Oregon
Alternative Fuel Production Facility and Fueling Infrastructure Tax Credit
Alternative fuel production facilities are eligible for a Business Energy Tax Credit (BETC) of up to 50% of the certified cost of constructing the facility, up to $20 million per project. Only facilities constructed or installed after January 1, 2007, are eligible, and certifications will not be issued after December 31, 2015. A BETC is also available for 25% of the costs incurred for constructing or installing alternative fuel vehicle fueling infrastructure, up to $750 per station. For production facilities and fueling infrastructure, there is an option that allows a project owner to transfer the BETC project eligibility to a pass-through partner for a lump-sum cash payment. A project owner may be a public entity or non-profit organization with no tax liability, or a business with tax liability that chooses to use the pass-through option. (Reference House Bill 3201, 2007, and Oregon Revised Statutes 317.115, 469.160 to 469.180, and 469.185 to 469.225)
Point of Contact
Rick Wallace
Clean Cities Coordinator
Columbia Willamette Clean Cities Coalition, Inc.
Phone (503) 378-3265
Fax (503) 373-7806
rick.wallace@state.or.us
http://www.cwcleancities.org
Alternative Fuel Vehicle (AFV) and Hybrid Electric Vehicle (HEV) Tax Credit
The Oregon Department of Energy offers two income tax credits for AFVs and HEVs, one for residents and one for business owners. Oregon residents are eligible for a Residential Energy Tax Credit, which provides credits of up to $1,500 toward the purchase of qualified AFVs and HEVs; currently, flexible-fuel vehicles are not eligible. A credit of up to $750 is also available for the cost of converting vehicles to operate on an alternative fuel.
Oregon business owners who invest in new HEVs for business use are eligible for a Business Energy Tax Credit of up to 35% of the incremental cost of the HEV. Business owners without an Oregon tax liability, non-profit organizations, and public entities may choose to transfer their tax credit eligibility to a business or individual with an Oregon tax liability in exchange for a cash payment equal to the pass-through rate at the time of application. Business owners with a tax liability may also choose to transfer their tax credit.
(Reference Oregon Revised Statutes 316.116, 469.160 to 469.180, and 801.375)Alternative Fuel Loans
The Oregon Department of Energy offers a loan program for energy efficiency, renewable resource, and alternative fuel projects. Eligible alternative fuel projects include fuel production facilities, dedicated feedstock production, fueling stations, and fleet vehicles. The program issues Oregon general obligation bonds to provide funds for the loans. Loan recipients must complete a loan application and pay a loan application fee. (Reference Oregon Revised Statutes 470.050)
Point of Contact
Jeff Keto
Assistant Director for Finance
Oregon Department of Energy
Phone (503) 373-7981
Fax (503) 373-7806
jeff.s.keto@state.or.us
http://egov.oregon.gov/energy/loans
Global Warming Mitigation Initiative
Governors of Washington, Oregon, and California approved a series of recommendations for action to combat global warming, as detailed in the West Coast Governors' Global Warming Initiative. It was determined that Oregon, California, and Washington must act individually and regionally to reduce greenhouse gases. Oregon's strategy includes the reduction of greenhouse gases within the state's vehicle fleet, in part through the use of alternative and renewable fuels and hybrid electric vehicles. Each Oregon state agency is required to develop and report a greenhouse gas reduction baseline and determine annual reduction targets. Reports to the state Department of Administrative Services must include the volume of ethanol and biodiesel used by agency fleets, as well as any cost savings attributable to driving more fuel-efficient vehicles and using alternative fuels. The Oregon Sustainability Board continues to support these efforts and is assisted by a Sustainability Leadership Team as well as an Interagency Sustainability Network. The governor also appointed a Climate Change Integration Group (CCIG) to continue efforts to address global warming. The CCIG is responsible for tracking the State's progress on greenhouse gas emission reductions and looking at future economic and societal implications of climate change. (Reference Executive Order 06-02, 2006, and Oregon Revised Statutes 184.423)
Alternative Fuel Vehicle (AFV) Acquisition and Fuel Use Requirements
State law requires that all state agencies and transit districts purchase AFVs and use alternative fuels in these vehicles to the maximum extent possible, except when it is not economically or logistically possible to purchase or fuel an AFV. (Reference Oregon Revised Statutes 283.327 and 267.030)
