Search Federal and State Laws and Incentives

Idle Reduction and Natural Gas Vehicle (NGV) Weight Exemption

Any motor vehicle equipped with idle reduction technology may exceed the gross vehicle or internal bridge weight by the amount equal to the certified weight of the idle reduction technology, up to 550 pounds (lbs.). To be eligible, the operator must present written verification of the weight of the idle reduction technology and demonstrate that it is fully functional at all times. Any NGV may exceed the limits by up to 2,000 lbs. (Reference Florida Statutes 316.545)

Authorization for Alternative Fuel Infrastructure Incentives

Local governments may use income from the infrastructure surtax to provide loans, grants, or rebates to residential or commercial property owners to install electric vehicle supply equipment (EVSE) as well as propane and natural gas fueling infrastructure, if a local government ordinance authorizing this use is approved by referendum. (Reference Florida Statutes 206.9951 and 212.055)

Natural Gas and Propane Retailer License

Natural gas and propane retailers must obtain a license from the Florida Department of Revenue. Through December 31, 2018, a retailer that does not hold a valid license is subject to a penalty of $200 per month of operation without a license. Beginning January 1, 2019, the penalty will be 25% of the tax assessed on total purchases. Exemptions may apply. (Reference Florida Statutes 206.9952)

Natural Gas and Propane Tax

Effective January 1, 2019, propane, compressed natural gas (CNG), and liquefied natural gas (LNG) will be subject to an excise tax at a rate of $0.04 per gasoline gallon equivalent (GGE), plus a $0.01 ninth-cent fuel tax, a $0.01 local option fuel tax, and an additional variable component to be determined by the Florida Department of Revenue (Department) each calendar year for the following 12-month period. To determine this tax, the Department will require each propane and natural gas retailer to file monthly electronic reports beginning February 2019. For taxation purposes, one GGE is equal to 5.66 pounds (lbs.) or 126.67 standard cubic feet of CNG; 6.06 lbs. of LNG; and 1.35 gallons of propane. Exemptions may apply. (Reference Florida Statutes 206.9955, 206.9965, and 206.996)

Natural Gas and Propane Reports

The Florida Office of Program Policy Analysis and Government Accountability (Office) was required to complete a report that analyzes the taxation and use of natural gas and propane as alternative fuels in the state. The report evaluates growth trends in the use of these fuels in Florida and surveyed how other states tax and incentivize consumers to use natural gas and propane. Additionally, the report surveyed Florida fuel consumers and suppliers. The Office published its review of the taxation of natural gas and propane in October 2017.

The Office was also required to analyze the economic benefits resulting from the Department of Agriculture and Consumer Services' propane and natural gas vehicle rebates. The Office submitted a final report to the Department of Agriculture and Consumer Services in November 2015.

(Reference Florida Statutes 206.997)