U.S. lawmakers propose $1.00 RNG fuel tax credit
The bill is designed to support RNG adoption across commercial fleets across the country.
A bipartisan group of U.S. lawmakers has introduced new legislation aimed at accelerating the transition to cleaner heavy-duty transportation through the use of renewable natural gas (RNG).
The Renewable Natural Gas Incentive Act, unveiled by Senators Thom Tillis and Mark Warner and Representatives Brian Fitzpatrick and Linda Sánchez, proposes a $1.00-per-gallon tax credit for motor vehicles powered by RNG.
The bill, introduced simultaneously in both the Senate and the House, is designed to support RNG adoption across commercial fleets including transit agencies, delivery companies, and waste haulers.
“No commercially available, reliable, and scalable heavy-duty powertrain solution runs cleaner than RNG. This tax credit is a vital tool to help fleets deploy compliant, cleaner technology immediately—without disrupting operations,” said Daniel Gage, President of The Transport Project (TTP), representing stakeholders in the natural gas vehicle industry.
The proposal has garnered strong backing from both sides of the aisle and from major transportation and logistics players, including UPS, WM and Clean Energy Fuels.
