Increased renewal fees for all Electric Vehicles in Tennessee

CHATTANOOGA, Tenn. (WDEF) — An increased fee went into effect at the beginning of the year for electric vehicles in Tennessee.

This includes All-Electric, Hybrid Electric and Plug-In Hybrid Electric Vehicles.

County clerk offices statewide have been advised by the Tennessee Department of Revenue there are increased renewal fees for all EVs.

The rate is just under $300, adjusted annually for inflation.

All states are different, and some states like Georgia are excessively high.

An EV expert weighed in on what this could mean for the local economy.

“This is an absolute mess– what’s going on. Tennessee is like tripled the rate in a three-year period for people who drive electric. This is really not doing well for the electric vehicle industry in this state… for manufacturers, and for jobs, it’s going to hurt everybody,” Chief Advocate for Drive Electric Scenic City Dave Graham said.

These rates have increased by $100 each year.

“What’s ironic is the Department of Transportation endorsed this to raise it to $300– I think $274 was the compromise— by 2026. But it went from $100 to $200 this year and next year. And now they want to run it up to $274,” Graham said.

This development could directly influence consumers’ decisions to drive electric.

For helpful information regarding EV usage fees, visit the link provided: https://pluginamerica.org/policy/ev-road-usage-fees/