DOR Taxation web site

Energy used for industrial or related purposes

Beginning July 1, 2012, sales of electricity, coal, gas, fuel oil, steam, coke, or nuclear fuel used in processing, manufacturing, mining, refining, irrigation, construction, telegraph, telephone and radio communication, street and railroad transportation services, and all industrial uses are exempt from the 2.9% state sales and use tax. See FYI Sales 30  and FYI Sales 71 for more information

From March 1, 2010 through June 30, 2012, energy used for industrial or related purposes must be taxed (2.9% state sales and use tax).  To view a copy of the 2010 legislation, see House Bill 2010-1190.