Vermont offers money to replace diesel vehicles with electric

Vermont officials are offering $5.9 million in funding to help replace older diesel-powered vehicles and equipment with electric alternatives across the state.

The Vermont Department of Environmental Conservation is accepting applications for the funding through the Volkswagen Environmental Mitigation Trust, according to a community announcement. The program aims to reduce emissions by supporting conversions to all-electric equipment used in transportation and industry.

The new funding is open to a wide range of vehicle and equipment types, including class 4–8 trucks, school buses, transit buses, forklifts weighing more than 8,000 pounds, airport ground support equipment, freight switchers and certain marine engines.

Eligible applicants include federal, state, regional and municipal agencies, along with public institutions and private businesses whose vehicles operate in Vermont at least 80% of the time.

Public entities can receive up to 85% of project costs, while private businesses may qualify for up to 75%, according to the announcement.

The opportunity may be particularly relevant for farms, food producers, food hubs and distributors that rely on diesel-powered trucks or heavy equipment.

Applications are accepted on a rolling basis, with submissions due by the last day of each month until December 2026 or until funding runs out.

Applicants can review full details at https://dec.vermont.gov/air-quality/vw-environmental-mitigation-funds/vw-request-applications.

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