PEORIA, Ill. (WTVO) — As the automotive industry makes a shift toward electric vehicles, the Illinois Department of Transportation says it is considering taxing EV charging stations in an effort to offset the projected revenue loss from fuel sales.
State gasoline taxes currently fund much of Illinois’ road and bridge projects.
According to IDOT Transportation Secretary Omer Osman, the department is looking at several ways to tax EV drivers to make up for a projected shortfall, once more EVs go on the roads.
“At some point in time down the road, maybe gradually, as the electric vehicle takes over, then someone’s gotta come up with a different mechanism for us,” said at a meeting of the Illinois News Broadcasters Association, according to WCBU.
One proposal is including a tax at the charging station, or at the dealership when a vehicle is purchased.
“I think you really cannot take anything off the table,” he said.
For an electric car, Illinois charges $100 over the cost of the annual license plate renewal fee in lieu of the payment of motor fuel taxes.
Currently, Illinois is trying to incentivize owners to buy an electric vehicle, by offering a $4,000 rebate off the purchase price.
The clean energy policy, signed into law by Gov. JB Pritzker, has a goal of having 1 million EVs on the road by 2030.
The Biden administration has awarded $53.7 million to Illinois to build an electric vehicle charging network along the state’s highways.
The funds, established by the Bipartisan Infrastructure Law, will allow Illinois to install approximately 2,573 public charging ports every 50 miles along 1,562 miles of interstates.
Illinois currently has 1,005 publicly accessible charging stations, but only 96 are fast charging stations. Of those, the plan reports that only 21 support the power level required by the federal government.
Gov. Pritzker also signed a bill designed to attract EV manufacturers to Illinois.
Illinois is already making headway on electric cars, as Rivian produced the first ever, battery-electric pickup truck at the former Mitsubishi plant in Normal.
Last year, Governor Pritzker announced the creation of two new Manufacturing Training Academies in Illinois, including a first-of-its-kind Electric Vehicle-Energy Storage Manufacturing Training Academy which specializes in training the Illinois workforce for careers in the EV industry.