Three Reasons to Choose Propane in 2020
Let’s ring in the new decade with some great news: alternative fuel tax credits are back! Although propane vehicle technology makes good economic sense without subsidy, these added incentives on the fuel and infrastructure are like the proverbial icing on the cake!
Here’s the background. The alternative fuel excise credit, which expired in 2017, has been extended. The update has been extended through December 31, 2020, providing a retroactive credit for all of 2018 and 2019.
With the energy adjustment calculation, propane credits are covered at 36 cents per U.S. gallon. For the alternative fuel infrastructure tax credit, the fueling equipment for propane is eligible for a tax credit of up to 30 percent of the cost, not to exceed $30,000 per property.
You can find further details at the Alternative Fuels Data Center website. If you have any other questions, the AFDC website lists the contact information as: Excise Tax Branch/IRS at 202.317.6855 or IRS.gov.
When you couple these incentives with the uncertainty in the Middle East and the negative impact that will have on oil prices, it makes it a much easier decision to transition to a domestically produced option like propane autogas. This should help insulate your fleet from the pricing volatility that comes with diesel.
Significant fuel and maintenance savings, an abundant and domestically produced clean fuel and over 1 billion miles of end user data are three reasons why you should choose propane autogas in 2020. Our team is ready to help, so please call us at 800.59.ROUSH.
Happy New Year!