A portal website bringing together vital information about natural gas and natural gas vehicles.
New Jersey Policy Data
Summary
New Jersey has a fairly robust private fleet system in place for AFVs and specifically NGVs with 20 stations operating in the state for private fleet use. The state offers no incentives to AFV owners.
The New Jersey Transit Authority is required to purchase buses that meet a fuel efficiency standard, or run on alternative fuels, again specifically natural gas.
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
Clean Vehicle Toll Incentive
The New Jersey Turnpike Authority offers a 10% discount on off-peak New Jersey Turnpike and Garden State Parkway toll rates through NJ EZ-Pass for drivers of vehicles that have a fuel economy of 45 miles per gallon or higher and meet the California Super Ultra Low Emission Vehicle standard. For more information and discount requirements, see the New Jersey Turnpike Authority Toll Rates website.
The New Jersey Senate urges automobile manufacturers to commercially develop and sell compressed natural gas vehicles in New Jersey and throughout the United States. (Reference Senate Resolution 81, 2012)
Alternative Fuel Vehicle (AFV) Access to Tunnels
An AFV powered by propane or natural gas may only use Port Authority of New York and New Jersey tunnels and the lower level of the George Washington Bridge if the vehicle conforms to applicable federal regulations and industry standards, displays required markings to identify its alternative fuel system, and has a fuel capacity that does not exceed 150 pounds. For more information, see the Port Authority of New York and New Jersey Trucker's Resources website.
Low Emission or Alternative Fuel Bus Acquisition Requirement
All buses purchased by the New Jersey Transit Corporation (NJTC) must be: 1) equipped with improved pollution controls that reduce particulate emissions; or 2) powered by a fuel other than conventional diesel. Qualifying vehicles include compressed natural gas vehicles, hybrid electric vehicles, fuel cell vehicles, vehicles operating on biodiesel or ultra low sulfur fuel, or vehicles operating on any other bus fuel approved by the U.S. Environmental Protection Agency. If the NJTC is unable to meet the bus purchase requirement, a report must be submitted to the New Jersey Senate and General Assembly detailing the reasons and an exemption may be granted by the state legislature.(Reference New Jersey Statutes 27:1B-22)
Proposed Bills
2016 Session - Proposed Legislation
AB-10
Long bill includes submission of a report by April 1, 2017 on the taxation of fuels currently not covered under the motor fuel tax or the petroleum products gross receipt tax. Reference - AB10 Bill History, Reference - AB10 Bill Text Status: amended by Budget 6/23/16; passed Assembly 6/27 to Senate Budget and Appropriations, amended 7/29; amended on Senate floor 10/5/16; Assembly concurs 10/7/16. Signed by governor 10/14/16.
Provides certain exemptions from sales and use tax for hybrid electric vehicles, compressed natural gas vehicles, and equipment used for refueling or recharging certain vehicles.Reference - AB1358 Bill History, Reference - AB1358 Bill Text
Establishes rebate program for alternative fuel vehicles. Language is very similar to AB 3965 except this is a rebate program. Dollar amounts and limitations are the same. Reference - AB3965 Bill History, Reference - AB3965 Bill Text Status: to Environment and Solid Waste 6/20/16.
AB-3972
Establishes gross income tax credit for purchase or lease of alternative fuel vehicle. Credit is limited to individuals who have federal taxable income of no more than $100K or $200K if filing jointly, a surviving spouse, or single head of household. Tax credit is worth $5,000 or $7,500 in case of certain low-income tax payers. Vehicle must be purchased or leased for 30 months. Effective immediately. Reference - AB3972 Bill History, Reference - AB3972 Bill Text Status: to Committee on Transportation and Independent Authorities 6/20/16.
SB-887
Requires that funds collected from the sales and use tax on alternative fuels used to power motor vehicles shall be transferred to the Transportation Trust Fund. Action: to Committee on Transportation 1/12/16.Reference - SB887 Bill History, Reference - SB887 Bill Text
SB-1414
Companion to AB 2405. Concerns low emission and zero emission vehicles; establishes Clean Vehicle Task Force. Mostly has to do with implementation of the CA LEV and ZEV Programs. However, the Task Force is required to look at other alternatives to zero emission vehicles and to identify and report on regulatory and statutory obstacles to increased use of low emission and zero emission vehicles, and there is a requirement to explore expanded use of alternative fuels in transit and commercial fleets. Reference - SB1414 Bill History, Reference - SB1414 Bill Text Status: amended on floor 12/3/2015. Back to Senate for concurrence with Assembly changes 12/17/2015; Senate agrees to Assembly changes on 1/7/16.
Companion to AB 10. Long bill includes submission of a report by April 1, 2017 on the taxation of fuels currently not covered under the motor fuel tax or the petroleum products gross receipt tax. Reference - SB2412 Bill History, Reference - SB2412 Bill Text Status: amended by Committee on Budget and Appropriations 6/23/16; back to and amended again by Senate Budget and Appropriations on 7/29/16.
Requires New Jersey Turnpike Authority and South Jersey Transportation Authority to provide natural gas refueling, propane refueling, and electric vehicle recharging stations at certain rest areas on New Jersey Turnpike, Garden State Parkway, and Atlantic City Expressway. Reference - AB-1728 Bill History, Reference - AB-1728 Bill Text Status: Substitute on floor 6/11/15 drops natural gas and propane.
AB-4888
Provides sales and use tax exemption for sales of natural gas, and charges for transportation or transmission of natural gas, to public colleges and universities. Text not available yet; need to review and see if this involves use as transportation fuel. Reference - AB4888 Bill History, Reference - AB4888 Bill Text
SB-1414
Companion to AB 2405. Concerns low emission and zero emission vehicles; establishes Clean Vehicle Task Force. Mostly has to do with implementation of the CA LEV and ZEV Programs. However, the Task Force is required to look at other alternatives to zero emission vehicles and to identify and report on regulatory and statutory obstacles to increased use of low emission and zero emission vehicles, and there is a requirement to explore expanded use of alternative fuels in transit and commercial fleets. Reference - SB1414 Bill History, Reference - SB1414 Bill Text Status: amended on floor 12/3/2015. Back to Senate for concurrence with Assembly changes 12/17/2015.
SB-2782
Requires New Jersey Turnpike Authority and South Jersey Transportation Authority to provide natural gas refueling, propane refueling, and electric vehicle recharging stations at certain rest areas on New Jersey Turnpike, Garden State Parkway, and Atlantic City Expressway. Reference - SB2782 Bill History, Reference - SB2782 Bill Text Status: Amendment 6/8/15 drops propane and natural gas from bill. Update: received in the Assembly 11/9/15 without reference.
SB-3213
Requires that a portion of the sales tax collected from alternative fuels be deposited in the transportation trust fund. Reference - SB3213 Bill History, Reference - SB3213 Bill Text Status: Prefiled for 2016 session by Senator Whelan. Update: In Transportation Committee 10/19/15. Bill previously filed but was formerly introduced on 10/19/15.
2014 Session - Proposed Legislation
AB-405
Pilot program to establish public-private alternative fueling stations. The NJ DOT, DEP, and the NJ Turnpike Authority will work with public and private station operators to establish at least one station in the northern, central and southern regions of the state. At least one station shall be an electric charging station. Reference - AB-405 Bill History, Reference - AB-405 Bill Text 014-02-20 - Withdrawn from Consideration
AB-580
Provides business and individual tax credit for CNG vehicles. Passenger car credits are as follows: 2014 - $3,500, 2015 - $2,500, 2016 - $1,500. For Class 8 trucks the credits are: 2014 - $25,000, 2015 - $15,000, 2016 - $7,500. Reference - AB-580 Bill History, Reference - AB-580 Bill Text Pending: Assembly Commerce and Economic Development Committee
AB-1377
Provides special parking privileges for electric and alternative vehicles. Parking facilities with 100 or more parking spaces would have to offer up to 5% of spaces to alternative fuel vehicles with special privileges. Reference - AB-1377 Bill History, Reference - AB-1377 Bill Text Pending: Assembly Environment and Solid Waste Committee
AB-1587
Provides certain exemptions from sales and use tax for hybrid electric vehicles, compressed natural gas vehicles, and equipment used for refueling or recharging certain vehicles. The exemption for vehicles is 50% but appears to be 100% for fueling equipment. Reference - AB-1587 Bill History, Reference - AB-1587 Bill Text Action: 2014-04-09 - Reviewed by the Sales Tax Review Commission Recommend to not enact
AB-1590
Requires use of constitutionally dedicated moneys to fund conversion of certain diesel vehicles to compressed natural gas, liquefied petroleum gas, or electric vehicles.Reference - AB-1590 Bill History, Reference - AB-1590 Bill Text Pending: Assembly Environment and Solid Waste Committee
AB-1728
Requires New Jersey Turnpike Authority and South Jersey Transportation Authority to provide natural gas refueling, propane refueling, and electric vehicle recharging stations at certain rest areas on New Jersey Turnpike, Garden State Parkway, and Atlantic City Expressway.Reference - AB-1728 Bill History, Reference - AB-1728 Bill Text Pending: Assembly Transportation and Independent Authorities Committee
AB-2120
Provides for sales tax exemption for advanced technology partial zero emission vehicles; imposes surcharge on certain automobiles; deletes surcharge on certain automobiles. Reference - AB-2120 Bill History, Reference - AB-2120 Bill Text Action: 2014-04-09 - Reviewed by the Sales Tax Review Commission Recommend to not enact
AB-2394
Exempts from sales tax for two years certain highly fuel efficient vehicles and energy efficient appliances. Reference - AB2394 Bill History, Reference - AB2394 Bill Text Action: 2014-04-09 - Reviewed by the Sales Tax Review Commission Recommend to not enact
AB-2405
Concerns low emission and gas emission vehicles; establishes Clean Vehicle Task Force. Mostly has to do with implementation of the CA LEV and ZEV Programs. Reference - AB2405 Bill History, Reference - AB2405 Bill Text Pending: Assembly Environment and Solid Waste Committee
AB-2669
Pilot program for alternative fuel infrastructure involving the Turnpike Authority and South Jersey Transportation Authority. Reference - AB2669 Bill History, Reference - AB2669 Bill Text Pending: Assembly Environment and Solid Waste Committee
Provides sales tax exemption for natural gas used by regular route and commuter buses. Currently there is an exemption for diesel and gasoline buses. This is necessary because changes made by the Motor Fuel Tax Act of 2010 changed the point of the motor fuel tax from retail with the consequence that CNG is no longer covered, and by default the sales tax now applies. Reference - SB177 Bill History, Reference - SB177 Bill Text Action: 2014-04-09 - Reviewed by the Sales Tax Review Commission Recommend to not enact
SB-755
Provides certain exemptions from sales and use tax for compressed natural gas, liquefied natural gas, or propane fueled vehicles and plug-in hybrid electric vehicles, and for equipment used for refueling or recharging certain vehicles. The exemption is 50% for vehicles and 100% for fueling equipment. NGVs must be exclusively fueled by natural gas. Reference - SB755 Bill History, Reference - SB755 Bill Text Action: 2014-04-09 - Reviewed by the Sales Tax Review Commission Recommend to not enact
Directs Department of Education to develop and implement pilot program for compressed natural gas school buses, and authorizes establishment of permanent voluntary program under certain circumstances. Reference - SB1084 Bill History, Reference - SB1084 Bill Text Pending: Senate Environment and Energy Committee
Authorizes the Dept. of Treasury to enter into agreements with other agencies and entities to cooperatively buy advanced technology vehicles including alternative fuel vehicles. Reference - SB1251 Bill History, Reference - SB1251 Bill Text Pending: Senate Environment and Energy Committee
SB-1408
Pilot program to establish public-private alternative fueling stations. The NJ DOT, DEP, the NJ Turnpike Authority, and the South Jersey Transportation Authority will work with public and private station operators to establish at least one station in the north, central and southern regions of the state. At least one station shall be an electric charging station. Reference - SB1408 Bill History, Reference - SB1408 Bill Text Pending: Senate Environment and Energy Committee
SB-1474
Provides businesses and individuals with tax credits for purchasing natural gas vehicles: 2014 - $3,000, 2015 - $1,500, and 2016 - $1,000. These credits are limited to CNG. This credit also does not mention conversions or retrofits. Reference - SB1474 Bill History, Reference - SB1474 Bill Text Pending: Senate Environment and Energy Committee
SB-1511
Establishes the Renewable Energy Infrastructure and Advanced Technology Vehicle Task Force to oversee designation of alternative fuel vehicles and advanced technology vehicles. The task force will make recommendations concerning barriers to increased infrastructure for alternative fuels and otherwise seek to increase the use of alternative fuel vehicles by state fleets. Reference - SB1511 Bill History, Reference - SB1511 Bill Text Pending: Senate Environment and Energy Committee
SB-1789
Appropriates $ 250,000 from societal benefits charge revenues for grants to community colleges and vocational schools to create training programs on electric, compressed natural gas, and liquefied petroleum vehicle conversions. Reference - SB1789 Bill History, Reference - SB1789 Bill Text Pending: Senate Environment and Energy Committee
Establishes the Clean Vehicle Task Force. Amended to include that they also review the motor fuel taxes and impact of increased use of alternative fuel vehicles. Also now calls for adoption of the CA ZEV Program in addition to LEV Program.Reference - SB3069 Bill History, Reference - SB3069 Bill Text Action: 2014-01-13 - Received in the Assembly without Reference, 2nd Reading
2013 Session - Proposed Legislation
AB-3629
Provides corporation business tax credits and gross income tax credits for purchase of certain qualified compressed natural gas vehicles, which include only CNG powered passenger automobiles and Class 8 trucks. The credits are available to businesses and individuals for 2013, 2014, 2015. The values are as follows - passenger cars, up to $3,500, $2,500 and $1,500 for 2013, 2014, and 2015, respectively. For Class 8 trucks, the values are up to $25,000, $15,000, and $7,500 for 2013, 2014, and 2015, respectively. The bill does not indicate what up to means or whether credits are limited to incremental cost, or whether bi-fuel vehicles or conversions qualify. It does say that credits are limited to 50% of tax liability w/ remainder having to be carried over. Reference - AB-3629 Bill History, Reference - AB-3629 Bill Text Introduced on January 8 2013 - 25% progress, died in chamber
AB-3637
Provides for a $250,000 grant program encouraging compressed natural gas and electric vehicle conversion training programs. Funding is provided by the societal benefits charge. Reference - AB-3637 Bill History, Reference - AB-3637 Bill Text Introduced on January 8 2013 - 25% progress, died in committee
AB-3638
Provides for a $5 million dollar grant program encouraging compressed natural gas fueling stations and electric charging stations. The program is to be administered by the Bureau of Public Utilities with funding coming from the societal benefits fund.Reference - AB-3638 Bill History, Reference - AB-3638 Bill Text Introduced on January 8 2013 - 25% progress, died in committee
SB-2193
Provides exemption for 50% of the sales and use tax imposed on hybrid electric vehicles and dedicated CNG and LNG vehicles; propane and hybrid electric vehicles also included. Provides 100% exemption for fueling equipment.Reference - SB2193 Bill History, Reference - SB2193 Bill Text Introduced on September 20 2012 - 25% progress, died in committee
AB-3419
Requires Turnpike Authority to provide CNG and electric vehicle refueling infrastructure at certain rest areas on NJ Parkways. Adds the Garden State Parkway and the Atlantic City Expressway. Also drops "compressed" so that now it is natural gas fueling infrastructure and also adds propane. Reference - AB3419 Bill History, Reference - AB3419 Bill Text Introduced on October 18 2012 - 25% progress, died in chamber
This state was last examined and updated in November, 2016.