Recent State Actions

Listed below are new and recently updated state laws, incentives, and regulations related to alternative fuels and advanced vehicles.

View All

Alabama

Plug-In Electric Vehicle (PEV) and Charging Infrastructure Incentive - Alabama Power – updated 6/9/2016

Alabama Power offers commercial customers $500 per port for qualified commercial electric vehicle supply equipment. Funding is available on a first-come, first-served basis through 2016.

Colorado

Plug-In Electric Vehicle (PEV) Tax Credit – added 7/6/2016

PEVs, including plug-in hybrid electric vehicles (PHEVs), titled and registered in Colorado are eligible for a tax credit. Original equipment manufacturer (OEM) light-duty PEVs registered between January 1, 2014 and December 31, 2016 are eligible for a tax credit equal to the actual cost incurred to purchase or lease the vehicle, multiplied by the battery capacity, and divided by 100, not to exceed $6,000. Conversions of light-duty vehicles to PEVs are eligible for a tax credit equal to 75% to the actual cost of the conversion.

Through December 31, 2016, OEM PEV trucks are eligible for a tax credit of 18% of the manufacturer's suggested retail price (MSRP) for purchased vehicles and 55% of the actual cost paid for conversions. The tax credit should not exceed $7,500 for light-duty trucks, $15,000 for medium-duty trucks, or $20,000 for heavy-duty trucks for both OEM and converted vehicles. The actual cost paid or MSRP must account for federal credits, grants, or rebates; therefore taxpayers must subtract credits, grants, or rebates amounts before applying the percentage calculations. For more information, see the Colorado Department of Revenue's Income 67 FYI publication.

Beginning January 1, 2017, the tax credit will be applied in the amounts below:

Category2017-201920202021
Light-duty EV or PHEV$5,000 for purchase or conversion; $2,500 for lease$4,000 for purchase or conversion; $2,000 for lease$2,500 for purchase or conversion; $1,500 for lease
Light-duty electric truck$7,000 for purchase or conversion; $3,500 for lease$5,500 for purchase or conversion; $2,750 for lease$3,500 for purchase or conversion; $1,750 for lease
Medium-duty electric truck$10,000 for purchase or conversion; $5,000 for lease$8,000 for purchase or conversion; $4,000 for lease$5,000 for purchase or conversion; $2,500 for lease
Heavy-duty electric truck$20,000 for purchase or conversion; $10,000 for lease$16,000 for purchase or conversion; $8,000 for lease$10,000 for purchase or conversion; $5,000 for lease

Also beginning January 1, 2017, eligible purchased vehicles must be new, and eligible leased vehicles must have a lease with a term of not less than two years. A purchaser may assign the tax credit generated through the purchase, lease, or conversion to any of the above categories of vehicle to the financing entity, allowing the purchaser to realize the value of the tax credit at the time of purchase, lease, or conversion. The financing entity may collect an administrative fee of no more than $150.

(Reference House Bill 16-1332, 2016, and Colorado Revised Statutes 39-22-516.5, 39-22-516.7, and 39-22-516.8)

Alternative Fuel Vehicle (AFV) Weight Limit Exemption – updated 7/12/2016

Gross vehicle weight rating limits for AFVs are 1,000 pounds greater than those for comparable conventional vehicles, as long as the AFVs operate using an alternative fuel or both alternative and conventional fuel, when operating on a highway that is not part of the interstate system. For the purpose of this exemption, alternative fuel is defined as compressed natural gas, propane, ethanol, or any mixture containing 85% or more ethanol (E85) with gasoline or other fuels, electricity, or any other fuels, which may include clean diesel and reformulated gasoline, so long as the Colorado Air Quality Control Commission determines that these other fuels result in comparable reductions in carbon monoxide emissions and brown cloud pollutants. (Reference House Bill 16-1298, 2016, and Colorado Revised Statutes 42-4-508 and 25-7-106.8)

Alternative Fuel Tax Credit – added 7/6/2016

Alternative fuel vehicles titled and registered in Colorado are eligible for a tax credit. For the purpose of the credit, alternative fuels vehicles include dedicated or bi-fuel natural gas, propane, and hydrogen vehicles. Through December 31, 2016, purchased or leased vehicles are eligible for 18% of the actual cost of the vehicle, while converted vehicles are eligible for 55% of the actual cost of the conversion. The actual cost paid must account for federal credits, grants, or rebates; therefore taxpayers must subtract credits, grants, or rebates amounts before applying the percentage calculations. The tax credit is capped based on vehicle type in the amounts listed:

CategoryCap per income tax year
Light-duty passenger motor vehicle$6,000
Light-duty truck$7,500
Medium-duty truck$15,000
Heavy-duty truck$20,000

For more information, see the Colorado Department of Revenue's Income 67 FYI publication.

Beginning January 1, 2017, the tax credit will be applied in the amounts below:

Category2017-201920202021
Light-duty passenger motor vehicle$5,000 for purchase or conversion; $2,500 for lease$4,000 for purchase or conversion; $2,000 for lease$2,500 for purchase or conversion; $1,500 for lease
Light-duty truck$7,000 for purchase or conversion; $3,500 for lease$5,500 for purchase or conversion; $2,750 for lease$3,500 for purchase or conversion; $1,750 for lease
Medium-duty truck$10,000 for purchase or conversion; $5,000 for lease$8,000 for purchase or conversion; $4,000 for lease$5,000 for purchase or conversion; $2,500 for lease
Heavy-duty truck$20,000 for purchase or conversion; $10,000 for lease$16,000 for purchase or conversion; $8,000 for lease$10,000 for purchase or conversion; $5,000 for lease

Also beginning January 1, 2017, eligible purchased vehicles must be new, and eligible leased vehicles must have a lease with a term of not less than two years. A purchaser may assign the tax credit generated through the purchase, lease, or conversion to any of the above categories of vehicle to the financing entity, allowing the purchaser to realize the value of the tax credit at the time of purchase, lease, or conversion. The financing entity may collect an administrative fee of no more than $150.

(Reference House Bill 16-1332, 2016, and Colorado Revised Statutes 39-22-516.5, 39-22-516.7, and 39-22-516.8)

Diesel-Electric Hybrid Vehicle Tax Credit – added 7/6/2016

Diesel-electric hybrid vehicles that are titled and registered in Colorado are eligible for a tax credit. Light-duty diesel electric hybrid passenger vehicles with a minimum fuel economy of 70 miles per gallon are eligible for a credit of 15% of the difference of the actual cost of purchasing or leasing the vehicle and purchasing or leasing the same or most similar traditional fuel vehicle.

Light-duty passenger vehicles, light-duty trucks, or medium-duty diesel-electric truck conversions that increases the original fuel economy by at least 40% are eligible for a tax credit equal to 25% of the actual cost of the conversion.

These tax credits expire January 1, 2017.

(Reference House Bill 16-1332, 2016, and Colorado Revised Statutes 39-22-516.5, 39-22-516.7, and 39-22-516.8)

Fuel Reduction Technology Tax Credit – updated 7/7/2016

Fuel reduction technologies are eligible for a tax credit equal to a percentage of the actual cost paid for the technology. The actual cost paid must account for eligible federal credits, grants, or rebates; therefore taxpayers must subtract credits, grants, or rebates amounts before applying the percentage calculations listed below. Beginning January 1, 2017, hydraulic hybrid trailers are eligible for a fixed tax credit rather than a percentage.

Category2014-20162017-2018201920202021
Idle reduction technologies25%25%25%25%25%
Aerodynamic technologies25%25%25%25%25%
Clean fuel refrigerated trailer18%15%11.25%7.5%3.75%
Conversion to a clean fuel refrigerated trailer55%45%33.75%22.5%11.25%
Hydraulic hybrid trailer55%$5,000$5,000$4,000$2,500

Also beginning January 1, 2017, a purchaser of a converted hydraulic hybrid trailer may assign the tax credit to the financing entity, allowing the purchaser to realize the value of the tax credit at the time of conversion. The financing entity may collect an administrative fee of no more than $150.

(Reference House Bill 16-1332, 2016, and Colorado Revised Statutes 39-22-516.5, 39-22-516.7, and 39-22-516.8)

Hydrogen Fueling Station Regulations – added 7/12/2016

The Colorado Department of Labor and Employment, Division of Oil and Public Safety (Division), must create rules concerning retail hydrogen fueling stations. The rules must include information regarding inspections, specifications, shipment notification, record keeping, labeling of containers, use of meters or mechanical devices for measurement, submittal of installation plans, and minimum standards for the design, construction, location, installation, and operation of stations. The rules must be developed by January 11, 2017 and the Division will begin enforcing the rules on July 1, 2017. (Reference House Bill 16-1053, 2016)

Connecticut

Public Utility Definition – added 7/12/2016

An owner of an electric vehicle charging station is not defined as a public utility. (Reference House Bill 5510, 2016, and Connecticut General Statutes 16-19f)

Utility Company Electric Vehicle (EV) Charging Load Projection Requirement – added 7/12/2016

The Public Utilities Regulatory Authority requires electric distribution companies to integrate EV charging load projections into distribution planning. Projections will be based on the number of EVs registered in the state as well as on projected fluctuation in EV sales. By January 1, 2017, and annually thereafter, electric distribution companies must publish a report detailing the EV charging load projections for the company's distribution planning. (Reference House Bill 5510, 2016)

Electric Vehicle (EV) Registration Data – added 7/12/2016

By January 1, 2018, the Department of Motor Vehicles (Department) should record the number of EVs registered in Connecticut. An EV is defined as any battery electric, fuel cell, plug-in hybrid, or range-extended battery electric vehicle. The data should be publicly available on the Department's website and include the number of EVs registered in state each year, and the total number of EVs registered in the state. The information should be updated every six months. (Reference House Bill 5510, 2016, and Connecticut General Statutes 14-12)

Hydrogen and Plug-In Electric Vehicle (PEV) Rebate – updated 7/12/2016

The Hydrogen and Electric Automobile Purchase Rebate Program (CHEAPR) offers rebates for the incremental cost of the purchase or lease of a hydrogen fuel cell electric vehicle (FCEV), all-electric vehicle (EV), or plug-in hybrid electric vehicle (PHEV). Rebates are offered based on battery capacity in the following amounts:

Eligible FCEV, EV, or PHEVs purchased or leased before July 1, 2016:

Rebate AmountRequired Battery Capacity
$3,000Greater than 18 kWh or any fuel cell electric vehicle
$1,5007 to 8 kWh
$750Less than 7 kWh

Eligible FCEV, EV, or PHEVs purchased or leased on or after July 1, 2016:

Vehicle TypeRebate AmountRequired Battery Capacity
PHEV$3,000Greater than 18 kWh
$1,50010 to 18 kWh
$750Less than 10 kWh
EV$3,000Greater than 25 kWh
$1,50020 to 25 kWh
$750Less than 20 kWh
FCEV$5,000-

Rebates are offered on a first-come, first-served basis until funds expire. For more information, see the Connecticut Department of Energy and Environmental Protection EV Connecticut website.

Integrated Resources Plan Report – added 7/12/2016

The Commissioner of Energy and Environmental Protection (Commissioner), in consultation with the electric distribution companies, must deliver a plan to the Commissioner that analyzes, among other things, the potential for electric vehicles (EVs) to provide energy storage and other services to the electric grid, and identify strategies to ensure that the grid is prepared to support increased EV charging based on projections of sales of EVs. The report must be delivered by January 1, 2018, and biennially thereafter. (Reference House Bill 5510, 2016 and Connecticut General Statutes 16a-3a)

Public Electric Vehicle Supply Equipment (EVSE) Requirements – added 7/12/2016

Owners and operators of public EVSE that require payment must allow multiple payment options that allow access by the public. In addition, payment should not require users to pay a subscription fee or obtain a membership of any kind, however payment required may be based on price schedules for such memberships. Owners and operators can impose restrictions on the amount of a time a vehicle can use the EVSE.

In addition, owners and operators of a public EVSE must disclose the location and characteristics of each EVSE to the U.S. Department of Energy's Alternative Fuels Data Center. Information that must be disclosed includes, but is not limited to, address, voltage, and timing restrictions.

(Reference House Bill 5510, 2016)

Utility Company Electric Vehicle (EV) Rates – added 7/12/2016

By June 1, 2017, utility companies must evaluate if it is appropriate to implement EV time of day rates for residential and commercial customers. A time of day rate means a rate for EVs that is designed to reflect the cost of electricity to the consumer at different times of the day. (Reference House Bill 5510, 2016 and Connecticut General Statutes 16-19f)

Georgia

Alternative Fuel Vehicle (AFV) Infrastructure Incentives Study – added 5/10/2016

The Georgia Joint Alternative Fuels Infrastructure Study Committee will evaluate how providing market incentives for AFV fueling infrastructure may lead to AFV market deployment. The Committee will provide a report of its recommendations and proposed legislation by December 1, 2016. (Reference Senate Resolution 1038, 2016)

Hawaii

Renewable Fuels Production Incentive – added 7/8/2016

Renewable fuels produced from renewable feedstocks, such as ethanol, hydrogen, biodiesel, and biofuel, may qualify for an income tax credit equal to $0.20 per 76,000 British thermal units (BTUs) of renewable fuels sold for distribution in Hawaii. The facility must produce at least 15 billion BTUs of its nameplate capacity annually to receive the tax credit and may claim the tax credit for up to five years, not to exceed $3,000,000 annually. Qualifying renewable fuel production facilities (Producers) must provide written notification of their intent to produce renewable fuels before becoming eligible for the tax credit. Producers must provide a written update within thirty days from the start of production, providing a forecast of anticipated production for one year. The tax credits are available from January 1, 2017 to December 31, 2021. Additional restrictions apply. (Reference Senate Bill 2652, 2016)

Idaho

Electric Vehicle Supply Equipment (EVSE) Rebate - Yellowstone-Teton Clean Cities (YTCC) – added 5/9/2016

YTCC offers a rebate of $5,000 toward the purchase of publicly accessible EVSE. Eligible entities include businesses and municipalities in the communities surrounding Grand Teton National Park and Yellowstone National Park. Rebates are offered on a first-come, first-served basis. For more information, see the YTCC Vehicle and Infrastructure Rebates website.

Maryland

Alternative Fuel Vehicle (AFV) Voucher Program – updated 5/6/2016

The Maryland Energy Administration (MEA) administers the Maryland Freedom Fleet Voucher (FFV) Program, which provides vouchers for the purchase of new and converted AFVs registered in Maryland. Eligible vehicles include purchased or leased light-, medium-, and heavy-duty dedicated natural gas, propane, hybrid electric, plug-in electric, and hydraulic hybrid vehicles. Vehicles must be used by commercial, non-profit, or public entities. Voucher amounts are based on gross vehicle weight rating and are capped at 50% of the vehicle's incremental cost; the cap does not apply to plug-in electric vehicles. Funds are not guaranteed until voucher agreements are fully executed. The FFV Program is accepting applications until May 5, 2017. For more information, including application requirements, see the Maryland FFV Program website.

Minnesota

Electric Vehicle Supply Equipment (EVSE) Rebate - Dakota Electric Association – updated 6/22/2016

Dakota Electric offers a $500 rebate to residential customers toward the installation of a qualified Level 1 or Level 2 EVSE, installed on or after January 1, 2016. EVSE must be controlled on an off-peak rate and must be installed within Dakota Electric's service area. For more information, including application requirements, see the Dakota Electric Rebates website.

Nebraska

Residential Compressed Natural Gas (CNG) Fueling Infrastructure Rebate – updated 6/8/2016

The Nebraska Energy Office (NEO) offers rebates for qualified CNG fueling infrastructure that is installed at a residence after January 4, 2016. The rebate amount is 50% of the cost of the fueling infrastructure, up to $2,500 for each installation. Qualified fueling infrastructure includes new dispensers certified for use with CNG from a private home or residence for non-commercial use. Fueling infrastructure is not eligible for a rebate if another state rebate or grant has been claimed for the equipment, and only one rebate from the Clean-Burning Motor Vehicle Fuel Rebates is allowed. NEO will process applications on a first-come, first-served basis until program funds are depleted. Other terms and conditions may apply. For more information, including the application, see the NEO Clean-Burning Motor Vehicle Fuel Rebates website. (Reference Nebraska Revised Statutes 66-203 and Legislative Bill 902, 2016)

Alternative Fuel Vehicle (AFV) Conversion Rebate – updated 6/8/2016

The Nebraska Energy Office (NEO) offers rebates for qualified AFV conversions completed after January 4, 2016. The rebate amount for vehicle conversions is 50% of the cost of the equipment and installation, up to $4,500 per vehicle. Qualified vehicle conversions include new equipment that is installed in Nebraska by a certified installer to convert a conventional fuel vehicle to operate using a qualified clean-burning motor fuel. These fuels include hydrogen, compressed natural gas, liquefied natural gas, and propane. Conversion systems must have the necessary U.S. Environmental Protection Agency approvals. A vehicle is not eligible for the rebate if another state rebate or grant has been claimed for the same vehicle, and only one rebate from the Clean-Burning Motor Vehicle Fuel Rebates is allowed. NEO will process applications on a first-come, first-served basis until program funds are depleted. Other terms and conditions may apply. For more information, including the application, see the NEO Clean-Burning Motor Vehicle Fuel Rebates website. (Reference Nebraska Revised Statutes 66-203 and Legislative Bill 902, 2016)

Alternative Fuel Vehicle (AFV) Rebate – updated 6/8/2016

The Nebraska Energy Office (NEO) offers rebates for qualified AFVs purchased after January 4, 2016. Qualified AFVs include new vehicles running on hydrogen, compressed natural gas, liquefied natural gas, or propane; leased vehicles are not eligible. The rebate amount is 50% of the incremental cost of the vehicle compared to the manufacturer's suggested retail price of the conventional equivalent, up to $4,500. For vehicles that do not have a conventional fuel equivalent, the rebate amount is up to $4,500 per vehicle, based on the cost of the equipment to store, deliver, and exhaust the qualified clean-burning motor vehicle fuel on the vehicle. A vehicle is not eligible for the rebate if another state rebate or grant has been claimed for the same vehicle, and only one rebate from the Clean-Burning Motor Vehicle Fuel Rebates is allowed. NEO will process applications on a first-come, first-served basis until program funds are depleted. Other terms and conditions may apply. For more information, including the application, see the NEO Clean-Burning Motor Vehicle Fuel Rebates website. (Reference Nebraska Revised Statutes 66-203 and Legislative Bill 902, 2016)

Oregon

Transportation Electrification Acceleration Programs – added 5/9/2016

The Oregon Public Utility Commission must direct electric utilities to file applications for programs to accelerate transportation electrification. Eligible programs include investments in or customer rebates for electric vehicle supply equipment (EVSE). Among other criteria, programs must stimulate innovation, competition, and customer choice in EVSE and plug-in electric vehicle charging. (Reference Senate Bill 1547, 2016)