New Hampshire Biodiesel Laws and Incentives

State Incentives

Alternative Fuel Vehicle (AFV) and Fueling Infrastructure Project Funding

The New Hampshire Department of Environmental Services (DES) and the Granite State Clean Cities Coalition (GSCCC) provide competitive funding on a cost reimbursement basis for AFVs, advanced technology vehicles, and alternative fueling infrastructure. Only projects located in ozone non-attainment or maintenance areas in the state are eligible for funding. For more information see the GSCCC Web site.

State Laws and Regulations

Alternative Fuel Vehicle (AFV) Study

The Alternate Fuel Vehicle Study Commission (Commission) is established to study the existing road and taxation rules associated with AFVs, including, but not limited to, electric vehicles, hybrid electric vehicles, and any vehicles that are not powered totally by gasoline engines. Specifically, the Commission will evaluate whether operating restrictions for AFVs and methods of providing funds for their use on highways should be established. The Commission will report its findings and recommended legislative action to the Legislature by November 1, 2009. (Reference House Bill 515, 2009)

Biodiesel Blend Purchase Requirement

Diesel fuel purchased by the Commissioner of Transportation under the Motor Fuel Inventory Fund must contain at least 5% biodiesel, unless the fuel is unavailable or more expensive than 100% petroleum diesel, in which case the purchase will be at the discretion of the Commissioner. The Commissioner is encouraged to purchase diesel fuel containing up to 20% biodiesel when the fuel is acceptable for use. The Commissioner can sell the fuel to all state departments and institutions, political subdivisions of the state, eligible nonprofit corporations under contract with the Department of Transportation to transport the general public, and federal government agencies. (Reference New Hampshire Revised Statutes 228:24-a)

Biodiesel Study Commission

The Biodiesel Study Commission is directed to study the biodiesel production capacity in New Hampshire; state and regional feedstock sources for production; and methods to encourage production. The Commission will also provide information about the best methods of biodiesel distribution and potential barriers to increased use. The study, due to the New Hampshire legislature by November 1, 2009, will track current biodiesel demand and offer suggestions to encourage increased biodiesel demand. (Reference House Bill 245, 2009)

Biodiesel Definition

Biodiesel is a renewable special fuel that is composed of mono-alkyl esters of long chain fatty acids, is derived from vegetable oils or animal fats and meets the requirements of the ASTM specification D6751. (Reference New Hampshire Revised Statutes 259:6-a)

Biodiesel Distributor License and Recordkeeping Requirements

Any person who refines, distills, prepares, blends, manufactures, or purchases biodiesel on which the road toll has not been paid and who is not a licensed and bonded distributor is required to become licensed with the New Hampshire Department of Safety (Department). An annual license fee of $25 applies. Any licensed biodiesel refiner, distiller, blender, manufacturer, or purchaser of more than 10,000 gallons of biodiesel per month is required to file a bond with the Department. All biodiesel distributors must maintain and keep records, for a period of four years, sufficient to demonstrate that all biodiesel sold within the state meets ASTM specification D6751. (Reference New Hampshire Revised Statutes 260:36-d and 260:43-b)

Idle Reduction and Fuel-Efficient, Low Emission Vehicle Acquisition Requirements

State agencies and departments are required to implement a Clean Fleets Program in accordance with the recommendations of the Energy Efficiency in State Government Steering Committee, including but not limited to the following components:

1. An anti-idling policy;
2. A highway fuel economy rating of at least 27.5 miles per gallon (mpg) for all new passenger and light-duty vehicles and at least 20 mpg for all new light-duty trucks except for emergency and law enforcement vehicles;
3. All new passenger and light-duty vehicles be certified as low emission vehicles in accordance with the recommendations of the Energy Efficiency in State Government Steering Committee;
4. A policy ensuring that the appropriate vehicle is selected for the intended use of the vehicle;
5. All vehicle purchases be in compliance with the Energy Policy Act of 1992 (EPAct) if applicable;
6. A waiver procedure for requesting vehicles not on the approved Department of Administrative Services vehicle list;
7. Additional measures to promote fuel conservation.

(Reference Executive Order 2005-4)