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Federal Incentives

Qualified Plug-In electric Drive Motor Vehicle Tax Credit

  • What:
    A tax credit is available for the purchase of a new qualified plug-in electric drive motor vehicle that draws propulsion using a traction battery that has at least four kilowatt hours of capacity, uses an external source of energy to recharge the battery, has a gross vehicle weight rating of up to 14,000 pounds, and meets specified emission standards.
  • How Much:
    The minimum credit amount is $2,500, and the credit may be up to $7,500, based on each vehicle�s traction battery capacity and the gross vehicle weight rating.
  • Expiration:
    This tax applies to vehicles acquired after December 31, 2009.  Through December 31, 2011, qualified plug-in electric vehicle conversions are also eligible for a tax credit for 10% of the conversion cost, not to exceed $4,000.

 

Federal Grant Programs

EPA- Diesel Emissions Reduction Act (DERA) Grant

  • What:
    Administered by the EPA � awarded on a regional basis, DERA funds are available yearly on a competitive grant basis.
  • How Much:
    EPA will fund the incremental cost of a replacement vehicle up to 25% of the total cost of the vehicle.

 

Clean Cities

  • What:
    Various grant opportunities nationally.  Available through each Clean Cities Coordinator.
  • How Much:
    Up to 50% total cost of the vehicle.  May vary with funding opportunities.

 

Congestion, Mitigation and Air Quality Funds � CMAQ Program

  • What:
    Federal money disbursed to states.  States administer to localities based on air quality.
  • How Much:
    Varies.  See State-by-State Programs.

Arizona


Alternative Fuel Vehicle (AFV) High Occupancy Vehicle (HOV) Lane Exemption

  • What:
    Dedicated AFVs are permitted to use HOV lanes, regardless of the number of passengers. HOV lane use may become restricted if certain speed criteria are met.

Reduced Alternative Fuel Vehicle (AFV) License Tax

  • What:
    The initial annual vehicle license tax on an AFV is lower than the license tax on a conventional vehicle.  The vehicle license tax on an AFV is $4 for every $100 in assessed value. The assessed value of the AFV is determined as follows: during the first year after initial registration, the value of the AFV is 1% of the manufacturer�s base retail price (as compared to 60% for conventional vehicles); during each succeeding year, the value of the AFV is reduced by 15%. 

Alternative Fuel and Alternative Fuel Vehicle (AFV) Tax Exemption

  • What:
    The Arizona use tax does not apply to a qualified EV.  

Electric Vehicle (EV) Parking Space Regulation

  • What:
    An individual is not allowed to stop, stand, or park a motor vehicle within any parking space specifically designated for parking and charging EVs unless the motor vehicle is an EV and has been issued an alternative fuel vehicle special plate or sticker.

California


Hybrid Vehicle Incentive Project (HVIP) 

  • What:
    CARB provides vouchers to eligible fleets to reduce the incremental cost of qualified medium and heavy-duty vehicles at the time of purchase.
  • Expiration:
    First come, first serve basis. Dealer applies for funds.  Replenished each fiscal year.
    Refer to the HVIP Web site for a list of qualified vehicles and other requirements.



AIR DISTRICT INCENTIVES  
http://www.arb.ca.gov/capcoa.roster.htm

Alternative Fuel Vehicle and Fueling Infrastructure Grants

  • What:
    Funding for projects that reduce air pollution from on and off-road vehicles.  Purchase AFV�s and alt fuel infrastructure eligible for funding.
  • How Much:
    Per air district.

Emission Reductions Grant
Carl Moyer Memorial Air Quality Attainment Program or the Voucher Incentive Program (VIP) 

  • What:
    Provides funding to cover incremental cost of purchasing engines and equipment that are cleaner than required by law.

Low Emissions School Bus Grants

  • What:
    Provides grant funding for the replacement of older school buses and for the purchase of air pollution control equipment for in-use buses.
  • How Much:
    Per air district.

Colorado


Low Emission Vehicle Sales Tax Exemption

  • What:
    Vehicles certified to federal LEV standards or better are exempt from state sales tax. Applies to vehicles over 10,000lbs GVWR.
  • How Much:
    2.9%

AFV and HEV Rebate

  • What:
    Rebate for vehicles owned by the state, a political subdivision of the state, or a tax-exempt organization and be used in connection with the official activities of the entity.
  • How Much:
    75% of the incremental cost of the vehicle up to $350,000 per fiscal year per entity.

Alternative Fuel, Advanced Vehicle and Idle Reduction Equipment Tax Credit

  • What:
    Income tax credit for a motor vehicle titled and registered in Colorado that uses or is converted to use an alternative fuel, is a hybrid electric vehicle, etc.
  • How Much:
    The credit is capped at $6,000 for the following: alternative fuel vehicles (AFVs), AFV conversions, HEVs, plug-in hybrid electric vehicles (PHEVs), PHEV conversions, idle reduction technologies, and power source replacements: there is no cap on natural gas vehicles. Between 2012 and 2016, the cap on PHEV conversions increases to $7,500.

Florida


HOV Lane Exemption

  • What:
    Drivers may operate Inherently Low Emission Vehicles and Hybrid Electric Vehicles in HOV lanes at any time.  A vehicle that meets or exceeds California standards.
  • How Much:
    The vehicle must display a Florida Division of Motor Vehicles issued decal, which is renewed annually. Special fees may apply.

EV Charging Equipment Financing

  • What:
    Property owners may apply to their local government for funding to help finance installations of EV charging equipment at their property.

Georgia


Zero-Emission Vehicle Tax Credit

  • What:
    An income tax credit for the purchase of a pure electric vehicle.
  • How Much:
    Tax credit is 20% of cost to purchase or lease a new ZEV, up to $5,000 per vehicle.

HOV Lane Exemption

  • What:
    Any AFV with alternative fuel license plate allowed to use HOV lanes.

Electric Vehicle Supply Equipment Tax Credit

  • What:
    An eligible business enterprise may claim an income tax for the purchase of qualified EVSE.
  • How Much:
    10% of the cost, up to $2,500.

Plug-In Electric Vehicle Charging Rate Incentive � Georgia Power

  • What:
    Georgia offers a Plug-in-Electric Vehicle (PEV) time of use electricity rates.
  • How Much:
    The PEV rate is optional and does not require a separate meter.

Hawaii


Electric Vehicle (EV) High Occupancy Vehicle (HOV) Lane

  • What:
    Qualified EVs affixed with special state-issued EV license plates may use HOV lanes.

Parking Fee Exemptions

  • What:
    EV�s are also exempt from parking fees charged by non-federal governmental authority.

Plug-In Electric Vehicle Charging Rate Incentive � Hawaiian Electric Company

  • What:
    Hawaiian Electric Company offers Electric Vehicle (EV) Pilot Rates for both residential and commercial customers.
  • How Much:
    The pilot EV rates are available to 1,000 customers on Oahu, 300 in Maui County, and 300 on the Island of Hawaii for charging highway-capable, four-wheeled battery electric and plug-in hybrid electric vehicles.

Transportation Energy Diversification Project

  • What:
    Grant opportunity for the acquisition of EVs, installation of EV charging infrastructure, etc.

EV and EVSE Rebates

  • What:
    Qualified Hawaii residents, businesses, government agencies, and non-profit agencies may apply for rebates for the purchase of plug-in hybrid and battery electric vehicles (EVs) and EVSE through the Hawaii EV Ready Rebate Program.
  • How Much:
    EV rebates are 20% of the vehicle purchase price, up to $4,500, and are restricted to one EV per applicant. EVSE rebates are 30% of the charging system cost including installation, up to $500.

Illinois


Illinois Alternative Fuels Rebate Program

  • What:
    Provides a rebate for the purchase of AFV, including electricity.
  • How Much:
    80% of the incremental cost up to $4,000.

Fleet User Fee Exemption

  • What:
    Fleet with 10 or more vehicles in defined areas must pay an annual user fee of $20 per vehicle.  Owners of EV�s are exempt from this fee.
  • How Much:
    $20 fee saved per vehicle.

Indiana


Plug-In Electric Vehicle Charging Rates and Infrastructure Incentive � Indianapolis Power & Light

  • What:
    The Indianapolis Power & Light Company (IPL) offers special plug-in electric vehicle charging rates, including year-round time-of-use based options, for residential and fleet customers who own a licensed electric or plug-in electric vehicle.
  • How Much:
    IPL will provide Level 2 electric vehicle supply equipment (EVSE) and the associated metering equipment for the first 150 eligible customers to take advantage of the special rate. IPL will also cover the cost of a standard installation of the equipment. Restrictions apply.
    Indianapolis residents and visitors may also use public EVSE by paying a flat fee of $2.50 per charging session.

Maryland


Maryland Electric Truck Program

  • What:
    A voucher will be provided to help offset the cost of purchasing electric medium/heavy duty trucks.
  • How Much:
    $20,000 (Pilot Program 2011 for 25 vehicles)

Electric Vehicles Access to High Occupancy Vehicles Lanes (HOV) 

  • What:
    Beginning Oct. 1, 2010, permitted EV�s may operate in Maryland HOV lanes.
  • How Much:
    Permit fee of $20 may apply.  # of permits issues may be limited per year.

Electric Vehicle Supply Equipment (EVSE) Tax Credit

  • What:
    Effective July 1, 2011, the Maryland Energy Administration (MEA) offers an income tax credit.
  • How Much:
    A tax credit equal to 20% of the cost of qualified EVSE that meets the definition of qualified alternative fuel vehicle refueling property as set forth in the Internal Revenue Code.The credit may not exceed $400 or the state income tax imposed for that tax year, whichever is greater.
    Total funds currently available for the tax credit are $400,000 for the 2011 tax year; $500,000 for the 2012 tax year; and $600,000 for the 2013 tax year.

Plug-In Electric Vehicle Tax Credit

  • What:
    Purchasers of qualified all-electric (EVs) and plug-in hybrid electric vehicles (PHEVs) may apply for a tax credit.
  • How Much:
    Up to $2,000 against the imposed excise tax.  The tax credit is limited to one vehicle per individual and 10 vehicles per business entity.

Michigan


Alternative Fuel Vehicle (AFV) Emissions Inspection Exemption

  • What:
    Dedicated AFVs powered by compressed natural gas, propane, electricity, or any other source as defined by rules the Michigan Department of Transportation promulgates are exempt from emissions inspection requirements.

Plug-In Electric Vehicle Charging Rate Reduction

  • What:
    DTE Energy offers a reduced electricity rate to qualified residential customers for charging all-electric and plug-in hybrid electric vehicles.
  • How Much:
    Reduced electricity rate during off-peak hours. A flat rate option is also available.

New York


New York State Zero-Emission Vehicle Incentive Program (Beginning 2012)

  • What:
    State program to provide vouchers to qualified all-electric vehicle purchasers.
  • How Much: 
    Up to $20,000 per vehicle.

NYC Private Fleet Program

  • What:
    Provides funding to private sector and non-profit entities operating within the 5 boroughs to acquire AFVs.
  • How Much:
    Voucher Program to be announced 2012.

Hunts Point Clean Truck Program

  • What:
    Provides funding to private sector and non-profit entities operating within the Hunts Point area.

HOV Lane Exemption

  • What:
    Clean Pass Program allows eligible vehicles to use the Long Island Expressway HOV lanes.
  • How Much:
    No limit on the number of occupants in the vehicle

School Bus Emission Reduction Funding

  • What:
    The New York State Energy Research and Development Authority (NYSERDA) administers the Clean Air School Bus Program, which provides funds to New York state and local transit agencies, municipalities, and schools.
  • How Much:
    Funding will cover the cost of purchasing and installing emissions control retrofit devices on school buses.


 

 

 

 

North Carolina


Alternative Fuel and AFV Fund

  • What:
    NC State Energy Office administers program to offset the incremental costs of purchasing AFVs including EV�s for municipal, state departments, etc.
  • How Much:
    Up to 100% incremental cost.

Plug-In Electric Vehicle High Occupancy Vehicle (HOV) Lane Exemption

  • What:
    Qualified plug-in electric vehicles, including all-electric vehicles and plug-in hybrid electric vehicles, may use North Carolina HOV lanes.

Ohio


Heavy-Duty Emission Reduction Grant and Loan Program

  • What:
    DERA Grant and Revolving Loan Program. Public and Private Fleets applicable must apply through CMAQ eligible organization.

Alternative Fuel and Fueling Infrastructure Grants

  • What:
    The Alternative Fuel Transportation Grant Program provides funding for the cost of purchasing and installing fueling facilities.
  • How Much:
    Up to 80% of the cost of purchasing and installing fueling facilities offering fuel types E85 and fuel blends containing at least 20% biodiesel (B20).  The Program also provides funding for up to 80% of the incremental cost of purchasing and using alternative fuel for businesses, nonprofit organizations, public school systems, and local governments.

Oregon


AFV and Fueling Infrastructure Tax Credit for Businesses

  • What:
    Business owners in Oregon may be eligible for tax credit for alt fuel infrastructure and afv purchase.
  • How Much:
    Up to 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 bay be taken in one year.
Commercial Electric Truck Incentive Program (CETIP)
  • What:
    Voucher for the purchase of an all-electric truck over 10,000 lbs


Pennsylvania


Alternative Fuel Vehicle (AFV), Hybrid Electric Vehicle (HEV), and Fueling Infrastructure Funding

  • What:
    The Alternative Fuels Incentive Grant (AFIG) Program provides various financial assistance programs, information on alternative fuels, AFVs, HEVs, plug-in hybrid electric vehicles, and anti-idling technologies that use alternatives to diesel fuel for heavy-duty trucks, and advanced vehicle technology research, development, and demonstration. The Alternative Fuels Incentive Grant (AFIC) Program provides various financial assistance programs for alternatives to diesel fueled trucks for research development and demonstration.

 

Tennessee


Alternative Fuel Infrastructure Development Program

  • What:
    Infrastructure fueling program.  Private sector business may use funds to locate or expand fueling infrastructure in the state and to create or retain jobs for Tennesseans.

HOV Lane Exemption

  • What:
    EPA defined inherently Low Emission Vehicles and Low Emission Vehicles with a GVWR of 26,000 lbs or less are permitted in HOV Lanes.  Permitted use of HOV lanes, regardless of the number of occupants.

Texas


Clean Vehicle and Infrastructure Grants

  • What:
    Emissions Reduction Incentive Grant � Vehicle Replacements Included. Infrastructure included.
  • How Much:
    Provides grants for various types of clean air projects to improve air quality in the state�s nonattainment areas.

New Technology Research and Development Program (NTRD)

  • What:
    Texas Emissions Reduction Plan � provides grants to encourage and support research, development and commercialization of technologies that reduce pollution.

Clean Fleet Grants

  • What:
    Encourages fleet owners to permanently remove diesel vehicles from the road and replace them with AFVs and HEVs.
  • How Much:
    Incremental Cost.

Virginia


Alternative Fuels Revolving Fund

  • What:
    Loans and grants available to municipal, county, and state government to support alt fuel programs including electricity.
  • How Much:
    Pay for AFV maintenance, operation, evaluation, or testing; pay for vehicle conversions; or improve alternative fuel infrastructure.

Washington


Alternative Fuel Vehicle Tax Exemption

  • What:
    New passenger cars, light-duty trucks, and medium-duty passenger vehicles.  Including EVs.  Must be part of a fleet of at least 5 vehicles.
  • How Much:
    Exempt from state sales and use taxes.

EV and PHEV Demonstration Grants

  • What:
    Vehicle Electrification Demonstration Grant Program provides funding to state agencies, public school districts, public utility districts, political subdivisions, etc.

Washington D.C.


Alternative Fuel Vehicle Exemption from Driving Restrictions

  • What:
    Certified Clean Fuel vehicles are exempt from time-of-day and day-of-week restrictions and commercial vehicle bans, if vehicles are part of a fleet that operates at least 10 vehicles in an ozone non-attainment area.
  • How Much:
    Does not permit unrestricted access to HOV lanes, except for covered fleet vehicles that have been certified by EPA as ILEV.

 

West Virginia


Alternative Fuel Vehicle (AFV) Tax Credit

  • What:
    An income tax credit is available to eligible taxpayers who convert a vehicle to operate exclusively on an alternative fuel or purchase a new original equipment manufacturer dedicated or bi-fuel AFV.
  • How Much:
    The value of the tax credit is 35% of the vehicle purchase price or 50% of the vehicle conversion cost, up to $7,500 for vehicles with a gross vehicle weight rating (GVWR) up to 26,000 pounds (lbs.) and up to $25,000 for vehicles with a GVWR greater than or equal to 26,000 lbs.