Biden administration announces over $233.76 million in CNG transit investments

June 27, 2023. NGVAmerica announces that over $233.76 million has been awarded by the Biden administration to compressed natural gas (CNG) bus transit projects across the country. Another $44.37 million went to transit agencies where at least a portion will be spent on CNG buses and infrastructure.

The funding is part of a larger announcement made this week by the Federal Transit Administration’s Low- and No-Emission Grant Award program for Fiscal Year 2023.

Of notable awards, Sun Tran in the City of Tucson (AZ) will receive $21.49 million; Dallas Area Rapid Transit (TX) $103 million; Metropolitan Transit Authority of Harris County (TX) $40.4 million; the Utah Transit Authority over $17 million; and Loudon County, VA $13.88 million. The funding is for new CNG buses, fueling infrastructure, and associated maintenance facility improvements.

The Low-No Program in recent years has proved to be an important factor in assisting transit agencies in upgrading their bus fleets to deploy cleaner, less polluting buses. With the Biden administration’s added prioritization of addressing climate change and associated environmental justice concerns, the rapid and widespread deployment of affordable and impactful buses must include every qualifying technology commercially available today.

Prior to 2021, FTA did not fully consider low-emission natural gas transit bus applications in the competitive Low-No Grant Program. Through its advocacy work, NGVAmerica secured language in two fiscal year conference agreements that “directs the FTA to implement 49 U.S.C. 5339(c) in a manner that encourages a variety of different fuel types and consider procurements that reduce an agency’s overall greenhouse gas emissions.”

As a result, FTA began awarding funding to municipalities and transit agencies interested in growing their natural gas transit programs and replacing older CNG buses that have reached the end of their useful life.