U.S. Congressman Aaron Bean (FL-04), a member of the Ways and Means Committee, has introduced the Maritime Fuel Tax Parity Act (MFTPA) with several colleagues. The bill aims to amend an outdated tax code provision by exempting alternative fuels, such as liquefied natural gas (LNG), used in marine vessels from Federal Highway Trust Fund excise taxes.
Congressman Bean expressed that expanding the use of alternative fuels like LNG would benefit Jacksonville’s maritime industry by removing penalties associated with current tax burdens. He credited Congressman John Rutherford for his leadership on the initiative, which he believes will modernize the tax code and advance marine fuel usage.
Congressman Rutherford emphasized the importance of encouraging innovation in the maritime industry without imposing penalties. He noted that Jacksonville is home to the first LNG-powered containership and highlighted support from a bipartisan coalition for exploring new energy opportunities in American shipping.
Congressman Vern Buchanan also voiced support for protecting maritime and aviation industries from unnecessary taxes, noting Florida ports’ significant economic impact. He stated that SeaPort Manatee contributes billions annually to Florida’s Gulf Coast economy, making this legislative measure crucial for maintaining competitiveness.
The current tax system favors diesel over alternative fuels by exempting diesel from excise taxes while taxing alternatives like LNG. This discrepancy discourages domestic maritime carriers from using cleaner fuel options. According to the International Energy Agency’s January 2025 Quarterly Gas Report, LNG-fueled ships are expected to nearly double by 2028 based on current orders.
