Ohio House Bill 62 - Hyundai Ioniq Forum
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post #1 of 8 (permalink) Old 23-03-19, 10:47 AM Thread Starter
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Ohio House Bill 62

As an FYI for owners in Ohio, the proposed road repair funding bill (House Bill 62) punishes hybrid and electric vehicle owners by imposing a $100 and $200 per year surcharge respectively on these vehicles. I bought a hybrid knowing it would never pay for itself, as little as I drive, but this is a lousy way of thanking me for trying to save the environment. There are a number of small cars that get the mileage I do, but they aren't being targeted.
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post #2 of 8 (permalink) Old 23-03-19, 11:26 AM
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thats harsh,

what's the justification / reason for the surcharge?

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post #3 of 8 (permalink) Old 23-03-19, 11:45 AM
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That is an interesting case that EV/HEV/PHEV do not contribute through fuel taxes, lower or none, while still using (aka damaging) the highway system.

The version I just looked at gives the costs as being $75 for any hybrid (HEV) and $175 for any plug-in (BEV/PHEV).

The question for BEV is 'how many miles does a normal ICE need to cover to generate that amount of tax'. For HEV/PHEV it is a question of the much better MPG we get from the ability to run on EV and the reduced fuel we pay. On an average owner, would those be a sensible number. The only other way to do it would be to base it on the number of miles made in a year - sum that for ALL vehicles (more for trucks etc) and then use that generate a cost per mile against the budget, and finally impose a tax based on that on the users. Somehow, I doubt that anyone would actually try to do that; at least not until we have all vehicles in the system with mandatory recording and reporting systems, and then it becomes easy.

Usual argument here is that fuel taxes are better because they relate to the amount to time actually using the highway systems, rather than an annual fixed cost. Certainly, we have restructured our system to make the major fuel using vehicles -SUVs etc - pay a much higher annual cost, as well more fuel tax because they are not so efficient vehicles. For a few years, we had a case that diesel had a lower annual cost and lower fuel, though that has now gone away. Of course with more EVs using lower or no fuel we are losing out on the income that they would have paid if using an ICE.

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post #4 of 8 (permalink) Old 23-03-19, 02:04 PM Thread Starter
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Considering how highly taxed electricity is, plug in owners pay a huge amount in taxes, just not to the highway system. If they are going to levy a charge on plug ins, then those owners should get a commensurate reduction in the various surcharges added to their electric bills. If you look at cars like the Toyota Camry LE (non hybrid), which got 49 MPG highway in Consumer Reports testing, why isn't that car paying a surcharge? That's only slightly less than the 53 MPG the hybrid got in their testing. And the diesel Cruze got 60 MPG highway, but it doesn't get a surcharge. And I won't bring up the fact I got 46.5 on a highway trip in my chipped 295 HP GTI.


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post #5 of 8 (permalink) Old 23-03-19, 02:51 PM
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post #6 of 8 (permalink) Old 23-03-19, 02:57 PM
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If you are seeing that sort of MPGs on ICE then the difference against HEV/PHEV does not seem to justify much of a cost. I would argue that a cost on BEV is more reasonable but one would want to look at the cost and tax on electricity per mile vs the equivalent cost for an ICE.

There is perhaps an idea that if the running costs on a EV is lower than an ICE, which is a good idea, then it becomes a target - typical government 'planning'.

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post #7 of 8 (permalink) Old 23-03-19, 03:10 PM
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Quote:
Originally Posted by tenchiten View Post
I detect handbags coming out !
We all know that we want lower costs - be it fuel, tax or licences - while government wants or needs income. From our view it is vs , but not from their view.

The question is whether we should be supporting EV and putting costs on ICE, OR putting costs on EV because they generate less taxes.

If we look at some of the estimates for EV taking over from ICE in the 2030s and the move to a 'Transport as a Service' solution, the whole question of government funding becomes very difficult.

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post #8 of 8 (permalink) Old 08-05-19, 07:07 PM
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Arkansas just passed a similar bill that will go before the voters in November. I am hoping it will not pass, but I have little faith in the rednecks in this state for they care little about the environment. I personally will campaign against it. Arkansas has large reserves in the bank and really does not need more funds, but they like to tax everything they can get by with. Unfortunately voter turn out here is usually poor, but the money grabber conservatives will get their folks out to vote when ever there is a financial issue on the ballet.
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