New NGV Incentives Up for Grabs in California


California's Natural Gas Vehicle Incentive Project (NGVIP), which is meant to provide funding to help reduce the purchase price of new on-road natural gas vehicles (NGVs), has begun accepting reservation applications. The Institute of Transportation Studies (ITS) at UC Irvine is administering the project on behalf of the California Energy Commission (CEC).

The project is part of the CEC's ongoing Alternative and Renewable Fuel and Vehicle Technology Program, which has an annual budget of approximately $100 million to support innovative transportation and fuel technologies that help California meet its energy, clean-air and climate-change goals.

ITS Irvine says NGVIP currently has an incentive budget of about $10.2 million. According to a document, incentives are available on a first-come, first-served basis, and individual incentive amounts can vary from $1,000 to $25,000 depending on the gross vehicle weight.

ITS Irvine says the funding opportunity is open to individuals, firms, governmental agencies, and other entities purchasing new, eligible NGVs for use in California.

The document says incentives are available through the NGVIP only for vehicles meeting all of the following requirements:

– Vehicles must be new, on-road natural gas light-, medium-, or heavy-duty vehicles;

– Vehicles must be purchased on or after Aug. 7;

– Vehicles must meet all emission requirements of the California Air Resources Board;

– Vehicles must be registered and operated on natural gas in California (at least 90% of the time) for at least three years;

– Vehicles must be fully warranted, meaning that all vehicle components, including the natural gas fuel system, are covered exclusively by the original equipment manufacturer (OEM) or covered under separate warranties by the OEM and the fuel system upfitter that together provide warranty for the complete vehicle; and

– Eligible vehicles must have engines prepped for natural gas.

According to the document, a single applicant is eligible for up to a maximum of 30 incentives. However, the document does say the cap may be modified or removed during the term of the NGVIP.

Further information about NGVIP can be found here.

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