New EV Fee Proposal May Reduce Drivers’ Gas Savings. Here’s Why
Electric vehicle owners could be forced to pay up to $250 a year under a new fee proposed by the chairman of the US House Transportation and Infrastructure Committee.
U.S. Representative Sam Graves, a Kansas Republican, is proposing to include the money in a new five-year transportation funding bill being considered by Congress. The current version of the funding measure will expire in September.
Graves’ office told USA TODAY that the Kansas Republican originally proposed the EV money during debate over the massive tax and spending bill passed by Congress last year. The proposal was ultimately removed from the 2025 bill, but Graves’ office has confirmed that it is in favor of adding EV money.
A Graves spokesman said the EV fee “will help strengthen the Highway Trust Fund and better ensure that all road users pay their fair share.”
The federal government currently takes 18.4 cents per gallon from all US gas purchases to help pay for road and transportation projects, and many states also pay their own. Traditionally, EV drivers have been able to get away with paying anything that goes into the federal government’s coffers for road projects.
The comments come as consumer interest in EVs jumped as the price of gas rose to $3.84 per gallon on March 18, according to the AAA Auto Club.
With that in mind, the USA TODAY Cars team took a look at why Congress is considering a new fee for EV drivers and what it will mean for consumers and owners.
What Will the New Fee Mean for EV Owners?
Owners of electric models save an average of $8,811 on ownership and maintenance compared to the best-selling traditional vehicles in their class during the time it takes them to drive the vehicle 200,000 miles, according to Consumer Reports.
A driver who chooses a new or used EV can save $2,200 a year on electricity, according to the US Department of Energy. Even hybrid drivers can save $1,500 in gas per year, according to the agency.
A new $250 annual fee for EV drivers could eat into those savings. EV proponents have argued that the annual fee would add significant financial burdens to electric vehicle owners who already drive more expensive, environmentally friendly vehicles.
While South Carolina lawmakers are considering a new fee for EV users of 4.5 cents per kilowatt-hour on electricity used at publicly accessible charging stations, the Electrification Coalition, which lobbies for EV-friendly policies, said the state’s proposal “imposes significant additional costs on EV drivers without raising state taxes.”
“Adding the $400 annual fee and the new charging tax will make South Carolina one of the most expensive states to run, hurting jobs and consumers,” Electrification Coalition Executive Director Ben Prochazka said in a February 2026 statement.
Why Does Congress Want to Increase Fees for EV Owners?
Lawmakers have been looking for ways to close the growing gap in federal gas tax revenue that has increased as cars become more fuel-efficient and more drivers opt for EVs and hybrids.
The federal government collects 18.4 cents per gallon on all US gas purchases and the money is deposited into the US Department of Transportation’s Highway Trust Fund which is used to send money to states to help pay for road construction and transportation projects. Many states also collect their own gas taxes to help pay for local road projects.
The federal gas tax hasn’t been raised since 1993, and only brings in $40 billion a year at its current level, according to the Tax Policy Center. The federal government traditionally spends about $60 billion on transportation projects, and infrastructure advocates say the money is not enough to maintain the nation’s roads and transportation systems.
This article first appeared in USA TODAY: New EV fee proposal could cut drivers’ gas mileage. Here is the reason
Reporting by Keith Laing, USA TODAY
USA TODAY Network via Reuters Connect
