Natural Gas Laws and Incentives in Delaware
The list below contains summaries of all Delaware laws and incentives related to natural gas.
Alternative Fuel Tax Exemption
Taxes imposed on alternative fuels used in official vehicles for the United States government or any Delaware state government agency, including volunteer fire and rescue companies, are waived. Alternative fuel retailers must obtain a fuel supplier's license from the Delaware Department of Transportation (DelDOT), and operators or owners of vehicles using alternative fuel must obtain either a special fuel user's license from DelDOT or pay the special fuel tax. (Reference Delaware Code Title 30, Chapter 51, Subchapter II)
Alternative Fuel Vehicle (AFV) Rebates
As part of the Delaware Clean Transportation Incentive Program, the Delaware Department of Natural Resources and Environmental Control (DNREC) offers rebates for new or leased AFVs. The following rebate amounts are applicable for vehicles purchased or leased between January 1, 2020, and December 31, 2020:
|Qualifying Vehicles||Rebate Amount|
|All-electric vehicle (including vehicles with gasoline range extenders)||$2,500|
|Plug-in hybrid electric vehicle||$1,000|
|Dedicated propane or natural gas vehicle (NGV)||$1,500|
|Bi-fuel propane or NGV||$1,350|
|Dedicated heavy-duty NGV||$20,000|
Eligible applicants include Delaware residents, businesses, organizations, and government entities. Rebates are limited to six vehicles per fleet. Additional terms and conditions apply. For more information, including application guidelines and participating dealers, see the DNREC Clean Fuel and Transportation Initiatives website.
Heavy-Duty Natural Gas Vehicle (NGV) Rebates
As part of the Delaware Clean Fuel and Transportation Incentive Program, the Delaware Department of Natural Resources and Environmental Control (DNREC) offers rebates of up to $20,000 for new or leased Class 7 or Class 8 dedicated NGVs. Eligible applicants include individuals, businesses, non-profits, or governmental entities located in Delaware or who have an in-state affiliate. Applicants must submit proof of order and proof of payment to receive the rebate; a copy of the lease agreement is required for leased vehicles. Fleets are limited to five rebates per funding cycle. All vehicles purchased through this rebate program must be titled and registered in the state. DNREC will accept applications through December 31, 2020, on a first-come, first-served basis. Additional terms and conditions apply. For more information, including application instructions and eligibility requirements, see the Delaware Heavy-Duty Vehicle Rebate Program website.
Medium- and Heavy-Duty Emissions Reductions Funding
The Delaware Department of Natural Resources and Environmental Control (DNREC) provides funding for medium- and heavy-duty on-road and limited off-road emission reduction projects. This grant program is funded by Delaware's portion of the Volkswagen Environmental Mitigation Trust. For more information, including program guidance, application deadlines, and funding availability, see the DNREC Volkswagen Mitigation Plan website.
More Laws and Incentives
To find laws and incentives for other alternative fuels and advanced vehicles, search all laws and incentives.