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Massachusetts Incentives and Laws

Listed below are the summaries of all current Massachusetts incentives, laws, regulations, funding opportunities, and other initiatives related to alternative fuels and vehicles, advanced technologies, or air quality. You can go directly to summaries of:

• State Incentives (2)
• Utility/Private Incentives (2)
• Laws and Regulations (8)

State Incentives

Electric Vehicle Supply Equipment (EVSE) Grants

The Green Communities Division of the Massachusetts Department of Energy Resources (DOER) has funding available to local governments to fund the installation of publically available EVSE. All Massachusetts cities and towns are eligible and encouraged to apply; preference will be given to the 74 designated Green Communities and communities predicted to have the largest volume of potential plug-in electric vehicles. DOER will award grants based on funding availability; as of December 2011, funding is not available. For more information, refer to the Massachusetts Energy and Environmental Affairs website.

Cellulosic Biofuel Tax Exemption

For taxable years beginning January 1, 2009, and ending December 31, 2017, fuel consisting of cellulosic biofuel or a blend of gasoline and cellulosic biofuel is eligible for an exemption of the $0.21 per gallon fuel tax, in proportion to the percentage of the fuel content consisting of cellulosic biofuel. For these purposes, eligible cellulosic biofuel includes fuel derived from cellulose, hemicellulose, or lignin derived from renewable biomass that yields at least a 60% reduction in lifecycle greenhouse gas (GHG) emissions relative to the average lifecycle GHG emissions for petroleum-based fuel sold in 2005. (Reference Massachusetts General Laws Chapter 64A, Section 1 and 1A and Massachusetts Department of Revenue TIR 09-4)

Utility/Private Incentives

Electric Vehicle Supply Equipment (EVSE) Incentive - Coulomb Technologies

Coulomb Technologies' ChargePoint America program offers EVSE at no cost to individuals or entities in the Boston metropolitan area. To be eligible for free home charging stations, individuals living within the specified areas must purchase a qualified plug-in electric vehicle. Application information is available on the ChargePoint America website. In most cases, installation will be paid for by the EVSE owner; some cities, states, and utilities, however, will provide funding towards installation costs. All participants in the ChargePoint America program must agree to anonymous data collection after installation. Additional restrictions may apply.

Natural Gas Vehicle (NGV) and Compressed Natural Gas (CNG) Infrastructure Technical Assistance

The Alternative Vehicle Service Group (AVSG) and National Grid provide technical assistance to business fleets and consumers interested in purchasing NGVs. AVSG may also provide guidance on the construction, operation, and maintenance of CNG fueling stations for business fleets. In addition, National Grid offers rebates on a case-by-case basis to customers who purchase NGVs.

Laws and Regulations

Biodiesel Blend Mandate

Pursuant to state law, all diesel motor vehicle fuel and all other liquid fuel used to operate motor vehicle diesel engines must contain at least 2% renewable diesel fuel by July 1, 2010; 3% renewable diesel fuel by July 1, 2011; 4% renewable diesel fuel by July 1, 2012; and 5% renewable diesel fuel by July 1, 2013. For these purposes, eligible renewable diesel fuel includes diesel fuel that is derived predominantly from renewable biomass and yields at least a 50% reduction in lifecycle greenhouse gas (GHG) emissions relative to the average lifecycle GHG emissions for petroleum-based diesel fuel sold in 2005. The Massachusetts Department of Energy Resources (DOER) must also study the feasibility, benefits, and costs of applying the percentage mandates on a statewide average basis rather than for every gallon of diesel motor fuel sold.

DOER may delay the implementation of the biodiesel blend mandate if DOER determines that it is not feasible to meet the mandate due to lack of supply, lack of blending facilities, or unreasonable cost. As of June 2010, DOER suspended the formal requirement on grounds of unreasonable cost.

(Reference Massachusetts General Laws Chapter 94, Section 295G1/2)

Voluntary Biofuels Program

In place of the formal Biodiesel Blend Mandate, the Massachusetts Department of Energy Resources (DOER) is launching a voluntary biofuels program through which DOER will work with biodiesel suppliers to certify biofuels. Lessons learned from this voluntary program will provide the basis for future expansion and full implementation of a state biofuels mandate. For more information, refer to the June 2010 Massachusetts Advanced Biofuels Mandate Program Announcement.

Hybrid Electric (HEV) Alternative Fuel Vehicle (AFV) Acquisition Requirements

When purchasing new motor vehicles, the Commonwealth of Massachusetts must purchase HEVs or AFVs to the maximum extent feasible and consistent with the ability of such vehicles to perform their intended functions. HEVs and AFVs must be acquired at a rate of at least 5% annually for all new motor vehicle purchases so that not less than 50% of the motor vehicles the Commonwealth owns and operates will be HEVs or AFVs by 2018. (Reference Massachusetts General Laws Chapter 7, Section 9A)

Low Emission Vehicle (LEV) Standards

The Massachusetts LEV Program requires all new passenger cars and light-duty trucks, medium-duty vehicles, and heavy-duty vehicles and engines sold and registered in Massachusetts to meet California emission and compliance requirements, as set forth in Title 13 of the California Code of Regulations. Manufacturers must comply with the Zero Emission Vehicle sales and greenhouse gas emissions requirements. (Reference Massachusetts Department of Environmental Protection Regulations and Standards 310 CMR 7.40)

State Agency Alternative Fuel Use Requirement

All Massachusetts agencies must use a minimum of 15% biodiesel (B15) in all on- and off-road diesel engines, provided that the Commonwealth Office of Vehicle Management and other appropriate agencies have determined that a B15 goal is appropriate. The Massachusetts Department of Energy Resources (DOER) will set guidelines for a minimum required use of E85 in state flexible fuel vehicles, depending on the availability of the fuel in the state. Agencies may apply for exemptions from the biodiesel and E85 fuel use requirements if the agencies demonstrate that the alternative fuel is not available within a reasonable distance and/or the price of the alternative fuel is cost prohibitive, as determined by DOER. (Reference Massachusetts Executive Office of Administration and Finance Administrative Bulletin 13, 2006)

Idle Reduction Requirement

A motor vehicle may not idle for more than five consecutive minutes. This regulation does not apply to: 1) vehicles being serviced, provided that operation of the engine is essential to the repair; 2) vehicles delivering or accepting goods or merchandise for which engine assisted power is necessary and substitute alternate power cannot be made available; or 3) vehicles requiring auxiliary power for an associate power need other than movement that cannot be substituted by an alternate power source provided that such operation does not cause or contribute to air pollution. Violators are subject to fines. Local boards of health, local police, and state and federal officials may enforce the state anti-idling law; the Massachusetts Department of Environmental Protection (DEP) enforces its own regulations. (Reference Massachusetts General Laws Chapter 90, Section 16A, and DEP Regulations 310 CMR 7.11(1)(b))

State Agency Alternative Fuel Vehicle (AFV) Acquisition Requirement

State fleets must acquire AFVs according to the requirements of the Energy Policy Act (EPAct) of 1992 and the Massachusetts Office of Vehicle Management (OVM) must approve any light-duty vehicle acquisition. All agencies must purchase the most economical, fuel-efficient, and low emission vehicles appropriate to their mission. OVM, in collaboration with the Massachusetts Department of Energy Resources, will set new minimum standards for vehicle mileage and work with agencies to acquire vehicles that provide the best value for the Commonwealth on a total cost of ownership basis. (Reference Executive Order 388, 1996, and Massachusetts Executive Office of Administration and Finance Administrative Bulletin 10, 2010)

Deregulation of Compressed Natural Gas (CNG) as a Motor Fuel

The sale of CNG by a fueling station for use as fuel to operate a motor vehicle is deregulated; however, separate records, books, and accounts of such sales must be kept. Investments in related infrastructure must not reduce the availability or increase the cost of natural gas to customers who purchase natural gas for use other than as fuel to operate a motor vehicle. (Reference Massachusetts General Laws Chapter 164, Section 941/2)