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John Quiggin, Professor, School of Economics, The University of Queensland

Stop the free ride: all motorists should pay their way, whatever vehicle they drive

A new road charge is looming for electric vehicle drivers, amid reports Treasurer Jim Chalmers is accelerating the policy as part of a broader tax-reform push.

At a forum in Sydney this week, state and federal Treasury officials are reportedly meeting with industry figures and others to progress design of the policy, ahead of next week’s economic reform summit.

Much discussion in favour of the charge assumes drivers of electric and hybrid vehicles don’t “pay their way”, because they are not subject to the fuel excise tax.

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