U.S. EPA Launches Grant Program to Finance Transition to Clean HD Vehicles

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The U.S. Environmental Protection Agency has launched the nearly $1 billion Clean Heavy-Duty Vehicles Grant Program to fund the replacement of certain polluting heavy-duty vehicles with zero-emission vehicles.

Funded through the Inflation Reduction Act under President Biden’s Investing in America Agenda, EPA will award competitive grants for projects that will reduce climate and air pollution from heavy-duty vehicles, support good-paying jobs and improve air quality for communities across the nation, particularly those overburdened by air pollution.

“President Biden and his entire administration are working to ensure every community can breathe clean air,” says EPA Administrator Michael S. Regan. “EPA’s Clean Heavy-Duty Vehicles Grant Program will slash climate and air pollution and enhance the country’s infrastructure by funding the deployment of zero-emissions vehicles and installation of supporting infrastructure. The program’s historic investment in zero-emission vehicles will secure our nation’s position as a global leader in clean technologies that address the impacts of climate change.”

The 2024 Clean Heavy-Duty Vehicles Grant Program will support the adoption and deployment of eligible Class 6 and 7 zero-emission vehicles while also funding zero-emission vehicle fueling infrastructure and workforce development and training. Across the nation, over 3 million Class 6 and Class 7 vehicles are currently in use, spanning a variety of vehicle types and vocations, including school buses, refuse haulers and utility and delivery trucks.

The program will help advance Biden’s commitment to environmental justice and the Justice40 Initiative, which sets the goal that 40% of the overall benefits of certain federal investments in climate, clean energy and other areas flow to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution.

In the United States, the transportation sector is the largest source of greenhouse gas emissions and a leading source of health-harming pollution. Most of the vehicles eligible for replacement are powered by internal combustion engines that pre-date recent EPA emission standards. These vehicles emit harmful pollutants like nitrogen oxide, fine particulate matter and greenhouse gases. Pollution from these vehicles is associated with respiratory and cardiovascular disease, among other serious health problems.

To meet the needs of diverse potential recipients and encourage participation in this grant opportunity, EPA is providing two separate sub-program competitions under this single Notice of Funding Opportunity:

  • The School Bus Sub-Program for applicants replacing school buses.
  • The Vocational Vehicles Sub-Program for applicants replacing non-school bus Class 6 and 7 vehicles — including box trucks, refuse haulers, dump trucks, street sweepers, delivery trucks, bucket trucks and utility trucks.

EPA anticipates approximately 70% of available funding will be for projects under the School Bus Sub-Program and about 30% of funding will be for projects under the Vocational Vehicles Sub-Program.

Eligible applicants for both competitions include states, municipalities (including school districts), Indian tribes, territories and nonprofit school transportation associations. EPA anticipates awarding at least 15 grants to eligible applicants from tribes and territories. Additionally, the Inflation Reduction Act statute requires that at least $400 million of the program’s funding go to projects that will serve one or more communities dealing with significant pollution as defined by EPA’s National Ambient Air Quality Standards.

The deadline to apply for the 2024 Clean Heavy-Duty Vehicles Grant Program is July 25, 2024. EPA expects to announce awards by the end of 2024.

To learn more about the program, applicant eligibility, selection process and informational webinar dates, visit the Clean Heavy-Duty Vehicles Grant Program website.

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