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CNG Rebate Program now available to individual vehicle owners

Oct. 24, 2011

LITTLE ROCK, Arkansas (October 24, 2011) - The Arkansas Energy Office (AEO), a division of the Arkansas Economic Development Commission (AEDC), today announced the Compressed Natural Gas Conversion Rebate Program is now open to Arkansas's individual vehicle owners. The rebate program, announced in August 2011, was originally only available to vehicle fleets but a growing demand for individual conversion rebates brought a change to the program. All Arkansas licensed vehicles are eligible for conversion. Fleets are still eligible for the rebate.

The $2.2 million rebate program is made available through the American Recovery and Reinvestment Act (ARRA) and administered by the Arkansas Energy Office. Rebates are available on a first-come, first-served basis until December 2011 or until funds are depleted, whichever comes first.

 "From input we've received over the past few months, Arkansans have a lot of interest in CNG, particularly converting their individual vehicles," said Scott Hamilton, director of the Arkansas Energy Office. "I encourage anyone interested in converting to or purchasing a CNG vehicle to apply soon for these funds as it is first come, first served."

Through the program, rebates of 50 percent of the conversion cost or the incremental cost of purchasing new CNG vehicles will be given directly to the vehicle owner or fleet operators following the conversion to, or purchase of, compressed natural gas vehicles. Rebate amounts depend on the cost of conversion or incremental cost of a CNG vehicle, but rebates cannot exceed $25,000. To ensure rebates are available for multiple fleets, no single entity may receive more than 20 percent of the CNG rebate fund.

CNG conversion kits must be installed according to National Fire Protection Association (NFPA) standards and be certified by the Environmental Protection Agency (EPA) and must comply with EPA requirements for vehicle conversions. 

Applications and complete information are available from the Arkansas Energy Office at www.arkansasenergy.org or by calling 1-800-558-2633.

The CNG Conversion Rebate Program is supported by the U.S. Department of Energy  and the Arkansas Economic Development Commission - Energy Office under award number  DE-EE-0000179, known as the State Energy Program.