HB699 Alabama 2012 Session

Summary

Primary Sponsor

Greg Wren

Republican

Session

Regular Session 2012

Title

Alternative fuels, incentives, biodiesel, cellulosic alcohol, compressed natural gas, use of vehicles using alternative fuels promoted, Sec. 23-2-150 am'd

Summary

HB699 would promote use of alternative-fuel vehicles in Alabama through incentives, tax credits, in-state biofuel support, and regulatory changes that favor biodiesel, cellulosic ethanol, and other alternative fuels.

What This Bill Does

It creates incentives for acquiring vehicles powered by compressed natural gas, liquefied natural gas, propane, or electricity and for installing refueling equipment. It establishes an in-state biodiesel and cellulosic ethanol payment program run by the Center for Alternative Fuels, with quarterly payments for five years. It provides liability protection for refueling-equipment providers, toll exemptions and HOV-lane access for certain alt-fuel vehicles, and imposes no PSC rate regulation for electric vehicle charging. It also adds income tax credits for purchasing eligible vehicles and for installing refueling equipment, with caps and five-year carryforward, plus related regulations and severability provisions.

Who It Affects

• In-state biodiesel and cellulosic ethanol producers, who could receive quarterly payments (up to specified quarterly amounts) and must file quarterly production reports to receive funds, with payments expiring after five years.
• Alabama residents and businesses purchasing or placing in service permitted vehicles or installing refueling/electric charging equipment, who could receive income tax credits (up to $1,500 per vehicle or $1,500 for modifications; refueling equipment credits with caps) and may gain toll exemptions, HOV-lane access, and voluntary EV charging installations. Insurance providers and toll authorities may also be affected by related provisions.

Key Provisions

• New biodiesel and cellulosic ethanol payment program: quarterly payments (biodiesel: $900,000 total per quarter; cellulosic ethanol: $1,250,000 per quarter minus prior quarter) administered by the Center for Alternative Fuels; payments expire after five years.
• In-state production requirement: payments limited to Alabama-produced biodiesel and cellulosic ethanol; producers must report production and sales quarterly; payments made by last day of April, July, October, and January.
• Liability protection for refueling equipment providers: providers are not liable civilly or criminally for acts related to installed equipment if it complies with applicable building codes.
• Toll road exemptions: certain alternative-fuel vehicles are exempt from tolls on Alabama Toll Road, Bridge, and Tunnel Authority facilities; the bill allows designated alt-fuel vehicles to use toll roads without paying tolls under defined conditions.
• Insurance surcharge ban: insurance companies are prohibited from imposing surcharges on certain alternative-fuel vehicles.
• HOV lanes: DOT may designate certain roads as HOV lanes and allow eligible alt-fuel and other vehicles to use them; decals and registration certificates required; penalties for unauthorized use; DOT to issue decals and finalize regulations within specified timeframes.
• Electric vehicle charging: installation of charging stations is voluntary; providers of charging services are not automatically retail electric sellers; PSC has no jurisdiction over EV charging rates, charges, or fees.
• Electric vehicle charging definitions and credits: creates tax credits for permitted vehicles and for refueling equipment (electric charging stations); credits for qualified vehicles or modifications: up to the lesser of 100% of cost or $1,500; credits for refueling equipment: up to 30% of cost or fixed caps ($5,000 for CNG; $2,000 for LNG/propane; $500 for electricity); five-year carryforward; credits expire five years after the act's effective date.
• Designation of “permitted vehicle” and “specified engine”: includes vehicles powered by CNG, LNG, LPG, or electric engines with specified battery capacity and rechargeability.
• Regulatory framework and severability: general authority to issue regulations; invalid or unconstitutional provisions may be severed; conflicting laws repealed; multiple sections have specific effective dates.
• Effective dates: Section 2 (definitions) takes effect October 1, 2012; Sections 5 and 8 take effect the first day of the second full month after passage; all other sections take effect immediately or as specified.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Alternative Fuels