The U.S. Senate passed amendments to the Energy Policy Act (EPACT) that will permit covered fleets 100 percent compliance credit for the use of biodiesel and credit for hybrid electric vehicles. The amendments passed by unanimous consent during the debate on the Senate energy legislation. The biodiesel amendment allows a covered fleet to meet up to 100 percent of the EPACT purchase requirements through the use of biodiesel. The amendment would automatically sunset after four years. At that time, biodiesel could be used to satisfy only 50 percent of purchase requirements. The hybrid amendment provides credit for hybrid vehicles based on a combination of the power provided by the electric component and the improved fuel economy. In addition, the amendment includes additional flexibility for covered fleets: 1. Double credit for the acquisition of a medium- or heavy-duty AFV; 2. A vehicle credit to a covered fleet for making a substantial contribution toward the acquisition of a dedicated vehicle by a fleet that is not subject to the mandate; 3. A vehicle credit for every $25,000 invested in infrastructure provided the infrastructure would be available to the public during normal operating hours.

Originally posted on Fleet Financials