Skip Navigation to main content U.S. Department of Energy Energy Efficiency and Renewable Energy
Alternative Fuels & Advanced Vehicles Data Center
About the AFDCFuelsVehiclesFleetsIncentives and LawsData, Analysis and TrendsInformation ResourcesHome
Alternative and Advanced Fuels

Vermont State Flag

Vermont Propane Laws and Incentives


State Incentives

Alternative Fuel and Advanced Vehicle Research and Development Tax Credit

Vermont businesses that qualify as a high-tech business involved exclusively in the design, development, and manufacture of alternative fuel vehicles, hybrid electric vehicles, and electric vehicles or energy technology involving fuel sources other than fossil fuels are eligible for up to three of the following tax credits: 1) payroll income tax credit; 2) qualified research and development income tax credit; 3) export tax incentive; 4) small business investment tax credit; and 5) high-tech growth tax credit. Certain limits and restrictions apply. (Reference Vermont Statutes Title 32, Chapter 151, Section 5930a, c, f, g, and k)

State Laws and Regulations

Green Workforce Collaborative

The Vermont Workforce Development Council and the Commissioner of Labor will develop a Green Workforce Collaborative to develop and promote career training and employment opportunities for Vermont residents in green industry sectors, including: the energy-efficient, low-emission, and advanced vehicles industry; the mass transit fleet conversion industry; and the biofuels industry. These programs will enhance the economic and environmental vitality of the state and give priority to programs that provide education, training, and other services to target populations. (Reference Senate Bill 313, 2009)

Alternative Fuel Vehicle (AFV) Acquisition Requirements

The Commissioner of the Vermont Department of Buildings and General Services must consider AFVs when purchasing vehicles for state use, providing the alternative fuel is suitable for the vehicle's operation, is available in the region where the vehicle will be used, and is competitively priced with conventional fuels. (Reference Vermont Statutes Title 29, Chapter 49, Section 903)

State Agency Energy Plan Transportation Requirements

The Secretary of Administration is responsible for developing and overseeing the implementation of a State Government Agency Energy Plan. The plan must be modified as necessary and readopted by the Secretary on or before January 15 of each fifth year after 2005. The plan encourages the investigation of the environmental and economic feasibility of replacing the use of conventional diesel fuel with appropriate biodiesel blends. Additionally, all vehicles purchased for inclusion in the Vermont State Fleet must be among the most fuel-efficient and lowest emission vehicle models in each class. This includes a purchasing preference for appropriate advanced technology vehicles including hybrid electric vehicles. Furthermore, the Secretary, in coordination with the Vermont Agency of Transportation, Department of Buildings and General Services, Agency of Natural Resources, will expand education and tracking of vehicle engine anti-idling campaigns pertaining to state fleet vehicles and private sector vehicles operating on state-owned property. (Reference Vermont Statutes Title 3, Chapter 45, Section 2291)