Expired, Repealed, and Archived New York Incentives and Laws

The following is a list of expired, repealed, and archived incentives, laws, regulations, funding opportunities, or other initiatives related to alternative fuels and vehicles, advanced technologies, or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

School Bus Idle Reduction Policy

Expired: 07/01/2024

School bus drivers or drivers of other vehicles that the school district owns, leases, or contracts must turn off the vehicle engine while boarding and deboarding passengers on school grounds or near a school. Exceptions include idling for mechanical work, to maintain a comfortable temperature in the vehicle, or in emergency evacuations where it is necessary to operate wheelchair lifts. Drivers should also instruct pupils on the necessity to load and unload promptly, park their vehicles diagonally to minimize exhaust from entering another bus or the school, and turn off their vehicle during sporting or other events. School districts must provide personnel with a notice outlining these provisions no later than five days after the start of the school year. For more information, see the New York State Education Department website.

(Reference New York Consolidated Laws Education Section 3637)

Alternative Fueling Infrastructure Tax Credit

Expired: 01/01/2023

An income tax credit is available for 50% of the cost of alternative fueling infrastructure, up to $5,000. Qualifying infrastructure includes electric vehicle charging stations and equipment to dispense fuel that is 85% or more natural gas, propane, or hydrogen. Unused credits may be carried over into future tax years. For more information, including how to claim the credit, please see the New York State Department of Taxation and Finance website. (Reference New York Tax Law 187-b)

Hybrid Electric Vehicle (HEV) Taxicabs

Archived: 12/09/2021

By February 3, 2019, the New York City Taxi and Limousine Commission (Commission) must approve one or more HEV models for immediate use as a taxicab by taxicab medallion owners. Approved HEV models must meet all requirements of for-hire vehicles. The Commission must also allocate 1,350 clean air taxicab medallions to HEVs. (Reference New York City Administrative Code19-533).

Vehicle Retrofit Requirements

Archived: 12/09/2021

State agencies and state and regional public authorities must install the best available retrofit technology verified by the U.S. Environmental Protection Agency to reduce air pollutant emissions on all heavy-duty diesel vehicles that they own, operate, or lease on or before December 31, 2019. Heavy-duty diesel vehicles that are retired from use in the state on or before December 31, 2020, may be granted a waiver from this requirement. (Reference New York State Environmental Conservation Law 19-0323)

Regional Transportation and Climate Initiative (TCI)

Archived: 11/19/2021

Delaware, District of Columbia (D.C.), Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, Vermont, and Virginia signed a Declaration of Intent to create the TCI, a regional initiative to improve transportation, develop a clean energy economy, and reduce carbon emissions and air pollutants from the transportation sector. The signatory states and D.C. agree to explore and develop policies and programs that result in greater energy efficiency of regional transportation systems and reduce emissions. Additionally, states support the deployment of clean vehicles and fueling infrastructure, such as electric vehicle supply equipment, to maximize the economic opportunities and emissions reductions. For more information, see the TCI website.

Workplace Electric Vehicle Supply Equipment (EVSE) and Plug-In Electric Vehicle (PEV) Incentives

Archived: 02/29/2020

Charge to Work NY initiative is offering employers in the greater New York City region $8,000 rebate per dual-connector EVSE installed. Employees of organizations that receive the rebate are eligible for a $500 rebate toward the purchase or lease of a qualified PEV. For more information, see the Charge to Work NY website.

Biofuel Production Tax Credit

Archived: 12/31/2019

Biofuel producers in New York State may qualify for a tax credit of $0.15 per gallon of pure biodiesel (B100) or denatured ethanol produced. To qualify, the production facility must produce, and make available for sale, at least 40,000 gallons of biofuel per year. The maximum annual credit available is $2.5 million per taxpayer for no more than four consecutive taxable years per production facility. If the taxpayer is in a partnership or is a shareholder of a New York S corporation, the maximum credit amount is applied at the entity level; the aggregate credit allowed to all partners or shareholders may not exceed $2.5 million. Additional requirements may apply. This credit expires December 31, 2019. (Reference New York Tax Law 28*2 and 187-c)

Plug-in Electric Vehicle (PEV) Toll Discount Program

Expired: 11/01/2019

Vehicles eligible for the New York Clean Pass Program, including PEVs and hybrid electric vehicles, receive a discounted toll rate on all Port Authority of New York & New Jersey (PANYNJ) off-peak hour crossings. Vehicles must register with E-ZPass New York. Drivers of qualified vehicles may also receive a 10% discount on established E-ZPass accounts with proof of registration. This exemption expires September 30, 2019. For more information, including a complete list of eligible vehicles and application instructions, see the PANYNJ E-ZPass and Green Pass Discount Plan websites.

Autonomous Vehicle (AV) Testing and Operation Authorization

Expired: 04/01/2019

The New York State Department of Motor Vehicles (DMV) may approve demonstrations of AVs on public roads for the purpose of evaluating the potential impacts of AV technology on safety, traffic control, traffic enforcement, emergency services, and other areas the DMV identifies. To be considered, a proposed AV demonstration must meet, at minimum, the following requirements:

  • The demonstration application includes a law enforcement interaction plan, which provides information for law enforcement and first responders regarding how to interact with the AV in an emergency or traffic enforcement situation;
  • The demonstration takes place under the supervision of the New York State Police and in a manner consistent with their direction;
  • A licensed vehicle operator is seated inside the AV while it is being operated on public highways; and
  • The AV meets all applicable Federal Motor Vehicle Safety Standards and New York State Motor Vehicle Inspection Standards.

An AV is defined as any vehicle that is equipped with a technology that has the capability to operate the vehicle without the direct control of the driver.

On or before June 1, 2019, the DMV, in partnership with the State Police, must submit a report to the governor and other relevant government officials including information about each of the demonstrations that have been authorized. For more information, including how to apply for a testing and demonstration permit, see the DMV AV Technology website. (Reference Senate Bill 7508-C, 2018)

Plug-In Electric Vehicle (PEV) Charging Tariff

Archived: 04/01/2019

Each investor-owned utility selling electricity was required to file a tariff with the New York Public Service Commission (PSC) by April 1, 2018, to allow a customer to purchase electricity solely for the purpose of charging a PEV. The utility must make the tariff available to customers within 60 days of PSC approval. At any time, the utility may make revisions to the tariff based on changing costs or conditions. Each utility providing a PEV charging tariff must report periodically to the PSC on the number of customers who have participated in the tariff, the total amount of electricity sold under the tariff, and any other data required by the PSC. (Reference New York State Public Service Law Section 66-O)

Municipal Zero Emission Vehicle (ZEV) and Infrastructure Rebates

Archived: 03/31/2017

The New York Department of Environmental Conservation (DEC) administers the Municipal ZEV and Infrastructure Rebate Program (Program). Municipalities may apply for rebates for the purchase or lease of eligible plug-in hybrid electric vehicles, all-electric vehicles, and fuel cell vehicles, and the installation of public electric vehicle supply equipment (EVSE) or hydrogen fueling infrastructure. Funding is available on a first-come, first-served basis through March 31, 2017, or until funds are exhausted. To be eligible for funding, municipalities must purchase or lease vehicles on or after April 1, 2016, and must match 20% of the funds for EVSE and hydrogen fueling infrastructure. Rebates are available as follows:

ZEVs

Required All-Electric Range Rebate Amount for Vehicle Maximum Rebate Amount per Municipality
10-50 miles $2,500 $375,000
At least 50 miles $2,500 $375,000

ZEV Infrastructure

Rebate Amount per Facility Maximum Rebate Amount per Municipality
EVSE Up to $250,000 $625,000
Hydrogen Up to $250,000 $750,000

Additional terms and conditions apply. For more information, see the Program website.

Alternative Fuel Vehicle (AFV) Acquisition Requirements

Archived: 11/01/2016

All new light-duty vehicles that state agencies and other affected entities procure must be AFVs, with the exception of designated specialty, police, or emergency vehicles. Hybrid electric vehicles qualify under these requirements. State agencies and other affected entities that operate medium- and heavy-duty vehicles must implement strategies to reduce petroleum consumption and emissions by using alternative fuels and improving vehicle fleet fuel efficiency. State agencies and other affected entities may substitute the use of 450 gallons of 100% biodiesel (B100) for the acquisition of one AFV. Alternatively, using 2,250 gallons of biodiesel blends of 20% (B20) or 9,000 gallons of biodiesel blends of 5% (B5) may also be substituted in place of purchasing one AFV. No more than 50% of a given state agency fleet’s AFV purchase requirement may be met by substituting B100, B20, or B5. (Reference Executive Order 111, 2001; Executive Order 142, 2005; and Executive Order 4, 2008)

School Bus Alternative Fuels and Emissions Reduction Funding

Archived: 10/31/2015

The New York State Energy Research and Development Authority (NYSERDA) administers the Clean Air School Bus Program, which provides funds to municipalities, departments, public authorities, and school districts to cover the cost of purchasing alternative fuel school buses or installing emissions control retrofit devices on school buses. Eligible vehicles include compressed natural gas, electric, and hybrid electric buses. Eligible emissions control devices include California Air Resources Board- and U.S. Environmental Protection Agency-verified diesel particulate filters, diesel oxidation catalysts, and closed crankcase filter systems. Idle reduction technology, such as diesel fuel-fired coolant heaters, is also eligible. The current round of funding expires on December 30, 2014, or when all funds are exhausted (verified October 2014). For more information, see the NYSERDA Clean Air School Bus Program website.

Alternative Fuel Vehicle (AFV) and Fueling Infrastructure Funding and Technical Assistance

Archived: 10/31/2014

The New York State Energy Research and Development Authority (NYSERDA) provides financial and technical assistance to public, private, and not-for-profit organization fleet managers who want to evaluate the feasibility and cost of adding AFVs and fueling facilities to their operations. NYSERDA also provides support to encourage the use of emission reduction and anti-idling technologies for diesel vehicles. Low-cost training for vehicle mechanics is also available through certified institutions. For more information and specific opportunities, see the NYSERDA Funding Opportunities websites.

E85 Fueling Infrastructure Funding

Archived: 10/31/2014

The New York State Energy Research and Development Authority (NYSERDA) administers the Biofuel Station Initiative Program, which provides funding to retail fueling stations offering E85 in the state. NYSERDA provides a reimbursement of $35,000 to cover new biofuel dispensing installation costs, including equipment, storage tanks, and associated piping equipment. NYSERDA accepts applications from public access retail fueling station owners and operators in the state. Funding is limited, does not cover facility permitting or engineering costs, and expires on July 5, 2015. For more information, see the NYSERDA Biofuel Station Initiative Program Opportunity Notice.

Alternative Fuel Tax Exemption and Rate Reduction

Expired: 09/01/2014

E85, compressed natural gas, and hydrogen fuel that is used exclusively to operate a motor vehicle engine is exempt from state sales and use taxes. Additionally, cities and counties may reduce the sales and use tax imposed on 20% biodiesel (B20) to 80% of the diesel fuel tax rate. The exemption and rate reduction are in effect until September 1, 2016. For more information, see the New York State Department of Taxation and Finance website. (Reference New York Tax Law 1101, 1102, 1111, and 1115)

School Bus Idle Reduction Requirement

Expired: 06/30/2013

All public school districts must ensure that every school bus or other school vehicle driver turns off the vehicle’s engine while waiting for passengers to load or unload. Exceptions apply, including when idling is necessary for heating, mechanical, or emergency circumstances. School districts must also provide an annual notice to school personnel, including an overview of the regulations and available education materials. For more information, see the State Education Department website. This regulation is in effect through June 30, 2013. (Reference New York Education Law 3637)

Alternative Fuel Bus and Infrastructure Funding

Archived: 12/01/2012

The New York State Energy Research and Development Authority (NYSERDA) administers the Clean Fueled Bus Program, which provides funds to state and local transit agencies, municipalities, and schools for up to 100% of the incremental cost of purchasing new alternative fuel buses and associated infrastructure. For the purposes of this program, an alternative fuel bus is any motor vehicle with a seating capacity of at least 15 passengers used to transport passengers on public highways that is powered by compressed natural gas (CNG) (including dual-fuel technology that is factory built and certified or a new diesel engine with a minimum of 75% use of CNG during typical operation), propane, methanol, hydrogen, biodiesel, or ethanol, or uses electricity as a primary fuel source (e.g., hybrid electric). Eligible infrastructure projects include fueling equipment installations including, but not limited to, electric vehicle battery charging stations and natural gas fueling stations and depots. A qualified infrastructure project must be necessary to introduce or expand an alternative fuel bus fleet and the funding only covers the cost for items directly associated with making the facility capable of dispensing the fuel. For more information, see the NYSERDA Transportation Programs website.

Alternative Fuel Vehicle (AFV) Technical Assistance

Archived: 12/01/2012

The New York State Energy Research and Development Authority (NYSERDA) manages the New York State Clean Cities Sharing Network (Network), which provides technical, policy, and program information about AFVs. Membership is open to all organizations, businesses, and individuals interested in AFVs and members are notified about upcoming funding opportunities and events. The Network publishes information about tax incentives, fueling stations, case studies, and contact information for the Clean Cities program and other industry leaders. The Network also organizes and sponsors technical workshops. For more information, see the NYSERDA Transportation Programs website.

Alternative Fuel Vehicle (AFV) and Fueling Infrastructure Funding

Archived: 10/31/2011

The New York State Energy Research and Development Authority (NYSERDA) administers the New York State Clean Cities Challenge, which awards funds to New York Clean Cities Coalition members that acquire AFVs or install AFV fueling or charging infrastructure. Funds are awarded on a competitive basis and may be used to cost-share up to 75% of the proposed project, including the incremental cost of purchasing AFVs, fueling and charging equipment installation costs, and the incremental costs associated with bulk alternative fuel purchases. Consideration will be given to projects that result in new fueling or charging facilities, benefit more than one fleet, provide a high level of visibility and innovation, and/or comprise unique public/private partnerships. For more information, see the NYSERDA Transportation Programs Web site.

Alternative Fueling Infrastructure Tax Credit

Expired: 12/31/2010

A state tax credit is available for alternative fuel vehicle fueling infrastructure installed in the state. The tax credit is equal to 50% of the infrastructure cost. This includes infrastructure for storing or dispensing an alternative fuel into a motor vehicle's fuel tank, as well as infrastructure used for charging electric vehicles. Eligible alternative fuels include natural gas, liquefied petroleum gas, hydrogen, electricity, and any other fuel that is a least 85% ethanol or other alcohol. This credit expires December 31, 2010. (Reference New York Tax Law 187-b)

Biofuels Use Requirement

Archived: 02/18/2010

To the extent that gasoline powered state agency vehicles use central fueling stations, all state agencies and public authorities must use E85 in flexible fuel vehicles (FFVs) whenever it is feasible to do so. The Governor’s Clean Fueled Vehicles Council, chaired by the Commissioner of the Office of General Services (OGS) and comprised of the fleet managers of state agencies and public authorities, has taken steps to ensure that, to the greatest extent possible, all FFVs in the state fleet that can use E85 will do so. At least 10% of fuels used in the state fleet must be biodiesel by 2012. The OGS statewide biodiesel contract enables state vehicles to obtain biodiesel fuel in 41 counties. All E85 and biodiesel fueling locations available to New York State vehicles are listed on the OGS Alternative Fueled Vehicles Program Web site. (Reference Executive Order 9, 2008, and Executive Order 142, 2005)

Alternative Fueling Infrastructure Feasibility Study

Archived: 11/01/2009

The New York State Energy Research and Development Authority (NYSERDA), the New York State Thruway Authority, and the New York Department of Environmental Conservation have undertaken a study regarding the feasibility and construction of alternative fueling facilities at gasoline stations located along the New York State Thruway. Once finalized, NYSERDA will prepare and deliver to the governor a report that will include, but not be limited to, the following: 1) the current availability of the various alternative fuels and associated technologies which use alternative fuels for transportation purposes; 2) the projected growth in the availability and use of alternative fuel vehicles (AFVs) for the next 10 years; 3) the current and projected price of the various alternative fuels, AFVs, and alternative fueling equipment for the next 10 years as well as the current and projected cost of operation of alternative fuel vehicles, including incremental cost comparisons; 4) the feasibility of each thruway public facility containing a gasoline station to accommodate one or more alternative fueling facilities. (Reference Assembly Bill 11331, 2005)

Alternative Fuel Vehicle (AFV) Tax Exemption

Expired: 09/01/2006

New York provides a partial sales and use tax exemption for the incremental cost of new AFVs and for vehicles that are converted to run on alternative fuels. This exemption is effective through October 1, 2006. (Reference New York Tax Law Article 28, Section 1115)

Alternative Fuel, Electric, and Hybrid Electric Vehicle Tax Credits

Expired: 12/31/2004

New York's Alternative Fuel (Clean Fuel) Vehicle Tax Incentive Program offers tax credits for the purchase of new HEVs, EVs, AFVs, and the installation of clean fuel vehicle refueling property. Purchasers of qualified HEVs are eligible for a tax credit of $2,000. To qualify, a vehicle must draw propulsion energy from both an internal combustion engine (or heat engine that uses combustible fuel) and an energy storage device; and must employ a regenerative braking system that recovers waste energy to charge that device, and, for model year 2004 and later, must meet or exceed the California LEV II emission standard. Purchasers of EVs are eligible for a tax credit of 50% of the incremental cost, up to $5,000 per vehicle. Purchasers of AFVs are eligible for a tax credit worth 60% of the incremental cost of the vehicle. The maximum value of the incentive is $5,000 for vehicles with less than 14,000 pounds (lbs.) gross vehicle weight rating (GVWR), and up to $10,000 for vehicles over 14,000 lbs. GVWR. The tax credit for clean-fuel vehicle refueling property is equal to 50% of the cost of the property. This includes property for storing or dispensing a clean-burning fuel into the fuel tank of a motor vehicle propelled by that fuel, as well as property used for recharging electric vehicles.