The Alternative Motor Fuels Act (AMFA) of 1988, extended by the Automotive Fuel Economy Manufacturing Incentives for Alternative Fueled Vehicles Rule of 2004, encourages the production of motor vehicles capable of operating on alternative fuels. This incentive gives a credit of up to 1.2 mpg toward an automobile manufacturer's average fuel economy which helps it avoid penalties of the corporate average fuel economy (CAFE) standards. For more information, visit the National Highway Traffic Safety Administration.
For information on the effects of this act, please view the DOE, DOT, and EPA analysis report.