Indiana Hybrid Electric Vehicle Laws and Incentives
State Incentives
Alternative Fuel Vehicle (AFV) Grant Program
Effective July 1, 2009, the Alternative Fuel Vehicle Grant Program, administered by the Indiana Office of Energy Development (OED), will offer grants to counties, cities, towns, townships, or school corporations to purchase Original Equipment Manufactured (OEM) AFVs and for AFV conversions, A recipient may be awarded $2,000 for each OEM AFV purchased, and up to $2,000 for each AFV conversion. Applications for the grant program must be reviewed and approved by OED, and the amount of grants awarded for all fiscal years may not exceed $1 million. (Reference House Bill 1554, 2009, and Indiana Code 4-4-32.3)
Vehicle Research and Development Grants
The Indiana 21st Century Research and Technology Fund is administered by the Indiana Economic Development Corporation and provides grants and loans to support proposals for economic development in areas including alternative fuel technologies and fuel-efficient vehicle production. (Reference Indiana Code 5-28-16-2)
State Laws and Regulations
Clean Vehicle Acquisition Requirements
Beginning January 1, 2010, a vehicle that is purchased or leased by a state entity must be a clean energy vehicle, unless the Indiana Department of Administration determines that the purchase or lease of the vehicle is inappropriate for its intended use, or the purchase or lease would cost 10% more than a comparable non-clean energy vehicle. A clean energy vehicle is defined as a vehicle that operates on one or more of the following energy sources: a rechargeable energy storage system; hydrogen; compressed natural gas (CNG); or liquefied natural gas (LNG). The Department of Administration will adopt rules or provide guidelines for the preferential purchase or lease of clean energy vehicles manufactured in Indiana or containing parts manufactured in Indiana. (Reference House Bill 1554, 2009, and Indiana Code 5-22-5-8.5)
Certified Technology Park Designation
The Indiana Economic Development Corporation may designate an area as a certified technology park if certain criteria are met, including a commitment from at least one business engaged in a high technology activity that creates a significant number of jobs. The establishment of high technology activities and public facilities within a technology park serves a public purpose and benefits general welfare by encouraging investment, job creation and retention, and economic growth and diversity. High technology activities include advanced vehicles technology, which is any technology that involves electric vehicles, hybrid electric vehicles, or alternative fuel vehicles, or components used in the construction of these vehicles. (Reference Indiana Code 36-7-32)
