DEQ has obligated more than $24 million to replace old diesel school buses through the Clean School Bus Program. These buses will immediately benefit passengers by reducing their exposure to emissions from the buses, and will provide long-term benefits by reducing greenhouse gas emissions and fuel use.

Funding recipients are as follows:

In addition to funding opportunities offered by DEQ, EPA is awarding $5 billion over five years (FY22-26) for the replacement of existing school buses with low and zero-emission school buses.  Please visit the EPA Clean School Bus Program webpage to view program updates, information about electric and alternative fuel buses, technical resources, and funding opportunities.

The recipients of $8.4 million in clean transportation funds through the Clean Air Communities Program have been announced. The program, administered by the Virginia Department of Environmental Quality (DEQ), secures a cleaner future by accelerating transportation electrification to mitigate climate change and local air pollution. It was established as part of DEQ’s oversight of the Volkswagen Environmental Mitigation Trust to invest in a range of technologies that provide cost-effective, near-term emission benefits coupled with investments in zero-emission technologies.

The Clean Air Communities Program funded roughly three-fourths of the cost of these projects for replacement vehicles, with state or local governments providing $3,651,652 million in matching funds. These projects will have a direct and immediate impact in reducing air pollution and greenhouse gases in Virginia.

• Fairfax County Department of Public Works and Environmental Services: $1,248,585 for four electric refuse trucks and chargers
• Fairfax County Department of Vehicle Services and Department of Procurement and Material Management: $205,275 for one medium-duty truck and charger used for libraries
• Fairfax County Department of Transportation: $2,997,784 for four shuttle buses and chargers
• Metropolitan Washington Airport Authority: $3,970,000 for five shuttle buses and chargers

DEQ awarded a contract to EVgo to develop a statewide public electric vehicle (EV) charging network to accelerate EV adoption. The Drive Electric Virginia network is being built to leverage existing charging infrastructure and in coordination with other large charging infrastructure projects being built across Virginia. 

More than $16 million of the Trust has been obligated to replace 36 older diesel public transit buses with all-electric transit buses through the Department of Rail and Public Transportation’s annual public transportation capital grant cycle known as MERIT. The goal of the program is to provide funding to cover the incremental cost of transitioning from diesel buses to all-electric buses.

Through the Fiscal Year 2020 (FY23) MERIT Program, more than $8.9 million of Trust funds were awarded to Alexandria DASH, Blacksburg Transit, and Hampton Roads Transit to replace 17 older diesel public transit buses with all-electric buses. All 17 new electric public transit buses are operational.  

Through the FY22 MERIT Program, more than $7.8 million of Trust funds were awarded to Blacksburg Transit, Fairfax Department of Transportation, and Greater Roanoke Transit Company (Valley Metro) to replace 19 older diesel public transit buses with all-electric buses.

$14 million from the Trust has been obligated for a $24,150,000 port handling equipment electrification project serving multiple Port of Virginia (POV) terminals. POV is the third largest container port on the U.S. East Coast, serving as a global gateway to commerce and supporting hundreds of thousands of jobs in Virginia.

Nearly two-thirds of POV cargo is transported on trucks, with nearby communities disproportionately impacted by diesel pollution and greenhouse gases that drive climate change. POV will replace two diesel ship-to-shore cranes with all-electric at the Norfolk International Terminal and begin the process of replacing more than 160 diesel yard tractors operating at its five terminals, beginning with the Richmond Marine Terminal.

POV will contribute $10,150,000 to the project, which will permanently eliminate more than 3,000 tons of diesel pollution, more than 71,000 tons of greenhouse gases and more than 6 million gallons of diesel fuel.

Virginia may use Trust funds for actual administrative expenditures associated with implementing any eligible mitigation action, but not to exceed 15% of the total cost of such action. The 15% cap includes the aggregated amount of eligible administrative expenditures incurred by Virginia and any third-party.

Virginia has capped administrative expenditures at 5% allowing more Trust funds to be spent on actual mitigation actions.

Virginia plans to obligate the remaining VW Trust funds for the implementation of eligible mitigation actions in 2022. Questions and suggestions can be submitted to vwmitigation@deq.virginia.gov. Sign up to receive updates from the VW Settlement email list.