Nevada Incentives and Laws for Natural Gas
The list below contains summaries of all Nevada incentives and laws related to Natural Gas.
State Incentives
Alternative Fuel Vehicle (AFV) Parking Fee Exemption
By January 1, 2012, all local authorities with public metered parking areas within their jurisdiction must establish a program for AFVs to park in these areas without paying a fee. Each local authority is responsible for creating an application process and issuing a distinctive decal for AFVs. The fee for the decal may not exceed $10 per year. This requirement does not apply to parking areas associated with an airport. (Reference Assembly Bill 511, 2011)
Alternative Fuel Vehicle (AFV) and Hybrid Electric Vehicle (HEV) Emissions Inspection Exemption
AFVs are exempt from the emissions testing requirements of the Nevada Emissions Control Program. A new HEV is exempt from emissions inspection testing for the first six years, after which the vehicle must comply with emissions inspection testing requirements on an annual basis. (Reference Nevada Revised Statutes 445B.770-445B.825)
Laws and Regulations
Alternative Fuel Use in County School Districts
Transportation equipment purchased with county school district general funds and used for transporting pupils must fall into one of the following categories: 1) motor vehicles that use biodiesel, compressed natural gas, or similar fuels that reduce emissions; 2) equipment to retrofit motor vehicles to use these fuels; or 3) equipment for the transportation, storage, or dispensing of these fuels. (Reference Nevada Revised Statutes 387.335)
Funds for School District Alternative Fuel Use
A portion of any penalty assessed for violations of air pollution control laws must be deposited in the county school district fund where the violation occurred. The local air pollution control board must approve expenditures from the fund, which are limited to education programs on topics relating to air quality and projects to improve air quality, including purchasing and installing equipment to retrofit district school buses to operate on biodiesel, compressed natural gas, or a similar fuel that reduces emissions. (Reference Nevada Revised Statutes 445B.500)
Provision for Establishment of Alternative Fuel Incentives
In conjunction with the Nevada Department of Business and Industry, the Nevada Department of Conservation and Natural Resources may develop and administer a program to provide incentives to encourage alternative fuel use in motor vehicles, specifically by individuals and others not required by state statute to purchase alternative fuel vehicles. The program may also educate the general public about the benefits of using alternative fuel vehicles. (Reference Nevada Revised Statutes 486A.200)
Authorization for High Occupancy Vehicle (HOV) Lane Exemption
The Nevada Department of Transportation may establish, in consultation with the Federal Highway Administration and U.S. Environmental Protection Agency, a program allowing federally certified low emission, energy-efficient, and alternative fuel vehicles to operate in HOV lanes regardless of the number of passengers. (Reference Assembly Bill 511, 2011, and Nevada Revised Statutes 484A.463)
Alternative Fuel Vehicle (AFV) Definition
AFVs include:
- Vehicles propelled to a significant extent by electricity from a battery that has a capacity of at least four kilowatt hours and can be recharged from an external source, and
- Vehicles propelled solely by compressed natural gas, hydrogen, or propane and that meet or exceed Tier 2, Bin 2 federal exhaust emissions standards.
Alternative Fuel Study
As directed by the Nevada Legislature, the Legislative Commission (Commission) conducted an interim study concerning the production and use of energy in the state. The study included information on the use and availability of transportation fuels and related facilities, including alternative fuels, electric vehicles, and truck stop electrification, as well as a review of the extent and potential for biofuels production in Nevada. The Commission also made recommendations to the Nevada Legislature, including recommending that the state implement a biodiesel blend mandate and update the definition of biodiesel to comply with national standards. (Reference Senate Concurrent Resolution 19, 2009)
Alternative Fuel Tax
Special fuels, including biodiesel and biodiesel blends, have a reduced tax rate of $0.27 per gallon. Liquefied petroleum gas (LPG or propane) and compressed natural gas (CNG) used to operate a motor vehicle is taxed at a rate of $0.22 and $0.21 per gallon, respectively. For the purpose of taxing the sale or use of propane or CNG, 125 cubic feet of CNG or propane is considered equal to one gallon of special fuel. (Reference Nevada Revised Statutes 366.190, 366.197, and 373.066)
Alternative Fuel Vehicle (AFV) Acquisition Requirement
Fleets containing 50 or more vehicles that are owned, leased, or operated by the state, a state agency, or a political subdivision of the state in a county with a population of 100,000 or more must acquire AFVs or U.S. Environmental Protection Agency certified Ultra Low Emission Vehicles (ULEVs). Covered fleets are required to purchase either AFVs or certified ULEVs for 90% of new vehicles obtained. A fleet may meet the acquisition requirements by converting existing or newly acquired vehicles to operate on alternative fuels. An AFV acquired in compliance with this mandate must operate solely on the alternative fuel except when operating in an area where the appropriate alternative fuel is unavailable. Fleets with buses or heavy-duty vehicles are included. (Reference Nevada Administrative Code 486A.010-486A.250, and Nevada Revised Statutes 486A.010-486A.180)
