Tesla Motors Inc (TSLA), Clean Energy Fuels (CLNE) & More: Which States Are the Most Alternative Fuel-Friendly?

The state in the top slot isn’t a state at all. Much like Hawaii, D.C. has some of the highest gas prices in the country, and one of the few ways out is through alternative fuels. One of the major drivers of the push within the District has been the incorporation of alternative-fuel vehicles into the city’s fleet vehicles. More than 20% of the city’s vehicles are now powered by alternative fuels. Companies such as Clean Energy Fuels Corp (NASDAQ:CLNE) see fleet vehicles as one of its most lucrrative markets. To bring larger fleet-vehicle customers onboard, it will cover the upfront costs for installing fueling stations.

What a Fool believes
Alternative-fuel vehicles have a long road ahead of them before they start to take a big chunk out of gasoline vehicles. But the combination of regional price disparities on either gasoline or alternative fuels and governmental incentives are giving these vehivles some legs to stand on, for now. One of the keys to make these kinds of vehicles successful is to provide a comparable network of fueling stations to that of gasoline vehicles. This is why you see moves like Tesla Motors Inc (NASDAQ:TSLA)’ to expand its supercharger facilities and Clean Energy Fuels Corp (NASDAQ:CLNE)’ to put a lot of capital expenditures into its Natural Gas Highway. Once the inconvenience of owning an alternative-fuel vehicle goes away, the market will have lots of room to run.

The article Which States Are the Most Alternative Fuel-Friendly? originally appeared on Fool.com.

Fool contributor Tyler Crowe has no position in any stocks mentioned. You can follow him at Fool.com under the handle TMFDirtyBird, on Google +, or on Twitter, @TylerCroweFool.The Motley Fool recommends Chevron, Clean Energy Fuels, and Tesla Motors and owns shares of Tesla Motors.

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