The list below contains summaries of all Utah incentives and laws related to Natural Gas.
The state provides an income tax credit of 35% of the vehicle purchase price or $2,500, whichever is less, for an original equipment manufactured compressed natural gas vehicle registered in Utah. Other new clean fuel vehicles that meet air quality and fuel economy standards may be eligible for a credit of up to $750. The state also provides a credit of 50% of the cost of converting a vehicle to operate using a clean fuel (including propane, natural gas, or electricity), up to a maximum of $2,500 per vehicle. Those claiming the credit must provide documentation. These incentives expire December 31, 2013. Additional restrictions apply. (Reference Utah Code 19-1-402, 59-7-605, and 59-10-1009)
Point of Contact
Mat Carlile
Energy Program Coordinator
Utah Department of Environmental Quality, Division of Air Quality
Phone: (801) 536-4136
Fax: (801) 536-0085
mcarlile@utah.gov
The Utah Clean Fuels and Vehicle Technology Grant and Loan Program (Program), funded through the Clean Fuels and Vehicle Technology Fund, provides grants and loans to assist businesses and government entities in covering: 1) the cost of converting vehicles to operate on clean fuels; 2) the incremental cost of purchasing original equipment manufactured clean fuel vehicles; and 3) the cost of retrofitting diesel vehicles with U.S. Environmental Protection Agency verified closed crankcase filtration devices, diesel oxidation catalysts, and/or diesel particulate filters. These grants and loans may serve as matching funds for federal and non-federal grants. The Program also provides loans for the purchase of fueling equipment for public/private sector business and government vehicles. The Program also provides loans for the purchase of fueling equipment for public/private sector business and government vehicles. The Program does not support E85 or biodiesel projects. For the purpose of the Program, clean fuels include propane, compressed natural gas, and electricity. (Reference Utah Code 19-1-401 through 19-1-405)
Point of Contact
Mat Carlile
Energy Program Coordinator
Utah Department of Environmental Quality, Division of Air Quality
Phone: (801) 536-4136
Fax: (801) 536-0085
mcarlile@utah.gov
The tax imposed on propane and electricity used to operate motor vehicles is 3/19 of the traditional motor fuels tax rate of $0.245. The tax on compressed natural gas is $0.085 per gasoline gallon equivalent; this rate will be modified proportionally with any changes to the traditional motor fuel rate. Beginning July 1, 2011, the tax on liquefied natural gas is $0.085 per gasoline gallon equivalent; this rate will be modified proportionally with any changes to the traditional motor fuel rate. The Utah Revenue and Tax Code allows a reduction of motor and special fuel taxes if the motor or special fuel is already taxed by the Navajo Nation. Retailers, wholesalers, and suppliers of special fuel are eligible for a refund of the special fuel tax if dyed diesel fuel is mixed with special fuel and the mixed special fuel is returned to the refinery for re-refining. (Reference House Bill 184, 2011, and Utah Code 59-13-102, 59-13-201, 59-13-301, and 59-13-322)
Point of Contact
Utah State Tax Commission Motor Vehicle Division
Phone: (800) DMV-UTAH or (801) 297-7780
dmv@utah.gov
http://dmv.utah.gov/
Vehicles operating on propane, compressed natural gas, liquefied natural gas, or electricity are permitted to use HOV lanes, regardless of the number of passengers. As of July 2011, qualified vehicles must display special clean fuel decal issued by the Utah Department of Transportation. (Reference House Bills 24 and 184, 2011, and Utah Code 41-1a-416, 41-1a-418, 41-6a-702, 59-13-102, and 72-6-121)
Point of Contact
Utah State Tax Commission Motor Vehicle Division
Phone: (800) DMV-UTAH or (801) 297-7780
dmv@utah.gov
http://dmv.utah.gov/
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
Vehicles converted to operate on CNG must be inspected and certified in accordance with relevant safety standards by a CSA America certified CNG Fuel System Inspector. The vehicle must also be tested to ensure that it meets emissions standards in the applicable county, or the county with the most lenient emissions standards if the vehicle is registered in a county without its own emissions standards. A person who performs a conversion must certify to the vehicle owner that the conversion does not tamper with, circumvent, or otherwise affect the vehicle's on-board diagnostic system, if applicable. A CSA America certified CNG Fuel System Inspector must also inspect the vehicle every three years, or every 36,000 miles, and after a collision occurring at a speed greater than five miles per hour. The Utah Division of Air Quality may develop programs to facilitate coordination between government agencies and the private sector regarding emissions and anti-tampering compliance testing, vehicle safety, and potential improvements in the air quality of the state. (Reference Utah Code 19-1-406)
To encourage the use of natural gas in the transportation sector, the state of Utah encourages the U.S. Environmental Protection Agency (EPA) to take action to facilitate vehicle conversions. Specifically, the state recommends that EPA revise certification requirements for small volume conversion manufacturers, provide guidance to those manufacturers regarding the conversion of older vehicle models, and continue a NGV research, development, and demonstration funding program. The state also encourages the formation of public and private partnerships to increase the states' vehicle fueling infrastructure. (Reference House Concurrent Resolution 1, 2009)
The Utah Department of Administrative Services Division of Fleet Services (Division) may allow a private individual or entity to purchase CNG from a state-operated fueling station if there are no commercial fueling stations that meet the geographical needs of the individual or entity, and there is not an emergency that requires the state to reserve CNG for use by state or emergency vehicles. The Division provides information on obtaining a GasCard for fueling as well as state fueling network stations that are available to private individuals and entities. (Reference Utah Code 63A-9-702)
The Utah Public Service Commission (Commission) may allow a gas corporation to set a natural gas vehicle fuel rate that is less than full cost of service if it is reasonable and in the interest of the public. If the Commission approves such a request, the remaining costs may be spread to other customers of the gas corporation. (Reference Utah Code 54-4-13.1)
The State Tax Commission (Commission) may require vehicles operating on clean fuels to be inspected for safe operation. In addition, clean fuel vehicles that have a gross vehicle weight rating of more than 26,000 pounds or have more than three axels are required to obtain a special fuel user permit from the Commission. Clean fuels are defined as propane, compressed natural gas, liquefied natural gas, and electricity. (Reference House Bill 184, 2011, and Utah Code 59-13-102, 59-13-303, and 59-13-304)
Point of Contact
Utah State Tax Commission Motor Vehicle Division
Phone: (800) DMV-UTAH or (801) 297-7780
dmv@utah.gov
http://dmv.utah.gov/
The Utah Air Quality Board may require fleets that own 10 or more vehicles that are capable of being fueled at a central location to use clean fuels, if such a mandate is necessary to meet national air quality standards. Clean fuels are defined as propane, compressed natural gas, and electricity. Additional restrictions apply. (Reference Utah Code 19-2-105.3)