DERA Grants
Diesel Emissions Reduction Act Grants
The Diesel Emission Reduction Act (DERA), contained within the Energy Policy Act of 2005, provides grants and loans to states and other eligible entities to achieve significant reductions in diesel emissions. DEEP receives funds from EPA through the State DERA Program. From time to time, project proposals have been solicited from municipalities, organizations, and individuals for diesel reduction projects that are environmentally and economically beneficial.
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Current DERA and Diesel-Related Funding Opportunities
To the extent resources are available, DEEP can provide assistance to entities and individuals seeking to apply for these grants:
Fiscal Year 2025-2026 State DERA Program
Funding has not yet been made available for Connecticut's 2025-2026 State DERA Program. To receive first notifications of grant programs and outreach events as soon as they become available, please join our Clean Diesel Stakeholders List.
National Clean Diesel Campaign Grants
Requests for proposals for the National Clean Diesel Campaign and related information are posted on EPA's Clean Diesel Website. The program solicits applications nationwide for projects that achieve significant reductions in diesel emissions and exposure, particularly from fleets operating in areas designated by EPA as poor air quality areas.
In 2020, EPA awarded the Connecticut Maritime Foundation Inc. $733,743.00 to replace five marine engines on two tugboats.
In 2021, EPA awarded the South Shore Clean Cities (SSCC) $563,562.00 to replace a Tier 1 bulk good material handler with a Tier 4 hybrid diesel electric handler. EPA also awarded Connecticut Maritime Foundation $231,529.00 to replace marine propulsion engines and emergency generator sets with new Tier 3 engines. For more information on how your municipality, state, or business can participate, please visit EPA's Clean Diesel Website.
EPA Clean School Bus Program
The EPA Clean School Bus Program offers funding to public school districts, tribal applicants, and third parties for the replacement of existing school buses with clean and zero-emission (ZE) models. To date, Connecticut applicants have already been awarded over $57 million in funding for over 202 zero-emission buses and charging infrastructure. To find out more about current and past funding under this program, please visit the program website.
VW Diesel Emissions Mitigation Program
In 2018, over $50 million became available for various nitrogen oxide (NOx) mitigation projects, including diesel reduction projects. While incentives under the VW Program are potentially more generous, many clean diesel projects that are eligible for the State DERA Program, are not eligible for VW funding. Please visit Connecticut's VW Settlement webpage for more information on current grant opportunities.
Other EPA Grant Opportunities
EPA’s Boston office provides information regarding grants and funding in New England on its website.
In addition, the search for grant opportunities feature, located at Grants.gov, allows organizations to electronically find and apply for competitive grant opportunities from all federal grant-making agencies.
Clean Cities Grant Programs
Your organization may be able to take advantage of incentive and financial opportunities for reducing petroleum use in your fleet of vehicles.
Connecticut Green Bank Financing
Your organization may be able to take advantage of Connecticut Green Bank's low-interest financing for environmental projects.
Ongoing DERA Projects
2023-2024 State DERA Grant
In October of 2023, DEEP received a new year of funding from EPA's State DERA program. The second year of funding for the 2023-24 DERA State Grant became available on December 3, 2024. DEEP's activities under the program are subject to the terms of the agreement below.
2023-2024 State DERA Cooperative Agreement between DEEP and EPA – March 31, 2026
The 2023-2024 FY State DERA projects are being funded by a combination of DEEP's 2023 and 2024 State DERA allocation, "DERA Option" matching funds from the Volkswagen Diesel Emissions Environmental Mitigation Trust (VW Trust), and an EPA match incentive. DEEP conducted an open and competitive solicitation in the fall/winter of 2023, after which five new projects were selected for 2023 State DERA funding. Two of those projects have since withdrawn. DEEP conducted an open and competitive solicitation from January to February 2025, after which two new projects were selected for 2024 State DERA funding:
Projects selected for 2024 Funding:
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City of Stamford: Up to $789,937.20 in grant funds to replace six diesel refuse trucks (two model year (MY) 2010 Crane Carrier Corporation LET2-45 trucks, one MY 2008 Crane Carrier Corporation LET2-45 truck, two MY 2002 International 7400SFA 4X2 trucks, and one MY 2009 Mack GU712 truck) with two 2025 Mack LR 64R BE - Rear Load electric refuse trucks and one 2025 Mack LR 64R BE - Automatic Side Loader (ASL) electric refuse truck.
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Running Brook Farms LLC.: Up to $94,275.00 in grant funds toward the scrappage and replacement of one John Deere wood processor, powered by a MY 2001 JD6068T diesel engine, with one 2024 Multitek 2040XP2 electric equivalent.
Projects selected for 2023 Funding:
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Bozzuto’s Inc: Withdrew.
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Cariati, LLC: Up to $217,423.40 in grant funds toward the scrappage and replacement of three MY 1993, Class 8 diesel-powered dump trucks with three MY 2024 Kenworth T880 diesel equivalents.
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City of New Haven: Withdrew.
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Michael Pirri/FlyingConnie Charters, LLC: Up to $44,911.00 in grant funds toward the scrappage and replacement of one marine engine model year (EMY) 2002, Tier 0, Yanmar 6CX-GTE2 diesel-powered engine with an EMY 2024, Tier 3, Yanmar 6LF530 diesel-powered equivalent.
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Tilcon Connecticut Inc.: Up to $143,788.02 in grant funds toward the scrappage and replacement of one MY 2006, Class 8, Terex – Advance AP-6811 cement mixer, and one MY 1994, Class 8, Kenworth T-450 dump truck; these vehicles will be replaced with one MY 2025, Class 8, Oshkosh S-2204 S-Series diesel-powered front discharge mixer and one MY 2025, Class 8, Peterbuilt 567 diesel-powered dump truck.
2022 State DERA Grant
In October of 2022, DEEP received a new year of funding from EPA's State DERA program. DEEP's activities under the program are subject to the terms of the agreement below.
2021-2022 State DERA Cooperative Agreement between DEEP and EPA – July 2, 2026
The 2022 FY State DERA projects are being funded by a combination of DEEP's 2022 State DERA allocation, "DERA Option" matching funds from the Volkswagen Diesel Emissions Environmental Mitigation Trust (VW Trust), and an EPA match incentive. DEEP conducted an open and competitive solicitation in the fall of 2022 after which the following new projects were selected for 2022 State DERA funding. One of those projects has since withdrawn:
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Captain John’s Sport Fishing Center: Up to $60,340.39 in grant funds toward the scrappage and replacement of a 1981, Tier 0, Detroit diesel marine engine on the Sunbeam VI, with a new, Tier 3, Cummins diesel equivalent.
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The Connecticut Department of Transportation: Up to $69,314.53 in grant funds toward the scrappage and replacement of a 2005 New Flyer XD20 transit van with a Ford ETransit 100% electric vehicle. This vehicle will be deployed to serve elderly, disabled and non-ADA customers within the 12 communities in the greater Waterbury, Meriden, and Wallingford service area.
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Waterfront Enterprises, LLC (DBA Gateway Terminal): Up to $159,504.41 toward the scrappage and replacement of one MY 2001 diesel terminal tractor with an all-electric MY 2003 equivalent. Grant funding will include the electric (vehicle) charging infrastructure.
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O & G Industries, Inc.: Up to $162,821.66 toward the scrappage and replacement of two Oshkosh model S-2346 front discharge mixers with new diesel equivalents.
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Seaview Fisheries: Withdrew.
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SMM New England Corp. (DBA Sims Metals): Up to $607,400.10 toward the scrappage and replacement of one Tier 2, 2004, Sennebogen 835M, diesel-powered scrap metal material handler with an electric equivalent. Grant funding will include the charging infrastructure.
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Stamford Uniform, Linen, Towel and Napkin LLC (Stamford Linen): Up to $368,756.87 toward the scrappage and replacement of a Class 6, 2014, diesel-powered Hino 268 and a Class 5, 2019, diesel-powered Isuzu NPR with electric equivalents. Grant funding will include the electric vehicle charging infrastructure.
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Fishing Vessel Susan LLC: Up to $36,839.60 toward the scrappage and replacement of a Tier 0, diesel marine engine (1998 John Deere Series 300 Engine 6.8l) and powertrain in the FV Susan with a new diesel equivalent.
2021 State DERA Grant
In October of 2021, DEEP received a new year of funding from EPA's State DERA program. DEEP's activities under the program are subject to the terms of the agreement below.
2021-2022 State DERA Cooperative Agreement between DEEP and EPA – July 2, 2026
The 2021 FY State DERA projects are being funded by a combination of DEEP's 2021 State DERA allocation, "DERA Option" matching funds from the Volkswagen Diesel Emissions Environmental Mitigation Trust (VW Trust), and an EPA match incentive. DEEP conducted an open and competitive solicitation in the fall of 2021 after which six new projects were selected for 2021 State DERA funding. One of those projects has since withdrawn. Additionally, one project was selected in 2021 to receive some of the funds made available by the DERA 2020 withdrawals (Winkle Bus Company), but it withdrew as well.:
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Cross Sound Ferry Services, Inc.: Up to $220,448.00 toward the scrappage and replacement of three 1983 EMY Tier 0 diesel-powered auxiliary engines in the M/V Mary Ellen with EMY 2021 Tier 3 diesel-powered equivalents.
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F & G Recycling, LLC: Up to $122,653.71 toward the replacement of one EMY 2005 diesel-powered yard spotter with a MY 2023 EV equivalent and charging infrastructure.
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Hidden Empire Leasing: Up to $127,809.41 toward the replacement of:
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Joe’s Boathouse, LLC: Withdrew
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The City of New Haven: Up to $238,215.34 to replace one Class 8 EMY 2011 diesel-powered refuse truck with one 2022 EMY EV equivalent and charging infrastructure.
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Tirollo Bus, LLC: Up to $29,162.50 toward the scrappage and replacement of one EMY 2008, diesel-powered school bus with an EMY 2023 gasoline-powered equivalent.
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Winkle Bus Company: Withdrew
2019-2020 State DERA Grant
In October of 2019, DEEP received a new year of funding from EPA's State DERA program. DEEP has received a second year of funding to support projects that must be completed in the 2020 fiscal year. DEEP's activities under the program are subject to the terms of the agreement below.
2019-2020 State DERA Cooperative Agreement between DEEP and EPA – August 13, 2025
The 2019-2020 FY State DERA projects are being funded by a combination of DEEP's 2019 and 2020 State DERA allocations, "DERA Option" matching funds from the Volkswagen Diesel Emissions Environmental Mitigation Trust (VW Trust), and an EPA match incentive. To enable support of a greater number of EV replacement projects, DEEP increased the VW Trust match by $776,743.00 for a total of $1,620,226.00 in available funding. DEEP conducted an open and competitive solicitation in the fall of 2020 after which the following 14 new projects were selected for 2020 State DERA funding. Three of those projects have since withdrawn. Unspent funds will .
Projects Selected for 2020 Funding:
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Area Cooperative Education Services (ACES): Up to $213,750.00 toward the replacement of a Class 5 school bus with an electric MY 2020 equivalent (charging infrastructure included);
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Blue Earth Compost, Inc.: Up to $69,862.00 toward the replacement of a Class 5 compost collection step van truck with an electric MY 2020 equivalent.
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Cariati Developers, Inc.: Up to $256,187.50 toward the replacement of five Class 8 dump trucks with MY 2022 diesel equivalents.
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Coastal Carriers of Connecticut, LLC: Up to $34,200.75 toward the replacement of one EMY 1999 diesel fuel delivery truck with a MY 2021 diesel equivalent.
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CWPM, LLC: Up to $24,664.35 toward the replacement of a MY 2005 diesel-powered Class 6 truck with a MY 2021 diesel-powered equivalent.
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D. Brake, LLC: Up to $91,748.00 toward the replacement of two unrated diesel-powered marine propulsion engines on MV Tug Empire with Tier 3 diesel engines.
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E.A. Quinn Landscape Contracting, Inc.: Up to $16,462.00 toward the replacement of a MY 2005 diesel-powered Class 5 box truck with a MY 2022 diesel-powered equivalent.
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Elate Moving, LLC: Withdrew.
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Joel Lizza, Commercial Fishing: Up to $27,239.46 toward the replacement of one diesel-powered MY 1994 marine Tier 1 propulsion engine FV Lovely Lady with a MY 2020 diesel-powered Tier 3 marine engine.
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Murphy Road Recycling, LLC: Up to $126,966.30 toward the replacement of one MY 2005 diesel-powered yard tractor with a MY 2021 EV equivalent (includes charging infrastructure).
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Town of North Stonington: Withdrew.
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Ryder Systems, Inc.: Withdrew.
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Town of West Hartford: Up to $11,924.10 toward the replacement of one MY 1996 diesel-powered commercial mower with an EV equivalent.
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Town of Windsor: Up to $27,500.00 toward the replacement of one MY 2008 diesel-powered commercial mower with a MY 2020 diesel-powered equivalent.
Projects Selected for 2019 Funding:
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Town of Burlington: Up to $48,614.35 toward the replacement of a Class 8 diesel dump truck;
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Town of Canaan: Up to $41,276.73 toward the replacement of a Class 8 snowplowing dump truck;
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F&F Concrete Corporation: Up to $172,181.32 toward the replacement of three Class 8 concrete trucks; the funds will come from the "DERA Option" under the VW NOx Mitigation Trust Agreement;
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Kay’s Trucking: Up to $57,733.69 toward the replacement of two Class 8 tractors; the funds will come from the "DERA Option" under VW NOx Mitigation Trust Agreement;
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Town of New Milford: Up to $108,602.98 toward the replacement of three Class 8 snowplowing dump trucks;
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City of Stamford: Up to $144,591.41 toward the replacement of four Class 6 utility trucks;
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Target Enterprises: Up to $37,885.74 toward the replacement of a flatbed truck with crane; the funds will come from the "DERA Option" under the VW NOx Mitigation Trust Agreement;
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Town of West Hartford: Up to $33,485.04 toward the replacement of a maintenance dump truck; and
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Town of Weston: Up to $83,287.74 toward the replacement of two Class 8 dump trucks; the funds will come from a combination of State DERA funds ($52,049.25) and the "DERA Option" under the VW NOx Mitigation Trust Agreement ($31,238.49).
Archive of Completed DERA Projects
The following is a compilation of all projects completed utilizing DERA funding. For information on some of DEEP's other diesel initiatives, please visit our Diesel Emissions Reduction Projects webpage.
2017-2018 State DERA Grant
2014-2016 State DERA Grant
2012-2013 State DERA Grant
CT Recovery Program
Summary of Funded Projects Final Report - October 20, 2015
2009 CT Clean School Bus Program
Program Summary
2008-2012 State DERA Grant
- Summary of Funded Projects 2009 CT Clean School Bus Program
- Final Report - April 20, 2012
- 2011-2012 State DERA Workplan
- Agreement between DEEP and EPA under 2008 State DERA Program
2008 NEDC/DERA Grant
- Summary of Funded Projects 2008 NEDC/DERA Grant
- Final Report - April 15, 2011
- Agreement between DEEP and EPA under 2008 NEDC-DERA Funding
National DERA Program Projects
A complete list of all projects funded by the DERA National Funding Assistance Program can be found on EPA's National Clean Diesel Campaign web page. Projects funded under the American Recovery and Reinvestment Act are included.
Summary of Funded Projects National DERA Program Projects
Content last updated August 20, 2026