Average Manitobans are subsidizing their wealthy neighbour’s electric vehicle
Imagine this: You get a new job; you work hard and pay your taxes.
You save up and buy a reliable used car to get to work and take your kids to baseball practice.
Now, imagine a second scenario. Your neighbour is a lawyer. He works hard, too, and he gets himself a new car.
But instead of the reliable Toyota Corolla you picked up second-hand, your neighbour comes home with a brand-new Tesla Model 3 worth around $70,000.
Your neighbour’s car doesn’t just come with all the latest gizmos and gadgets a brand-new car usually does; it also comes with a $4,000 cheque from the Manitoba government. And you know where the government got the money from. You.
Does that sit right?
Because that’s exactly what’s happening.
The Manitoba government announced that it was going to start subsidizing electric vehicle buyers. A new electric car purchase will come with a $4,000 cheque, and there’s $2,500 for a used EV. The government has decided to spend $25 million on this subsidy.
Regular Manitobans who can’t afford the latest electric car are now stuck seeing their tax dollars being used to subsidize those who can afford a $70,000 EV.
Currently, less than one percent of vehicles in Manitoba are electric. The average EV owner is a man over the age of 45. Fifty-seven percent of EV owners make more than $100,000 per year, while the average Manitoban earns about $60,000 per year.
Is this the group of people who need a government handout?
A Manitoban family making $75,000 can expect to pay about $3,400 in provincial income taxes this year. That means more than your entire income tax bill this year could subsidize the purchase of a single electric vehicle.
But if you can’t afford a brand-new EV or live somewhere with no chargers, no $4,000 for you.
For many Manitobans, it isn’t even a question of price. Electric vehicles currently can’t handle many tasks that gas and diesel vehicles can. If you work in construction or any job requiring carrying a lot of heavy stuff, you will likely be out of luck searching for an EV that suits your needs.
The $25 million the government slated for this scheme is just the tip of the iceberg when it comes to bills for taxpayers. Government briefing notes indicate that if many Manitobans start buying electric vehicles, “larger capital improvements to Manitoba Hydro’s system may be required.”
And with Manitoba Hydro’s history of financially bungling projects like Bipole III and the Keeyask generation project, that means things are likely to get really expensive, really fast.
In its news release on this subsidy, the government states the aim of this handout is to help reduce emissions. It’s a fair bet that all of the government pencil-pushers could put their heads together to come up with a way to help the environment that doesn’t result in millions of taxpayers’ dollars being sent to the bank accounts of some of Manitoba’s most well-off.
Premier Wab Kinew needs to hit the brake on this EV subsidy. Taxpayers are struggling to afford the necessities and potentially having their entire income tax bill being used to subsidize their rich neighbour isn’t only expensive, it’s just not fair.
Gage Haubrich is the Prairie Director for the Canadian Taxpayers Federation.
For interview requests, click here.
The opinions expressed by our columnists and contributors are theirs alone and do not inherently or expressly reflect the views of our publication.
© Troy Media
Troy Media is an editorial content provider to media outlets and its own hosted community news outlets across Canada.
