Natural Gas-Powered Vehicles....A Good Thing

Bill in US Congress to Boost Natural Gas Vehicles

2 April 2009

US Congressman Dan Boren (D-OK-02), Democratic Caucus Chairman John Larson (D-CT-01), Congressman John Sullivan (R-OK-01) have introduced a bill to expand the use of natural gas as an alternative to conventional transportation fuel.

Provisions of the New Alternative Transportation to Give Americans Solutions Act, or NAT GAS Act (H.R. 1835) include:

• An 18-year extension of three critical tax incentives that focus on natural gas as a transportation fuel, the purchase of natural gas-fueled vehicles (NGVs), and the installation of commercial and residential natural gas refueling pumps.

  Currently, the alternative fuel credit expires at the end of 2009, and the vehicle and refueling pump credits expire at the end of 2010. The legislation would also modify the current tax credits to provide even greater incentive for state and municipal fleet managers to buy natural gas vehicles and engines.

• A new tax credit for auto manufacturers that produce natural gas and bi-fuel vehicles.

• A requirement that by the end of 2014 at least 50% of the new vehicles purchased and placed into service by the federal government to be capable of operating on compressed or liquid natural gas.

• Grants for light and heavy-duty natural gas vehicle and engine development.