As we continue our fight for energy security, natural gas as a motor fuel continues to advance our cause.
The United States now has over 1,600 natural gas refueling stations. This represents an increase of almost 100 percent since 2009. Liquefied natural gas (LNG) is playing a key role in repowering America’s eighteen wheelers, a category of vehicles which burn over 25 billion gallons of fuel per year.
Subsequently, if not simultaneously, a nationwide refueling network is beginning to emerge along the main trucking routes and interstates. However, barriers to investment, such as tax increases, stifle development.
In January, the Pennsylvania Department of Revenue announced that LNG would be reclassified from an alternative fuel to diesel fuel under the tax law, thereby raising the fuel tax by 14.3 cents. Luckily on March 5th, Governor Tom Wolf announced that he had reversed the decision in order to promote clean energy alternatives to imported petroleum.
In his press release, the Governor stated, “Given the immediate environmental benefits of fueling trucks with LNG and the future economic gains that will come from further development of the alternative fuels industry in Pennsylvania, it makes no sense to discourage LNG consumption by taxing it at a higher rate.”
I commend Governor Wolf for his foresight and will continue to monitor the energy policy decisions made in the Keystone State which without a doubt affect the energy security of our nation.