The latest surge in fossil-fuel prices means it is now up to nine times cheaper in the UK to drive an electric vehicle (EV) than a petrol or diesel car, shows Carbon Brief analysis.
Depending on the jurisdiction… Gas taxes go towards externalities largely. Roads are funded through general revenue. Perversely, those who don’t drive subsidize drivers.
If I could wave a wand that I dont have:
Gas tax to cover externalities
Tire tax to cover externalities
Toll fees to cover usage.
Reduce income tax and increase social assistance proportionally.
Obviously that would be impossible to sell, but it would be more fair, and incentive better outcomes.
Sales tax makes sense to cover roads because a lot of the wear and tear on the roads is caused by the trucks that deliver goods. Even if you bike to the store, you are using the roads in that way.
Depending on the jurisdiction… Gas taxes go towards externalities largely. Roads are funded through general revenue. Perversely, those who don’t drive subsidize drivers.
If I could wave a wand that I dont have:
Gas tax to cover externalities
Tire tax to cover externalities
Toll fees to cover usage.
Reduce income tax and increase social assistance proportionally.
Obviously that would be impossible to sell, but it would be more fair, and incentive better outcomes.
Sales tax makes sense to cover roads because a lot of the wear and tear on the roads is caused by the trucks that deliver goods. Even if you bike to the store, you are using the roads in that way.
Cars sitting in the garage have less impact than cars on the road though.
With tolls you can be more targeted. A road in a city has more cost (land and maintenance) and greater externalities (negatively impacts more people)