Another option is to shift financing costs from roads to electric vehicles. In California, owners of 2020 or newer electric vehicles pay a special registration fee of $108 per year per vehicle. According to the California Department of Transportation, this will increase the highway funding budget by $80 million. The report shows that even if electric vehicle market share increased, a tax of this size would not be enough to close the funding gap.
More than 30 states have introduced registration fees for electric vehicles, most ranging from $100 to $200.However, a significantly higher rate increase for electric vehicles could deter some buyers from considering replacing their fossil fuel-powered cars and trucks with cleaner alternatives.
The annual registration tax, which is linked to the market value of the vehicle, could also be increased, but such a move would almost certainly trigger a political dispute.
The most provocative idea in the analysis house's report is a road tax based on the total number of kilometers driven. The state has been testing such a system for several years. It would use GPS satellite information to track vehicle mileage and set rates accordingly.
The advocates see the tolls as a modern technological solution to the increasingly outdated gasoline tax, a centuries-old tax that was originally 2 cents per gallon in 1923.
"There is information and data that will help design a more optimal system than we currently have," said Kevin Christensen, Groehn's partner at the Berkeley Research Group. Most ways to close the gap rely on system improvements, but the solutions “need to be more holistic and thoughtful,” he said.
The mass shift to road pricing raises complications, including how to calculate the cost of driving on private highways and privacy concerns for those who don't want the government to track their movements (although Google, Apple and other technology companies have already done so). have). The).
The Auto Club's Finnegan is vice president of the state commission examining the idea of a road toll.Gasoline taxes are easy for the public to understand and easy to collect, he added. It would be difficult to move to a fundamentally different road funding system. But “it’s about finding the best solution and that’s what we’re working on now.”
The analysis house recommends that lawmakers “continue to monitor” the impending lack of funding in road construction and “begin developing a long-term plan to address future declines in revenue.”
Neither the Assembly nor the Senate intend to address the issue directly during the next legislative session, although the office of Senate Transportation Committee Chairwoman Lena Gonzalez (D-Long Beach) said the California Transportation Committee's 10-year transportation needs analysis is expected to take place later this year and will pave the way for focused reflection.
Read: As California shifts to electric vehicles, lost gas tax revenue could hurt roads (Part I)