The Australian Electric Vehicle Association (AEVA) has rejected calls for an EV-specific road user charge to fund public charging infrastructure, labelling the proposal “ill-conceived” and warning it could suppress uptake among lower and middle-income families.
The AEVA says proposals to hypothecate a road user charge specifically for EVs would entrench inequities and fail to address the broader policy challenges facing Australia’s transport sector as it navigates a rapid shift in project scale and fuel security concerns.
“A flat rate would mean a small electric hatch or motorcycle would pay just as much as a 2.5 tonne SUV, despite the negligible impact of a smaller vehicle on infrastructure and the community,” said Dr Chris Jones from AEVA’s policy working group.
“Larger, heavier vehicles not only have a greater impact on road infrastructure, but their popularity correlates with a steady increase in Australia’s road toll, particularly for vehicle-pedestrian crashes. Vehicle mass must be factored in.”
The statement comes as federal and state governments weigh options for a road user charge amid declining fuel excise revenue and accelerating EV adoption.
In March 2026, EV registrations reached 15,839 units, up 92% year-on-year, with battery EVs accounting for 14.6% of total new-car sales. In New South Wales alone, EV registrations jumped nearly 50% in March compared to February, while South Australia recorded a 44% monthly increase.
Universal mass-distance charge proposed
AEVA maintains that if a road user charge is introduced, it should be a universal mass-distance levy applied to all road-going vehicles regardless of fuel type.
Fuel excise would be retained as what the association describes as a “highly efficient pollution tax, paid by the polluter.”
“This maintains the momentum of electrification while discouraging heavier, more dangerous and polluting vehicles,” the association said.
AEVA president James Pickering said hypothecating a charge specifically for charging infrastructure would place a long-term burden on EV drivers in exchange for short-term investment.
“Sound policy should follow clear objectives, not confuse them,” he said.
Pickering emphasised that the private sector is already rolling out chargers with targeted government support.
“What’s important is ensuring these chargers are properly maintained, and service level agreements are honoured,” he added.
“While more public charging infrastructure investment is needed, all Australians will benefit from a reliable, complete network, funded by general revenue, in partnership with industry.”
The association’s position aligns with concerns raised by various industry members about grid bottlenecks blocking EV charging expansion amid Australia’s fuel vulnerability. For reference, the country imports 90% of its liquid fuel and has lost 70% of its refining capacity over the past 15 years.
AEVA, formed after the 1973 oil price shocks, claims to be the world’s longest-running EV society.
