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Rep. Grove Introduces Natural Gas Vehicle Tax Credit Bill

Rep. Seth Grove (R-York) announced Monday he is introducing House Bill 2620 which would improve air quality in Pennsylvania, reduce the cost of shipping goods and allow Pennsylvania companies to rely on domestic fuel by creating a tax credit program for businesses replacing diesel vehicles with natural gas vehicles.

"Natural gas vehicles are more environmentally friendly, cost effective and durable," said Rep. Grove. "By encouraging businesses to invest in natural gas vehicles, we will be laying the groundwork to support natural gas fueling stations throughout the state. Once these are in place, we will start to see NGVs available for family and commuter vehicles. This will be a monumental step toward ending our dependence on foreign oil."

House Bill 2620 would institute a tax credit for businesses of up to $12,500 per heavy-duty NGV purchased. The program would last for three years.

Rep. Grove noted that replacing one diesel trash truck with a natural gas trash truck is the equivalent of removing more than 500 cars from the road.

According to the U.S. Department of Energy, NGVs produce between 60 percent to 90 percent less smog and between 30 percent to 40 percent less greenhouse gas emissions. Nearly 90 percent of natural gas is produced in the United States.

"Natural gas is a very inexpensive fuel source, and as we watch gasoline prices tick closer to $4 per gallon, it is an attractive alternative for us all," said Rep. Grove. "Because natural gas is being produced right here in Pennsylvania, supporting this industry also supports job creation in the Commonwealth."

In years past, Pennsylvania offered $500 rebates to consumers who purchased hybrid vehicles. This program spurred many residents to invest in more fuel-efficient hybrid vehicles.

House Bill 2620 is awaiting the consideration of the House Finance Committee.


10/1/2012

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