Tennessee

EV Charging in Tennessee -

Solar Power in Tennessee -

Tennessee’s approach to commercial electric vehicle (EV) charging infrastructure is shaped largely by federal-state partnerships and targeted state programs that aim to expand charging availability while balancing concerns about costs and road funding. Under the Tennessee Electric Vehicle Infrastructure (TEVI) plan, the state is directing $88 million in federal National Electric Vehicle Infrastructure (NEVI) formula funding toward establishing a network of fast chargers along federally designated Alternative Fuel Corridors, with requirements that stations be spaced roughly every 50 miles and include multiple ports per location to support long-distance travel. In early 2024, Tennessee awarded about $21 million to ten applicants to install 30 new charging locations, with private investment required to cover a 20 % match of total project costs. These initiatives align with the Bipartisan Infrastructure Law’s goal of building out a reliable national EV charging network, although broader federal program pauses have complicated implementation timelines.

At the state level, Tennessee also supports EV charging expansion through complementary programs such as the Fast Charge TN Network, a partnership between the Tennessee Department of Environment and Conservation (TDEC) and the Tennessee Valley Authority (TVA). This effort is structured to add roughly 65 public fast charging sites, leveraging a mix of Volkswagen Environmental Mitigation Trust funds, TVA electricity revenues, and cost shares from applicants to fill gaps in corridor infrastructure. As of recent reporting, Tennessee had several hundred charging ports statewide — including around 830 fast-charging ports and nearly 1,900 slower chargers — reflecting modest growth in publicly accessible EV charging infrastructure, even as growth rates for rapid chargers recently slowed compared to earlier years.

Tennessee’s policy environment also includes revenue measures that affect commercial EV charging and EV owners more broadly. The state has instituted annual registration fees for electric vehicles — $200 currently, rising to $274 by 2027 — intended to recoup transportation funding lost from declining gasoline tax collections. Lawmakers are now considering a new proposed tax of about $0.03 per kilowatt-hour on electricity dispensed at public DC fast chargers, which would mirror a traditional fuel tax structure and generate additional road maintenance revenue from EV usage. Critics argue that this could place a disproportionate financial burden on EV drivers, particularly in conjunction with other fees.

Tennessee’s state-level stance in 2026 on commercial solar projects is cautious and largely neutral rather than aggressively pro‑renewables compared with other states. The state government does not mandate net metering (which would allow solar producers to earn full retail value for excess electricity sent to the grid), and there are no broad, statewide utility incentive programs specifically designed to boost commercial solar uptake. Most utilities in Tennessee are served by the federally‑owned Tennessee Valley Authority (TVA), which offers programs like the Dispersed Power Production option that compensate solar system owners at avoided‑cost rates, typically far below retail electricity rates—making export economics weak for commercial systems. Tennessee also lacks a Renewable Portfolio Standard (RPS) or utility‑level interconnection rules that many other states use to drive solar adoption.

 Legislatively, the Tennessee General Assembly has introduced bills that reflect both regulatory caution and tentative encouragement around solar energy. One bill (SB 1124) mandates that solar installers provide written proof of whether a local utility offers net‑metering credits before signing customers, aiming to boost transparency in a market where traditional net metering is absent. Another proposed measure (SB 1246) — the “Clean Energy and Jobs Act” — would create training grants and establish a tax credit for renewable energy businesses, signaling some legislative interest in incentivizing clean energy economic activity. Outside the 2025–26 session, Tennessee also maintains its solar “Decommissioning Law”, requiring certain larger solar facilities (≥ 5 MW) to include decommissioning plans in land agreements, which adds regulatory requirements rather than incentives for developers.

 For commercial solar economics in 2026, the policy picture reflects strong reliance on federal incentives rather than state policy. Under the federal Investment Tax Credit (ITC) regime, businesses can still qualify for significant tax credits if construction begins by mid‑2026 and complies with evolving “safe harbor” and domestic content rules; failure to meet key timelines may reduce or eliminate these benefits. At the state level, Tennessee offers limited state‑specific incentives, such as a partial property tax exemption and potential sales tax exemptions on solar equipment for commercial projects, but these are modest compared with incentives in more solar‑friendly states. Thus, the state stance in 2026 is pragmatic with incremental support, but most of the financial and policy momentum for commercial solar rests with federal policy and localized utility programs rather than aggressive statewide mandates or subsidies.