Controversy is growing as the U.S. Congress pushes legislation that would impose a separate annual fee of up to $130 on electric vehicle drivers. The rationale is that EVs do not pay the federal gasoline tax and should separately cover road maintenance costs. Industry and environmental groups are pushing back, calling it a “punitive tax” that effectively disadvantages EV adoption.

InsideEVs, an electric-vehicle news outlet, reported on May 18 that the U.S. House of Representatives is pursuing the Build America 250 Act, which would levy annual fees on EVs and plug-in hybrid vehicles (PHEVs).

A key provision would charge EVs $130 a year and PHEVs $35 a year. The EV fee is designed to rise by $5 each year from 2029, eventually reaching about $150.

Supporters of the bill are stressing fairness. Sam Graves (샘 그레이브스), chairman of the U.S. House Transportation and Infrastructure Committee, said EV owners should pay their fair share for road use. The federal gasoline tax is currently 18.3 cents per gallon and is used to fund maintenance and repairs of roads and highways nationwide. But EVs do not use gasoline, so they effectively do not pay the tax.

Congress believes that if the share of EVs rises rapidly, transportation finances based on the gasoline tax could be undermined. The proposed fee has been presented as a way to fill that funding gap.

Industry and civic groups, however, strongly oppose the plan. Katherine Garcia (캐서린 가르시아) of the Sierra Club criticized the draft bill as an irresponsible tax on EV and PHEV drivers. She said it could hurt the spread of clean transport options while failing to meaningfully solve the shortfall in the Highway Trust Fund.

Albert Gore (앨버트 고어) of the Zero Emission Transportation Association (ZETA) also said he agrees the Highway Trust Fund’s fiscal soundness should be maintained. But he described the approach as a punitive tax that is excessively unfavorable to EV drivers.

The controversy is also fueled by questions of fairness compared with the gasoline tax. A Consumer Reports survey found that the average federal gasoline tax paid by typical drivers in a year is about $70 to $90. If the bill passes, EV drivers would on average pay more than drivers of internal-combustion vehicles.

Critics also say a flat fee does not reflect actual road use. Older people who drive less or owners of second cars would pay the same fee even if they do not use the roads much. By contrast, commercial vehicles that repeatedly drive long distances, such as delivery vans, robotaxis and ride-hailing services, could benefit relatively, the criticism says.

Many state governments already charge separate EV registration fees. Michigan charges $267 for EVs and $113 for PHEVs as of 2026. New Jersey charges $270 when registering an EV and runs part of the payment on a prepayment basis. Adding a federal fee could raise the cost of owning an EV further.

The bill still faces many steps before it can take effect. It would need to pass both chambers of Congress and be signed by the president after a formal introduction. The drafters aim to complete the legislation by Sept. 30, when the current transportation funding law expires.

Industry groups see the debate as a test case for how the United States will strike a balance between expanding EV adoption and securing funding for roads, beyond a simple tax issue.