Search Federal and State Laws and Incentives

Fleets with 10 or more vehicles located in defined areas of the state must pay an annual user fee of $20 per vehicle. Owners of electric vehicles and owners of state, county, or local government vehicles are exempt from this fee. The Office of the Illinois Secretary of State will deposit all fees into the Alternate Fuels Fund. (Reference 415 Illinois Compiled Statutes 120/35)

The Green Governments Illinois Act (Act) demonstrates the state's commitment to reduce negative environmental impacts, reduce greenhouse gases, and preserve resources for current and future generations. The Act also aims to strengthen the capacity of local governments and educational institutions to enable a more environmentally sustainable future. The Act established the Green Governments Coordinating Council (Council) to fully integrate cost-effective environmental sustainability measures into the ongoing management systems, long-range planning, and daily operations of state agencies. The Council will focus on initiatives that relate to energy efficiency, renewable energy, and alternative fuel vehicles. Local governments and educational institutes are not required to participate in the provisions of the Act. (Reference 20 Illinois Compiled Statutes 3954/1 to 3954/45)

All gasoline-powered vehicles purchased with state funds must be flex fuel vehicles (FFVs) or fuel-efficient hybrid electric vehicles (HEVs). FFVs are defined as automobiles or light trucks that operate on either gasoline or 85% ethanol (E85) fuel. Fuel-efficient HEVs are defined as automobiles or light trucks that use a gasoline or diesel engine and an electric motor to provide power and that gain at least a 20% increase in combined U.S. Environmental Protection Agency city-highway fuel economy over the equivalent or most-similar conventionally-powered model. Furthermore, any vehicle purchased with state funds that is fueled with diesel fuel must be certified by the manufacturer to run on 5% biodiesel (B5) fuel.

Illinois state agencies must work towards meeting the following goals:

• By July 1, 2025, at least 60% of new passenger vehicles purchased must be hybrid electric vehicles (HEVs) and 15% must be battery electric vehicles (EVs).
• Agencies that operate medium- and heavy-duty vehicles must implement strategies to reduce fuel consumption through diesel emission control devices, HEV and EVs technologies, alternative fuel use, and fuel-efficient technologies.
• Agencies must also implement strategies to promote the use of biofuels in state vehicles; reduce the environmental impacts of employee travel; and encourage employees to adopt alternative travel methods.

The owner of a dedicated EV may register for a discounted registration fee not to exceed $35 for a two-year registration period. The registration fee for an EV may not exceed $9 per year. To qualify for the reduced fee, the EV must weigh 8,000 pounds or less and be propelled by an electric engine. For more information, including the application documentation, see the Electric Vehicle License Plate Guide website. (Reference 625 Illinois Compiled Statutes 5/3-805)

The Illinois Department of Education will reimburse any qualifying school district for the cost of converting gasoline buses to more fuel-efficient engines or to engines using alternative fuels. Restrictions may apply. (Reference 105 Illinois Compiled Statutes 5/29-5)

The Illinois Electric Vehicle Advisory Council (Council) was established to investigate and recommend strategies that the governor and the general assembly can implement to promote the use of PEVs, including potential infrastructure improvements. The Council published recommendations in its Final Report. An Electric Vehicle Coordinator serves as the point of contact for related policies and activities in the state. (Reference 20 Illinois Compiled Statutes 627/1-25)

Vendors that install EVSE must comply with Illinois Commerce Commission (ICC) certification requirements. For specific requirements, see the ICC EVSE Installer Certification website. (Reference 220 Illinois Compiled Statutes 5/3-105, 5/16-102, and 5/16-128A)

The Illinois Science and Energy Innovation Trust (Trust) will provide financial and technical support to public and private entities within the state for programs and projects that support, encourage, or utilize innovative technologies and methods to modernize the state's electric grid. Technologies may include advanced electricity storage and peak-shaving technologies, such as plug-in electric vehicles (PEVs) or devices that allow PEVs to engage in smart grid functions. The Trust also offers assistance for standards development for communication and interoperability of appliances and equipment connected to the electric grid. Electric utilities may voluntarily commit to investments in smart grid advanced metering infrastructure deployment. Participating utilities must consult with the Smart Grid Advisory Council and file a Smart Grid Advanced Metering Infrastructure Deployment Plan with the Illinois Commerce Commission. (Reference 220 Illinois Compiled Statutes 5/16-108.5 through 108.7)

An entity that owns, controls, operates, or manages a facility that supplies electricity to the public exclusively to charge battery electric and plug-in hybrid electric vehicles or compressed natural gas to fuel natural gas vehicles is not defined as a public utility. (Reference 220 Illinois Compiled Statutes 5/3-105, and 20 Illinois Compiled Statutes 627/10)

The Illinois Department of Transportation (Department) must install at least one EVSE at each interstate highway rest area where electrical service will reasonably permit by January 1, 2016, or as soon as possible thereafter. The Department may adopt specifications detailing the type of EVSE and rules governing station siting, user fees, and maintenance.

Vehicles powered exclusively by electricity are exempt from state motor vehicle emissions inspections. For more information, see the Illinois Environmental Protection Agency's Vehicle Emissions Testing Program website. (Reference 625 Illinois Compiled Statutes 5/13C)

Cooperative (Co-op) members are eligible for loan financing at 0.5% for 60 months or the purchase of new PEVs. Members must apply and be approved for financing before purchase. The Co-op also offers a PEV time-of-use electricity rate for residential customers who own PEV. The PEV rate is optional and does require installation of a separate meter. For more information, see the Illinois Electric Cooperative website.