Mobile Sources Emissions Reduction Grants

The Mobile Sources Emissions Reduction Grants program is a grant from the NC Department of Environmental Quality that funds replacement of older, higher-emitting diesel vehicles with cleaner alternatives.

Administered by the NC Division of Air Quality (DAQ), the program supports repowering, vehicle replacement, conversion to alternative fuels, and expansion of medium- and heavy-duty electric vehicle use to reduce NOx emissions and greenhouse gases statewide.

Any private or public entity with a physical presence in North Carolina is eligible, provided the equipment has been operational for at least two years and replacement vehicles operate at least 70% of the time in NC for five years. Over . 1 million was awarded in 2024.

Mobile Sources Emissions Reductions Grant | NC DEQ 2024 Mobile Sources Emissions Reductions Grants Awards The North Carolina Division of Air Quality announced more than $1. 1 million in grant awards for projects that will reduce air pollution from diesel powered mobile sources, as part of the 2024 Mobile Sources Emissions Reductions grants. Awarded projects can be found in the latest press release.

The North Carolina Division of Air Quality (DAQ) administers the Mobile Sources Emissions Reduction Program to fund the replacement of older diesel vehicles with cleaner alternatives. The goal of the program is to achieve signification reductions in diesel emissions, including nitrogen oxides (NOx) and greenhouse gases. Mobile Sources Emissions Reduction Grants can fund a wide range of projects.

Projects include: Repowering on-road and nonroad equipment with newer, cleaner engines Replacing old on-road and nonroad equipment with new, cleaner vehicles Converting vehicles to run on alternative fuels Expanding medium and heavy duty electric vehicle usage throughout the state Any private or public sector entity with a physical presence in North Carolina is eligible to apply.

All original equipment or vehicles must be operational in the previous two years and the replacement equipment or vehicle must be operated at least 70% in North Carolina for the next 5 years. Use our DERA Eligibility tool to determine project eligibility and cost share requirements. The Mobile Sources Emissions Reduction program is funded by the U.S. Environmental Protection Agency's Diesel Emissions Reduction Act (DERA) program.

Funds may be supplemented with North Carolina Volkswagen Mitigation Trust funds. For 2024, approximately $1,088,182 is available in the program to replace diesel vehicles. Based on the number of proposals received and the available funding, DAQ will reserve the right to award less than the total amount requested in any application.

Applications closed Jan. 31, 2025. Awards were announced Oct.

1, 2025. Request for Proposal guidance Applications must be completed online in the DAQ Grants Management System (GMS). Request for Proposals (RFP) Required Attachments Checklist When the vehicle spreadsheet opens in your browser, download and save to your computer using the name format: YourOrganization_ProjectTitle_DERA_Application.

A sample application from data entered into the DAQ Grants Management System and Vehicle Spreadsheet are provided below. Example MSERG Application Example MSERG Application Spreadsheet Use our DERA Eligibility tool to determine project eligibility and cost share requirements.

Register for an EPA Diesel Emissions Quantifier account Transportation Conformity/Grants Environmental Program Consultant Mobile Sources/Ambient Environmental Specialist II Mobile Sources Compliance Branch Supervisor Email your name, phone number, and affiliation to daq. mscb. ncdaqgrants@deq.

nc. gov with "Grant Notification" in the subject line to join our listserv. Submit Project Claim Forms Grant awardees should submit required paperwork for reimbursement.