Mississippi Incentives and Laws

Last Updated April 2006

State Incentives

Biofuels Production Incentive

Mississippi's Commissioner of Agriculture and Commerce is authorized to make direct payments to ethanol and biodiesel producers, located in Mississippi, for ethanol or biodiesel produced for 10 years following the start date of production. The amount of payment for each producer's annual production is $0.20 per gallon, up to 30 million gallons per year per producer, for a period of up to 10 years. No payments will be made for production that occurs after June 30, 2015, and the maximum total annual payment to a single producer is $6 million. (Reference Mississippi Code 69-51-5)

State Laws and Regulations

Fuel Efficient and Alternative Fuel Vehicle Use

The Bureau of Fleet Management is established within the Department of Finance and Administration to coordinate and promote efficiency and economy in the purchase, lease, rental, acquisition, use, maintenance, and disposal of vehicles by state agencies. The bureau will encourage the use of fuel efficient or hybrid vehicles appropriate for the state agency’s intended purpose and, when feasible, the use of alternative fuels, including but not limited to, ethanol or biodiesel. (Reference Senate Bill 2398, 2006, and Mississippi Code 25-1-77)

Biodiesel Committee

A Study Committee on the Potential Use of Biodiesel Fuel is created to study the need for mandated use of biodiesel and the agricultural and environmental benefits of biodiesel use. The committee must report to the Legislature no later than January 2, 2007. (Reference Senate Bill 2942, 2006)

Installation of Alternative Fuel Components on Vehicles

All liquefied petroleum or natural gas carburetion systems installed on vehicles, including school buses, used in public transportation must be inspected by a field inspector. The State Liquefied Compressed Gas Board may require inspection of any installations of liquefied petroleum gas or natural gas carburetion systems on any other vehicles types as deemed necessary. All installations must comply with the rules and regulations of the State Liquefied Compressed Gas Board. Any installer of a liquefied compressed gas or compressed natural gas system who collects an installation service fee must hold an installer's license from the State Liquefied Compressed Gas Board and must notify the Board of any applicable installation. (Reference Mississippi Code 75-57-47)

Natural Gas Tax

The fuel tax levied on distributors of compressed natural gas and liquefied natural gas is imposed per 100 cubic feet rather than on a gallon equivalent basis. An annual privilege tax is imposed on operators of motor vehicles capable of using compressed gas and is imposed according to the gross vehicle weight rating. (Reference Mississippi Code 27-59-11)

Propane Education and Research Program

The State Liquefied Compressed Gas Board, operated through the state Department of Insurance, enforces laws and regulations regarding the distribution of liquefied compressed gases within the state. The Board also has grant money available for Mississippi-based entities for the purpose of promoting and researching the development of more cost-effective uses of propane. Educational, safety, and market development programs may also qualify for this grant money. (Reference Mississippi Code 75-57-119)

Point of Contact

Mitch Ferrell
Director
Mississippi Department of Insurance, Liquefied Compressed Gas Division
Phone (601) 359-1064
Fax (601) 359-1076
mitch.ferrell@mid.state.ms.us
http://www.doi.state.ms.us/lcgasd.html
 

Natural Gas Deregulation

Compressed natural gas is deregulated and may be sold to consumers as a motor vehicle fuel and for related purposes. (Reference Mississippi Code 77-3-3 and 77-3-11)

Utilities/Private Incentives

Natural Gas Fuel Rate Reduction and Vehicle Incentives

Atmos Energy offers incentives for natural gas vehicles on a case-by-case basis and offers special rates for natural gas when used as a vehicle fuel.

Point of Contact

Larissa Williams
Utilization Engineer
Atmos Energy
Phone (601) 961-6964
Fax (601) 360-1471
larissa.williams@atmosenergy.com
http://www.atmosenergy.com
 

Mississippi Points of Contact: