Ethanol Laws and Incentives in Wisconsin

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

Laws and Regulations

Alternative Fuel License

Any person acting as an alternative fuels dealer must hold a valid alternative fuel license and certificate from the Wisconsin Department of Administration. No person may use alternative fuels in the state unless the person holds a valid alternative fuel license or an authorized supplier has delivered the alternative fuel. For more information, see the Wisconsin Department of Revenue License, Permit and Registration Services website.

(Reference Wisconsin Statutes 78.47)

Alternative Fuel Vehicle and Alternative Fuel Use Policy

The Wisconsin Department of Administration (DOA) encourages state employees operating state-owned or leased motor vehicles to use hybrid electric vehicles or vehicles that operate on gasohol (a motor fuel containing at least 10% alcohol) or alternative fuels whenever feasible and cost effective. DOA must place a list of gasohol and alternative fueling station locations in each state-owned or state-leased motor vehicle for driver reference. DOA also encourages Wisconsin residents and state employees who use personal motor vehicles on state business to use gasohol and alternative fuels.

(Reference Wisconsin Statutes 16.045)

Ethanol Dispensing Requirements

Fuel retailers may use the same fueling nozzle and hose to dispense gasoline containing 0% ethanol, ethanol blends containing 10-15% ethanol, and blends containing no more than 10% ethanol (E10) if either:

  • The retail station displays information about and provides at least one fueling nozzle and hose that dispenses only gasoline-ethanol fuel blends containing no more than E10 by volume and a label is displayed that states use is for passenger vehicles only; or,
  • A label is displayed stating a minimum of 4 gallons of fuel must be purchased

(Reference Wisconsin Statutes 168.105)

Liquid Alternative Fuel Sale Requirement

An individual may only sell liquid alternative fuels if the seller provides the purchaser a delivery ticket with the name and address of the seller, the name and address of the purchaser, a description of the liquid fuel delivered, and a meter reading showing the volume of liquid fuel delivered. The definition of alternative fuels includes those suitable for motor vehicles.

(Reference Wisconsin Statutes 98.225(1) and 98.225(2))

Renewable Fuel Sales Volume Goals

The Wisconsin Legislature sets goals for minimum annual renewable fuel sales volumes based on annual renewable fuel volumes required under the federal Renewable Fuel Standard. On an annual basis, the Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP), in cooperation with the Department of Commerce, the Department of Revenue, and the Office of Innovation, must determine whether the annual goals for the previous year were met. If the goals were not met, DATCP must issue a report assessing the causes. If DATCP determines that the goals are likely to be met, it must establish requirements that may include the following:

  • Reporting, recordkeeping, or testing requirements;
  • Annual requirements for renewable fuel sales;
  • Quarterly or monthly requirements for renewable fuel sales if necessary to maintain fuel availability and smooth fluctuation in demand;
  • A system for trading credits;
  • Procedures to temporarily suspend a sales requirement; and,
  • Fees for administration and enforcement.

(Reference Wisconsin Statutes 100.60)

Sustainable Biofuels Production Practices

The Wisconsin Bioenergy Council (Council) must identify voluntary best management practices for sustainable biomass and biofuels production. The Council must report its findings, at least biennially, to agencies and private parties that assist biofuel feedstocks and biofuels producers determined by the council.

(Reference Wisconsin Statutes 93.47)

State Incentives

Alternative Fuel Tax Exemption

A county, city, village, town, or other political subdivision may not levy or collect any excise, license, privilege, or occupational tax on motor vehicle fuel, alternative fuels, or the purchase, sale, handling, or consumption of motor vehicle fuel or alternative fuels.

(Reference Wisconsin Statutes 78.82)

Heavy-Duty Transit Bus Grants

The Wisconsin Department of Administration (DOA) offers grants for the replacement of eligible public transit buses. Funding is available for the replacement and scrapping of model year 1992-2009 heavy-duty public transit buses with new replacement diesel or alternative fueled buses. The program is funded by Wisconsin’s portion of the Volkswagen Environmental Mitigation Trust. For more information, including how to apply, see the DOA VW Mitigation Program website.

Renewable Fuel Producer Excise Tax and Inspection Exemption

The first 1,000 gallons of renewable fuel that an individual produces each year are exempt from the motor vehicle fuel excise tax, the petroleum inspection fee, and any petroleum inspection requirements not required under federal law. These exemptions only apply if the fuel is used in the individual’s personal vehicle and is not sold. An individual may also produce renewable fuel for personal use without a business tax registration certificate or a motor vehicle fuel tax license. For more information, see the Wisconsin Department of Revenue Motor Vehicle Fuel Tax website.

(Reference Wisconsin Statutes 78.01(2n) and 168.05(6))

More Laws and Incentives

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