"The legislation raises registration fees for battery electric vehicles from $100 to $200 from 2024 to 2026 — and further increases the fees to $274 in 2026... Drivers of conventional hybrids or plug-in hybrid electric vehicles will have a new $100 registration fee."

“At $274, it would be the most expensive in the country,” said Erin Hafkenschiel, director of the nonpartisan think tank ThinkTennessee."

"In the U.S., the average EV registration fee is $127, though not every state has this form of tax. "

"Tennessee ranked second-to-last among all U.S. states for owning an electric vehicle,..."

"electric vehicles currently account for about 0.4% of registered vehicles in the state. Tennessee had about 12,000 electric vehicles registered at the end of 2021, according to the U.S. Department of Energy."

With the $200 per year transportation fee for EVs and $100 per year transportation fee for Hybrid vehicles:
Owners of EVs and Hybrids will pay more per year in transportation (gas) tax than gas vehicles.

It is understandable that there will be a fee to offset lower gas taxes in order to maintain roads, bridges, etc. But, to charge more? I thought we were trying to incentivize moving to hyrbids/EVs, not deter.

200 miles per week
10,400 miles per year

TN Gas Tax 0.274/gal (0.26 + 0.014 special petroleum fee)

** Gas vehicles - 20 miles per gallon
$142.48 a year (52 weeks) (0.274 TN gas tax)

** Hybrid vehicles - 40 miles per gallon
$171.24 a year (52 weeks) (0.274 TN gas tax plus $100 annual fee)

** Electric vehicles
$200.00 a year (52 weeks) ($200 annual fee)

Transportation Modernization Act of 2023

Go to the Summary tab and Scroll down to Electric Vehicles section (about 3/4 the way down on the page)

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