EPA offers $26 million for clean diesel projects
School buses are among the eligible vehicles to be retrofitted or replaced in the latest round of Diesel Emissions Reduction Act funding.

School buses are among the eligible vehicles to be retrofitted or replaced in the latest round of Diesel Emissions Reduction Act funding. Photo by Barb Kracheck

School buses are among the eligible vehicles to be retrofitted or replaced in the latest round of Diesel Emissions Reduction Act funding. Photo by Barb Kracheck
WASHINGTON, D.C. — Grants totaling $26 million will be made available to curb emissions from the nation’s diesel fleet, the Environmental Protection Agency (EPA) announced on Thursday.
The funding is part of the Diesel Emissions Reduction Act (DERA) program, which began in 2008. The EPA has awarded close to 700 grants across the U.S. since the first year of the program.
For the 2016 grant competition, the EPA is calling for proposals for projects that would reduce diesel emissions and exposure, especially in areas with poor air quality. Agency officials said that priority will be given to projects that “engage and benefit local communities and applicants that demonstrate their ability to promote and continue efforts to reduce emissions after the project has ended.”
Diesel school buses are among the eligible vehicles. Grant funds can be used for such clean diesel projects as retrofits, idle-reduction technologies, low rolling resistance tires, and engine or vehicle replacements.
The deadline for applications is April 26. The EPA expects to give out 10 to 40 awards for this competition. The agency plans to notify the chosen applicants in June and award the funds in October.
For more information, and to access the request for proposals, go here.
More Alternative Fuels

The Fuel Budget You Can Actually Predict: How Propane Autogas Keeps Money in the Classroom
Learn how propane autogas helps school districts manage fuel costs with predictable pricing, lower maintenance, and reduced emissions from former transportation director Joel Stutheit.
Read More →
Hendrickson, Driventic Introduce New Electric Powertrain for School Buses
ELECTRAAX, the electrified, lightweight drive axle offers integrated ePowertrain efficiency and modular flexibility for Class 6–7 school bus use.
Read More →
The Mobility House Joins PowerFlex in Fleet Electrification Deal
The acquisition combines intelligent charging software, bidirectional charging expertise, and fleet electrification services to support the growing adoption of electric school buses across North America.
Read More →
Alt-Fuel Moves: Electric School Bus Investments Hit the Road
See which districts across the U.S. are putting electric school buses into service, expanding charging infrastructure, and planning the next phase of fleet electrification.
Read More →
With Fuel Volatility Ahead, School Districts Turn to Propane
While diesel prices peaked above $5 this spring, districts with propane autogas-powered fleets paid under $2 per gallon, according to PERC.
Read More →
EPA Unveils Proposed Changes to 2027 Heavy-Duty Engine Rules
The federal agency has proposed changes to next year’s targets that would eliminate DEF derates, ease warranty requirements, and retain current NOx emissions standards.
Read More →
Alt-Fuel Moves: EV Charging & Infrastructure Projects Gain Momentum
The latest developments include new funding, charging infrastructure, utility investments, and fleet technologies designed to support the transition to electric school buses nationwide.
Read More →
Alt-Fuel Moves: Fleets Power Up Beyond the Bus
See how districts are pairing electric buses with charging, solar, and V2G technology to cut costs, boost resilience, and unlock new fleet value.
Read More →
What the EPA’s Updated Clean School Bus Program Means for Fleet Electrification in 2026 and Beyond
A guide to the EPA’s evolving school bus grants, including how the Trump administration changed funding priorities and how school districts can prepare for future bus purchases.
Read More →A Solution Helping School Buses Charge Without Major Infrastructure Upgrades
Power Innovations International dishes on its EV charging technology designed to reduce infrastructure barriers, improve reliability, and support V2G applications for school bus fleets.
Read More →
