Expired, Repealed, and Archived North Carolina Incentives and Laws

The following is a list of expired, repealed, and archived incentives, laws, regulations, funding opportunities, or other initiatives related to alternative fuels and vehicles, advanced technologies, or air quality.

Renewable Energy Property Tax Credit

Expired: 01/01/2016

Taxpayers who construct, purchase, or lease renewable energy property may qualify for a tax credit equal to 35% of the cost of the property. Renewable energy property includes equipment that uses renewable biomass to produce ethanol, methanol, biodiesel, or methane produced from anaerobic biogas, using agricultural and animal waste or garbage; and related devices for converting, conditioning, and storing the liquid fuels and gas produced with the biomass equipment. The taxpayer must claim the credit in five equal installments beginning with the taxable year in which the property is placed into service. There is a maximum credit amount of $2.5 million per installation, which applies to renewable energy property placed in service for any purpose other than residential. To qualify, property must be placed into service before January 1, 2016. (Reference North Carolina General Statutes 105-129.15 and 105-129.16A)

Idle Reduction Technology Rebates

Expired: 09/30/2015

The North Carolina Department of Environment and Natural Resources (NCDENR) offers rebates of up to $2,500 for approved idle reduction technologies through the Idle Reduction Devices Rebate Program. Eligible technologies must be purchased after January 1, 2009, and approved by the U.S. Environmental Protection Agency or California Air Resources Board. Businesses may receive a maximum of six rebates, and NCDENR gives priority to individuals or businesses that have not previously received a rebate. Additional restrictions apply. Rebates will be available until September 30, 2014, or until funding is exhausted.

Alternative Fuels Feasibility Study

Archived: 09/30/2015

The North Carolina State Energy Office, Department of Administration, Department of Public Instruction, and Department of Transportation established an interagency task force to study the feasibility of increased alternative fuel use in state vehicles. The task force was required to:

  • Perform a cost-benefit analysis on each alternative fuel to identify the fuel or fuel mix that would be the most cost-effective for each type of vehicle used by each agency;
  • Evaluate the cost of alternative fuel vehicles (AFVs), including the purchase price, operation and maintenance costs, and associated fueling infrastructure costs;
  • Identify opportunities for the use of existing commercial or public fueling infrastructure for alternative fueling and explore opportunities to leverage state funds with other public or private funds to develop new fueling infrastructure; and
  • Make recommendations on which fuel or fuel mix and types of AFVs would be appropriate for each agency.
The State Energy Office published an Alternative Fuels Feasibility Study on December 1, 2012. (Reference House Bill 177, 2012)

Biodiesel Production Excise Tax Credit

Expired: 01/01/2014

A biodiesel producer that produces at least 100,000 gallons of biodiesel during the taxable year is allowed a credit equal to the per gallon excise tax the producer paid in accordance with the motor fuel excise tax rate. The credit only applies to tax paid on the biodiesel portion of the fuel blend and the credit may not exceed $500,000. This tax credit is effective until January 1, 2014. (Reference North Carolina General Statutes 105-129.16F)

Biofuel Fueling Infrastructure Tax Credit

Expired: 01/01/2014

A taxpayers who constructs a qualified fueling facility that dispenses biodiesel, ethanol, or gasoline blends consisting of at least 70% ethanol (E70) is eligible for a tax credit equal to 15% of the cost of constructing and installing the dispensing infrastructure that is directly and exclusively used for dispensing or storing the fuel, including pumps, storage tanks, and related equipment. The taxpayer must take the credit in three equal annual installments beginning with the taxable year in which the facility is placed into service. This tax credit does not apply to infrastructure placed into service on or after January 1, 2014. (Reference North Carolina General Statutes 105-129.16D(a))

Biofuel Production Facility Tax Credit

Expired: 01/01/2014

A taxpayer who processes biodiesel, ethanol, or gasoline blends consisting of at least 70% ethanol (E70) is eligible for a tax credit equal to 25% of the cost of constructing and equipping the processing facility. The taxpayer must take the credit in seven equal annual installments beginning with the taxable year in which the facility is placed into service. This tax credit does not apply to infrastructure placed into service on or after January 1, 2014. (Reference North Carolina General Statutes 105-129.16D)

Renewable Fuel Production Facility Tax Credit

Expired: 01/01/2014

A taxpayer that constructs and places into service three or more commercial facilities for processing biodiesel, ethanol, or gasoline blends consisting of at least 70% ethanol (E70) in North Carolina and invests at least $400 million in the facilities may be eligible for a credit equal to 35% of the cost of constructing and equipping the facilities. To claim the credit, the taxpayer must obtain a written determination from the North Carolina Department of Commerce that the taxpayer is expected to invest at least $400 million in three or more facilities within a five-year period. This tax credit does not apply to facilities placed into service on or after January 1, 2014. (Reference North Carolina General Statutes 105-129.16D(b1))

Biofuels Commercialization Grants

Archived: 10/01/2013

The Biofuels Center of North Carolina (Center) is a private, nonprofit corporation the Legislature funds to implement the goal that by 2017, 10% of liquid fuels sold in North Carolina will come from biofuels grown and produced within the state. The Center awards funds to academic institutions, economic development organizations, nonprofit corporations, and other entities through an annual competitive awards process. Grants and contracts are designed to identify and bridge gaps in knowledge and information, speed up the development of technology, and create a seamless continuum between agriculture and transportation fuels.

Biofuels Industry Development Grants

Archived: 10/01/2013

The North Carolina Green Business Fund (Fund) provides grants to private businesses with fewer than 100 employees, nonprofit organizations, local governments, and state agencies to encourage the expansion of small and medium sized businesses and to help grow a green economy. One of the Fund's priority areas is the development of the biofuels industry in the state. The North Carolina Department of Commerce may make grants available to maximize development, production, distribution, retail infrastructure, and consumer purchase of biofuels, including grants to enhance biofuels workforce development. There are no currently open grant solicitations (verified October 2012). (Reference North Carolina General Statutes 143B-437.4)

Alternative Fuel Vehicle (AFV) and Hybrid Electric Vehicle (HEV) Loans

Archived: 10/01/2012

The State Employees' Credit Union and the Local Government Federal Credit Union offer green vehicle loans to purchase qualified new and used fuel-efficient vehicles. Vehicles with a combined fuel economy rating of at least 28 miles per gallon, according to revised fuel economy ratings posted on www.fueleconomy.gov, qualify. The loan interest rates are 0.5% lower than traditional new or used vehicle loan rates.

Electric Vehicle Supply Equipment (EVSE) Incentive - Progress Energy

Archived: 05/01/2012

Progress Energy is conducting a pilot program through April 2013 that provides qualified residential customers with Level 2 EVSE. Progress Energy will install the EVSE at the home (covering up to $1,500 in installation costs) and service the equipment for the duration of the pilot. Progress Energy will remotely access the EVSE to collect information to better understand charging habits and the impact on the power grid. At the end of the pilot, participants will be able to keep the EVSE at no additional cost. As of May 2012, the Plugged In Program has reached capacity and is no longer accepting applications. For more information, see the Progress Energy Plugged In Program website.

Electric Vehicle Supply Equipment (EVSE) Incentive - Duke Energy

Expired: 03/31/2012

Duke Energy's Duke Energy Charge|Carolinas pilot program provides qualified residential customers with Level 2 EVSE and up to $1,000 for EVSE installation. Duke Energy will service the equipment and remotely access the EVSE to collect information in an effort to better understand charging habits and the impact on the power grid. At the end of the two-year pilot, participants will be able to keep the EVSE for a fee of $250 per unit.

Provision for School Bus Emission Reduction Grants

Archived: 10/01/2009

A pilot program will be established within the North Carolina Department of Environment and Natural Resources to provide grants towards the required 20% state funding match for the federal Safe Accountable, Flexible, Efficient Transportation Equity Act - A Legacy for Users (SAFETEA-LU), specifically for diesel school bus retrofits or repowers that reduce particulate matter emissions. Any repowering or replacement of existing diesel engines in school buses must meet the U.S. Environmental Protection Agency 2007 Heavy-Duty Highway Diesel Standards. (Reference North Carolina General Statutes 143-215.107E, F, and H)

Heavy-Duty Vehicle Idle Reduction Requirement

Expired: 09/01/2009

A heavy-duty vehicle is not permitted to idle for more than five consecutive minutes in any 60-minute period. Exceptions are allowed for the following: traffic conditions; law enforcement purposes; emergency vehicles; military vehicles; power work-related operations; maintenance, servicing, repairing, or diagnostic purposes; sleeper berth temperature control during government mandated rest periods; auxiliary power units; heavy-duty diesel vehicles meeting California Air Resources Board's nitrogen oxide idling emission standards; and customer climate control comfort while providing customer services; prevention of safety or health emergencies. (Reference North Carolina Department of Environment and Natural Resources, Division of Air Quality Idle Reduction Rule)

Ethanol Fueling Infrastructure Requirement

Expired: 07/01/2009

Ethanol blends between 10% (E10) and 85% (E85) for use in motor vehicles may be dispensed from equipment that fully complies with all requirements for dispensing E10, provided that the following conditions are met: 1.) The dispensing equipment manufacturer has documented that the equipment is compatible with all ethanol blends; 2.) the manufacturer has, at a minimum, initiated the process of applying to an independent testing laboratory to have the equipment listed for use in dispensing ethanol blends; and 3.) the equipment clearly discloses the particular ethanol blend that is being dispensed. This regulation expires on July 1, 2009. (Reference Senate Bill 143-143.6)

Biofuels Industry Promotion Task Force

Archived: 04/01/2007

The State established the Biofuels Industry Strategic Plan Work Group (BISP Work Group) to develop a strategic plan for expansion of the biofuels industry in North Carolina, including delineating the increasing role of biotechnology in the development of biofuels. The Work Group was required to include representatives from various North Carolina colleges and universities, the North Carolina Biotechnology Center, and the Rural Economic Development Center, Inc. The BISP Work Group submitted North Carolina's Strategic Plan for Biofuels Leadership to the Environmental Review Commission on April 1, 2007. (Reference Senate Bill 2051, 2006)