Saskatchewan to Introduce $150 CAD Annual Tax for Electric Vehicles

According to a report by CBC News (via Tesla North), Saskatchewan government officials have voted to create a new $150 CAD annual tax for owners of electric vehicles (EVs) in the province. “[The tax hike] will include an annual $150 tax for passenger electric vehicles,” notes the press release.


The release highlights that the number of EVs in Saskatchewan is “relatively low,” but those driving EVs are “not contributing to highway maintenance through the provincial Fuel Tax.”

The province’s budget is currently facing massive debts, which are forecasted to reach $27.8 billion (CAD) by next March, signifying a $4.2 billion increase. In defense of the budget, Finance Minister Donna Harpauer said the pandemic was “the biggest shock to the Saskatchewan, Canadian, and world economies since the Second World War.”

“As a result, this year’s deficit will be larger and it will take longer to return to balance than we had anticipated. But we are going to make the investments needed now to protect Saskatchewan people through the end of the pandemic and to drive a strong economic recovery as we emerge.”

The latest move from Saskatchewan comes amidst a growing movement to incentivize electric vehicles across Canada.