also worried about time. He believes that excise duty on electric vehicles could disrupt the market before it has a chance to thrive, whereas a tax on hybrids could make drivers in the north of the country unable to access the existing tariffs. in the south. He agrees with the Norwegian agreement that hybrids are a “flexible technology” that will eventually stand in the way of electricity generation. “Yet it is a flexible technology that we believe is still needed for a reason [the EV market is] is not yet mature, ”he adds. Example: EVs still account for 15 percent of all traffic in Norway, according to the Road Traffic Information Council. It is a much larger number according to international standards, but there is still a long way to go.

Unni Berge of the Norwegian Electric Vehicle Association, a consumer group representing EV drivers, says it is not the existing EV drivers who can be threatened with the removal of the incentives – but the people who have not joined. “We are not fighting for our members but we are fighting for new people to become EV operators,” he said, adding that the group’s main objective was to ensure that VAT and sales taxes were maintained.

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