The extra cost comes in the form of an excise tax levied on dealers. It's currently set at 3% per kilowatt hour on electricity for EV charging stations. Built into the law is a mechanism that raises or lowers that rate based on the National Highway Construction Index.
Richard Dobson with the Department of Revenue says based on that index EV charging stations can expect to jump in the excise tax soon.
"And so we are monitoring that. There's the base rate of 3 cents per kilowatt an hour and now we do project that that will go up by 5% effective January 2025," he told Kentucky lawmakers Monday.
Five percent is the maximum amount the tax can go up or down any given year. EV drivers have expressed frustration with the fee and the excise tax, arguing they amount to double taxation.
