New Jersey Bill Would Raise Gas Tax, Create EV Registration Fee

The bill’s supporters argue that increased revenue is needed to keep up with the state’s infrastructure and transportation needs.

1 minute read

March 11, 2024, 6:00 AM PDT

By Diana Ionescu @aworkoffiction


Aerial view of elevated freeways in New Jersey at dusk.

Freeways in Woodbridge, New Jersey. | ungvar / Adobe Stock

New Jersey state legislators are pushing through a bill to raise the state’s gas tax and add a new tax on electric vehicle registration to support infrastructure projects.

As Nikita Biryukov explains in New Jersey Monitor, “The bill, sponsored by Sen. Paul Sarlo (D-Bergen) and Assemblyman Clinton Calabrese (D-Bergen), would raise the gas tax’s $2 billion revenue target by $366 million over five years, with the first $32 million hike hitting on Jan. 1.” The bill would also raise the transportation trust fund’s bonding capacity so it can borrow more and increase the annual spending limit for transportation projects.

When it comes to electric vehicles, a new flat annual fee, starting at $250 and rising to $290 by 2028, would help fund road repairs. “The heaviest electric vehicles — battery-run trucks and buses — produce significantly more road wear than their gas-burning counterparts because of their additional weight,” Biryukov explains.

Wednesday, March 6, 2024 in New Jersey Monitor

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