Recent State Updates
Listed below are new and recently updated state laws, incentives, and regulations related to alternative fuels and advanced vehicles.
Effective January 1, 2020, PEV owners must pay an annual fee in addition to standard registration fees. All-electric vehicle owners must pay an annual fee of $200 and plug-in hybrid electric vehicle owners must pay an annual fee of $100. Beginning July 1, 2023 and every fourth year thereafter, PEV fees will increase by $3. A portion of fees contribute to the Electric Transportation Infrastructure Grant Program, which provides grants for electric vehicle supply equipment. (Reference House Bill 2, 2019, and Code of Alabama 40-12-242)
A commercial vehicle equipped with qualified idle reduction technology may exceed the state's gross, total axle, or bridge formula vehicle weight limits by up to 550 pounds to compensate for the additional weight of the idle reduction technology. Upon request, vehicle operators must provide proof that the idle reduction technology is fully functional. (Reference Attorney General File JU2017200674, and Alaska Administrative Code 17.25.013)
AVs may operate in Arkansas under a pilot program established by the State Highway Commission. To participate in the pilot program, an AV must have proof of insurance, be capable of complying with all traffic laws, and have safety mechanisms in place in the event of a failure. Under the pilot program, a person may operate an AV that is not equipped with seatbelts, a steering wheel, or a rearview mirror, and may operate a maximum of three AVs simultaneously. (Reference House Bill 1561, 2019, and Arkansas Code 27-51-1410)
The Clean Vehicle Rebate Project offers rebates to eligible state and local public entities for the purchase of qualified light-duty fleet vehicles. The rebates are for up to $3,500 for plug-in hybrid electric vehicles, $4,500 for battery electric vehicles, and $7,000 for fuel-cell electric vehicles the California Air Resources Board (ARB) has certified. Rebates are available on a first-come, first-served basis. Manufacturers must apply to ARB to have their vehicles included in the PFPP. Each entity may receive up to 30 rebates annually and cannot receive California Vehicle Rebate Project incentives for the same vehicle. Public fleets located in disadvantaged communities are eligible for increased incentives. Funding is only available for qualified fleets located in disadvantaged communities (verified June 2019). For more information, including a list of eligible vehicles, locations, and entities, see the For Public Fleets website. (Reference California Health and Safety Code 44274 and 44258)
PCE and Peninsula Family Service (PFS) offer $4,000 to qualified San Mateo County residents to be used as a down payment for the purchase of a used PHEV. To be eligible, San Mateo County residents must meet maximum annual income requirements, be able to charge the PHEV at home or work, and qualify for a PFS vehicle loan. Additional terms and conditions apply. For more information, see the DriveForward Electric website.
GCEA members have the opportunity to borrow an EV for one week without any cost or mileage restrictions. For more information, including how to apply, see the GCEA Electric Vehicle Program website.
DEC offers a one-time $200 billing credit and an additional $5 monthly billing credit to customers if they do not charge their plug-in electric vehicles during Beat the Peak alerts. To qualify for the Beat the Peak incentives, residents must have qualified WiFi connected residential EVSE and enroll in the Beat the Peak program. For more information, see the Beat the Peak website.
Georgia Power offers a rebate to residential customers, businesses, and builders who install Level 2 EVSE. Customers are eligible for a $250, $500, and $100 rebate, respectively, for each dedicated circuit installed through December 31, 2019. Other conditions may apply. For more information, see the Georgia Power Electric Vehicles and Electric Vehicles & Your Business websites.
The Attorney General will convene an AV Legal Preparation Task Force (Task Force) to prepare Hawaii with laws and regulations required for AVs. The Task Force will examine the adaptation and testing of AVs, existing laws relating to legal and insurance regulation of AVs, and make recommendations for AVs in Hawaii. The Task Force will submit a preliminary report of its findings and recommendations to the Legislature by December 1, 2019. The final report, including proposed legislation, is due by December 1, 2020. (Reference House Concurrent Resolution 220, 2019)
The Indiana Department of Environmental Management (IDEM) allocates a portion of its designated funds from the Volkswagen (VW) Environmental Mitigation Trust for the replacement or repower of eligible on-road and off-road vehicles and equipment. Eligible on-road vehicles and equipment include Class 4-8 trucks and Class 4-8 school, shuttle, and public transit buses. Eligible off-road vehicles and equipment include airport ground support equipment, forklifts, port cargo handling equipment, and freight-switcher locomotives. Applicants requesting funding must be registered with the Indiana Secretary of State. All vehicles and equipment must be certified or verified by the U.S. Environmental Protection Agency or the California Air Resources Board. Applicants proposing alternative fuel equipment or vehicle projects must identify the availability of fueling infrastructure. Additional terms and conditions apply. For more information, including current requests for proposals, see the IDEM Indiana VW Mitigation Trust Program website.
Effective January 1, 2020, PEV owners must pay an annual fee in addition to standard registration fees. All-electric vehicle (EV) owners must pay an annual fee of $65 and plug-in hybrid electric vehicle (PHEV) owners must pay an annual fee of $32.50. Fees will increase through 2022 as follows:
|January 1, 2021||$97.50||$48.75|
|January 1, 2022||$130||$65|
An AV may be operated without direct control of the driver on public highways in Iowa if it is capable of operating in compliance with all applicable motor vehicle and traffic laws, and it can reach a reasonably safe state, such as bringing the vehicle to a complete stop, in the event that the automated driving system fails. If a driver is present, the driver must be licensed. Other conditions apply. (Reference Senate File 302, 2019, and Iowa Code 321.514-321.517)
Efficiency Maine Trust (Efficiency Maine) is accepting applications through July 10, 2019, for funding of public, workplace, and multi-unit dwelling Level 2 EVSE in strategic locations within Maine. EVSE along specific roads and at locations that will likely experience a high frequency of use will be prioritized.The program is funded by Maine’s portion of the Volkswagen Environmental Mitigation Trust. For more information, including how to apply and prioritized EVSE site characteristics, see the Efficiency Maine Electric Vehicle Initiatives website.
Qualified PEV and FCEV purchasers may apply for a tax credit against the imposed excise tax, up to $3,000. The tax credit is first-come, first-served, and is limited to one vehicle per individual and 10 vehicles per business entity. Vehicles must be registered in Maryland, unless the vehicle manufacturer conforms to applicable state or federal laws or regulations governing PEVs or FCEVs during the year in which the vehicle was purchased, or the vehicle was originally registered in another state. A qualified vehicle must meet the following criteria:
- Have a total purchase price not exceeding $63,000;
- Be propelled to a significant extent by an electric motor that draws electricity from a battery with a capacity of at least five kilowatt-hours;
- Have not been modified from original manufacturer specifications; and
- Be purchased and titled for the first time between July 1, 2017, and July 1, 2020.
The credit is returned to the taxpayer in the form of a check from the state. Applications have exceeded the 2019 Fiscal Year program funding, but will still be accepted and placed on a waitlist (verified April 2019). For more information, including the request form, see the Maryland Department of Transportation Motor Vehicle Administration's Excise Tax Credit for PEVs website.(Reference House Bill 1246, 2019, and Maryland Statutes, Transportation Code 13-815)
Permitted PEVs may operate in any Maryland HOV lanes regardless of the number of occupants. Qualified PEVs must have a maximum speed capability of at least 65 miles per hour. Permitted hybrid electric vehicles (HEVs) may operate in the Route 50 HOV lane only, regardless of the number of occupants. To operate in HOV lanes, PEV and HEV owners must obtain a permit from the Maryland Department of Transportation Motor Vehicle Administration (MDOT MVA). The cost of the permit may not exceed $20. Each year the MDOT MVA and the State Highway Administration must report PEV use in HOV lanes to the governor. This exemption expires September 29, 2019, for HEVs and September 30, 2022, for PEVs. For more information, see the HOV Permit Issuance for PEVs page. (Reference Senate Bill 70, 2019, and Maryland Statutes, Transportation Code 25-108 and 21-314)
The Maryland Electric Vehicle Infrastructure Council (Council) promotes the use of PEVs in the state. Specific responsibilities of the Council include the following:
- Develop an action plan to facilitate successful integration of PEVs into the Maryland transportation network;
- Assist in developing and coordinating statewide standards for streamlined permitting and installation of electric vehicle supply equipment;
- Recommend a statewide charging infrastructure plan and incentives to support investment in PEVs;
- Develop targeted policies to support fleet purchases of PEVs;
- Encourage local and regional efforts to promote the use of PEVs; and
- Develop model procurement practices for light-duty vehicles that include an evaluation of the vehicle lifecycle costs inclusive of estimated fuel cost over the anticipated life of the vehicle.
The Maryland Department of the Environment (MDE) will administer a Zero Emission School Bus Transition Grant Program to purchase zero emission school buses, install charging infrastructure, and transition to zero emission school bus fleets. Funding for this program is not currently available (verified May 2019). MDE and the Maryland Department of Transportation will also provide technical assistance to transition school buses to zero emission vehicles throughout the state. (Reference House Bill 1255, 2019).
Public entities in Mississippi are authorized to enter into energy services and performance contracts to pay for energy efficiency improvements with energy savings, including savings from the use of alternative fuel vehicles and related infrastructure. (Reference Senate Bill 2876, 2019, and Mississippi Code 31-7-14)
The cities of Moss Point, Newton, and Diamondhead may authorize the operation of low-speed vehicles on public roads and streets within city limits. In Moss Point and Diamondhead, a low-speed vehicle is defined as a four-wheeled motor vehicle that is capable of operating at a speed of at least 20 miles per hour (mph) but not greater than 25 mph. In Newton, a low-speed vehicle is a four-wheeled motor vehicle that is not capable of exceeding 20 mph and is equipped with a parking brake, head and tail lamps, seat belts, and turn signals.
Low-speed vehicles may not be operated on interstate highways, Highway 63 or Highway 613 in Moss Point, except for crossing the street. In Diamondhead, low-speed vehicles may not be operated on Interstate Highway 10. The vehicle must comply with safety standards contained in Title 49 of the Code of Federal Regulations, section 571.500.
Government entities in Montana are authorized to enter into energy performance contracts to pay for energy efficiency improvements with energy savings, including savings from the use of energy-efficient vehicles. (Reference Montana Code Annotated 90-4-1101)
A public utility may provide electric service to an EVSE under a rate approved by the commission, which must be designed to fully recover the cost of providing the service from the EVSE customer. Reference (House Bill 456, 2019)
Effective October 1, 2019, any motor vehicle equipped with an auxiliary power unit or other qualified idle reduction technology may exceed the maximum gross vehicle weight limit by up to 550 pounds (lbs.) to compensate for the additional weight of the idle reduction technology. Natural gas vehicles and plug-in electric vehicles may exceed the maximum gross vehicle weight limit for comparable conventional fuel vehicles by up to 2,000 lbs. (Reference Assembly Bill 377, 2019)
The New Jersey Advanced AV Task Force (Task Force) was established to conduct a study on AVs, including evaluating the AV safety standards established by the National Highway Traffic Safety Administration, and make recommendations on laws, rules, and regulations that New Jersey may implement to safely integrate AVs in the state. The Task Force must submit a report to the governor and the legislature within 180 days of its first meeting. (Reference Assembly Joint Resolution 164, 2019)
The New Jersey Department of Environmental Protection, New Jersey Board of Public Utilities, and the New Jersey Economic Development Authority signed a memorandum of understanding (MOU) to increase the number of ZEVs in the State and meet the State’s goal of registering 330,000 ZEVs by 2025 through involvement in the New Jersey Partnership to Plug-In (Partnership). The responsibilities of the Partnership include:
- Mapping existing and potential locations for electric vehicle supply equipment (EVSE);
- Reviewing state- and municipal-level permit processes for the installation of EVSE and identifying best practices to streamline these processes;
- Expanding existing efforts to educate consumers about ZEVs;
- Evaluating strategies to finance an EVSE network;
- Developing a rebate program to incentivize the purchase of new and used ZEVs;
- Creating a method to track the usage of EVSE throughout the State;
- Identifying programs and resources that can be used to attract ZEV-related companies to the State; and
- Coordinating with other state agencies and departments to further implement the goals of the Partnership.
All diesel fuel sold for use in on-road motor vehicles to state agencies, political subdivisions of the state, and public schools must contain at least 5% biodiesel (B5). All diesel fuel sold to consumers for use in on-road motor vehicles is mandated to contain at least B5. As of December 12, 2018, the biodiesel blend mandate is suspended through June 15, 2019. (Reference New Mexico Statutes 57-19-27 through 57-19-29)
By January 1, 2021, and upon request by the New Mexico Public Regulation Commission (Commission) thereafter, public utilities must file an application to the Commission to expand transportation electrification. Applications may include, but are not limited to, incentives to facilitate the installation of PEV charging infrastructure, electrification of public fleet vehicles, PEV charging rates, and customer outreach and education programs. The Commission may approve applications based on whether the proposed projects can be reasonably expected to improve the electrical system efficiency of the public utility, to increase access to electricity as a transportation fuel, including in low income and underserved communities, to reduce air pollution and greenhouse gas emissions, and to encourage consumer adoption of PEVs. (Reference House Bill 521, 2019, and New Mexico Statutes 62-3)
Eligible plug-in electric vehicle customers can receive up to $500 in incentives annually by installing a connected car device provided by Con Edison that tracks driving and charging habits, and by charging during off-peak hours. For more information, including how to apply, see the SmartCharge New York website.
Effective August 1, 2019, PEV owners must pay an annual fee in addition to other registration fees. The fee is $120 for all-electric vehicles, $50 for plug-in hybrid electric vehicles, and $20 for electric motorcycles. Fees contribute to the Highway Tax Distribution Fund. (Reference Senate Bill 2061, 2019, and North Dakota Century Code 39-04)
A parking space designated for PEVs must be indicated by signage approved by the North Dakota Department of Transportation that indicates that it is only for PEV charging. The signage must be consistent with the U.S. Federal Highway Administration's Manual on Uniform Traffic Control Devices.An individual is not allowed to stop, stand, or park a motor vehicle within any parking space specifically designated for parking and charging PEVs unless the motor vehicle is connected to the charger. A fee of $50 applies for non-PEVs that park in spaces designated for PEVs.(Reference House Bill 1405, 2019, and North Dakota Century Code 39-06.1-06)
North Dakota state agencies and political subdivisions must facilitate the proper operation of AVs. An AV is defined as a vehicle equipped with an automated driving system. AV operation must follow all applicable federal and state traffic and motor vehicle safety, insurance, accident reporting, titling, and registration laws and regulations. Other conditions may apply. (Reference House Bill 1418, 2019, and North Dakota Century Code 39-01-01.2)
An on-demand AV network may connect passengers to AVs without human drivers. An on-demand AV network is defined as a transportation network company that provides prearranged transportation services of an AV for compensation using a software application or platform to transport persons or goods. (Reference House Bill 1418, 2019, and North Dakota Century Code 8-12-01 and 8-12-02)
Effective January 1, 2020, electric drive vehicles owners must pay an annual fee in addition to other registration fees. The fee is $200 for all-electric and plug-in hybrid electric vehicles and $100 for hybrid electric vehicles. Fees contribute to the Highway Operating Fund. (Reference House Bill 62, 2019, and Ohio Revised Code 4501.01 and 4503.10)
For tax years beginning before December 31, 2027, a one-time income tax credit is available for up to $50,000 towards the cost of purchasing a new original equipment manufacturer AFV or converting a vehicle to operate on an alternative fuel. Tax credit amounts vary depending in the gross vehicle weight rating (GVWR) of the vehicle:
|6,000 pounds (lbs.) or below||$5,500|
|6,001 lbs. to 10,000 lbs.||$9,000|
|10,001 lbs. to 26,500 lbs.||$26,000|
|Greater than 26,501 lbs.||$50,000|
The state also provides a tax credit in the amount of 10% of the total vehicle cost, up to $1,500, if the incremental cost of a new AFV cannot be determined or when an AFV is resold, as long as a tax credit has not been previously taken on the vehicle. Equipment used for conversions must be new; must not have been previously used to modify or retrofit any vehicle; must meet applicable federal and state safety standards; and must be installed by a state certified alternative fuels equipment technician. The alternative fuels eligible for the credit are natural gas and propane. Tax credits may be carried forward for up to five years. (Reference House Bill 2095, 2019, and Oklahoma Statutes 68-2357.22)
For tax years beginning before December 31, 2027, a tax credit is available for up to 45% of the cost of installing commercial alternative fueling infrastructure. Eligible alternative fuels include natural gas, propane, and electricity. The infrastructure must be new and must not have been previously installed or used to fuel alternative fuel vehicles. A tax credit is also available for up to 50% of the cost of installing a residential compressed natural gas fueling system, up to $2,500. The tax credit may be carried forward for up to five years. (Reference House Bill 2095, 2019, and Oklahoma Statutes 68-2357.22)
Residential EWEB customers who purchase a qualified PEV are eligible for a $300 rebate to use toward electricity costs or to help offset the cost of a residential electric vehicle charging station. For more information, including how to apply, see EWEB’s Electric Vehicles website.
Commercial EWEB customers are eligible for a $300 rebate to use toward offsetting electricity costs used to charge a PEV or toward the purchase of Level 2 electric vehicle supply equipment (EVSE). Commercial customers are also eligible for a 4% loan to cover the upfront costs, including installation, of EVSE. For more information, including how to apply, see EWEB’s Electric Vehicles for Business website.
DLC offers rebates to commercial customers for the installation of publicly available Level 2 EVSE. Rebates are available for 100% of make-ready installation costs, up to $32,000 per site. Eligible projects must include a minimum of four dual-port Level 2 networked EVSE. For more information, see the DLC Electric Vehicles website.
DLC offers a one-time bill credit of $60 to residential customers who purchase or lease a PEV. For more information, including how to apply, see the DLC Electric Vehicles website.
FirstEnergy residential customers can lease a Level 2 EVSE for a monthly rate for three years. Included in the lease is the installation of the EVSE and a repair or replacement guarantee for the life of the agreement. For more information, including terms and conditions, see the FirstEnergy Electric Vehicle Charger Lease website.
The South Carolina Office of Regulatory Staff-Energy Office (Energy Office) is awarding up to seven alternative fuel demonstration projects. Projects may receive grants of up to $5,000. Eligible applicants include state agencies, local governments, public colleges and universities, K-12 public schools, and non-profit organizations. For more information, including how to apply, see the Energy Office’s Loans, Grants & Tax Incentives website.
The Tennessee Department of Environment and Conservation (TDEC) will provide funding for the repower or replacement of Class 4-8 shuttle and transit buses, Class 4-7 local freight trucks, and Class 8 local freight trucks and port drayage trucks, with alternative fuel or all-electric models. Alternative fuels include, but are not limited to, compressed natural gas, propane, and hybrid electric technologies. Funding will also be available for light-duty EVSE. Private, public, and non-profit organizations, including state, local, and tribal governments, are eligible for funding. This grant program is funded by Tennessee's portion of the Volkswagen Environmental Mitigation Trust. For more information, including how to apply, see the TDEC Project Solicitations website.
The Utah Public Service Commission (Commission) may allow a gas corporation to set a natural gas vehicle fuel rate that is less than full cost of service if it is reasonable and in the interest of the public. If the Commission approves such a request, the remaining costs may be spread to other customers of the gas corporation.
The Commission may also allow a gas corporation to recover expenditures directly related to the construction, operation, and maintenance of natural gas fueling stations and related facilities through an incremental surcharge to all of its rate classes. The Commission may allow this only if it finds that the expenditures are reasonable, do not exceed $5 million in any calendar year, are in the interest of the public, and will result in an annual incremental increase in revenue greater than 50% of the corporation's annual revenue requirement for the stations and facilities.
The Commission may also allow a gas corporation to establish a natural gas incentive or program to support the use of natural gas, including renewable natural gas, if it is reasonable and in the interest of the public. If the Commission approves such a request, the remaining costs may be spread to other customers of the gas corporation.
Compressed natural gas (CNG) and hydrogen are taxed at a rate of $0.165 per gasoline gallon equivalent (GGE). Liquefied natural gas (LNG) is taxed at a rate of $0.165 per diesel gallon equivalent (DGE). One GGE is equal to 5.660 pounds (lbs.) of CNG or 2.198 lbs. of hydrogen. One DGE is equal to 6.06 lbs. of LNG. Beginning January 1, 2020, the tax rate for natural gas and hydrogen will be annually adjusted by the State Tax Commission (Commission) not to exceed $0.225 per GGE or DGE. The Commission will publish the adjusted fuel tax no later than 60 days prior to the effective date. (Reference Senate Bill 72, 2019, and Utah Code 59-13-102 and 59-13-301)
All local agencies, political subdivisions, or other entities must facilitate the proper operation of AVs in Utah. AVs are motor vehicles equipped with automated driving systems technology that allows vehicle automation to perform the entire driving task on a sustained basis.
AVs must follow all applicable federal and state traffic and motor vehicle safety, insurance, accident reporting, titling, and registration laws and regulations. Other conditions may apply.
Beginning January 1, 2020, the owner or lessee of an AFV may apply for enrollment in the mileage-based revenue collection program. If approved by the Utah Department of Transportation (UDOT), the owner or lessee of an AFV may participate in the program in lieu of paying AFV registration fees. To participate, the owner or lessee of an AFV must report mileage driven, pay the road usage fee for each payment period, and comply with all provisions and requirements.
UDOT will administer the program and establish terms and conditions for participation, including payment periods and standards for mileage recording and payment processing. UDOT will make recommendations to and consult with the Transportation Commission regarding road usage mileage rates for each type of AFV. Additional conditions apply.
(Reference Senate Bill 72, 2019)
Effective July 1, 2019, the Vermont Department of Buildings and General Services (Department) must, to the extent possible, purchase or lease HEVs or PEVs for state use. At least 50% of the vehicles purchased or leased annually must be HEVs or PEVs. Beginning July 1, 2021, at least 75% of the vehicles purchased or leased annually must be HEVs or PEVs. The Department must acquire the lowest-cost make and model that meets the State’s needs. (Reference House Bill 529, 2019, and Vermont Statutes Title 29, Chapter 49, Section 903)
The Vermont Agency of Transportation will administer the PEV Incentive Program, which provides financial incentives to low- and moderate-income residents for the purchase or lease of a new PEV. (Reference House Bill 529, 2019)
The Vermont Agency of Transportation (VTrans) will administer the High Fuel Efficiency Vehicle Incentive and Emissions Repair Program, which provides incentives to replace eligible vehicles with a used vehicle that has a U.S. Environmental Protection Agency (EPA) combined city/highway fuel economy of at least 40 miles per gallon (mpg) and vouchers of up to $2,500 for the repair of vehicles that failed the on-board diagnostic (OBD) systems inspection. Eligible vehicles for replacement include those that have failed the OBD systems inspection or those that are more than 15 years old and have an EPA combined city/highway fuel economy of less than 25 mpg. Eligible vehicles for a repair voucher are those that have failed the OBD systems inspection, require repairs that are not under warranty, and will be able to pass the inspection once the repairs are made.
The Vermont Department of Labor, in consultation with VTrans and other Vermont agencies, must evaluate whether to establish the Emissions Repair Program and submit a report to the legislature regarding how to fund the program on or before February 1, 2020.
(Reference House Bill 529, 2019)
AVs may be operated on public highways for testing purposes if there is a licensed vehicle operator seated in the driver's seat monitoring the safe operation of the AV and capable of taking immediate manual control of the vehicle in the event that the automated driving system fails. Before an AV may be tested on public highways, the Vermont Traffic Committee (Committee) must approve a permit application that defines the scope of the test and demonstrates the ability of the AV tester to comply with testing requirements. An approved AV tester is required to submit a report to the Committee annually, including information about AV safety, traffic operations, interaction with roadway infrastructure, and any public comments, until testing is complete.
By January 1, 2021, the Vermont Agency of Transportation will publish an Automated Vehicle Testing Guide that includes a list of municipalities that have preapproved the testing of AVs in their jurisdictions. 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.
By December 15, 2019, the Vermont Public Utility Commission (Commission), in consultation with electric utilities, the Vermont Agency of Transportation, the Vermont Department of Public Service, and Efficiency Vermont, must submit a report to the legislature evaluating:
- The steps necessary for electric utilities to implement a PEV charging fee;
- A PEV charging tariff design for electric utilities with more than 17,000 customers;
- Whether the Commission should require electric utilities to submit regular reports on PEV charging-related activities;
- The amount of additional revenue electric utilities expect to be generated by PEVs over the next 10 years; and
- How to address the use of net metering and net metering energy credits for PEV charging.
Effective July 1, 2019, any Vermont agency or department that owns or controls EVSE may establish and set user fees. The agency or department may establish fees that are less than the cost of charging, that cover the cost of charging, or that are equal to the retail rate charged for the use of EVSE available to the public. Fees collected must be deposited into the same fund or account from which the EVSE expenses originated. This authorization expires on July 1, 2022. (Reference House Bill 529, 2019, and Vermont Statutes Title 32, Chapter 7, Section 604)
On or before December 1, 2019, the Vermont Agency of Agriculture, Food and Markets (Agency) must submit a report to the legislature that provides an update on the National Institute of Standards and Technology’s (NIST) progress toward adopting a code on EVSE and makes a recommendation for an annual licensing fee for EVSE available to the public. If NIST has not adopted a code on EVSE by December 1, 2020, the Agency must submit an additional report on or before that date which provides an update on NIST’s progress toward adopting a code. (Reference House Bill 529, 2019)
On or before October 15, 2019, the Vermont Agency of Transportation must complete a study and submit a report to the legislature determining whether to implement a rebate program for individuals to purchase or lease fuel-efficient vehicles that is funded by fees collected from individuals that purchase or lease inefficient vehicles. The report must also assess how this incentive program could function with other Vermont incentive programs to reach the plug-in electric vehicle goal in the Vermont Comprehensive Energy Plan. (Reference House Bill 529, 2019)
Public lands used for installing, maintaining, and operating PEV infrastructure are exempt from leasehold excise taxes until January 1, 2020. Additionally, the state sales and use taxes do not apply through July 1, 2025 to PEV and FCEV batteries or fuel cells; labor and services for installing, repairing, altering, or improving PEV and FCEV batteries or fuel cells and PEV and hydrogen fueling infrastructure; the sale of property used for PEV and hydrogen fueling infrastructure, and the sale of zero emission buses. (Reference House Bill 2042, 2019, and Revised Code of Washington 82.29A.125, 82.08.816, 82.12.816, and 82.08.020)
Plug-in electric vehicle (PEV) owners must pay an annual fee of $150 in addition to standard registration fees. Plug-in hybrid electric vehicles with an all-electric range of at least 30 miles are subject to a fee of $75. Beginning October 1, 2019, hybrid electric vehicles are subject to a $75 hybrid vehicle fee. Fees will contribute to the state's Electric Vehicle Infrastructure Bank to deploy charging stations through public-private partnerships. (Reference House Bill 2042, 2019, and Revised Code of Washington 46.17.323)
Compressed, liquefied, and renewable natural gas used as a transportation fuel are exempt from public utility taxes. In addition, natural gas distribution businesses are eligible for an exemption for machinery and equipment used for the production of natural gas for transportation fuel. This exemption is available quarterly as a remittance. (Reference House Bill 1070, 2019, and Revised Code of Washington 82.08.02565 and 82.16.310)
Utilities may petition the Washington Utilities and Transportation Commission (UTC) for a rate of return on EVSE installed for the benefit of ratepayers through December 31, 2030. The UTC may approve an additional 2% to the standard rate of return if the utility installs EVSE on a fully regulated basis similar to other capital investments behind a customer's meter, and the expenditures do not increase ratepayer costs more than 0.25%. EVSE must be installed after July 1, 2015, and all claims are subject to an EVSE depreciation schedule. After the equipment has fully depreciated, the utility may gift the EVSE to the owner of the property. The UTC issued a report on the use and impacts of the incentive on December 1, 2017. (Reference House Bill 1512, 2019, and Revised Code of Washington 80.28.360)
Public utility districts are authorized to sell renewable natural gas and renewable hydrogen to facilities that condense or dispense natural gas or renewable hydrogen for use as a motor fuel. Renewable natural gas is defined as methane gas or other hydrocarbons derived from organic materials. Renewable hydrogen is defined as hydrogen produced using renewable resources as the source of the hydrogen and the source for the energy input into the production process. (Reference Senate Bill 5588, 2019, and Revised Code of Washington 54.04.190)
Businesses are eligible to receive tax credits for purchasing new alternative fuel commercial vehicles and installing alternative fueling infrastructure. Eligible alternative fuels are natural gas, propane, hydrogen, dimethyl ether, and electricity. Tax credits for qualified alternative fueling infrastructure are for up to 50% of the cost to purchase and install the infrastructure. Commercial vehicle tax credit amounts vary based on gross vehicle weight rating (GVWR) and are up to 75% of the incremental cost, with maximum credit values as follows:
|GVWR||January 1, 2018 to January 1, 2021|
|Up to 14,000 pounds (lbs.)||$25,000|
|14,001 to 26,500 lbs.||$50,000|
|Over 26,500 lbs.||$100,000|
This exemption also applies to qualified used vehicles modified with a U.S. Environmental Protection Agency-certified aftermarket conversion, as long as the vehicle is being sold for the first time after modification. Modified vehicles are eligible for credits equal to 50% of the commercial vehicle conversion cost, up to $25,000.
Each entity may claim up to $250,000 or credits for 25 vehicles per year. Credits may be earned between January 1, 2016, and January 1, 2021. All credits earned must be used in that calendar year or the subsequent year. Tax credits are available on a first-in-time basis and are subject to annual limits of $2 million for vehicle credits, and $6 million for infrastructure. The maximum total funding that can be provided for the tax credits is $32.5 million.
The Washington State Department of Transportation (WSDOT) has developed a pilot funding program to strengthen and expand the West Coast Electric Highway network by deploying direct current (DC) fast charging infrastructure along highway corridors in Washington. The pilot program ends June 30, 2019.Effective August 1, 2019, the funding program expands to include hydrogen fueling infrastructure along highway corridors in Washington.For more information, see the WSDOT's Electric Vehicle Charging Infrastructure website. (Reference House Bill 2042, 2019, and Revised Code of Washington 47.04.350)
The governing authority or commission of an electric utility may adopt an electric transportation plan that proves that utility outreach and investment in the electrification of transportation infrastructure does not increase net costs to ratepayers in excess of 0.025%. The governing authority or commission may consider items such as the impact of electrification on the utilities load, demand response and load management opportunities, system reliability and distribution system efficiencies, and interoperability concerns. Upon making this determination, electric utilities may offer incentive programs for customers. (Reference House Bill 1512, 2019, and Revised Code of Washington 35.92 Section 2, 54.16 Section 3)
The Washington State Department of Transportation (WSDOT) will establish a green transportation capital grant program to fund projects to reduce the carbon intensity of the Washington transportation system, including fleet electrification, modification or replacement of facilities to facilitate fleet electrification and hydrogen fueling, upgrades to electrical transmission and distribution systems, and construction of charging and fueling infrastructure. In order to receive funding for a project, a transit authority must provide matching funding for that project that is at least equal to 20% of the total cost of the project. (Reference House Bill 2042, 2019, and Revised Code of Washington 47.66)
Effective July 28, 2019, the retail sales tax of 6.5% does not apply to the sale or lease of new or used passenger vehicles, light-duty trucks, and medium-duty passenger vehicles that are exclusively powered by an alternative vehicle fuel or are capable of running solely on electricity for at least 30 miles. Eligible alternative fuels are natural gas, propane, hydrogen, and electricity. Vehicles must not have a selling price plus trade-in property value that exceeds $45,000 for new vehicles and $30,000 for used vehicles. The maximum eligible amount for used purchased or leased vehicles is $16,000. The maximum eligible amounts for new purchased or leased vehicles are as follows:
|Through July 31, 2021||$25,000|
|August 1, 2021 – July 31 2023||$20,000|
|August 1, 2023 – July 31 2025||$15,000|
The Washington State Department of Commerce (WSDOC) must conduct a study to identify opportunities to reduce barriers to EV and FCEV adoption by lower income residents through the use of vehicle and infrastructure financing assistance. The study must include opportunities to work with nonprofit leaders to facilitate vehicle purchases through loan-loss reserves and rate buy downs by qualified borrowers purchasing EV and FCEVs that are eligible for tax exemptions, focus on potential borrowers who are at or below 80% of the state medium household income, and address opportunities to increase EV adoption by lower income residents of the state. WSDOC must provide a report detailing the findings of the study to the transportation committees by June 30, 2019. (Reference House Bill 2042, 2019)