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

Wisconsin Incentives and Laws for Natural Gas

The list below contains summaries of all Wisconsin incentives and laws related to Natural Gas.

State Incentives

Alternative Fuel Tax Refund for Taxis

A person using alternative fuel to operate a taxi used to transport passengers may be reimbursed for the paid amount of the Wisconsin state fuel tax. Refund claims must be filed within one year of the date the fuel is purchased and must be for a minimum 100 gallons of alternative fuel. (Reference Wisconsin Statutes 78.75(1m)(a)1)

Alternative Fuel Tax Exemption

No county, city, village, town, or other political subdivision is allowed to levy or collect any excise, license, privilege, or occupational tax on motor vehicle fuel or alternative fuels, or on the purchase, sale, handling, or consumption of motor vehicle fuel or alternative fuels. (Reference Wisconsin Statutes 78.82)

Laws and Regulations

Alternative Fuel Vehicle (AFV) Acquisition and Alternative Fuel Use Requirements

The Wisconsin Department of Administration (DOA) encourages state employees operating state-owned or leased motor vehicles to use hybrid electric vehicles or vehicles that operate on gasohol (a motor fuel containing at least 10% alcohol) or alternative fuels whenever feasible and cost effective. The DOA must place a list of gasohol and alternative fuel station locations in each state-owned or state-leased motor vehicle for driver reference. The DOA also encourages Wisconsin residents and state employees who use personal motor vehicles on state business to use gasohol and alternative fuels. (Reference Assembly Bill 40, 2011; Wisconsin Statutes 16.045; and Executive Order 141, 2006)

Petroleum Reduction Requirements

The Wisconsin Department of Administration's fleet management policy requires all state agencies to collectively reduce gasoline use in state-owned vehicles by at least 50% by 2015 as compared to the total amount used in 2006. In addition, state agencies must reduce petroleum-based diesel fuel use by 25% by 2015. (Reference Wisconsin Statutes 16.045, and Executive Order 141, 2006)

Alternative Fueling Infrastructure Development

The Wisconsin Department of Administration must pursue, in cooperation with the Department of Agriculture, Trade and Consumer Protection, the establishment and maintenance of sufficient alternative fueling infrastructure at public retail outlets to meet the public's traveling needs. (Reference Wisconsin Statutes 16.956(3)(f))

Alternative Fuels Tax

A state excise tax is imposed on the use of alternative fuels. Alternative fuels include liquid petroleum gas (LPG or propane) and compressed natural gas (CNG). The current tax rate on propane is $0.226 per gallon, and the tax rate on CNG is $0.247 per gallon. No tax is imposed on alternative fuels the U.S. government or its agencies (when presented with a valid exemption certificate) uses or vehicles used for urban mass transportation of passengers. For more information, see the Wisconsin Department of Revenue Alternate Fuel Tax Web site. (Reference Wisconsin Statutes 78.40)

Alternative Fuel License

Any person acting as an alternative fuels dealer must hold a valid alternative fuels license and certificate from the Wisconsin Department of Administration. Except for alternative fuels that an alternative fuels dealer delivers into a fuel supply tank of any motor vehicle in the state, no person may use alternative fuels in the state unless the person holds a valid alternative fuels license or an authorized supplier has delivered the alternative fuel. For more information, see the State of Wisconsin License, Permit and Registration Services. (Reference Wisconsin Statutes 78.47)