Congress eyes first-ever federal EV fee that could offset savings from high gas prices [View all]
Source: Scripps News
Posted 9:09 AM, May 20, 2026
and last updated 11:17 AM, May 20, 2026
Gas prices are soaring, and searches for electric vehicles surged 25% last month, according to Cars.com. But a new bipartisan proposal in Congress could cut into the savings that make EVs attractive in the first place.
The EV Savings Index estimates EV drivers are saving around 0.14 cents a mile right now — about $1,395 a year. Congress may soon be reducing that. In the latest bipartisan multi-year transportation bill in the House of Representatives, lawmakers have proposed the first-ever national fee on EVs and plug-in hybrids. The proposal calls for a $130 annual fee for EV cars and a $35 fee for plug-in hybrids.
The measure currently has the support of both the leading Republican and leading Democrat on the House transportation committee. Early estimates say it could raise $30 billion over the next decade to pay for road repairs and offset the rise in EV drivers who don't pay gas taxes.
Ben Prochazka of the Electrification Coalition — a group that lobbies for expanding the number of EVs in the U.S. — said EV drivers know they aren't paying gas taxes despite driving on the same roads as everyone else, making a discussion of a new fee appropriate. But he believes the current proposal is too penalizing and that the fee should be under $100 a year.
Read more: https://www.scrippsnews.com/politics/congress/congress-eyes-first-ever-federal-ev-fee-that-could-offset-savings-from-high-gas-prices
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