Federal

Airport Zero Emission Vehicle (ZEV) Infrastructure Investments

The Zero Emissions Airport Vehicle and Infrastructure Pilot Program provides funding to airports for up to 50% of the cost to acquire ZEVs and install or modify supporting infrastructure for acquired vehicles. Grant funding must be used for airport-owned, on-road vehicles used exclusively for airport purposes.

Alternative Fuel Tax Exemption

Alternative fuels used in a manner that the Internal Revenue Service (IRS) deems as nontaxable are exempt from federal fuel taxes. Common nontaxable uses in a motor vehicle are: on a farm for farming purposes; in certain intercity and local buses; in a school bus; exclusive use by a non-profit educational organization; and exclusive use by a state, political subdivision of a state, or the District of Columbia.

Clean Construction USA

Clean Construction USA is a voluntary program that promotes the reduction of diesel exhaust emissions from construction equipment and vehicles by encouraging proper operations and maintenance, use of emissions-reducing technologies, and use of cleaner fuels. Clean Construction USA is part of the U.S. Environmental Protection Agency's National Clean Diesel Campaign, which offers funding for clean diesel construction equipment projects. 

Clean School Bus USA

Clean School Bus USA is part of the U.S. Environmental Protection Agency's National Clean Diesel Campaign and provides funding for projects designed to retrofit and/or replace older diesel school buses. Eligible applicants are school districts, state and local government programs, federally recognized Indian tribes, and non-profit organizations.

Idle Reduction Equipment Excise Tax Exemption

Qualified on-board idle reduction devices and advanced insulation are exempt from the federal excise tax imposed on the retail sale of heavy-duty highway trucks and trailers. The exemption also applies to the installation of qualified equipment on vehicles after the vehicles have been placed into service.

Qualified Plug-In Electric Drive Motor Vehicle Tax Credit

A tax credit is available for the purchase of a new qualified plug-in electric drive motor vehicle that draws propulsion using a traction battery that has at least five kilowatt-hours (kWh) of capacity, uses an external source of energy to recharge the battery, has a gross vehicle weight rating of up to 14,000 pounds, and meets specified emission standards. The minimum credit amount is $2,500, and the credit may be up to $7,500, based on each vehicle's traction battery capacity and the gross vehicle weight rating.

Rural Ethanol Infrastructure Grants and Loan Guarantees

The Rural Energy for America Program (REAP) provides loan guarantees and grants to agricultural producers and rural small businesses to purchase renewable energy systems or make energy efficiency improvements. Eligible renewable energy systems include flexible fuel pumps, or blender pumps, that dispense intermediate ethanol blends. The maximum loan guarantee is $25 million and the maximum grant funding is 25% of project costs. At least 20% of the grant funds awarded must be for grants of $20,000 or less.

Transit Investments for Greenhouse Gas and Energy Reductions

The TIGGER Program, administered by the Federal Transit Administration, works directly with public transportation agencies to implement new strategies for reducing greenhouse gas emissions and/or reduce energy use within transit operations. FTA encourages project implementation that will enhance operational efficiencies, demonstrate innovative electric drive strategies, and create an environment prioritizing public transportation through intelligent transportation systems (ITS) or other related technology approaches to achieve efficiency and sustainability goals. 

Voluntary Airport Low Emissions Program (VALE)

VALE improves airport air quality and provides air quality credits for future airport development. Created in 2004 by the Federal Aviation Administration, VALE helps airport sponsors meet their state-related air quality responsibilities under the Clean Air Act. Through VALE, airport sponsors can use Airport Improvement Program (AIP) funds and Passenger Facility Charges (PFCs) to finance low emission vehicles, refueling and recharging stations, gate electrification, and other airport air quality improvements.

For more information: Alternative Fuels Data Center