Car manufacturers and environmental groups have teamed up against the Victorian government's proposed electric vehicle tax in a bid to stop the plan they describe as regressive.
An alliance of 25 companies and organisations have inked a letter to Victoria's parliament urging MPs to vote against the plan, which the state government wants to start from July.
It's a push by the state's treasurer to make $30 million over four years to make up for lost funds from fuel excise as petrol cars are used less on the roads.
The letter, signed by Hyundai, Volkswagen, Uber, the Electric Vehicles Council and the Australia Institute among others, says the proposal is the only stand-alone electric vehicle tax in the world.
Electric Vehicle Council chief Behyad Jafari says it's the wrong time to tax zero-emissions vehicles.
"Victoria is already massively behind comparable jurisdictions in the US, the UK, and across Europe in terms of electric car uptake," he said.
"This tax will exacerbate the yawning gap."
Volkswagen Australia managing director Michael Bartsch said the lack of a national approach on electric vehicles was "peculiar".
"Can you imagine if every state now heads off and starts doing their own thing and you have a completely disconnected taxation policy?" he told ABC Radio Melbourne.
"Imagine if you lived in Albury-Wodonga, what do you do? One side of the river you're being charged a road tax, on the other side you're not.
"It's a very peculiar way to approach something that could be on the national agenda."
A federal parliament inquiry will on Thursday look at Greens senator Janet Rice's bill which would ban Victoria from introducing a tax on electric vehicles.
Groups including Infrastructure Partnerships Australia, the Australian Electric Vehicle Association and the Federal Chamber of Automotive Industries will appear at the inquiry.
Australian Industry Group chief executive Innes Willox has previously said such taxes were putting "the cart before the horse".
He believes they should not be implemented until clean vehicles are better established and the taxes are better designed.
Last month South Australia said it would delay its planned electric vehicle tax for one year until July 2022 to see what other states do.
The NSW treasurer is expected to take a proposal to state cabinet later this year.
Australian Associated Press
