New report says electric vehicles could impact road funding in Michigan

Patrick L. Anderson, Anderson Economic Group CEO
Patrick L. Anderson, Anderson Economic Group CEO(Stephen DeLadurantaye)
Published: Jan. 17, 2023 at 5:04 PM EST
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LANSING, Mich. (WLUC) - According to a report from the Anderson Economic Group, electric vehicle infrastructure could have a major impact on road funding in Michigan.

A coalition of leaders from Michigan organizations held a press conference Tuesday in Lansing to announce the new report.

According to the coalition, electric vehicle drivers pay 70-80% of the cost paid by Michigan’s internal combustion engine drivers. This is because they avoid federal and state gas taxes. The Anderson Economic Group says this could result in a $95 million shortfall in road funding in 2030 under current policy conditions.

The coalition argues that if policy doesn’t change, Michigan may be unable to maintain its roads.

“We can’t afford to have 25% of the drivers avoiding the road taxes paid by others,” said Patrick L. Anderson, Anderson Economic Group CEO. “If we fail to make policy changes, soon we’ll be unable to maintain our roads.”

The report also expects that 15-25% of all new vehicle sales in Michigan will be electric vehicles.

TV6 contacted Governor Whitmer’s office for her statement on the proposals, but we have not heard back yet.