Governor Abbott has signed a new bill into law that would require owners of electric-powered vehicles to pay a registration fee and an annual fee. 

According to Senate Bill 505, owners of electric vehicles will pay $400 to register the new vehicle. Owners of electric vehicles will pay $200 for the annual “registration or renewal of registration of a vehicle.” This does not include electric motorcycles, mopeds, or autocycles. 

The author of the bill claims electric vehicle owners do not have to pay gas taxes, and this is a way for them to contribute to the funding of state transportation projects. If people are moving to electric vehicles, there is less funding for transportation projects such as highways.

Opponents of the fee say that it should be less than that compared to how much people with gas-powered cars actually pay in gas taxes. The gas tax for gas-powered vehicles is usually 20 cents a gallon and Texans pay an average $130 per year in gas taxes, according to reporting by KVUE.