You have it the wrong way. ICE cars has always been heavily taxed, especially more powerful ICE cars are 2x more expensive in Norway than in EU. EV's just have no tax and only VAT added above 45k USD

Norway would much rather leverage their abundant hydro for domestic personal transport needs and just export their oil instead. That really isn’t ironic, just practical.

Not quite. Fuel is overtaxed there and very expensive, that's a bit different from Saudis,but combined with other factors mentioned by you and the fact most of their energy is green hydro, it makes sense to them to ditch ice when there's option to buy a new car

Free parking isn’t a thing anymore in Oslo. It usually costs about 25% of the ICE cars price, but anyway most of the street parking have been removed. Which is good.