Transport Minister Anthony Loke announces new road tax structure for EVs

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Transport Minister Anthony Loke announces new road tax structure for EVs
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For a long time, a road tax structure for electric vehicles (EVs) was mentioned a few times over the months and it's finally here. Today, Transport Mi

For a long time, a road tax structure for electric vehicles was mentioned a few times over the months and it's finally here. Today, Transport Minister Anthony Loke announced when it will take effect and everything else you need to know.

The new EV road tax will begin on 1 Jan 2026 and looking at the charts below, there will be a reduction comparing the average EV road tax and internal combustion engine vehicles' current rate. Transport Minister Anthony Loke said there is an approximately 85% reduction but the fees will depend on the EV's electric motor power, purchase price, size, segment, and vehicle weight.

Additionally, he also mentioned that the rates will be reviewed thoroughly every five years. This is so that the transition to zero-emission vehicles will be smooth and also to avoid any abrupt impacts affecting the government's revenue. A block-based system was also revealed by Loke, which is categorised by motor power range.

To designate each block's minimum and maximum Motor Vehicle License fee rates, it will increase every 9,999-watt rise in motor power. For instance, Loke said the BYD Dolphin Premium Standard Range vehicle will be charged RM120 due to the 130kW capacity. On the other hand, a Tesla Model Y with 220kW capacity will cost RM305 fees, instead of RM2,583 by the current LKM.

In line with the government's goal and commitment towards a sustainable transportation environment, Loke assured that they would soon publish the EV segment's fee rates. Do stay tuned for that at TechNave.com.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

technavemy /  🏆 6. in MY

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