The transportation sector is the largest source of greenhouse gas emissions in the United States, accounting for 27 percent of all emissions in 2020. Transportation also is a major source of smog-forming nitrogen oxides and particulate matter, which can trigger asthma attacks and other health problems for the most vulnerable among us.

EPA anticipates awarding over $900 million in funding for the replacement of existing non-zero-emissions Class 6 and/or 7 heavy duty-vehicles with zero-emission vehicles (including electric powered, hydrogen powered, and other zero emission alternatives), as well as the purchase and installation of associated infrastructure and workforce training. There are two sub-programs: the School Bus Sub-Program and the Vocational Vehicles Sub-Program. The School Bus Sub-Program will utilize 70% of the total grant funds to replace Class 6/7 school buses with a minimum of 10 buses per application. The Vocational Vehicles Sub-Program will utilize 30% of the total funds for other eligible vehicles with a minimum of 3 vehicles per application.