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Federal Diesel Emissions Reduction Act Grants

Federal grants

EPA's National Clean Diesel Campaign periodically solicits proposals for the National Clean Diesel Funding Assistance Program supported through the Diesel Emissions Reduction Act program. 

For projects with a material benefit to Oregonians, DEQ will assist in developing proposals to improve the competitiveness of any project. Assistance may include proposal drafting, project design, partner recruitment, application assistance and technical analysis in support of the proposal.

Now is the time to consider how you can take advantage of this opportunity to become a cleaner diesel operation. Grant guidelines for eligible projects may change from year to year (see 2020 DERA Grant information below). Other considerations, like cost effectiveness, size of the impact and other partners playing significant financial and supportive roles, are key factors in determining which projects are ultimately funded.

The request for proposals is updated annually, but applicants are encouraged to carefully review previous RFPs for ideas on eligible projects, technologies and funding restrictions.

2020 DERA National Competitive Grant

Eligible diesel emission reduction solutions include verified emission control technologies, such as retrofit devices, cleaner fuels and engine upgrades, verified idle reduction technologies, verified aerodynamic technologies and low-rolling resistance tires, certified engine repowers, and/or vehicle or equipment replacement.

Eligible diesel vehicles, engines and equipment may include buses, medium- or heavy-duty trucks, marine engines, locomotives and non-road engines, and equipment or vehicles used in construction, handling of cargo (including at a port or airport), agriculture, mining or energy production (including stationary generators and pumps).

Only eligible entities can apply for these grants. Private parties can still receive grant funds by forming partnerships with successful grant recipients. Eligible entities include port authorities, regional, state, local or tribal government agencies (or intertribal consortia) and nonprofit organizations or institutions that:

  1. Represent or provide pollution reduction or educational services to persons or organizations that own or operate diesel fleets or
  2. Have, as their principal purpose, the promotion of transportation or air quality.
2020 Eligible Grant Funded Activity

EPA DERA State Grants

Each year, the EPA allocates federal DERA grants to eligible states for diesel emissions reduction projects. Funding includes base money, along with incentives encouraging states to allocate matching dollars to increase program impacts. The table below shows the EPA DERA State grant funds received by Oregon and the state matching dollars allocated for each program year since 2017. The source of state matching dollars has been VW Environmental Mitigation Funds.  

SourceFY 2017FY 2018FY 2019FY 2020Totals
Total EPA Funds Awarded
Total State Matching Funds$236,915$275,466$320,239$349,025
List of Recent EPA DERA State Allocation Grant Awardees

Resources for retrofitting vehicles and equipment service providers

DEQ maintains a list of manufacturer-authorized diesel retrofit service providers. DEQ does not make recommendations or referrals, nor does it guarantee the work by the listed facilities. Consumers are responsible for screening the facility to ensure it can perform the services according to their needs.


Eric Feeley, Air Quality Planner

Forms and guidance 

State grant regulations