Understanding Qualifying Volume: A Key Concept in Energy Law
Definition & Meaning
The term "qualifying volume" refers to a specific amount of alternative fuel used in light-duty vehicles. According to federal regulations, it is defined as:
- Four hundred fifty gallons of alternative fuel, or
- The average annual alternative fuel use in light-duty vehicles by fleets and covered persons, if the Department of Energy (DOE) determines that this average exceeds four hundred fifty gallons or its equivalent.
Legal Use & context
Qualifying volume is primarily used in the context of energy conservation and alternative fuel transportation programs. It plays a significant role in determining eligibility for credits and incentives related to biodiesel and other alternative fuels. This term is relevant in areas such as:
- Environmental law
- Energy regulation
- Transportation law
Users may find legal forms related to alternative fuel use and credits through platforms like US Legal Forms, which provide templates drafted by attorneys.
Real-world examples
Here are a couple of examples of abatement:
Here are a couple of examples illustrating the concept of qualifying volume:
- Example 1: A fleet of light-duty vehicles uses six hundred gallons of biodiesel in a year. Since this exceeds the qualifying volume, the fleet may qualify for certain credits.
- Example 2: A small business operates a single light-duty vehicle that uses four hundred gallons of alternative fuel. This does not meet the qualifying volume, so the business would not qualify for the incentives (hypothetical example).
Relevant laws & statutes
The main legal reference for qualifying volume is:
- 10 CFR 490.702 - This regulation outlines the definition and context of qualifying volume in relation to alternative fuel programs.