EPA’s School Bus Rebate Program Returns
The agency is offering $20,000 per vehicle to replace older school buses and $6,000 for retrofits to reduce emissions.

The EPA is offering $20,000 per vehicle to replace older school buses and $6,000 for retrofits to reduce emissions.

The EPA is offering $20,000 per vehicle to replace older school buses and $6,000 for retrofits to reduce emissions.
The Environmental Protection Agency (EPA) is offering a new round of funding — $7 million in all — to replace or retrofit older school buses.
In the 2017 School Bus Rebate Program, public and private fleet operators can apply for up to $20,000 per vehicle to replace older school buses and up to $6,000 per vehicle for retrofits to reduce emissions.
The total of $7 million for this year’s program includes up to $1 million for retrofits. This is the fifth round of rebates to fund cleaner school buses under the Diesel Emissions Reduction Act.
“Older school buses without emission reduction retrofits emit significant amounts of harmful exhaust, so participating in this program will help improve the health of students and other members of your community,” the EPA said in an announcement on Thursday.
The replacement rebates are for school buses powered by engines from model year 2006 or older. They have to be replaced by buses with a 2017 or newer engine.
The retrofit rebates are for school buses powered by engines from model years 1994 to 2006. They can be retrofitted with an EPA-verified diesel oxidation catalyst, with the option of adding a closed crankcase ventilation system and a fuel-operated heater.
The application period opened on Thursday and closes on Nov. 14 at 4 p.m. ET. A webinar for applicants is slated for Oct. 5 at 2 p.m. ET.
For more information, go here.
More Alternative Fuels

Alt-Fuel Moves: Electric Bus Rollouts, Bidirectional Charging & Propane Growth
See which fleets are adding electric and propane school buses as districts and operators invest in charging infrastructure, bidirectional technology, and alternative-fuel expansion.
Read More →
Nobody Told Diesel Prices They Were Supposed to Come Down
With diesel prices surging, school bus fleets have new reason to stress-test fuel costs, consider diversification, and calculate what each route really costs to operate.
Read More →
Why Gasoline School Buses Are Making a Comeback
Gasoline is gaining ground in full-size school buses. See how today’s options stack up against diesel on cost, maintenance, emissions, performance, and more.
Read More →
EPA Opens $180M DERA Funding Round for Diesel Upgrades
The 2026 Diesel Emissions Reduction Act program seeks applications from eligible organizations to accelerate the retirement of legacy diesel vehicles.
Read More →
The Secret Life of an Electric School Bus Battery
Batteries change throughout years of daily routes, but degradation doesn’t necessarily mean the end. Here’s what operators should know about performance, safety, and second life.
Read More →
CALSTART and Forth Combine to Form Catalyst Mobility
The new name represents a renewed vision for the nonprofit focused on advancing clean, equitable, and affordable transportation solutions that move people and goods.
Read More →
Alt-Fuel Moves: New Buses, Charging Hubs & Real-World EV Testing
Propane and electric school bus deployments continue to grow as districts add new vehicles, expand charging infrastructure, and gather more real-world operating data.
Read More →
Fewer Electric School Bus Models Reshape the U.S. Market
WRI’s latest buyer’s guide points to a consolidating electric school bus market, but fewer options may reflect a maturing industry rather than fewer meaningful choices for school bus operators.
Read More →
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 →
