Impact of electromobility development on tax revenues: A case study on Norway

Abstract

The manuscript deals with the development of electromobility in Norway and its impact on tax revenues. The detailed focus of the paper is on registration and road taxes directly related to the acquisition and operation of a road motor vehicle. The paper aims to verify whether a growing share of electric cars in Norway's fleet impacts the decrease in tax collection, namely road and registration tax. Norway was chosen because it is the country with the highest share of electric cars in the vehicle fleet in the world. Impacts on road and registration tax are investigated, focusing on 1998–2021. Our results suggest that the introduction of electromobility has a negative effect on the collection of road and registration tax, with the addition that this impact is statistically significant only in the case of registration tax. In other words, our research assumption was only confirmed in the case of the registration tax.