Why It Matters

Clean Energy Fuels Corp. is racing to secure federal tax incentives for renewable natural gas as a transportation fuel before the legislative window closes.

The Renewable Natural Gas Incentive Act of 2025—a bipartisan bill proposing a $1.00-per-gallon tax credit for RNG fuel—represents Clean Energy’s strategy to establish RNG as the preferred alternative to diesel and electric vehicles in heavy-duty trucking. With electric vehicle tax credits eliminated and EV charging infrastructure credits expired, RNG has emerged as one of the few remaining federally-supported clean fuel pathways.

By the Numbers

The company’s $80,000 lobbying engagement in the fourth quarter with SHL and Associates Inc. targets a critical gap: while recent federal tax law extended support for RNG producers, it eliminated key incentives for fleet operators to purchase RNG vehicles.

Clean Energy Fuels has been lobbying continuously since 2003, filing 298 disclosures and spending approximately $18.4 million over two decades. This continues their longest-standing lobbying relationship—SHL and Associates has represented the company since 2003, accumulating 80 disclosures and $5.83 million in total expenditures.

SHL and Associates provides institutional depth with lobbying concentrated on Energy/Nuclear (74 mentions) and Taxation/Internal Revenue Code (71 mentions), precisely matching Clean Energy Fuels’ advocacy priorities. The firm also represented Honda North America Inc. for over 15 years, providing additional transportation sector expertise.

The Agenda

Clean Energy Fuels is lobbying to advance renewable natural gas as a transportation fuel through federal tax incentives. The Q4 2025 engagement focuses specifically on the Renewable Natural Gas Incentive Act of 2025, proposing a $1.00 per gallon tax credit for RNG used in motor vehicles.

The broader legislative agenda includes:

  • Tax Credit Expansion: Securing the proposed RNG fuel tax credit under S. 1252 and H.R. 2596
  • Production Infrastructure Support: Extending Section 48 investment tax credits for biogas properties
  • Fuel Choice Expansion: Supporting S. 1841, the Fuel Choice and Deregulation Act
  • Regulatory Clarity: Advocating for finalized rules on the Section 45Z Clean Fuel Production Tax Credit

Broader Context

The One Big Beautiful Bill Act, signed in July 2025, eliminated traditional clean energy tax credits for solar, wind, and electric vehicles while extending Section 45Z producer-side credits through 2029. This created a policy gap: while RNG production receives support, fleet operators lack incentives to purchase natural gas vehicles.

Bipartisan lawmakers introduced the Renewable Natural Gas Incentive Act (S. 1252/H.R. 2596), sponsored by Sens. Thom Tillis (R-NC) and Mark Warner (D-VA). The legislation reflects growing industry momentum: investment in U.S. biogas systems surged $3 billion in 2024—a 40% increase.

RNG has become increasingly attractive as commercial zero-emission vehicles struggled in 2025 and hydrogen fuel cell vehicles face steep headwinds. Meanwhile, close to 1,400 CNG and 81 LNG stations now operate.

Between The Lines

The 119th Congress is advancing multiple legislative efforts to expand RNG incentives. The centerpiece is the Renewable Natural Gas Incentive Act of 2025, with Senate and House companions proposing a $1.00 per gallon RNG tax credit.

Rep. Brian Fitzpatrick (R-PA) called RNG a "smart, clean, homegrown solution" for energy independence. Sponsors highlighted its potential to "cut harmful emissions" and "strengthen U.S. energy supply chains."

Complementary legislation includes the Agricultural Environmental Stewardship Act extending Section 48 investment tax credits for biogas properties and the Fuel Choice and Deregulation Act of 2025 allowing easier aftermarket vehicle conversions to alternative fuels.

Competitive Landscape

Several organizations are actively lobbying alongside Clean Energy Fuels. Transport Project pushes for passage of the RNG Incentive Act bills and extension of the Alternative Fuel Tax Credit. NATSO (National Association of Truck Stop Operators) maintains consistent advocacy for energy tax credits covering alternative fuels.

This multi-organization coalition creates momentum for Clean Energy Fuels’ core legislative objective: the Renewable Natural Gas Incentive Act’s proposed $1.00-per-gallon tax credit.

The Bottom Line

Clean Energy Fuels is doubling down on a two-decade lobbying relationship with SHL and Associates, spending $80,000 in the last quarter of 2025 to advance renewable natural gas incentives at a pivotal moment. The company’s lobbying reflects urgency: recent federal energy policy changes eliminated EV and solar incentives, making RNG one of the few domestically-viable alternative fuels with extended tax support. With bipartisan congressional allies actively promoting the legislation and a coordinated industry coalition, Clean Energy Fuels is positioning itself to capitalize on a rare policy window for alternative fuel expansion.

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