Propane Laws and Incentives in Mississippi

The list below contains summaries of all Mississippi laws and incentives related to propane.

State Incentives

Alternative Fuel Vehicle (AFV) Revolving Loan Program

The Mississippi Alternative Fuel School Bus and Municipal Motor Vehicle Revolving Loan Program provides zero-interest loans for public school districts and municipalities to cover the incremental cost to purchase alternative fuel school buses and other motor vehicles, convert school buses and other motor vehicles to use U.S. Environmental Protection Agency compliant alternative fuel systems, purchase alternative fuel equipment, and install fueling stations. Loans are available for up to $300,000 for the purchase and retrofit of AFVs, and up to $500,000 for the purchase and installation of fueling station equipment and infrastructure. Eligible alternative fuels include propane and natural gas. For more information, see the Mississippi Development Authority website.

(Reference Mississippi Code 57-1-421)

Propane Education and Research Program

The State Liquefied Compressed Gas Board (Board), established within the Mississippi Insurance Department (MID), regulates matters regarding liquefied compressed gas within the state. The Board may issue grants for the research and development of more cost-effective uses of propane, for educational and safety programs, and for the market development of propane. The Board must review all proposals. For more information, see the MID Liquefied Compressed Gas website.

(Reference Mississippi Code 75-57-119)

Point of Contact
Scottie Cuevas
Director
Mississippi Insurance Department, Liquefied Compressed Gas Division
Phone: (601) 359-1064
scottie.cuevas@mid.ms.gov

Laws and Regulations

Energy Performance Contract Authorization

Through June 30, 2025, public entities in Mississippi are authorized to enter into energy services and performance contracts to pay for energy efficiency improvements with energy savings, including savings from the use of alternative fuel vehicles and related infrastructure.

(Reference Mississippi Code 31-7-14)

Fuel-Efficient and Alternative Fuel Vehicle Use

The State Bureau of Fleet Management (Bureau), operated through the Mississippi Department of Finance and Administration, coordinates and promotes fuel efficiency when state agencies purchase, lease, rent, acquire, use, maintain, and dispose of vehicles. The Bureau encourages state agencies to use fuel-efficient or hybrid electric vehicles as appropriate and, when feasible, use alternative fuels, including ethanol, biodiesel, natural gas, or electricity, to operate the vehicles. At least 75% of all vehicles titled under the Bureau must have a U.S. Environmental Protection Agency estimated fuel economy rating of at least 40 miles per gallon for highway driving.

(Reference Mississippi Code 25-1-77)

Installation of Alternative Fuel Components in Vehicles

A propane or compressed natural gas (CNG) carburetion system installer who collects an installation service fee must hold an installer’s license from the State Liquefied Compressed Gas Board (Board) and must notify the Board of any applicable installation. The Board or the Mississippi Insurance Department must inspect propane or CNG carburetion systems not installed by a qualified installer or manufacturer. Regardless of installer, a field inspector must inspect all propane and CNG carburetion systems installed on public transportation vehicles, including school buses. The Board may require the inspection of any propane or CNG carburetion systems installed on other vehicle types as necessary, and all installations must comply with its rules and regulations.

(Reference Mississippi Code 75-57-47)

Natural Gas and Propane Deregulation

The transmission, sale, or distribution of natural gas and distribution or sale of propane is deregulated when used as motor vehicle fuel.

(Reference Mississippi Code 77-3-3 and 77-3-11)

More Laws and Incentives

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