Passing through any USB device to VM stops C-states leading to high idle power use

Whenever I passthrough any USB device to a VM, C-states stop working and the idle power usage go from 9w to 20w. I experienced it with the BT adapter passthrough in my HAOS VM and RTLSDR v4 with DragonOS VM. Removing these devices from the "hardware" tab restores the power save functionality.

Is this a known issue, and can I fix it somehow? Please let me know if I can provide more info.