Malaysia

Road tax structure for EVs under review: Loke

Transport Ministry aims to encourage their use by setting cheaper rate than ICE vehicles

Updated 10 months ago · Published on 01 Jul 2023 5:26PM

Road tax structure for EVs under review: Loke
Transport Minister Anthony Loke says road tax rates for electric vehicles after 2025 will be finalised this year. – ABDUL RAZAK LATIF/The Vibes file pic, July 1, 2023

SEREMBAN – The Transport Ministry is currently reviewing the road tax rate structure for electric vehicles (EVs), according to minister Anthony Loke.

He said this was aimed at making the road tax for EVs cheaper than internal combustion engine (ICE) vehicles, besides encouraging more people to use EVs.

“The (Transport Ministry) is part of the special EV task force chaired by Investment, Trade, and Industry Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz and at the recent meeting a few days ago, we also presented a proposal on how to support the EV industry.

“Among the measures to be taken by the Transport Ministry is reviewing the road tax structure for EVs. Under the Road Transport Department Act, there is a (road tax) calculation for EVs, and according to the current calculation, the road tax for EVs is more expensive than for conventional cars,” he told reporters after launching the GWM 4S Service Centre here today.

Loke said road tax for EVs is currently free until the end of 2025, but the ministry noted the feedback from EV users who wanted to know the road tax rates for EVs after that period.

He said the road tax rates for EVs will be finalised this year.

At the same time, Loke said his ministry is planning to introduce special registration numbers for EVs, mainly to differentiate them from conventional vehicles for safety purposes.

“In case of accidents, for example, the way EVs should be handled is different from other vehicles. If there is a fire, the EVs cannot be sprayed with water alone. The fire squad must have standard operating procedures (for EVs),” he said. – Bernama, July 1, 2023

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