(a) The Legislature finds that the interests of the citizens, businesses, and political subdivisions of this state are best served by promoting the development and encouraging the use of alternative fuels as a clean, abundant, reliable, and affordable source of energy.
(b)(1) There is established within the Department of Agriculture and Industries, the Center for Alternative Fuels. The commissioner of the department shall appoint a director of the center. The department may employ staff necessary to carry out this division. To the extent possible, the staff shall represent the racial, ethnic, and gender makeup of the state.
(2) There is created in the State Treasury an Alabama Alternative Fuels and Research Development Fund which shall receive funds from the income tax check-off program established pursuant to Section 2-2-93.
(c)(1) For purposes of this division, "alternative fuel" means motor vehicle fuel that is produced from any of the following:
a. Biofuel as defined in paragraph a. of subdivision (2).
b. Compressed natural gas.
c. Liquefied natural gas.
d. Liquefied petroleum gas.
e. Electricity.
(2)a. The term "biofuel" as used above means motor vehicle fuel that meets all of the following requirements:
1. Is produced from grain, starch, oilseeds, vegetable, algae, animal, or fish materials including fats, greases and oils, sugarcane, sugar beets, sugar components, tobacco, potatoes, and lignocellulosic or other biomass.
2. Is used to replace fossil fuel or reduce the quantity of fossil fuel present in a fuel mixture used to operate a motor vehicle.
3. Meets the most current applicable American Society of Testing and Materials (ASTM) Fuel Specification standard.
b. Biofuel includes all of the following:
1. Cellulosic biomass biofuels such as ethanol, butanol, diesel, gasoline, and aviation fuel derived from any lignocellulosic, hemicellulosic or cellulosic matter that is available on a renewable or recurring basis, including dedicated energy crops and trees, wood and wood residues, plants, grasses, agriculture residues, and fibers.
2. Waste derived biofuels derived from animal waste, municipal solid waste, and other waste materials.
3. Biodiesel that is a diesel fuel substitute derived from non-petroleum renewable resources and any blending components derived from non-petroleum renewable resources, provided that only the renewable fuel portion of any such blending component shall be considered part of the applicable volume.
(d) All alternative fuels sold in Alabama shall meet the appropriate ASTM standard for that particular fuel.
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