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New state law will bill electric vehicle drivers in Texas an extra $200 a year

Man charging electric vehicle outside of his home
Man charging electric vehicle outside of his home
Getty Images/standret

What's one of the main reasons people buy an electric vehicle?  To save money on gasoline of course.

Well, lawmakers in Texas have decided that electric vehicle owners saving all that money on gasoline is hurting the state's bottom line, and passed a new law that will recoup some of the money lost on declining gasoline sales.


Earlier this year, Senate Bill 505 passed, which will now require all electric vehicle owners to pay a fee of $200 when they register a vehicle or renew their registration annually.

According to Chron.com, lawmakers said electric vehicle drivers "weren't paying their fair share" into the State Highway Fund, which helps cover road construction and repairs across the state.  The fund grows through sales of gasoline, which electric vehicle owners have no need for.

Lawmakers came to that figure after a 2020 report found that the state lost an average of $200 per year in federal and state gasoline tax dollars when an electric vehicle replaced a gas-fueled one.

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