Last week, an important piece of legislation for Arizona’s advanced vehicle manufacturers cleared its final hurdle in the State Legislature and was transmitted to Governor Ducey for signature. SB 1291, sponsored by Sen. TJ Shope, modifies Arizona law by adding battery-electric and fuel cell electric vehicles to the section of Arizona code related to heavy duty vehicle gross weight and load limitations. The bill also updates Arizona’s state weight exemption language to parallel federal exemption language, and it extends that exemption to alternative fuel types.
The bill passed through the State Legislature with little fanfare or outside attention but that belies its importance to Arizona’s advanced vehicle manufacturing industry, which has seen rapid growth in the past few years. Nikola Corporation, for example, is developing and manufacturing advanced vehicles—specifically heavy-duty hydrogen fuel cell vehicles—in Arizona that represent innovative technological breakthroughs that are changing the landscape of the automotive industry and turning Arizona into a global leader in alternative fuel vehicles.
That companies like Nikola and others have chosen to locate and expand operations in Arizona is due in no small part to the entrepreneurial climate of innovation that is present here. But in order to continue to attract and support advanced manufacturers, Arizona must have a policy framework that supports these priorities. SB 1291 is critically important for advanced vehicle manufacturers like Nikola because it creates parity between battery-electric/fuel cell electric vehicles and natural gas vehicles, which already enjoy a weight exemption under existing statute, and it provides needed uniformity between state and federal policies, which is critical for market certainty.
Governor Ducey has demonstrated his commitment to supporting Arizona’s advanced manufacturers and specifically the advanced vehicle industry, and we hope to see his signature on SB 1291 soon.