Green Driver State Incentives in Louisiana
For a state famous for bayous and accessible coastline, Louisiana understands the paramount importance of a clean environment. To help entice its drivers to lower their emissions and help staunch the processes of global warming, LA offers money- and time-saving incentives to those with fuel-efficient cars.
Please note that Louisiana's eco-friendly incentives and related laws might evolve. Two additional resources to consult include your local Louisiana Office of Motor Vehicles and the Alternative Fuels Data Center. Of course, all drivers—regardless of whether they drive an electric car, hybrid, or alternative fuel vehicle—must abide by LA traffic laws when traveling our public roads.
Louisiana Emission Testing Exemptions
The Office of Motor Vehicles exempts new vehicles from computer diagnostic testing for the first 2 years*. However, not all Louisiana-registered vehicles require an emissions inspection as a requirement of first-time LA car registration or registration renewal.
In fact, the emissions test requirement only applies to gasoline-powered passenger cars, light- and heavy-duty trucks (with a gross vehicle weight rating of 10,000 lbs or less) registered in the Baton Rouge 5 parish ozone non-attainment area. This includes the Louisiana parishes of:
- Ascension.
- East Baton Rouge.
- Iberville.
- Livingston.
- West Baton Rouge.
*Louisiana calculates this period of 2 years starting from the vehicle's model year. Please note that exempt vehicles must still undergo the visual anti-tampering check and gas cap integrity test required of all Louisiana-registered vehicles. For more on emissions inspection exemptions, requirements, and safety inspection specifics consult our page titled LA Smog and Emissions Checks or the driver resources of the Louisiana Department of Environmental Quality (DEQ). You can also call the DEQ at (225) 219-3530.
To find an inspection station in your parish, jump to the locator widget at the bottom of the page.
Auto Insurance Discounts for LA Eco-Friendly Driving and Green Vehicles
Some Louisiana auto insurance providers offer insurance discounts for having green driving habits and/or driving a fuel-efficient vehicle. Consult your car insurance company about potential green vehicle discounts such as:
- Pay as you drive discounts.
- Economy car discounts.
- Hybrid auto discounts.
- Alternative fuel vehicle (AFV) discounts.
- Low-mileage discounts.
Discounts you are eligible for will vary by insurance carrier and your circumstances. If you also keep the mileage low you could qualify for an even bigger discount.
Compare auto insurance rates online and save some money for going green.
Green Jobs Tax Credit
Certain qualified capital infrastructure projects (such as those in "green job industries") in Louisiana might be eligible for corporate or income tax credits when the projects are directly related to (but not limited to) biofuels and advanced drivetrain vehicles. The tax credit is based on investment costs and is anywhere from 7% to 18% of project costs up to $1,00,000,000 per green state-certified project.
Payroll for employees (who must be Louisiana residents) might be eligible for an extra 7.2% credit.
As always caps, credits, and restrictions might apply. Please refer to Louisiana Revised Statute 47:6037 for specific details.
Federal Tax Credits for Fuel-Efficient Vehicle Owners
Owning fuel-efficient cars might also qualify you for federal tax credits offered by the IRS. Eligible eco-friendly vehicles include:
- Electric cars (EVs).
- Hybrids.
- Plug-in hybrids (PEVs).
- Diesels.
- Alternative fuel vehicles (AFVs).
For additional information on federal tax credits for green vehicle owners, consult fueleconomy.gov's Tax Incentive Information Center.
Find a Nearby Louisiana Emission Testing Station
Need a smog check? Use our Smog Test Center finder to locate an emissions inspection station near you:
