Bipartisan legislation in the U.S. House of Representatives looks to offset the costs of setting up alternative fuel equipment at gas stations.
Introduced on July 31 by Rep. Stephanie Herseth Sandlin (D-SD) and Rep. John Shimkus (R-IL), the proposed legislation would increase the federal income tax credit that assists to offset the cost of alternative fuel infrastructure. The legislation would increase the existing federal income tax credit from $30,000 or 30 percent of the total cost of improvements to $100,000 or 50 percent of the total cost of needed alternative fuel equipment and dispensing improvements.
“Our automaker members have pledged to produce 50 percent of their total vehicle production as flexible fuel by 2012 if the infrastructure is available to support such vehicles,” says Phil Lampert, executive director of the National Ethanol Vehicle Coalition (NEVC). “Even though we now have 1,650 E85 fueling locations, this still represents less than 1 percent of the total gasoline fueling stations. We are convinced that if this proposal were adopted, the nation would have no less than 10,000 E85 fueling sites in a short period of time.”
The E85 and Biodiesel Access Act (H.R. 6734) is supported by NEVC, the American Coalition for Ethanol, the Renewable Fuels Association, the National Association of Convenience Stores, and the National Biodiesel Board.