Ethanol Laws and Incentives in Nebraska

The list below contains summaries of all Nebraska laws and incentives related to ethanol.

State Incentives

Alternative Fuel Vehicle (AFV) and Fueling Infrastructure Loans

The Nebraska Energy Office administers the Dollar and Energy Saving Loan Program, which makes low-cost loans available for a variety of alternative fuel projects, including the replacement of conventional vehicles with AFVs; the purchase of new AFVs; the conversion of conventional vehicles to operate on alternative fuels; and the construction or purchase of fueling stations or equipment. The maximum loan amount is $500,000 per borrower, and the interest rate is 5% or less. For more information, see the Dollar and Energy Saving Loans website.

Point of Contact
Bruce Hauschild
Energy Technical Advisor
Nebraska Department of Environment and Energy
Phone: (402) 471-2867

Ethanol Blending Tax Credit

Beginning January 1, 2022, motor fuel retailers that dispense high-level blends of ethanol in gasoline may be eligible to receive a tax credit. Credit amounts vary by blend level and apply to gallons sold in the previous calendar year. Blends of 15% ethanol (E15) are eligible for $0.05 per gallon and blends of 25% ethanol (E25) and higher are eligible for $0.08 per gallon. Additional conditions apply. The tax credit expires December 31, 2026.

(Reference Legislative Bill 1261, 2022)

Ethanol and Biodiesel Tax Exemption

Motor fuels sold to an ethanol or biodiesel production facility and motor fuels manufactured at and sold from an ethanol or biodiesel facility are exempt from certain motor fuel tax laws enforced by the Motor Fuels Division of the Nebraska Department of Revenue. (Reference Nebraska Revised Statutes 66-489 and 66-496)

More Laws and Incentives

To find laws and incentives for other alternative fuels and advanced vehicles, search all laws and incentives.