ATA endorses Idle Reduction Tax Act

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The American Trucking Associations has endorsed the proposed tax credit for purchasing idling reduction equipment for commercial vehicles introduced in the U.S. House of Representatives by Kay Granger, R-Texas, as part of industrywide efforts to reduce air pollution and fuel consumption. ATA also called Tuesday, Feb. 7 for additional members of Congress to co-sponsor her bill, H.R. 4672.

Known as the “Idle Reduction Tax Act of 2006,” the bill proposes a 25 percent tax credit, up to $1,000, for each idling reduction device purchased by fleets. The purchased equipment is designed to service essential truck functions, including heat or air conditioning, that normally are powered by the truck’s main engine while it is stationary. The credit would be available to all trucking companies.

“The motor carrier industry is once again taking a lead role in creating a cleaner environment, and financial incentives will make the necessary equipment more affordable and therefore more widely distributed,” said Bill Graves, ATA president and chief executive officer. “This will result in a much larger impact than we could expect to see otherwise.”

The proposed tax credit comes as the trucking industry prepares to introduce new trucks into its fleets with lower-emission engines mandated by the U.S. Environmental Protection Agency beginning in 2007. These new engines will result in unprecedented emission reductions of particulate matter and smog-forming nitrogen oxide emissions by 90 percent to 95 percent, respectively.