NASHVILLE, Tenn. — Tennessee farmers and foresters will be able to keep running tax-exempt dyed diesel on public roads through the end of the year, after Gov. Bill Lee agreed to stretch a temporary relief program that had been set to expire with October.
The extension was announced Friday in a release from the campaign of Charlie Hatcher, the Republican congressional candidate in Tennessee’s 5th District. The release said Hatcher, a fifth-generation farmer, looked over the program and talked with other growers before asking the governor to keep it in place, and that Lee agreed.
The state relief followed an order from President Donald Trump that temporarily waived federal taxes on dyed diesel used on highways, and Lee suspended the state restrictions earlier this year in response.
In the release, Hatcher said farmers need enough time to make full use of the relief given the strain of recent fuel costs. He also credited the governor for responding to the people who grow the nation’s food and fiber, and said he would keep pushing practical help for farm families.
Prices explain the pressure. AAA put the Tennessee average for diesel at about $5.97 a gallon on Saturday, compared with roughly $3.33 a year ago. Regular gasoline averaged about $3.83, up from $2.63 at this time last year, though it has eased from around $4.06 a month ago.
Diesel has also slipped slightly over the past month from an average near $6.19, but it remains far above last fall. A week ago, the statewide diesel average stood at about $5.99. Higher grades of gasoline are pricier still, with mid-grade near $4.31 and premium around $4.72 a gallon. In Nashville, diesel was running a bit above the state figure, at $6.02, earlier this week.
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