Expired, Repealed, and Archived Oregon Incentives and Laws

The following is a list of expired, repealed, and archived incentives, laws, regulations, funding opportunities, or other initiatives related to alternative fuels and vehicles, advanced technologies, or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

Biodiesel Tax Exemption

Expired: 12/31/2019

Biodiesel blends containing at least 20% biodiesel derived from used cooking oil are exempt from the $0.34 per gallon state fuel excise tax. The exemption does not apply to fuel used in vehicles with a gross vehicle weight rating of 26,001 pounds or more, fuel not sold in retail operations, or fuel sold in operations involving fleet fueling or bulk sales. The exemption expires after December 31, 2019. (Reference Oregon Revised Statutes 319.530)

Authorization of Zero-Emission Vehicle (ZEV) and Plug-In Hybrid Electric Vehicle (PHEV) Rebates

Archived: 12/01/2018

The Oregon Department of Environmental Quality (DEQ) will establish a state rebate program for the purchase or lease of new light-duty ZEVs and PHEVs. DEQ will set the rebate amount annually. ZEVs or PHEVs with a battery capacity of 10 kilowatt-hours (kWh) or more will be eligible for rebates between $1,500 and $2,500 and ZEVs or PHEVs with a battery capacity of less than 10 kWh will be eligible for rebates between $750 and $1,500. Neighborhood electric vehicles and zero-emission motorcycles will be eligible for rebates between $375 and $750. Qualified vehicles must have a manufacturer's suggested retail price of less than $50,000.

Low- and moderate-income drivers that live in areas with elevated concentrations of air pollution will be eligible for an additional rebate of up to $2,500 for the purchase or lease of a new or used ZEV to replace a vehicle that is more than 20 years old.

(Reference Oregon Law 750.149, 2017)

Alternative Fuel Vehicle (AFV) and Infrastructure Tax Credit for Businesses

Expired: 12/31/2017

Business owners and others may be eligible for a tax credit of 35% of eligible costs for qualified alternative fuel infrastructure projects, or the incremental or conversion cost of two or more AFVs. Qualified infrastructure includes facilities for mixing, storing, compressing, or dispensing fuels for vehicles operating on alternative fuels. Qualified alternative fuels include electricity, natural gas, gasoline blended with at least 85% ethanol (E85), propane, and other fuels that the Oregon Department of Energy (ODOE) approves. Unused credits may be carried forward up to five years. Non-profit organizations and public entities that do not have an Oregon tax liability may receive the credit for an eligible project but must "pass-through" or transfer their project eligibility to a pass-through partner in exchange for a lump-sum cash payment. ODOE determines the rate that is used to calculate the cash payment. The pass-through option is also available to a project owner with an Oregon tax liability who chooses to transfer their tax credit. The credit is available through the applicant's 2017 tax year. For more information, see the ODOE Transportation Tax Credits website. (Reference Oregon Revised Statutes 315.336, 469B.320, and 469B.323)

Alternative Fueling Infrastructure Tax Credit for Residents

Expired: 12/31/2017

Through the Residential Energy Tax Credit program, qualified residents may receive a tax credit for 25% of alternative fuel infrastructure project costs, up to $750. Qualified residents may receive a tax credit for 50% of project costs, up to $750. Qualified alternative fuels include electricity, natural gas, gasoline blended with at least 85% ethanol (E85), propane, and other fuels that the Oregon Department of Energy approves. A company that constructs a dwelling in Oregon and installs fueling infrastructure in the dwelling may claim the credit. Qualified infrastructure must be installed to meet all federal, state, and local codes and be capable of fueling or charging an alternative fuel vehicle within 14 hours. This credit is available through December 31, 2017. For more information, including a list of eligible equipment and a link to the application, please see the Oregon Department of Energy Residential Energy Tax Credit website. (Reference Oregon Revised Statutes 316.116, 317.115, and 469B.160-469B.180)

Alternative Fuel Vehicle (AFV) Loan Program

Repealed: 08/15/2017

The Oregon Department of Energy (ODOE) AFV Revolving Fund provides loans to public agencies, private entities, and tribes for the incremental cost of AFVs and AFV conversions. Priority will be given to converting petroleum-powered vehicles to AFVs. The loan recipient may be responsible for a fee of 0.1% of the loan, up to $2,500, as well as fees to cover the cost of application processing. ODOE may set the interest rate anywhere from 0% to the current market rate, with a loan term up to six years. Eligible vehicles include those powered by electricity, biofuel, gasoline and alcohol blends with at least 20% alcohol content, hydrogen, natural gas, propane, or any other fuel ODOE approves that produces lower exhaust emissions or is more energy efficient than gasoline or diesel. For more information, including application forms and interest rate and fee information, see the ODOE website.

Alternative Fuel School Bus Grant and Loan Program

Archived: 05/31/2014

The Oregon Department of Energy (ODOE) administers the Cool Schools Program, a four-year pilot program to provide technical and financial assistance for energy efficiency or clean energy projects at schools in Oregon. Under this program, school districts may be eligible for grants and loans to retrofit school bus fleets to operate on compressed natural gas, propane, or other alternative fuels, or to operate with highly efficient engine technologies, such as hybrid electric engines. Funds may also be used to replace school buses with buses that operate on these fuels or technologies. This incentive is not currently available for alternative fuel projects (verified September 2013). For more information, please see the ODOE Cool Schools Program website. (Reference Oregon Revised Statutes 470.800 through 470.815)

Idle Reduction Incentives

Archived: 05/31/2014

Cascade Sierra Solutions (CSS) provides comprehensive idle reduction solutions for commercial trucks and trailers. Financing, loans, and grant programs are available to support verifiable technologies that save fuel and reduce diesel emissions, including alternative fuel and hybrid electric vehicle technologies. Options for upgrades or vehicle replacement are also available to registered truck owners.

Regional Climate Change Initiative

Archived: 05/31/2014

Governors of Oregon, Washington, and California approved a series of recommendations for action to combat global warming, as detailed in the West Coast Governors' Report on Global Warming. Each state must act individually and regionally to reduce greenhouse gases (GHGs). The initiative includes adopting standards to reduce GHG emissions from vehicles by expanding markets for efficiency, renewable energy and alternative fuels, including creating a working group on developing hydrogen fuel. Building upon this commitment, Oregon joined other western states and several Canadian provinces and signed an agreement establishing the Western Climate Initiative, a joint effort to reduce GHG emissions and address climate change.

State Greenhouse Gas (GHG) Emissions Reduction Strategy

Archived: 05/31/2014

The Oregon Department of Land Conservation and Development (DLCD) set targets for six individual metropolitan areas to reduce GHG emissions from light-duty vehicles. The targets are intended to help meet the state's goal of reducing GHG emissions to 75% below 1990 levels by 2050 and provide guidance to local governments on how to reduce GHG emissions. In the Portland metropolitan area, land use and transportation scenario planning to meet these targets is required. These activities are encouraged in the other areas.

The Oregon Department of Transportation (ODOT) and DLCD have also:
  • Developed and adopted a Statewide Transportation Strategy;
  • Developed a toolkit to assist local governments and metropolitan planning organizations in reducing GHGs from motor vehicles with a gross vehicle weight rating of 10,000 pounds (lbs.) or less;
  • Educated the public about the need to reduce GHG emissions from motor vehicles and the related costs and benefits; and
  • Reported progress and recommendations to the state legislature.

(Reference Senate Bill 1059, 2010)

Electric Vehicle Supply Equipment (EVSE) Incentive - ECOtality

Expired: 03/11/2013

Through the EV Project, ECOtality offers EVSE at no cost to individuals in the Portland, Eugene, Salem, and Corvallis metropolitan areas. To be eligible for free home charging stations, individuals living within the specified areas must purchase a qualified plug-in electric vehicle (PEV). Individuals purchasing an eligible PEV should apply at the dealership at the time of vehicle purchase. The EV Project incentive program will also cover most, if not all, of the costs of EVSE installation. All participants in the EV Project incentive program must agree to anonymous data collection after installation. Additional restrictions may apply.

Commercial Electric Truck Vouchers

Expired: 02/15/2013

Through the Commercial Electric Truck Incentive Program (CETIP), the Oregon Department of Transportation (ODOT) provides vouchers to reimburse commercial fleets for $20,000 per qualified zero emission truck purchased. Vouchers are available on a first-come, first-served basis. Eligible vehicles must be new, titled and licensed in Oregon, have a gross vehicle weight rating of at least 10,001 pounds, and replace an existing diesel vehicle. Eligible fleets must operate the vehicles primarily in an air quality nonattainment or maintenance area. ODOT plans to distribute 200 vouchers within the first year of the program and data collection will continue for three years from the date of vehicle purchase. For more information, including detailed eligibility and application requirements, please see the ODOT Commercial Electric Truck Incentive Program website.

Biofuels Use Tax Credit

Expired: 01/01/2013

Oregon residents are eligible for an income tax credit of $0.50 per gallon of gasoline blended with at least 85% ethanol (E85) or diesel blended with at least 99% biodiesel (B99) purchased for use in an alternative fuel vehicle (AFV). Up to $200 can be claimed each tax year for each AFV that is registered in Oregon and owned or leased by the resident. For the purpose of this tax credit, an AFV is a motor vehicle that can operate using E85 or B99. The credit is available through December 31, 2012. (Reference Oregon Revised Statutes 315.465)

Electric Vehicle (EV) Charging Infrastructure Project Funding

Archived: 09/30/2012

The Oregon Department of Transportation will fund the installation of qualified EV charging infrastructure in rural areas along the I-5 West Coast Green Highway corridor. Competitive funding is available from the American Recovery and Reinvestment Act. For more information see the Electric Vehicle Charging Network website.

Alternative Fuel Vehicle (AFV) Tax Credit for Residents

Expired: 12/31/2011

Through the Residential Energy Tax Credit program, qualified residents may receive tax credits for the purchase of new AFVs or the conversion of vehicles to operate on an alternative fuel. The credit for a new AFV is 25% of the incremental cost or $750, whichever is less. AFV conversions may also receive 25% of the project cost or $750, whichever is less. Leased vehicles may qualify with permission from the vehicle owner. AFV conversions must be certified by the U.S. Environmental Protection Agency. Qualified alternative fuels include electricity, propane, hydrogen, and other fuels the Oregon Department of Energy approves. Flexible fuel vehicles and low-speed vehicles are not eligible for the vehicle incentives. The AFV credit is available through December 31, 2011. (Reference House Bills 3672 and 3606, 2011, and Oregon Revised Statutes 316.116, 317.115, and 469.160-469.180)

Medium- and Heavy-Duty Truck Retrofit Study

Expired: 09/30/2011

The Oregon Department of Environmental Quality (DEQ) conducted a study of potential requirements for maintaining and retrofitting medium- and heavy-duty trucks to reduce aerodynamic drag and greenhouse gas (GHG) emissions. As part of the study, DEQ evaluated comparable federal and state requirements; financing opportunities for initial capital costs; differences among trucks; a schedule for implementation; the feasibility of requiring truck distributors to disclose applicable GHG reduction requirements; exemptions and deferrals; and potential restrictions of engine use by parked commercial vehicles. DEQ submitted the final report, entitled "Improving Truck Efficiency and Reduced Idling," to the Oregon Legislature. (Reference House Bill 2186, 2009)

Alternative Fuel Production Tax Credit

Expired: 04/15/2011

Business owners and others may be eligible for a tax credit of 50% of eligible costs related to alternative fuel production through the Business Energy Tax Credit. Qualified fuels include electricity, ethanol, and biodiesel from renewable sources. Eligible costs are those directly related to the project, including equipment cost, engineering and design fees, materials, supplies, and installation costs.

An eligible applicant (a project owner) must meet the following requirements:

  • Be a trade, business, or rental property owner with a business site in Oregon or be an Oregon non-profit organization, tribe, or public entity that partners with an Oregon business or resident;
  • Own or be the contract buyer of the project; and
  • Use the equipment or lease it to another person or business in Oregon.
Non-profit organizations and public entities that do not have an Oregon tax liability may receive the credit for an eligible project but must "pass-through" or transfer their project eligibility to a pass-through partner in exchange for a lump-sum cash payment. The Oregon Department of Energy (ODOE) determines the rate that is used to calculate the cash payment. The pass-through option is also available to a project owner with an Oregon tax liability who chooses to transfer their tax credit. ODOE must grant preliminary and final certification for a project to be eligible. The taxpayer must have filed an application for the project before April 15, 2011, and ODOE must have granted preliminary certification for the project by July 1, 2011. Projects that began prior to April 15, 2011, must receive final certification by July 1, 2014. Projects that began after April 15, 2011, must receive final certification by July 1, 2013.

(Reference House Bills 3672 and 3606, 2011, and Oregon Revised Statutes 469.185-469.225)

Alternative Fuel Vehicle (AFV) and Fueling Infrastructure Tax Credit for Businesses

Expired: 04/15/2011

Business owners and others may be eligible for a tax credit of 50% of eligible costs for qualified alternative fuel infrastructure projects through the Business Energy Tax Credit. Fueling infrastructure for fuels such as propane and natural gas may qualify for a tax credit of 35% of eligible costs. A tax credit of 35% of eligible costs is also available for other qualified AFV projects. The credit is filed over five years. Unused credits from a given year can be carried forward up to eight years. For projects with eligible costs of $20,000 or less, the tax credit may be taken in one year.

An eligible applicant (a project owner) must meet the following requirements:

  • Be a trade, business, or rental property owner with a business site in Oregon or be an Oregon non-profit organization, tribe, or public entity that partners with an Oregon business or resident;
  • Own or be the contract buyer of the project; and
  • Use the equipment or lease it to another person or business in Oregon.
Non-profit organizations and public entities that do not have an Oregon tax liability may receive the credit for an eligible project but must "pass-through" or transfer their project eligibility to a pass-through partner in exchange for a lump-sum cash payment. The Oregon Department of Energy (ODOE) determines the rate that is used to calculate the cash payment. The pass-through option is also available to a project owner with an Oregon tax liability who chooses to transfer their tax credit. ODOE must grant preliminary and final certification for a project to be eligible. The taxpayer must have filed an application for the project before April 15, 2011, and ODOE must have granted preliminary certification for the project by July 1, 2011. Projects that began prior to April 15, 2011, must receive final certification by July 1, 2014. Projects that began after April 15, 2011, must receive final certification by July 1, 2013.

(Reference House Bills 3672 and 3606, 2011, and Oregon Revised Statutes 469.185-469.225 and 469.878)

Efficient Truck Technology Tax Credit

Expired: 04/15/2011

The Oregon Department of Energy offers a Business Energy Tax Credit to Oregon businesses, trades, and rental property owners that invest in efficient truck technology projects. Qualified projects may include the purchase of idle reduction equipment, aerodynamic packages, single-wide tires, and automatic tire inflation. The tax credit is 25% of eligible project costs for applicants that can document that 15-50% of the vehicle's annual mileage occurs within Oregon. If a vehicle's annual mileage within Oregon is greater than 50%, the tax credit is for 35% of eligible project costs. Eligible projects must have a simple payback period of between two and 15 years.

Non-profit organizations and public entities that do not have an Oregon tax liability may receive the credit for an eligible project but must "pass-through" or transfer their project eligibility to a pass-through partner in exchange for a lump-sum cash payment. The Oregon Department of Energy (ODOE) determines the rate that is used to calculate the cash payment. The pass-through option is also available to a project owner with an Oregon tax liability who chooses to transfer his or her tax credit. The ODOE must grant preliminary and final certification for a project to be eligible. The taxpayer must have filed an application for the project before April 15, 2011, and ODOE must have granted preliminary certification for the project by July 1, 2011. Projects that began prior to April 15, 2011, must receive final certification by July 1, 2014. Projects that began after April 15, 2011, must receive final certification by July 1, 2013.

(Reference House Bill 3680, 2010, House Bills 3672 and 3606, 2011, and Oregon Revised Statutes 469.185-469.225)

Hydrogen Promotion

Archived: 09/01/2010

The Oregon legislature supports hydrogen development and recommends that hydrogen be a top priority of current and future renewable energy research, policy, and programmatic initiatives by the state. (Reference House Resolution 1, 2007)

State Climate Change Commission

Archived: 09/01/2010

The Oregon Global Warming Commission (Commission) was created to develop long-term policy recommendations to reduce greenhouse gas (GHG) emissions in Oregon, pursuant to the following goals:

  • By 2010, stop the increase of Oregon's GHG emissions and begin to reduce GHG emissions;
  • By 2020, achieve GHG levels that are 10% below 1990 levels; and
  • By 2050, achieve GHG levels that are at least 75% below 1990 levels.

The Commission follows the work of the Climate Change Integration Group to track and report on the state's progress on GHG emissions reductions and assess future economic and societal implications of climate change. The Commission submitted the 2009 Report for the Legislature (PDF 1.4 MB) in January 2009. Download Adobe Reader

(Reference Executive Order 06-02, 2006, and Oregon Revised Statutes 184.423)

Alternative Fuel Infrastructure Working Group

Archived: 01/01/2010

In order to reduce the state's dependency on gasoline and diesel fuels and to reduce carbon emissions, the Governor of Oregon has convened a Working Group to study and promote alternative fuel vehicles and infrastructure. The Working Group will:
1) Review and evaluate market and policy research on existing alternative fuel infrastructure policies and programs;
2) Identify and encourage opportunities to consistently design, standardize, and operate electric vehicle charging stations;
3) Develop a plan to work with the private sector to build and maintain state alternative fueling stations by October 1, 2010; and
4) Work with the public to ensure that alternative fuel technologies enhance communities and livability and to ensure that the public understands how to utilize investments in infrastructure.

The Working Group is required to provide recommendations to the Governor by December 31, 2009. (Reference Executive Order 08-24, 2008)

Biofuels Production and Distribution Grants - Portland

Expired: 11/30/2008

Through a competitive grant process, the Biofuels Investment Fund (Fund) supports the development of production, storage, blending, and distribution infrastructure for B20 or higher biodiesel blends, and E85 ethanol blends. The Fund also supports non-infrastructure related projects that strongly support Portland's biofuels priorities, including proposals that further the development of Oregon-grown feedstock supply chains.

Portland Biofuels Fueling Infrastructure Grants

Expired: 11/30/2008

The Retail and Fleet Biofuels Infrastructure Grant provides incentives of up to $10,000 to install or convert fueling equipment at retail gasoline stations and fleet fueling sites to B20 or higher biodiesel blends and E85 ethanol blends. Incentives are available on a first-come, first-served basis to projects that meet the grant's eligibility guidelines.