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Idaho Incentives and Laws for Natural Gas

The list below contains summaries of all Idaho incentives and laws related to Natural Gas.

State Incentives

Alternative Fuels Tax Refund

State excise tax paid on special fuels used in motor vehicles that the state or federal government owns or leases may be refunded, as long as the tax was originally paid directly to a special fuel vendor. Special fuels include compressed and liquefied natural gas, liquefied petroleum gas (propane), hydrogen, and fuel suitable for use in diesel engines. The tax refund is not available for special fuels a registered motor vehicle uses while idling. Idling means a period of time greater than 15 minutes when the motor vehicle is stationary with the engine operating. (Reference Idaho Statutes 63-2401, 63-2402, and 63-2423)

Utility/Private Incentives

Natural Gas Technical Assistance

Questar Gas offers technical assistance to customers interested in converting their vehicles to operate on compressed natural gas. The company provides financial analysis and fleet consulting services for alternative fuel comparisons.

Point of Contact
Jim Grambihler
Natural Gas Vehicle Marketing
Questar Gas
Phone: (801) 324-5119
Fax: (801) 324-3713
jim.grambihler@questar.com

Laws and Regulations

Alternative Fuels Tax

A state excise tax applies to special fuels at a rate of $0.25 per gallon on a gasoline gallon equivalent basis. Special fuels include compressed natural gas (CNG), liquefied natural gas, liquefied petroleum gas (propane), hydrogen, and fuel suitable for use in diesel engines. In lieu of paying an excise tax on gaseous motor fuels, owners of vehicles powered by CNG, propane, or hydrogen may pay an annual fee. The fee is based on gross vehicle weight rating (GVWR) as follows:

GVWRFee
Less than or equal to 8,000 pounds (lbs.)$60
8,001-16,000 lbs.$89
16,001-26,000 lbs.$179
26,001 lbs. or more$208

Vehicle owners must purchase permits from gaseous fuels vendors and display the provided decal as evidence that the annual fee has been paid in lieu of the excise tax. Permits for vehicles that are converted to gaseous fuels after July 1 in any year are subject to a prorated fee.

(Reference Idaho Statutes 63-2401 and 63-2424)