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Funding (current and expired)

Federal, State and local funding opportunities associated with emissions reduction

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National Diesel Emissions Reduction Act (DERA) Notice of Funding Opportunity

EPA's Office of Transportation and Air Quality is soliciting applications nationwide for projects that achieve significant reductions in diesel emissions. Priority for funding will also be given to projects that engage and benefit local communities already overburdened by air pollution, protect grant funded investments from severe weather events caused by climate change, and applicants that demonstrate their ability to promote and continue efforts to reduce emissions after the project has ended.

EPA anticipates awarding approximately $115 million under this NOFO. Awards will be selected and managed by EPA's ten regional offices. EPA anticipates 4-10 cooperative agreements awards per EPA region, subject to the availability of funds, the quality of applications received, and other considerations.

Please visit www.epa.gov/dera/national for questions and answers and additional details. For questions, please email DERA@epa.gov

2022-2023 DERA NOFO Presentation Slides (pdf) (933 KB)

DEADLINE TO APPLY:  Friday, December 1, 2023

2023 BIL Clean School Bus Grants Program

EPA plans to award approximately $400 million in competitive grant funding under the Bipartisan Infrastructure Law (BIL) Clean School Bus (CSB) Grants Program. The program is soliciting applications nationwide for a grant competition to fund the replacement of existing school buses with clean, zero-emission school buses. Eligible activities include the replacement of existing internal-combustion engine school buses with electric, propane, or compressed natural gas school buses, as well as the purchase of electric vehicle supply equipment (EVSE) infrastructure and EVSE installation. Applications will be accepted from state and local government entities that provide bus service; eligible contractor; nonprofit school transportation associations; Indian Tribes, Tribal organizations, or Tribally controlled schools. Application packages are due no later than Tuesday, August 22, 20234, at 11:59 p.m. (ET) via electronic submission on Grants.gov.

IRA Clean Heavy-Duty Vehicle Program

The Inflation Reduction Act (IRA) Clean-Heavy Duty Vehicle Program invests $1 billion to replace existing heavy-duty Class 6 and 7 commercial vehicles with clean, zero-emission vehicles, support zero-emission vehicle infrastructure, to train and develop workers, and for planning and technical activities in support of zero-emission vehicle adoption and deployment. The funds will be distributed between now and 2031. $400 million will be going to communities in nonattainment areas. EPA anticipates this new funding opportunity may begin later in 2023.

IRA Clean Ports Program

The Inflation Reduction Act (IRA) provides EPA with $3 billion to fund zero-emission port equipment and technology and to help ports develop climate action plans to reduce air pollutants at U.S. ports through the IRA Clean Ports Program. $750 million is to be spent in nonattainment areas. Eligible funding recipients include: port authorities; state, regional, local, or Tribal agencies that have jurisdiction over a port authority or port; air pollution control agencies; or private entities that apples in partnership with an eligible entity above and owns, operates, or uses facilities, cargo-handling equipment, transportation equipment, or related technology of a port. Funding expires September 30, 2027.

State Grants: Diesel Emissions Reduction Act (DERA)

EPA allocates DERA funds to eligible U.S. states and territories for the establishment of diesel emissions reduction programs. Using the formula outlined in the Energy Policy Act of 2005 (pdf) (3.2 MB), the State Grants are allocated 30 percent of the annual DERA appropriation. Of the state portion of the funding, two-thirds is provided to participating states and territories as base funding. The remaining third is allocated as an incentive to those states and territories that voluntarily provide a match equal to the base funding.

Tribal and Insular Area Grants: Diesel Emissions Reduction Act (DERA)

EPA allocates DERA funds to eligible tribal governments (or intertribal consortiums), Alaska Native Villages, or insular area government agencies which has jurisdiction over transportation or air quality. Eligible diesel emissions reduction solutions include verified retrofit technologies, verified idle reduction technologies, verified aerodynamic technologies, verified low rolling resistance tires, certified engine replacements and conversions, and certified vehicle equipment replacement.

State Programs

Your state may have resources for their own diesel emissions reductions programs, including projects funded through DERA grants. Find out more by clicking on the state links below:

Historic $450 million available for Port Infrastructure Development Program (PIDP) grants from the Bipartisan Infrastructure Law

The U.S. Department of Transportation’s Maritime Administration (MARAD) has announced nearly $450 million in newly available grant funding for port-related projects through the Port Infrastructure Development Program (PIDP) — by far the largest investment ever in the program. The Bipartisan Infrastructure Law also expanded the list of eligible projects to explicitly include projects that reduce or eliminate port-related criteria pollutant or greenhouse gas emissions such as:

  • port electrification or electrification master planning
  • harbor craft or equipment replacements or retrofits
  • development of port or terminal microgrids
  • provision of idling reduction infrastructure
  • purchase of cargo handling equipment and related infrastructure
  • worker training to support electrification technology
  • installation of port bunkering facilities from ocean-going vessels for fuels
  • electric vehicle charging or hydrogen refueling infrastructure for drayage and medium or heavy-duty trucks and locomotives that service the port and related grid upgrades; or
  • other related port activities, including charging infrastructure, electric rubber-tired gantry cranes, and anti-idling technologies.

MARAD will host a series of webinars explaining the PIDP grant application process. Details and registration information regarding these webinars will be made available here.

EPA's 2021 School Bus Rebates, Applications Being Accepted on Two Separate School Bus Rebate Programs

EPA is excited to announce two funding opportunities for school bus fleets that serve public schools: the 2021 American Rescue Plan (ARP) Electric School Bus Rebates, and the 2021 DERA School Bus Rebate Program. EPA's Office of Transportation and Air Quality is accepting applications nationwide for rebates to assist in replacing older, dirtier diesel school buses with new school buses. Please visit the new 2021 ARP Electric School Bus Rebates website for a table showing the differences between the two rebate programs.

2021 Environmental Justice Small Grants: Opportunity for Communities Living Near Port and Rail Facilities
Now Open: 2021 Request for Applications
Deadline to Apply - March 16, 2021 (11:59 p.m. ET)

EPA's Ports Initiative is pleased to share news that funding is available for approximately six Environmental Justice Small Grant (EJSG) projects that address clean air issues at coastal and inland ports or rail yards. A maximum of $50,000 is available for each one-year project.  This funding opportunity is part of a larger EJSG Request for Applications (RFA). The EJSG Program, established in 1994, awards grants to projects designed to develop strategies that address local environmental and public health issues, build consensus in the community, and set community priorities.

Deadline: Application packages must be submitted on or before June 1, 2021 through  Grants.gov.

Diesel Emissions Reduction Act (DERA) National Grants
Now Open: 2021 Request for Applications
Deadline to Apply - March 16, 2021 (11:59 p.m. ET)

The U.S. Environmental Protection Agency (EPA) is excited to announce the availability of approximately $46 million in Diesel Emissions Reduction Act (DERA) grant funds to support projects aimed at reducing emissions from the nation's existing fleet of older diesel engines. Under this competition, between 40 and 70 awards are anticipated.

Eligible Entities

Eligible applicants include regional, state, local or tribal agencies, or port authorities, with jurisdiction over transportation or air quality. Nonprofit organizations may apply if they provide pollution reduction or educational services to diesel fleet owners or have, as their principal purpose, the promotion of transportation or air quality.

Incentives and Funding Opportunities for Idle Reduction Projects

Various federal, state, and nonprofit organizations provide funding that can be used for the reduction of emissions from long-duration truck and locomotive idling.

Congestion Mitigation Air Quality (CMAQ) Funds

The U.S. Department of Transportation's CMAQ program provides funds to state DOTs, MPOs, and transit agencies to invest in projects that reduce air pollution from transportation-related sources.

The CMAQ program is one source of funds for Transportation Control Measures (TCMs) employed for the purposes of reducing congestion and improving air quality.

Port Authority Truck Program

The Port Authority of New York & New Jersey Regional Truck Replacement Program (TRP) is a special first-come, first-served limited offer to provide grants and financing to eligible truck owners to help them purchase newer, cleaner and more environmentally-friendly trucks.

ELIGIBILITY:

  • Own a drayage truck (Class 8, 33,001 pounds gross vehicle weight rating (GVWR) and higher) equipped with an engine Model Year 1993 or older
  • Demonstrate a history of regularly calling to the Port of NY & NJ marine terminals (approximately 200 times in the last 12 months)
  • Be willing to scrap old drayage truck
  • Possess a valid vehicle registration, license plate, and driver's license
  • Have acceptable credit history and cash flow if applying for low-interest financing

Clean Cities Funding

There are many financial opportunities available. When applying for funding, ask your local Clean Cities coordinator for help. Coordinators can offer sound advice on how to successfully navigate the process to obtain the funding needed to meet petroleum reduction goals.

DERA Grants

The Diesel Emissions Reduction Act (DERA) establishes a voluntary national and state-level grant and loan program to reduce emissions from existing diesel engines through clean diesel retrofits. Emissions from older diesel vehicles and equipment can be reduced between 20 and 95 percent with cost-effective retrofit technology. The EPA estimates that if DERA is fully funded, it would reduce particulate matter emissions by greater than 70,000 tons, generate greater than $20 billion in economic benefit, and return $13 in health, environmental and economic benefits for every one dollar invested. Since the program's creation in 2005, the U.S. EPA has provided $519 million in grants for clean diesel projects.

2012 Reauthorization of Diesel Grants--President Obama Jan. 4 signed legislation (H.R. 5809) reauthorizing grants to state, local, and tribal governments for programs to reduce emissions from existing diesel engines. The bill, passed by the Senate Dec. 16 and the House Dec. 21, authorizes $100 million each year for the grants for fiscal years 2012 through 2016 (244 DEN A-7, 12/22/10). The grants are used to reduce emissions through means such as retrofitting diesel engines with emissions controls. Any funding authorized would still be subject to actual appropriations by Congress.

Contact Region2_Clean_Diesel@epamail.epa.gov to request notifications of upcoming grants.

DERA Rebates

The Diesel Emissions Reduction Act (DERA) of 2010 allows EPA to offer rebates in addition to grants to reduce harmful emissions from older, dirtier diesel vehicles. EPA's DERA Rebate Program has funded vehicle replacements or retrofits for over one thousand vehicles to date. Typically, the rebate application period opens in the fall and projects are completed in less than one year.