Nebraska Policy Data

Summary

	Nebraska has a loan program in place for AFV purchase or conversion. Bus fleets that carry 7 or more passengers can apply for a refund on purchased CNG or LNG within municipal districts. Nebraska has set an excise tax rate on CNG and LNG. Nebraska defines LNG as a compressed fuel.

Vehicles

Current Estimated Fleet-based NGVs in Nebraska

~115

Vehicles by Fuel Type

Stations

Current Public NGV Fueling Stations - 9 CNG / 5 LNG

Private NGV Fueling Stations - 3 CNG

Fuel Taxes

Nebraska Motor Fuel Taxation Website

CNG -27.3 ¢ / GGE **

LNG -27.3 ¢ / Gallon ** - Definition - Reference

Gasoline - 27.3 ¢ / Gallon

Diesel - 27.3 ¢ / Gallon

Nebraska tax rates are updated in January and June of each year. Nebraska has a Petroleum Release Remedial Action Fee (PRF) of 9.0 cents on gasoline, and 3.0 cents on diesel. It does not apply to alternative fuels.

IFTA - IFTA taxes are applied to vehicles of 3+ axles, or weighing more than 26,000 pounds. IFTA tax tables can be found here.

Incentives

Alternative Fuel Vehicle (AFV) and Fueling Infrastructure Loans

The Nebraska Energy Office administers the Dollar and Energy Saving Loan Program (Program). The Program makes low-cost loans available for a variety of alternative fuel projects, including the replacement of conventional vehicles with AFVs; the purchase of new AFVs; the conversion of conventional vehicles to operate on alternative fuels; and the construction or purchase of a fueling station or equipment. The maximum loan amount is $750,000 per borrower, and the interest rate is 5% or less.

Alternative Fuel Tax Refund

The Motor Fuel Tax Enforcement and Collection Division of the Nebraska Department of Revenue will refund taxes paid on compressed natural gas, liquefied natural gas, and liquefied petroleum gas or propane when the fuel is used to operate buses capable of carrying seven or more passengers within or near a municipality. (Reference Nebraska Statutes 66-6,100 and 66-6,109.01)

Alternative Fuel Vehicle Conversion Rebate

The Nebraska Energy Office (NEO) offers rebates for qualified AFV conversions completed after January 4, 2016. The rebate amount for vehicle conversions is 50% of the cost of the equipment and installation, up to $4,500 per vehicle. Qualified vehicle conversions include new equipment that is installed in Nebraska by a certified installer to convert a conventional fuel vehicle to operate using a qualified clean-burning motor fuel. These fuels include hydrogen, compressed natural gas, liquefied natural gas, and propane. Conversion systems must have the necessary U.S. Environmental Protection Agency approvals. A vehicle is not eligible for the rebate if another state rebate or grant has been claimed for the same vehicle, and only one rebate from the Clean-Burning Motor Vehicle Fuel Rebates is allowed. NEO will process applications on a first-come, first-served basis until program funds are depleted. Other terms and conditions may apply. For more information, including the application, see the NEO Clean-Burning Motor Vehicle Fuel Rebates website)

Point of Contact
Danielle Jensen
Public and Legislative Liasion
Nebraska State Energy Office
Phone: (402) 471-3360
danielle.jensen@nebraska.gov

(Reference Nebraska Statutes 66-203 and HB-902, 2016)

Residential CNG Fueling Infrastructure Rebate

The Nebraska Energy Office (NEO) offers rebates for qualified CNG fueling infrastructure that is installed at a residence after January 4, 2016. The rebate amount is 50% of the cost of the fueling infrastructure, up to $2,500 for each installation. Qualified fueling infrastructure includes new dispensers certified for use with CNG from a private home or residence for non-commercial use. Fueling infrastructure is not eligible for a rebate if another state rebate or grant has been claimed for the equipment, and only one rebate from the Clean-Burning Motor Vehicle Fuel Rebates is allowed. NEO will process applications on a first-come, first-served basis until program funds are depleted. Other terms and conditions may apply. For more information, including the application, see the NEO Clean-Burning Motor Vehicle Fuel Rebates website)

Point of Contact
Danielle Jensen
Public and Legislative Liasion
Nebraska State Energy Office
Phone: (402) 471-3360
danielle.jensen@nebraska.gov

(Reference Nebraska Statutes 66-203 and HB-902, 2016)

Alternative Fuel Vehicle Rebate

The Nebraska Energy Office (NEO) offers rebates for qualified AFVs purchased after January 4, 2016. Qualified AFVs include new vehicles running on hydrogen, compressed natural gas, liquefied natural gas, or propane; leased vehicles are not eligible. The rebate amount is 50% of the incremental cost of the vehicle compared to the manufacturer's suggested retail price of the conventional equivalent, up to $4,500. For vehicles that do not have a conventional fuel equivalent, the rebate amount is up to $4,500 per vehicle, based on the cost of the equipment to store, deliver, and exhaust the qualified clean-burning motor vehicle fuel on the vehicle. A vehicle is not eligible for the rebate if another state rebate or grant has been claimed for the same vehicle, and only one rebate from the Clean-Burning Motor Vehicle Fuel Rebates is allowed. NEO will process applications on a first-come, first-served basis until program funds are depleted. Other terms and conditions may apply. For more information, including the application, see the NEO Clean-Burning Motor Vehicle Fuel Rebates website)

Point of Contact
Danielle Jensen
Public and Legislative Liasion
Nebraska State Energy Office
Phone: (402) 471-3360
danielle.jensen@nebraska.gov

(Reference Nebraska Statutes 66-203 and HB-902, 2016)

LDC/Utility / Private Incentives

Compressed Natural Gas (CNG) Vehicle Rebate - Metropolitan Utilities District

Residential gas customers in the Omaha area served by the Metropolitan Utilities District are eligible for a $500 rebate for the purchase of a dedicated CNG vehicle. Rebates are available on a first-come first-served basis, and applicants must provide proof of purchase for the vehicle. Additional restrictions may apply. Commercial rebates are available on a case-by-case basis.

Point of Contact
Dave DeBoer
Engineer
Metropolitan Utilities District
Phone: (402) 504-7209
Fax: (402) 504-5209
dave_deboer@mudnebr.com
http://www.livegreenthinkblue.com/

Laws & Regs

Legislative Session Dates:	January 8 - April 17
Legislature Website:	http://nebraskalegislature.gov/

Natural Gas Motor Vehicle Fuel Promotion

Effective October 1, 2012, an eight member Natural Gas Fuel Board (Board) will be created to advise the Nebraska Energy Office regarding the promotion of natural gas as a motor vehicle fuel. The Board will provide recommendations relating to the distribution, infrastructure, and workforce development necessary for widespread use of natural gas as a motor vehicle fuel; loans, grants, and tax incentives that will encourage the use of natural gas as a motor vehicle fuel by individuals and public and private fleets; and other matters as the Board deems appropriate. (Reference LB-1087, 2012)

Alternative Fuel Excise Tax

An excise tax of $0.075 per gallon or gasoline gallon equivalent (GGE) is imposed on all compressed natural gas (CNG), liquefied natural gas (LNG), and liquefied petroleum gas or propane sold for use in registered motor vehicles. Additionally, each retailer of such fuel must pay an excise tax of $0.028 per gallon or GGE on all CNG, LNG, and propane fuel sold for use in registered motor vehicles. Additional taxes as specified annually under these statutes may apply. (Reference Nebraska Statutes 66-6,102; 66-6,107; and 66-6,109)

Proposed Bills

[Printfriendly]

2016 Proposed Legislation

LB-902

Amends the Clean Motor Fuel Development Act so that E15 or greater vehicles no longer qualify for incentive. Still provides funding for flex-fueled dispensers. LB902 Bill Summary, LB902 Bill Text

2015 Proposed Legislation

LB-581

Provides rebate for new or converted alternative fuel vehicles or refueling equipment installed at residential locations for non-commercial purposes. The vehicle rebate is worth 50% of the cost up to maximum of $4,500 for new or converted vehicles (must be 2012 or newer) and the fueling equipment rebate is capped at $2,500. Funding of $1 million is to be provided for FY 2015-2016. LB581 Bill Summary, LB581 Bill Text Status: Approved by Governor on May 29, 2015

2014 Proposed Legislation

LB-150

Exempts sales of natural gas for transportation by the municipal gas utility from the gross sales tax. Also would exempt energy from sales and use tax if it is used in the process of compressing natural gas for transportation use. LB-150 Bill Summary, LB-150 Bill Text Action: 2014-04-23 - Provisions/portions of LB150 amended into LB867 by AM2262

LB-867

Exempts sales of natural gas for transportation by the municipal gas utility from the
2% gross sales tax until Jan. 1, 2020. Also would exempt energy from sales and use
tax if the natural gas is used to compress natural gas for retail sale as a vehicular
fuel. Changes the imposition of the excise tax on natural gas so that it is per GGE
(5.66 lbs.) for CNG and per DGE (6.06 lbs.) for LNG. Effective Jan. 1, 2015 (Reference LB-867 Bill Summary, LB-867 Bill Text) Action: 2014-04-10 - Approved by Governor on April 10, 2014

2013 Proposed Legislation

Nebraska legislators proposed no NGV legislation in 2013.

This state was last examined and updated in August, 2016.