Bohac Fights to Reward Hybrid Car Purchases
AUSTIN - In an effort to reduce our dependence on foreign oil imports and combat escalating gas prices, State Representative Dwayne Bohac introduced House Bill 16 in the current special session that will reward consumers who choose to purchase hybrid engine vehicles (HEV’s).
“We have progressive technology that can help improve fuel efficiency and reduce our addiction to foreign oil,” Bohac said. “More than eleven states and the federal government offer tax or other incentives for owners of HEV’s.”
Bohac’s Hybrid Car Bill eliminates state sales taxes levied against any hybrid engine or alternative fuel vehicle - the most aggressive tax incentive offered by any other state. According to the Legislative Budget Board, HB 16 would save taxpayers approximately $67 million in sales tax exemptions in 2007. In 2008 that number would grow to $85 million.
While the federal government offers a limited number of tax breaks on HEV’s, the costs associated with hybrid technology act as a deterrent to potential consumers.
Bohac believes that eliminating the sales tax on hybrid vehicles would make HEV’s, which can cost as much as $5,000 more than vehicles with standard engines, more affordable for a wider variety of consumers in the economy.
“This is something that we should’ve been doing ten years ago,” Bohac said. “That’s why we need an aggressive, short-term incentive to stimulate HEV sales in Texas now.”
HEV’s work by integrating a fuel-injected gasoline engine with an electric motor and high-powered battery. The battery powers an electric motor and recharges by recapturing energy that would normally be lost when idling, ensuring greater fuel economy and lower emissions.
President George Bush said recently that promoting fuel efficiency was one of the best ways to confront high gasoline prices.
“The easiest way to promote fuel efficiency is to encourage drivers to purchase highly efficient hybrid or clean diesel vehicles,” Bush said. “When people are driving hybrids, they’re conserving energy.”
Bohac applauds the Bush administration’s efforts to promote alternative energy sources, but says Texas can go further and take action now.
“We have a chance to take the lead on encouraging hybrid vehicle purchases and other alternative fuel vehicles,” Bohac said. “I want the state of Texas to be a leader in environmentally sound vehicles.”
Today’s generation of HEV’s have the ability to achieve as many as 60 miles per gallon without having to be plugged in to an outlet or extra maintenance. HEV’s are expected to attain fuel mileage as high as 190 miles per gallon in the near future, according to the website Hybrid-Car.org.
“Through technology, conservation and increasing domestic oil output, we can strategically attack our overreliance on foreign oil,” Bohac said. “It’s a national security, environmental and economic issue.”
The Texas Legislature is currently convened in Austin for a special session on public school finance. Bohac acknowledges that while his Hybrid Car Bill deals with the tax code, it is not likely to be debated until after the school funding issue is solved.
“I filed HB 16 because I believe this is an important issue and one that needs to be seriously considered as we continue to revise Texas tax law,” Bohac concluded. “Whether it’s in this special session or next year when we return in January, this is an issue I am going to continue to push. Our patience is running on empty when it comes to skyrocketing gas prices.”