SB527 Summary

• Creates quarterly incentive payments for in-state biodiesel producers ($900,000 per quarter, up to $0.20 per gallon) and cellulosic ethanol producers ($1,250,000 per quarter, variable rate) through the Center for Alternative Fuels; payments expire after 5 years.

• Establishes income tax credits up to $1,500 for purchase of alternative fuel vehicles (compressed natural gas, liquefied natural gas, propane, or electric) limited to 5,000 vehicles per fuel type, with credits carryable forward 5 years.

• Provides income tax credit for refueling equipment installation equal to 30% of cost or specified dollar limits ($5,000 for compressed natural gas, $2,000 for propane, $500 for electric), available for 5 years.

• Exempts certain alternative fuel vehicles from tolls on Alabama toll roads, bridges, and tunnels; prohibits insurance surcharges on alternative fuel vehicles; allows Department of Transportation to designate HOV lanes for qualified vehicles.

• Permits electric vehicle charging stations as voluntary activity without requiring installation; providers are not retail electricity sellers; electric suppliers may offer charging stations with no Public Service Commission rate jurisdiction.