Up to $20M now available in California through VW Zero

Up to $20 million funding is now available in California through the VW Zero-Emission Freight and Marine (ZEFM) program. Applications are being accepted and reviewed on a first-come, first-served basis until funding is exhausted.

This VW ZEFM solicitation incorporates the modifications to the California’s Beneficiary Mitigation Plan that were recently approved by the California Air Resources Board and has the following new features:

Allows stacking with Clean Off-Road Equipment Voucher Incentive Project (CORE) and other state programs that don’t claim NOx emissions reductions.

Removed static funding caps for all project categories, including the funding cap for Airport Ground Support Equipment.

Includes a higher cost-effectiveness threshold (increased from $280,000 to $466,000 per ton of NOx reduced) that will be used as the primary factor in determining maximum funding.

Requires CARB’s pre-approval for projects with proposed award over $1M.

Funding is available for the following project categories:

Heavy-lift forklifts (8,000 lb. lift capacity or greater)scrap and replace

Airport ground support equipment scrap and replace

Port cargo handling equipment (including terminal tractors) scrap and replace

Ferries, tugboats, towboats repower, and

Shore power system installation for ocean-going vessels not required or not yet required to use shore power while at berth.

This program is funded through the California VW Mitigation Trust, a program that provides $423 million to mitigate the excess NOx emissions caused by illegal use of emissions testing defeat devices in VW diesel vehicles. The California VW Mitigation Trust’s funding advances low-emission vehicle and equipment deployment and accelerates the zero-emission transformation of transportation systems.

More than 75% of the funds from this funding category are expected to benefit disadvantaged or low-income communities.

The Bay Area Air Quality Management District serves as the statewide administrator for the funding for this project category in partnership with CARB.

Posted on 23 August 2023 in Emissions, Market Background | Permalink | Comments (0)