New Texas law could make owning an EV more expensive

New proposed Texas legislation would add additional fees to owning an EV in the state.

Per CNET, the Bill would see EV owners pay an annual $200 registration and renewal fee. While at the time of purchase, the owner would owe $400. Texas lawmakers said the fee would ensure EV owners are contributing to the maintenance of Texas highways, which principally comes via a gas tax in the state.

The Bill’s author, Senator Robert Nichols, had this to say to Spectrum News about the Bill:

Each time an all-electric vehicle gets on the road and displaces a gas-powered car, the state highway fund loses money. This cost adjustment equalizes road use consumption between electric cars and gas-powered vehicles.

However, a recent study by Consumer Reports noted the average Texas car owner only paid $71 per year via the gas tax. Even with that data, the high flat fee on EVs is the easy and fast solution for Texas.

The Bill passed 145-0 in the Texas State Legislature and is now with Governor Abbott to sign. Although the Governor’s office did not comment on the Bill, many local reports note there is no indication he will veto or slow it down. If signed, the Bill would go into effect on September 1.

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