As the popularity of electric bikes (e-bikes) continues to grow in North America, the B.C. government has eliminated the PST on e-bikes and e-trikes, as announced in Budget 2021.

“We have removed the PST on e-bikes to help people save money,” said Selina Robinson, Minister of Finance. “This is just one of the ways our government is encouraging people of all ages to make the switch to an electric-assisted bicycle that will ease commuting pressures and help the environment.”

The PST exemption on e-bikes and e-tricycles is a component of building a greener, stronger economy as part of CleanBC. Budget 2021 includes $36 million over the next three years for active transportation infrastructure, such as bike lanes, sidewalks, lighting improvements and multi-use pathways.

“As we reopen our communities to social gatherings and travel, helping British Columbians reconnect is important,” said Rob Fleming, Minister of Transportation and Infrastructure. “As our economy continues to recover, removing the PST on e-bikes makes it easier for people to choose cleaner, healthier ways to move around.”

The PST exemption on e-bikes is widely supported by stakeholders, including the Union of BC Municipalities, HUB Cycling and the BC Cycling Coalition.

Through StrongerBC: BC’s Economic Recovery Plan, the Province also provided $16.7 million toward more than 45 projects that improve safety for pedestrians and cyclists, including multi-use pathways and rail trails, highway crossings, transit-stop improvements, sidewalks, lighting and shoulder widening on provincial highways. All projects have been completed.

Quotes:

Erin O’Melinn, executive director, HUB Cycling –

“The removal of PST from e-bikes encourages a healthy and sustainable way to get around to a number of segments of the population, including seniors, people with mobility limitations, those who live in hilly communities and those who want to ride further distances. We appreciate the B.C. government taking this step to combat climate change and provide a more resilient form of transportation.”

Peter Ladner, chair, BC Cycling Coalition –

“The adoption of active transportation modes has become mainstream across B.C., and nothing represents this better than the current e-bike boom. The removal of PST on e-bikes removes a barrier to affordability of these amazing mobility solutions and can also help encourage British Columbians of all ages to cycle instead of drive for many trips. This is critical for reducing greenhouse gas emissions, improving public health and making mobility more equitable and accessible across the province.”

Gordon Hobbis, owner, Cap’s Electric Bike Shop –

“The removal of the PST had an immediate impact on our sales of e-bikes. The PST was a barrier for entry. Removing it helps make the e-bike a more economical green transportation alternative to a car. E-bikes have expanded the range, flattened the hills and brought equality for all riders.”

Learn More:

To find out more about B.C.’s active transportation program, visit: www.gov.bc.ca/active-transportation

To read more on the regulations around PST on e-bikes, visit:
https://www2.gov.bc.ca/assets/gov/taxes/sales-taxes/publications/pst-204-bicycles-tricycles.pdf

For more information on CleanBC investments, visit:
https://www.bcbudget.gov.bc.ca/2021/pdf/2021_Backgrounder_7_CleanBC.pdf