Grants Available In MI For Clean Alternatives To Diesel

Lansing, MI - EGLE is offering grants for new hybrid, alternative fuel, and zero tailpipe emission vehicles, engines, or equipment.

A total of $325,150 is available through a competitive grant Request for Proposals (RFP) announced January 18, 2022 by the Michigan Department of Environment, Great Lakes, and Energy (EGLE).

The 2022-23 Michigan Clean Diesel Program’s RFP targets efforts to replace diesel equipment, vehicles, and engines with zero tailpipe emission, hybrid, or alternative fuel vehicles, engines, or equipment. Applicants can be any of the following:  cities; townships; villages; county governmental agencies; public school districts; private schools; public transit agencies; port authorities; metropolitan planning organizations; nonprofit organizations; or private businesses.

Applications will be accepted by email until 5 p.m., February 18, 2022, and projects must be completed by August 2023, and fall into one of the two following categories:

  • Vehicle Replacement:  Funding may cover up to 35 percent of the cost of eligible vehicles that meet the California Air Resource Board’s (CARB) optional low oxides of nitrogen (NOx) 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 engines certified for use with CARB Certified Low NOx Engine, or a zero-tailpipe emissions power source (grid battery or fuel cell). Funding for engine replacement may cover up to 50 percent for low-NOx and up to 60 percent for replacement with zero emission engines.
  • 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).

A webinar explaining the 2022-23 Michigan Clean Diesel Grant Program, “Guidelines for Grant Application” is scheduled for January 19, 2022, from 2 p.m. to 3 p.m. EST.  Anyone interested in applying for Clean Diesel Program funding, along with those who will be responsible for project management, is encouraged to register go to this link,

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.

Visit the Michigan Clean Diesel Program website to download the full RFP application materials.

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