Search Federal and State Laws and Incentives

Alternative Fuel Vehicle (AFV) Rebate

The AFV Program offers rebates to assist eligible residents with the incremental cost of the purchase or lease of new AFVs, including all-electric vehicles (EVs), plug-in hybrid electric vehicles (PHEVs), hydrogen fuel cell electric vehicles (FCEVs), natural gas vehicles (NGVs), and propane vehicles. Eligible vehicles must have a total purchase price not exceeding $60,000. Rebates are available in the following amounts:

An additional rebate of $500 is available for all vehicles if an applicant meets the low-income requirement, as defined by the U.S. Department of Health and Human Services. Rebates are awarded on a first-come, first-served basis. For more information, including forms and detailed requirements and restrictions, see the AFV Rebates website.

(Reference Title 73 Pennsylvania Statutes, Chapter 18E, Section 1647.3)

Alternative Fuel and Idle Reduction Grants

The Small Business Advantage Grant Program provides matching grants of 50%, up to $9,500, to enable a Pennsylvania small business to adopt or acquire energy-efficient or pollution prevention processes or equipment. Pennsylvania trucking companies and independent truckers may use the funding to purchase U.S. Environmental Protection Agency SmartWay verified anti-idling technologies. Projects may not begin until after applications are approved. For more information, refer to the Small Business Advantage Grant Program website.

Idle Reduction Requirement

Diesel vehicles with a gross vehicle weight rating over 10,000 pounds may not idle for more than five minutes in any continuous 60 minute period. Exemptions include: uncontrollable traffic conditions; prevention of safety or health emergencies; emergency or law enforcement purposes; verification that a vehicle is safe to operate; vehicle maintenance; power work-related operations; sampling, weighing, or loading; bus passenger comfort; vehicles actively engaged in solid waste or recyclable material collection; vehicles complying with manufacturer specifications; and vehicles meeting California Air Resources Board oxides of nitrogen idling emission standards. (Reference Title 35 Pennsylvania Statutes, Chapter 23B, Section 4603)

Idle Reduction and Natural Gas Vehicle (NGV) Weight Exemption

A vehicle equipped with qualified idle reduction technology may exceed the state's gross and axle weight limits by up to 400 pounds (lbs.) to compensate for the additional weight of the idle reduction technology. A vehicle primarily powered by natural gas may exceed the state's gross vehicle weight limits by a weight equal to the difference between the weight of the vehicle with the natural gas tank and fueling system and the weight of a comparable vehicle with a diesel tank and fueling system. The NGV maximum gross weight may not exceed 82,000 lbs. (Reference Title 35 Pennsylvania Statutes, Chapter 23B, Section 4604 and Title 75 Pennsylvania Statutes, Chapter 49, Section 4941)

Aftermarket Alternative Fuel Vehicle (AFV) Conversion Requirements

Conventional original equipment manufacturer passenger vehicles and light-duty trucks may be converted to operate on alternative fuels as a dedicated or bi-fuel AFV. Vehicles altered to operate on propane, natural gas, methane, ethanol, or electricity are classified as aftermarket AFV conversions. All vehicle conversions must meet current applicable U.S. Environmental Protection Agency or California Air Resources Board standards for aftermarket conversions. (Reference Pennsylvania Department of Environmental Protection Policy on Clean Alternative Fuel Conversion Systems)

Heavy-Duty Truck and Transit Bus Grants

The Pennsylvania Department of Environmental Protection offers competitive grants for the replacement or repower of Class 8 local freight trucks and transit buses. Model Years (MY) 1992 through 2009 local freight trucks and MY 2009 and older transit buses will be eligible for replacement or repower with new diesel, electric, or alternative fuel vehicles or technologies. Vehicles or engines being replaced or repowered must be scrapped in accordance with program guidelines. This grant program is funded by Pennsylvania's portion of the Volkswagen Environmental Mitigation Trust. For more information, including program guidelines, grant amounts, and application periods, see the Driving Pennsylvania Forward website.

Medium- and Heavy-Duty Vehicle Rebates

The Pennsylvania Department of Environmental Protection (DEP) offers rebates for the replacement or repower of Class 4-7 local freight trucks and port drayage trucks and Class 4-8 school and shuttle buses. Qualified Model Years (MY) 1992 through 2009 Class 4-7 trucks and eligible MY 2009 and older buses are eligible for rebates for replacement or repower with new diesel, electric, or alternative fuel vehicles or technologies. Vehicles or engines being replaced or repowered must be scrapped in accordance with program guidelines. DEP must approve all project applications and will process rebates on a first-come, first-served basis. This rebate program is funded by Pennsylvania's portion of the Volkswagen Environmental Mitigation Trust. For more information, including program guidelines, grant amounts, and application periods, see the Driving Pennsylvania Forward website.

Alternative Fuels Incentive Grant (AFIG) Program

The AFIG Program provides financial assistance for innovative, advanced fuel and vehicle technology projects. Projects that result in product commercialization and the expansion of Pennsylvania companies are favored in the selection process. Eligible applicants include school districts, municipal authorities, political subdivisions, non-profits, corporations, limited liability companies or partnerships incorporated or registered in the Commonwealth to support:

• Incremental cost expenses relative to retrofitting vehicles to operate on alternative fuels as a bi-fuel, dual-fuel, hybrid or dedicated vehicle
• Incremental cost expenses to purchase bi-fuel, dual-fuel, hybrid or dedicated vehicles
• The cost to purchase and install the necessary fleet refueling or home-refueling equipment for bi-fuel, dual-fuel, hybrid or dedicated vehicles
• The cost to perform research, training, development and demonstration of new applications or next-phase technology related to AFVs.

(Reference Title 73 Pennsylvania Statutes, Chapter 18E, Section 1647.3)