Florida Laws and Incentives
Listed below are the summaries of all current Florida laws, incentives, regulations, funding opportunities, and other initiatives related to alternative fuels and vehicles, advanced technologies, or air quality. You can go directly to summaries of:
State Incentives
Biofuels Investment Tax Credit
An income tax credit is available for 75% of all capital operation, maintenance, and research and development costs incurred in connection with an investment in the production, storage, and distribution of biodiesel (B10-B100), ethanol (E10-E100), or other renewable fuel in the state, up to $1 million annually per taxpayer and $10 million annually for all taxpayers combined. This includes the costs of constructing, installing, and equipping such technologies; gasoline fueling station dispenser retrofits for B10-B100, E10-E100, or other renewable fuel distribution also qualify. Eligible costs must be incurred between July 1, 2012, and June 30, 2016. Renewable fuel is defined as a fuel produced from biomass that is used to replace or reduce conventional fuel use. If the credit is not fully used in any one tax year because of insufficient tax liability, the unused amount may be carried forward through December 31, 2018. Beginning January 1, 2014, any entity that is allowed the investment tax credit may transfer the credit, in whole or in part, to any taxpayer by written agreement without transferring ownership interest in the qualified property. (Reference House Bill 7117, 2012, and Florida Statutes 220.192)
Natural Gas Vehicle (NGV) and Propane Vehicle Rebates
Beginning January 1, 2014, the Department of Agriculture and Consumer Services will offer a rebate for up to 50% of the incremental cost of an original equipment manufacturer NGV or propane vehicle or of the cost of converting a vehicle to run on natural gas or propane, up to $25,000 per vehicle and $250,000 per applicant per fiscal year. To qualify, the dedicated or bi-fuel vehicle must be part of a public or private fleet and must be placed into service on or after July 1, 2013. Of the funds available for these rebates, 40% will be reserved for government applicants; the remaining funds will be allocated for commercial applicants. (Reference House Bill 579, 2013, and Florida Statutes 206.997)
Electric Vehicle Supply Equipment (EVSE) Financing
Property owners may apply to their local government for funding to help finance EVSE installations on their property or enter into a financing agreement with the local government for the same purpose. (Reference Florida Statutes 163.08)
Excise Tax Exemption for Biodiesel Produced by Schools
Biodiesel fuel manufactured by a public or private secondary school is exempt from the diesel fuel excise tax and the associated registration requirements. To qualify for the exemption, total annual production of biodiesel must be less than 1,000 gallons and may only be used by the school, its employees, or its students. (Reference Florida Statutes 206.874)
Renewable Energy Grants
The Renewable Energy and Energy-Efficient Technologies Grants Program and Farm to Fuel Grants Program provide matching grants for demonstration, commercialization, research, and development projects related to renewable energy technologies or bioenergy. Incentive awards are subject to state funding availability. As of June 2012, these programs have not been funded for 2012. (Reference Florida Statutes 377.804 and 570.954)
Idle Reduction Weight Exemption
Any motor vehicle equipped with idle reduction technology may exceed the gross vehicle or internal bridge weight by the amount equal to the certified weight of the idle reduction technology, up to 400 pounds. To be eligible, the operator must present written verification of the weight of the idle reduction technology and demonstrate that it is fully functional at all times. (Reference Florida Statutes 316.545)
High Occupancy Vehicle (HOV) Lane Exemption
A driver may operate an Inherently Low Emission Vehicle (ILEV) or a hybrid electric vehicle (HEV) in an HOV lane at any time, regardless of the number of passengers, provided that the vehicle is certified and labeled in accordance with federal regulations. All eligible ILEVs and HEVs must comply with the minimum fuel economy standards set forth in Title 23 of the U.S. Code, section 166(f)(3)(B). The vehicle must display a Florida Division of Motor Vehicles issued decal, which is renewed annually. Special fees may apply. Vehicles with decals may also use any HOV lane designated as a HOV toll lane without paying the toll. An HEV is defined as a motor vehicle that draws propulsion energy from onboard sources of stored energy comprised of both an internal combustion engine using combustible fuel and a rechargeable energy storage system and meets or exceeds the qualifying California standards for a Low Emission Vehicle. Three-wheeled vehicles are considered ILEVs for the purposes of HOV lane exemption. (Reference Florida Statutes 316.0741)
Point of Contact
Florida Department of Highway Safety and Motor Vehicles
Phone: (850) 617-2000
Ethanol Production Credit
County governments are eligible to receive waste reduction credits for using yard clippings, clean wood waste, or paper waste as feedstock for the production of clean-burning fuels such as ethanol. (Reference Florida Statutes 403.706)
Laws and Regulations
Authorization for Alternative Fuel Infrastructure Incentives
Local governments may use income from the infrastructure surtax to provide loans, grants, or rebates to residential or commercial property owners to install electric vehicle supply equipment (EVSE) as well as liquefied petroleum gas (propane), compressed natural gas, and liquefied natural gas fueling infrastructure, if a local government ordinance authorizing this use is approved by referendum. (Reference House Bill 579, 2013, and Florida Statutes 206.9951, 212.055)
Natural Gas and Propane Retailer License
Compressed natural gas, liquefied natural gas, or liquefied petroleum gas (propane) retailers must obtain a license from the Florida Department of Revenue. Through December 31, 2018, a retailer of these fuels that does not hold a valid license is subject to a penalty of $200 per month of operation without a license. Beginning January 1, 2019, the penalty will be 25% of the tax assessed on total purchases. Exemptions may apply. (Reference House Bill 579, 2013, and Florida Statutes 206.9952)
Natural Gas and Propane Tax
Effective January 1, 2019, liquefied petroleum gas (propane), compressed natural gas, and liquefied natural gas will be subject to an excise tax at a rate of $0.04 per gasoline gallon equivalent, plus a $0.01 ninth-cent fuel tax, a $0.01 local option fuel tax, and an additional variable component to be determined by the Florida Department of Revenue each calendar year for the following 12-month period. In order to determine this tax, the Department will require each propane and natural gas retailer to file monthly electronic reports beginning in February 2019. Exemptions may apply. (Reference House Bill 579, 2013, and Florida Statutes 206.9955, 206.9965, and 206.996)
Plug-in Electric Vehicle (PEV) Charging Regulation Exemption
PEV charging for the public by a non-utility is not considered a retail sale of electricity and, therefore, the rates, terms, and conditions of EV charging services are not subject to regulation. (Reference House Bill 7117, 2012, and Florida Statutes 366.94)
Electric Vehicle Supply Equipment (EVSE) Rules
A person may not stop, stand, or park a vehicle that is not capable of using EVSE in a parking space designated for plug-in electric vehicles. To allow for consistency for consumers and the industry, the Florida Department of Agriculture and Consumer Services must adopt additional rules to provide definitions, methods of sale, labeling requirements, and price-posting requirements for EVSE. (Reference House Bill 7117, 2012, and Florida Statutes 366.94)
Electric Vehicle Supply Equipment (EVSE) Study
By December 31, 2012, the Florida Public Service Commission must conduct a study of the potential effects of public and private EVSE on energy consumption and the electric grid in the state. The study should also look into the feasibility of using off-grid solar photovoltaic power as a source of electricity for EVSE. (Reference House Bill 7117, 2012, and Florida Statutes 366.94)
Natural Gas and Propane Reports
The Florida Office of Program Policy Analysis and Government Accountability (Office) must complete a report that analyzes the taxation and use of natural gas and liquefied petroleum gas (propane) as alternative fuels in the state. The report must evaluate growth trends in the use of natural gas and propane fuels in Florida and survey how other states tax these fuels and incentivize consumers to use natural gas and propane. Additionally, the report must survey consumers and suppliers of the fuels in Florida. The Office must submit its completed report to the Florida Governor and Legislature by December 1, 2017.
The Office must also analyze the economic benefits resulting from the Department of Agriculture and Consumer Services propane and natural gas vehicle rebates. The Office must submit this completed report to the Florida Governor and Legislature by January 31, 2016.
(Reference House Bill 579, 2013, and Florida Statutes 206.997)
Alternative Fuel Economic Development
To stimulate local economic development, landowners may apply to amend the local government comprehensive plan to expand existing uses of rural agricultural industrial centers to include facilities that prepare biomass materials that can be used for the production of fuel, renewable energy, bioenergy, or alternative fuel. In addition, permitting agencies may expedite applications and local comprehensive plan amendments submitted for projects resulting in the production of biofuels or construction of a biofuel processing facility. (Reference Florida Statutes 163.3177 and 403.973)
Alternative Fuel Blend Mandate
All gasoline sold or offered for sale by a terminal supplier, importer, blender, or wholesaler in Florida must contain 9-10% ethanol or other alternative fuel by volume. For the purpose of this requirement, alternative fuel is defined as a fuel produced from biomass. The fuel mandate does not apply to fuel used in aircrafts or watercrafts, fuel sold to a blender, or fuel sold for use in collector vehicles, off-road vehicles, motorcycles, or small engines. If a terminal supplier, importer, blender, or wholesaler is unable to obtain alternative fuel at the same or lower price as unblended gasoline, then the covered entity may apply for a waiver. (Reference House Bill 503, 2012, and Florida Statutes 526.201-526.207)
Fuel-Efficient Vehicle Acquisition and Alternative Fuel Use Requirements
When procuring new vehicles under a state purchasing plan, all Florida state agency, state university, community college, and local government fleets must select the vehicles with the greatest fuel efficiency available for a given use class. Exceptions may be made for emergency responder vehicles if these entities provide documentation. In addition, all state agencies must use ethanol and biodiesel blended fuels when available. State agencies administering central fueling operations for state-owned vehicles must purchase ethanol and biodiesel fuels to use in their vehicle fleet as much as possible. (Reference Florida Statutes 286.29)
Freight Transportation Plan Development
By July 1, 2013, the Florida Department of Transportation must develop a Freight Mobility and Trade Plan (Plan) that identifies freight mobility assessments that contribute to economic development and enhance the integration and connectivity of the transportation system across modes. The Plan should include policies and investments that promote compressed natural gas, liquefied natural gas, and propane energy policies that reduce transportation costs for businesses and residents. (Reference House Bill 599, 2012, and Florida Statutes 334.044)
Biofuels Promotion
The Florida Department of Management Services (DMS), in coordination with the Florida Department of Transportation (DOT), must conduct an analysis of fuel additives and biofuels the DOT uses through its central fueling facilities. The DMS must also encourage other state government entities to analyze transportation fuel usage, including the types and percentages of fuels consumed, and report this information to the DMS. (Reference Florida Statutes 287.16)
Provision for Renewable Fuels Investment
To create jobs and improve the state's general infrastructure, the Florida State Board of Administration may invest up to 1.5% of the net assets of the system trust fund in technology and growth investments of businesses operating in Florida, including businesses related to biofuels, renewable energy, and other related applications. (Reference Florida Statutes 215.47)
Low-Speed Vehicle Access to Roadways
A low-speed vehicle, including a neighborhood electric vehicle, is defined as any four-wheeled vehicle capable of achieving a top speed between 20 and 25 miles per hour. Low-speed vehicle operators must comply with the safety standards in Title 49, Code of Federal Regulations, sections 571.500 and 316.2122 and license the vehicle as required under state guidelines. Seasonal delivery personnel may only use low-speed vehicles during certain yearly timeframes. (Reference House Bill 599, 2012, and Florida Statutes 316.2126, 320.01, and 320.0847)
Electric Vehicle (EV) Insurance Regulation
Insurance companies may not impose surcharges on EVs based on factors such as new technology, passenger payload, weight-to-horsepower ratio, and the types of material used to manufacture the vehicle, unless the Florida Office of Insurance Regulation receives actuarial data that determines the surcharges are justified. (Reference Florida Statutes 627.06535)