Electric vehicle owners in Texas will pay a special fee to compensate the state for losses due to the fact that they do not buy gasoline - ForumDaily
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Electric vehicle owners in Texas will pay a special fee to compensate the state for not buying gas

Texas Gov. Greg Abbott signed a bill on May 13 requiring all electric vehicle (EV) owners in the state to pay a $200 annual fee. Writes about it Yahoo!.

Photo: IStock

The law, which goes into effect September 1, requires owners of new electric vehicles (EVs) to pay a one-time fee of $400 to register their vehicles, in addition to the $200 annual fee.

What's going on

The purpose of the new law is to recoup some of the tax revenue that the state lost due to the fact that the owners of electric vehicles do not buy gasoline.

For example, since Tesla does not run on gasoline, its owner will not pay the typical taxes that the owner of a gasoline-powered car pays.

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Texas uses these fees to repair roads and highways, and sometimes to improve school conditions.

The state already has more than 200 electric vehicles, and more than 000 electric vehicles have been added this year, meaning the law will bring in about $30 million a year for the state's road repair fund.

Why is the bill important?

Electric vehicles benefit the planet and consumers because they cut gas bills, reduce air and noise pollution, and produce fewer planet-heating gases. Some fear this new bill will deprive Texas residents of the incentive to buy electric vehicles.

UT-Austin professor of transportation engineering Kara Kokelman said the bill shows Texas' full support for the oil and gas industry.

“Texas is really lagging behind in trying to do the right thing with the environment. It confuses all of us,” she stressed.

Consumer Reports suggested that the price of the new $200 annual fee is too high. The company found that the $71 fee would be "the maximum justifiable electric vehicle fee" in Texas.

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Consumer Reports political analyst Dylan Jaffe noted that the bill does not close the roadworks funding gap.

“Consumers should not be penalized for choosing a cleaner, greener vehicle that saves money on fuel and maintenance,” he said. “The fees proposed in this bill would set an unfair scale for electric vehicle ownership and would not provide a viable solution to a long-standing problem.”

Currently, 18 other states charge electric vehicle owners a similar annual fee. Its size varies from $50 to $200.

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