Zero-Emission Freight and Marine Projects
This program aims to maximize reductions of oxides of nitrogen (NOx) by providing incentive funding for qualifying zero-emission off-road marine and freight equipment.
The information below summarizes the minimum requirements from the Beneficiary Mitigation Plan (BMP) that was approved by the California Air Resources Board (CARB) on May 25, 2018.
Additional requirements and scoring criteria will be announced with the release of the solicitation package, which is currently under development, and anticipated to be released in Q1 2020.
Funding availability and timeframe
The first installment of $35 million is anticipated to be released in Q1 2020. The second installment is expected to be released approximately two years after the first installment.
Eligible projects
Funding can be used to:
- Replace eligible airport ground support equipment (GSE) and port cargo handling equipment with new zero-emission technologies;
- Replace heavy-lift i.e., >8,000 lbs. forklifts;
- Repower pre-tier 3 ferry, tugboat, or towboat engines to all-electric; and to
- Install oceangoing vessel shore power systems at port terminals.
Basic project requirements
Scrapping: For replacement projects, the old vehicle or equipment must be scrapped (destroyed). For the repower of ferries, tugboats, or towboats, the old engine must be scrapped or destroyed.
Certification: The new vehicle or equipment, engine, or motive power system must be certified, verified, or otherwise approved by the U.S. EPA or CARB for operation in California.
Ownership and reporting: Vehicle or equipment owners are expected to operate all funded new equipment throughout its intended useful life and must report annually on operations for at least three years.
Geographic location: All vehicles and equipment must be domiciled in and operate in the State of California for the duration of its project life. Projects that benefit disadvantaged or low-income communities may be prioritized for award.
Eligible applicants and award limits
Both public agencies and private businesses that own and operate eligible vehicles or equipment may apply.
Applicants may request grant funding for each piece of equipment or vehicle, subject to the following limits:
| Project Type | Maximum Funding |
| Replace Airport GSE | Incremental Cost |
| Replace Heavy-lift Forklift | $175,000 |
| Replace Port Cargo Handling Equipment | |
| Repower Ferry, Tugboat, or Towboat | $2,500,000 |
| Install Shore Power Systems |
In addition, the following limits apply:
- Private businesses may not request more than 75 percent of the cost for each new vehicle or equipment;
- Public agencies may not request more than 100 percent of the cost for each new vehicle or equipment.
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Have questions? Please contact us via e-mail at: CaliforniaVWTrust@baaqmd.gov
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