Two U.S. senators from states with deep maritime traditions have introduced a proposal that would provide a federal tax incentive for electrifying a wide range of vehicles, including recreational boats.
Washington Sen. Maria Cantwell and Sen. Debbie Stabenow of Michigan have announced the Fueling America’s Security and Transportation with Electricity Act of 2021 — the FAST Electricity Act — which proposes a 30 percent investment tax credit for any electrically propelled vehicle that is not an on-road passenger car or truck, such as RVs, boats, commercial ships, PWCs, aircraft, as well as a range of industrial equipment from forklifts to tractors and excavators.
The bill also provides a 30 percent investment tax credit for electric recharging stations or hydrogen refueling infrastructure.
Thirteen years ago, Sen. Cantwell co-authored the bipartisan bill that helped to enact the current $7,500 tax incentive for electrified passenger vehicles, vital legislation that exponentially helped the growth of the e-car industry.
The FAST Electricity Act also proposes an expansion of the existing Advanced Technology Vehicles Manufacturing loan program to support stateside manufacturing and corresponding supply chains.
“Spurring the adoption of clean buses, trucks, boats and planes will ensure that our transportation system can continue to move goods and people to where they need to be while also tackling the looming climate crisis,” said Sen. Cantwell in a statement.
“There are a lot of winners with this strategy. Electrifying transportation will dramatically lower the levels of harmful air pollution . . . and will allow fishermen to enjoy the benefits of a quiet, fully electric boat. Transit agencies will be able to reduce operating costs and pass those saving on to commuters,” Cantwell continued.
The latest proposal spearheaded by Sen. Cantwell was commended by the National Marine Manufacturers Association.
“The recreational boating industry applauds Senator Cantwell’s introduction of the FAST Electricity Act that would enable marine businesses to invest in next generation propulsion technologies and associated charging infrastructure,” said Callie Hoyt, NMMA director of federal affairs in a separate statement. “Providing incentives to boost investments in greener products is a top policy priority for NMMA and we look forward to working with Congress as the industry looks toward advancing next-gen technologies to further reduce emissions and conserve energy.”
Such investment will provide U.S.-based jobs and support “the innovation ecosystem needed to lead the future global market in electric transportation,” Sen. Cantwell said.
Click here for more details of the FAST Act.