House Passes Landmark Propane Legislation

The United States House of Representatives has passed H.R. 3684, the Infrastructure Investment and Jobs Act, which includes over $7 billion in funding for propane initiatives. With President Biden expected to sign the bill in short order, these incentives will be available to the industry in January 2022.

The National Propane Gas Association (NPGA) worked diligently over the past three years urging Congress to include funding for propane in this comprehensive infrastructure package. The inclusion of propane highlights Congress’ acceptance of the economic and environmental benefits of propane and its broad application across multiple sectors of the economy. This bill will provide NPGA members with an array of new funding opportunities to help the industry transition into the next generation.

Highlights of the Infrastructure Investment and Jobs Act

o   Access to $2.5 billion in grant funding for propane refueling infrastructure along the national highway system

o   Access to $2.5 billion in grant funding for propane school buses

o   Access to $1.6 billion in grant funding for propane low-emission transit vehicles

o   Based on the DRIVE-Safe Act, this pilot program seeks to address the nationwide driver shortage by permitting a trial group of drivers ages 18-21 to participate in interstate commerce

The Infrastructure Investment and Jobs Act also includes many other beneficial provisions for the propane industry, including federal funding for emissions reductions at port facilities, workforce development, and propane-powered ferries.  For more information about provisions in this legislation, see the section-by-section of the bill.

In the coming weeks and months, NPGA will provide additional updates to association members regarding the legislation and how to take advantage of the newly authorized funds and programs.

With the traditional infrastructure bill now complete, negotiations on the budget reconciliation package, Build Back Better, will begin a new phase, and NPGA will continue to push for the inclusion of provisions beneficial to propane. If you have any questions about the bipartisan infrastructure package or budget reconciliation, please contact NPGA’s Senior Director of Legislative Affairs, Michael Baker, at [email protected].