Michigan’s Road Budget Could be Affected by Electric Vehicles

Are you a proud owner of an electric vehicle or is that something you haven't come to terms with quite yet?

That would be me in 2023. I'm personally not a fan of electric vehicles although my next door neighbor rants and raves about his electric motor car.

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The latest report is now saying that Michigan could lose over $90 million a year for road repairs as electric vehicles become more popular and more widespread.

According to mlive.com:

That’s because gas taxes largely fund road construction, and electric vehicle drivers currently pay no state or federal gas taxes. There is a $140 electric vehicle fee in Michigan – but that doesn’t offset the lost revenue from gas.

I'm very curious about something, what's the difference between gas powered vehicles and electric vehicles when it comes to road fees?

Mlive.com:

The average Michigan driver of a gas-powered vehicle pays about $400 a year in road fees, according to the report. Electric vehicle drivers pay between $262 and $298. For gas-powered cars this breaks down to $150 for registration and about $250 for gas taxes. And for varying electric vehicles and hybrids, most of the cost comes from annual registration fees.

When it comes to our Michigan roads, a key issue for all Michiganders is road construction.

Here's more from mlive.com:

In 2021, about 24.5% of all Michigan road miles were evaluated as “good” and 35.2% were considered “poor.” The projected $95 million budget deficit translates to 840 miles of roads not being resurfaced every year, according to the County Road Association of Michigan.