VW Environmental Mitigation Funds support Vermont public and private fleets replacing or repowering diesel vehicles and equipment with electric technology to reduce nitrogen oxide emissions.
Available funding decreased from $3,329,677 to $2,108,568, a reduction of $1,221,109.
Funder: Vermont Agency of Natural Resources
Due Dates: October 31, 2026 (Applications) | November 30, 2026 (Applications) | December 31, 2026 (Final applications, unless funding runs out earlier)
Funding Amounts: $2,108,568 available; up to 85% of eligible government-owned project costs or 75% for privately owned projects
Summary: Supports Vermont fleets replacing or repowering eligible diesel vehicles and equipment with all-electric technology to reduce nitrogen oxide emissions.
Key Information: Vehicles must operate in Vermont at least 80% of the time, with exceptions considered case by case.
The Vermont Agency of Natural Resources, through its Department of Environmental Conservation (DEC), administers Vermont’s Volkswagen Environmental Mitigation Trust funds. The funds address excess nitrogen oxide (NOx) emissions from Volkswagen vehicles that violated the Clean Air Act. The current solicitation supports public and private fleets of all sizes undertaking vehicle and equipment electrification projects, including eligible freight trucks, buses, freight switchers, airport equipment, forklifts, and marine engines.
Vermont’s goals are to achieve cost-effective NOx reductions, demonstrate the feasibility of electric and other cleaner heavy-duty technologies, and maximize investment in charging infrastructure. Its Beneficiary Mitigation Plan also emphasizes air-quality benefits for communities disproportionately burdened by diesel pollution and populations particularly vulnerable to its health effects.