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Jonny Energy

Illinois Fuel Rebate. Yes, it pays for the e85 conversion kit...Plus

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Very important.  It appears the rules have changed.  It used to specify it had to be used on a vehicle that was converted with EPA approved kit.  The rules as they appear now state nothing about this.  You can get this rebate for 3 consecutive years.  $340 or $450 per year.  That pays for the conversion kit plus...


From Illinois Green Fleets...





•For the purchase and use of E85 fuel in an E85 flexible fuel vehicle (FFV)


•For the purchase and use of Biodiesel (B20+) in an on-road diesel vehicle such as a truck or bus


•The majority of fuel purchases must be made from Illinois retail stations or fuel suppliers


•An applicant for a Fuel Rebate may apply for each vehicle using E85 or Biodiesel (B20+) for up to three consecutive years, with the first year of the “three-year clock” beginning with the first approved Fuel Rebate for that vehicle


•It is the responsibility of the applicant to apply for the second and third year Fuel Rebate for an eligible vehicle. The Illinois EPA does not send out reminders.


•Failure to submit a follow-up Fuel Rebate application or having an application denied as being ineligible in the second and/or third year counts against the three consecutive year eligibility time period for that vehicle


•The Fuel Rebate is tied to the vehicle and it is no longer eligible after the three consecutive year time period, regardless of who owns the vehicle


•If you are purchasing a “used” vehicle that may appear to be otherwise eligible for a Fuel Rebate, please call us to verify that a previous owner did not use up the vehicle’s eligibility for this program.


Three Primary Requirements for the Fuel Rebate


1.The eligible vehicle must refuel with E85 or Biodiesel (B20+) at least 50 percent of the time during the calendar year.  This required 50 percent minimal usage is measured for the entire 12-month January to December program year.  For example, if an E85 FFV refuels an average of once per week, then the vehicle should be refueled at least 26 times during the 52 weeks of the year with E85 to be eligible.  If the vehicle is not purchased or E85 is not used until April, then the average refueling with E85 would need to be at least 75 percent during the rest of the year to achieve the 50 percent average for the 12-month time period.  If the vehicle is not purchased or E85 is not used until July, then the vehicle would need to be refueled 100 percent of the time with E85 for the remainder of the year to result in an annual 50 percent average.  If the vehicle is not owned for at least 6 months in that year and/or E85 usage does not begin until after July, then the prospective applicant cannot meet the 50 percent usage requirement for the year and will have to wait until the following year to begin the first of the three consecutive year rebate eligibility.  In this case, the 12-month time period and the first year’s eligibility would begin the following January 1.


2.An E85 FFV or vehicles using Biodiesel (B20+) must use a minimum of 250 gallons of the E85 or B20+ during the year AND must be refueled with E85 or B20+ at least 50 percent of the time during the program year (#1 above) to be eligible for a Fuel Rebate.  Applications with less than 250 gallons of E85 or B20+ used in a vehicle during the year, as reflected in the submitted fuel receipts or invoices, will be deemed ineligible for that year.     


3.Each receipt submitted with the application must show a minimum of 5 gallons of E85 purchased.  Receipts with less than 5 gallons will not be counted towards the total.  The fuel receipts or invoices must indicate E85 or the biodiesel blend. 

What You Need to Submit in your Application for a Fuel Rebate


1.Completed E85 Fuel Rebate Application or Biodiesel (B20+) Rebate Application form



2.All fuel receipts or invoices for E85 or Biodiesel (B20+) purchased during the year for that vehicle (we only need the E85 or Biodiesel fuel receipts); do not include receipts from previous years as these are ineligible


3.Completed W-9 formIf you are an individual applying for a Fuel Rebate for more than one vehicle, submit a separate application for each vehicle.  The fuel receipts for each vehicle must be separated and submitted with that vehicle’s application form.


If you are a fleet manager applying for Fuel Rebates for several vehicles, see “For Fleet Fuel Rebate Applications involving Several Fleet Vehicles.”


Fuel Rebate Amounts


•If the eligible vehicle travels 17,500 miles or less during the year, the E85 Fuel Rebate amount is $340



•If the eligible vehicle travels more than 17,500 miles during the year, the E85 Fuel Rebate amount is $450



•For Biodiesel (B20+), the rebate amount is based on the incremental cost of using the Biodiesel fuel versus regular diesel.  The rebate amount will be calculated at 80 percent of the average incremental cost of using Biodiesel (B20+) throughout the year.  The applicant is to provide documentation on the average cost differences between regular diesel and Biodiesel (B20+) during the year.  We suggest that fleets using B20+ fuel document the current per gallon price of regular diesel on the fuel invoice when taking B20+ fuel deliveries.

Application Deadline for a Fuel Rebate


For the 2011 program year, the Fuel Rebate application must be postmarked by January 31, 2012.  Do not send the Fuel Rebate application until December or January so you can include all receipts from the entire year.


Timing of Fuel Rebate Issuances


Dependant on funding availability in the Alternate Fuels Fund, the Illinois EPA will begin processing applications after the January 31st deadline.



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It looks to me like it just says FFV.  Do they mean factory FFV, and if you ever got audited...  :o


For instance, if I lived in Illinois and I signed up my '87 Bronco 2, would that not raise a few eyebrows at the tax dept?


Is Iowa doing anything similar?

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