The D.C. Council approved legislation yesterday that will require District owners of large, luxury sport-utility vehicles to pay a higher excise tax and registration fee next year, after concluding that the vehicles contribute to air pollution and street damage.

But under the new legislation, residents with clean-air hybrid cars will no longer have to pay an excise tax and will have their vehicle registration fees cut in half...

The new excise tax on large SUVs would increase from 7 percent to 8 percent of the vehicle's market value. An owner whose SUV has a sticker price of $60,000, for example, would pay an excise tax of $4,800, an increase of $600. The excise tax is a one-time payment made when an owner registers the vehicle.

The vehicle registration fee on SUVs also will increase, from $115 to $155.