California Laws and Incentives for Grants

The list below contains summaries of all California laws and incentives related to Grants.

State Incentives

Alternative Fuel and Vehicle Incentives

The California Energy Commission (CEC) administers the Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP) to provide financial incentives for businesses, vehicle and technology manufacturers, workforce training partners, fleet owners, consumers, and academic institutions with the goal of developing and deploying alternative and renewable fuels and advanced transportation technologies. The CEC must prepare and adopt an annual Investment Plan for the ARFVTP to establish funding priorities and opportunities that reflect program goals and to describe how program funding will be used to complement other public and private investments. Funded projects include:

  • Commercial alternative fuel vehicle (AFV) demonstrations and deployment;
  • Alternative and renewable fuel production;
  • Research and development of alternative and renewable fuels and innovative technologies;
  • AFV manufacturing;
  • Workforce training; and
  • Public education, outreach, and promotion.
For more information, see the ARFVTP website. (Reference Assembly Bill 8, 2013; California Vehicle Code 5205.5; California Health and Safety Code 44270-44274.7; and California Code of Regulations, Title 13, Chapter 8.1)

Alternative Fuel Vehicle (AFV) and Fueling Infrastructure Grants

The Motor Vehicle Registration Fee Program (Program) provides funding for projects that reduce air pollution from on- and off-road vehicles. Eligible projects include purchasing AFVs and developing alternative fueling infrastructure. Contact local air districts for more information about available grant funding and distribution from the Program. Also see the Program website. (Reference California Health and Safety Code 44220 (b))

Emissions Reductions Grants

The Carl Moyer Memorial Air Quality Standards Attainment Program (Program) provides incentives to cover the incremental cost of purchasing engines and equipment that are cleaner than required by law. Eligible projects include heavy-duty fleet modernization, light-duty vehicle replacements and retrofits, idle reduction technology, and off-road vehicle and equipment purchases. The Program provides funds for significant near-term reductions in nitrogen oxide emissions, reactive organic gases, and particulate matter emissions. Funding is available until January 1, 2024. Contact local air districts for more information about grant funding availability and distribution. Also see the Program website.

The California Air Resources Board, in consultation with local air districts, must convene working groups no later than July 1, 2014, to evaluate the Program's policies and goals.

(Reference Assembly Bill 8, 2013, and California Health and Safety Code 44275-44299.2)

Point of Contact
Diesel Hotline
California Air Resources Board
Phone: (866) 6DIESEL (634-3735)

Heavy-Duty Vehicle Emissions Reduction Grants

The Goods Movement Emission Reduction Program (Program) provides funding for projects that reduce emissions from freight movement in the state, including heavy-duty truck replacement, repower, or retrofit; and truck stop electrification infrastructure development. For more information about funding application opportunities, see the Program website. (Reference California Health and Safety Code 39625-39627.5)

Point of Contact
Goods Movement Emission Reduction Program
California Air Resources Board
Phone: (916) 44-GOODS (444-6637)

Low Emissions School Bus Grants

The Lower-Emission School Bus Program (Program) provides grant funding for the replacement of older school buses and for the purchase of air pollution control equipment for in-use buses. The California Air Resources Board must verify that the air pollution control devices reduce particulate matter emissions by at least 85% for each retrofitted school bus. Public school districts in California that own their buses are eligible to receive funding. Private school transportation providers that contract with public school districts in California to provide transportation services are also eligible to receive funding for the retrofit of in-use buses. New buses purchased to replace older buses may be fueled with diesel or an alternative fuel, provided that the required emissions standards specified in the current guidelines for the Program are met. Funds are also available for replacing on-board natural gas tanks on older school buses and for updating deteriorating natural gas fueling infrastructure. Commercially available hybrid electric school buses may be eligible for partial funding. For more information, see the Program website and contact local air districts to confirm funding availability. (Reference California Health and Safety Code 41081 and 44099)

Point of Contact
Lisa Jennings
Air Pollution Specialist, Lower-Emission School Bus Program
California Air Resources Board
Phone: (916) 322-6913
Fax: (916) 322-3923

Alternative Fuel and Advanced Vehicle Career Training

The Clean Technology and Renewable Energy Job Training, Career Technical Education, and Dropout Prevention Program provides grant funding to school districts for occupational training programs that focus on employment in clean technology businesses or renewable energy businesses, such as clean vehicle technologies, or cellulosic ethanol, biodiesel, biomass power, green waste, and fuel cell production. (Reference California Education Code 54690-54699)

Electric Vehicle Supply Equipment (EVSE) Grants - Bay Area

The Bay Area Air Quality Management District (BAAQMD) will award grants to expand the availability of DC fast charge EVSE in the nine-county Bay Area. Eligible property owners and tenants must respond to the BAAQMD Request for Proposals (RFP). Up to $20,000 is available for each DC fast charger installed that meets program requirements; this includes a base award amount of $10,000 per qualifying EVSE installed and incremental bonus awards of up to $5,000 each year for the first two years of operation for any station that meets or exceeds minimum usage requirements. BAAQMD will accept proposals on a first come, first served basis, through June 30, 2014, or until funds are exhausted. For more information, including the RFP, see the DC Quick Charger Deployment Program website.

Vehicle Emissions Reduction Grants - Sacramento

The Sacramento Emergency Clean Air and Transportation (SECAT) Program provides grants to offset the costs of projects that reduce on-road emissions within the Sacramento federal ozone nonattainment area. Eligible projects include upgrades and exchanges of heavy-duty diesel vehicles with 2002 or older engines. Other advanced technology implementation projects may also qualify. For more information, including current funding opportunities, see the SECAT website. (Reference California Health and Safety Code 44299.50-44299.55)

Point of Contact
Kristian Damkier
Associate Air Quality Engineer
Sacramento Metropolitan Air Quality Management District
Phone: (916) 874-4892
Fax: (916) 874-4899

Employer Invested Emissions Reduction Funding - South Coast

The South Coast Air Quality Management District (SCAQMD) administers the Air Quality Investment Program (AQIP). AQIP provides funding to allow employers within SCAQMD's jurisdiction to make annual investments into an administered fund to meet employers' emissions reduction targets. The revenues collected are used to fund alternative mobile source emissions/trip reduction programs, including alternative fuel vehicle projects, on an on-going basis. Programs such as low emission, alternative fuel, or zero emission vehicle procurement, and old vehicle scrapping may be considered for funding. For more information, including current requests for proposals and funding opportunities, see the AQIP website.

Point of Contact
Shashi Singeetham
Air Quality Specialist
South Coast Air Quality Management District
Phone: (909) 396-3298
Fax: (909) 396-3608

Technology Advancement Funding - South Coast

The South Coast Air Quality Management District's (SCAQMD) Clean Fuels Program provides funding for research, development, demonstration, and deployment projects that are expected to help accelerate the commercialization of advanced low emission transportation technologies. Eligible projects include powertrains and energy storage/conversion devices (e.g., fuel cells and batteries), and implementation of clean fuels (e.g., natural gas, propane, and hydrogen), including the necessary infrastructure. Projects are selected via specific requests for proposals on an as-needed basis or through unsolicited proposals. Approximately $10 million in funding is available annually with expected cost-share from other project partners and stakeholders. For more information, see the SCAQMD Research, Development, and Demonstration website.

Alternative Fuel Vehicle (AFV) Incentives - San Joaquin Valley

The San Joaquin Valley Air Pollution Control District administers the Public Benefit Grant Program, which provides funding to cities, counties, special districts (such as water districts and irrigation districts), and public educational institutions for the purchase of new AFVs, including electric, natural gas, and propane vehicles, as well as hybrid electric vehicles. The maximum grant amount allowed per vehicle is $20,000, with a limit of $100,000 per agency per year. Projects are considered on a first-come, first-serve basis. For more information, see the Public Benefit Grant Program website.

Heavy-Duty Diesel Vehicle Vouchers - San Joaquin Valley

The San Joaquin Valley Air Pollution Control District (SJVAPCD) administers two voucher incentive programs to reduce vehicle emissions from heavy-duty diesel trucks. The Voucher Incentive Program (VIP) provides funding for fleets with ten or fewer trucks to replace or retrofit heavy-duty diesel trucks. The Truck Voucher Program (TVP) provides funding for small businesses to retrofit or replace existing heavy-duty trucks. Qualified businesses must be independently owned and operated, be located in California, have fewer than 100 employees, and have an annual gross income of $14 million or less during the year of their application. Vouchers funded under these programs must achieve emissions reductions beyond those required by law or regulation. Applications for the programs can be obtained and submitted at an SJVAPCD certified dealership or retrofit installer. Applications will be accepted on a continual basis until funding for the program is exhausted. Applicants must be awarded a voucher from the SJVAPCD prior to ordering and/or purchasing the replacement truck or equipment. For more information on program requirements, refer to the SJVAPCD On-Road Voucher Programs website.

Low Emission Vehicle Incentives and Technical Training - San Joaquin Valley

The San Joaquin Valley Air Pollution Control District (SJVAPCD) administers the REMOVE II program, which provides incentives for cost-effective projects that result in motor vehicle emissions reductions and long-term impacts on air pollution in the San Joaquin Valley. As of November 2013, REMOVE II is providing funding for vanpool agencies that reduce or replace single occupant vehicle commutes in the San Joaquin Valley. To participate, vanpool agencies must submit an application to SJVAPCD and sign a contract to become a Vanpool Voucher Incentive Program partner. REMOVE II also includes an Alternative Fuel Vehicle (AFV) Mechanic Training Component that provides incentives to educate personnel on the mechanics, operation safety, and maintenance of AFVs, fueling stations, and tools involved in the implementation of alternative fuel technologies. For more information, see the REMOVE II website and the AFV Mechanic Training Component website.

Air Quality Improvement Program Funding - Ventura County

The Ventura County Air Pollution Control District (VCAPCD) administers the Clean Air Fund, which provides grants for qualified air quality improvement projects located in Ventura County. The Clean Air Fund Advisory Committee is interested in projects that will have significant emissions reduction impacts or support innovative air pollution reduction technologies. For more information, see the VCAPCD Clean Air Fund website.

Point of Contact
Stan Cowen
Air Quality Engineer
Ventura County Air Pollution Control District
Phone: (805) 645-1408
Fax: (805) 645-1444