Natural Gas Laws and Incentives in Pennsylvania

The list below contains summaries of all Pennsylvania laws and incentives related to natural gas.

State Incentives

Alternative Fuel Corridor Infrastructure Funding

The Alternative Fuels Incentive Grant (AFIG) Program provides reimbursement grants for the installation of alternative fuel infrastructure along Pennsylvania interstate highway corridors. Grants are available for reimbursement of 50% of the cost, up to $500,000, to install public electric, hydrogen, propane, and compressed natural gas fueling infrastructure along "Signage Ready" or "Signage Pending" highway corridors in Pennsylvania, as defined by the U.S. Department of Transportation. Eligible applicants include Pennsylvania municipal authorities, political subdivisions, non-profit entities, corporations, and limited liability companies or partnerships incorporated or registered in the Commonwealth. Applicants may submit more than one application if they are seeking funding to install fueling installations on separate highway segments. For more information, including grant guidelines and current application periods, see the AFIG Program website.

Points of Contact
Josh Dziubek
Energy Program Specialist
Pennsylvania Department of Environmental Protection, Energy Programs Office
Phone: (717) 783-8411
jdziubek@pa.gov
Mark Hand
Energy Program Specialist
Pennsylvania Department of Environmental Protection, Energy Programs Office
Phone: (717) 705-4797
mhand@pa.gov

Alternative Fuels Incentive Grant (AFIG) Program

The AFIG Program provides financial assistance for innovative, advanced fuel and vehicle technology projects. Projects that result in product commercialization and the expansion of Pennsylvania companies are favored in the selection process. Eligible applicants include school districts, municipal authorities, political subdivisions, non-profits, corporations, limited liability companies or partnerships incorporated or registered in the Commonwealth to support:

  • Incremental cost expenses relative to retrofitting vehicles to operate on alternative fuels as a bi-fuel, dual-fuel, hybrid or dedicated vehicle
  • Incremental cost expenses to purchase bi-fuel, dual-fuel, hybrid or dedicated vehicles
  • The cost to purchase and install the necessary fleet refueling or home-refueling equipment for bi-fuel, dual-fuel, hybrid or dedicated vehicles
  • The cost to perform research, training, development and demonstration of new applications or next-phase technology related to alternative fuel vehicles.
For more information, including forms and detailed requirements and restrictions, see the AFIG Program website.

(Reference Title 73 Pennsylvania Statutes, Chapter 18E, Section 1647.3)

Point of Contact
Michelle Ferguson
Energy Program Specialist
Pennsylvania Department of Environmental Protection, Energy Programs Office
Phone: (570) 327-3783
miferguson@pa.gov

Idle Reduction and Natural Gas Vehicle (NGV) Weight Exemption

A vehicle equipped with qualified idle reduction technology may exceed the state's gross and axle weight limits by up to 400 pounds (lbs.) to compensate for the additional weight of the idle reduction technology. A vehicle primarily powered by natural gas may exceed the state's gross vehicle weight limits by a weight equal to the difference between the weight of the vehicle with the natural gas tank and fueling system and the weight of a comparable vehicle with a diesel tank and fueling system. The NGV maximum gross weight may not exceed 82,000 lbs. (Reference Title 35 Pennsylvania Statutes, Chapter 23B, Section 4604 and Title 75 Pennsylvania Statutes, Chapter 49, Section 4941)

Laws and Regulations

Alternative Fuels Tax

Alternative fuels used to propel vehicles of any kind on public highways are taxed at a rate determined on a gasoline gallon equivalent basis. For more information, including applicable tax rates, see the Pennsylvania Department of Revenue Motor and Alternative Fuel Taxes website. Certain exemptions apply. (Reference Title 75 Pennsylvania Statutes, Part VI, Chapter 90, Section 9004)

More Laws and Incentives

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