December 12, 2019. A total of $450,000 is available for clean diesel and alternative fuel engine and equipment replacement projects under a competitive grant request for proposal (RFP) announced today by the Michigan Department of Environment, Great Lakes, and Energy (EGLE).

The 2020-21 Michigan Clean Diesel Program RFP targets efforts to replace old diesel equipment, vehicles, and engines with new diesel, alternative fuel, electric, or hybrid versions. Applicants can be cities, townships and villages; county government agencies; public school districts; private schools; public transit agencies; port authorities; metropolitan planning organizations; nonprofit organizations; or private businesses.

Applications will be accepted until 5 p.m. Jan. 30, 2020, and projects must be completed by August 2021 in one of two categories:

  • Vehicle Replacement: Funding may cover up to 25 percent of the cost of eligible diesel vehicle replacements, up to 35 percent of the cost of eligible vehicles that meet the California Air Resource Board’s optional low oxides of nitrogen standards, and up to 45 percent of the cost of an all-electric vehicle replacement. Eligible drayage vehicle replacement may be funded up to 50 percent.
  • Engine Replacement: Funding includes, but is not limited to, replacing diesel engines with an engine certified for use with diesel or an alternative fuel (e.g., compressed natural gas or propane), or a zero tailpipe emissions power source (grid battery or fuel cell). Funding for engine replacement may cover up to 40 percent for diesel or alternative fuel engines; 50 percent for low-nitrogen oxide and up to 60 percent for replacement with zero emission engines.

Two webinars explain the 2020-21 Michigan Clean Diesel Grant Program:

  • Watch Part 1, Funds for New School Buses and Associated Air Quality Benefits.
  • Sign up for Part 2, Guidelines for Grant Application scheduled for Jan. 7. Eligible diesel vehicles, engines and equipment: Buses, Class 5-8 heavy-duty highway vehicles, marine engines, locomotives and nonroad engines, and equipment or vehicles used in construction or handling of cargo (including at a port or airport).

State and federal money fund the project, with the federal portion provided by the U.S. Environmental Protection Agency in accordance with the Diesel Emissions Reduction Act.