Across Phase 1 and Phase 2 of the North Carolina Volkswagen Settlement, the majority of the available funding was awarded to projects that will replace old, dirty diesel vehicles with new, clean alternatives, such as electric vehicles. Awards were made for three vehicle types: School buses, transit or shuttle buses, and clean heavy-duty on-road or off-road equipment and vehicles.
In Phase 1, more than $22 million was awarded to clean vehicle replacements, and in Phase 2 another $54 million was distributed, for a total of more than $76 million. Of the 423 vehicles replaced, 76 were replaced with new all-electric equipment, using more than 47% of funding for these programs. Awards for clean diesel, propane, clean natural gas and bi-fuel were also made. In each case, to qualify for a vehicle replacement, the awardee must destroy the old, dirty vehicle, ensuring it never again pollutes North Carolina's streets.
These awards, across both funding phases, are estimated to prevent more than 380 tons of nitrogen oxide from being emitted into the atmosphere and more than 33,400 tons of greenhouse gases. These projects will also reduce particulate matter, carbon monoxide and hydrocarbons.
Eligible applicants were local, state and tribal government organizations; public or private nonprofit organizations; and public/private partnerships where the lead applicant represents a public sector or a public or private nonprofit.
Clean Vehicle Programs
This program replaced engine model year 2009 and older Class 4-8 school buses used to carrying students to and from school or school-related events with newer cleaner class 4-8 school buses.
A total of 271 new school buses were awarded in this program, including 48 all-electric school buses. These replacements will prevent more than 165 tons of nitrogen oxide and 10,220 tons of greenhouse gases from entering the atmosphere over their lifetimes.
| Vehicles Funded | Lifetime NOx Reduction (tons) | Lifetime GHG Reduction (tons) | Award Amount |
|---|---|---|---|
| 271 | 165.32 | 10,220.68 | $41,993,715 |
Phase 1 (2018-2021)
| Fuel Type | Vehicles Funded | Lifetime NOx Reduction (tons) | Lifetime GHG Reduction (tons) | Award Amount |
|---|---|---|---|---|
| Electric | 6 | 4.27 | 710.40 | $2,151,931 |
| Diesel | 85 | 29.53 | 1,095.38 | $8,050,598 |
| Propane | 20 | 6.23 | 264.20 | $2,087,371 |
| Phase 1 Totals | 111 | 40.02 | 2,069.98 | $12,289,900 |
Phase 2 (2021-2024)
| Fuel Type | Vehicles Funded | Lifetime NOx Reduction (tons) | Lifetime GHG Reduction (tons) | Award Amount |
|---|---|---|---|---|
| Diesel | 113 | 85.71 | 1,576.80 | $13,175,129 |
| Propane | 5 | 5.23 | 0.00 | $654,456 |
| Electric | 42 | 34.36 | 6,573.90 | $15,874,230 |
| Phase 2 Totals | 160 | 125.30 | 8,150.70 | $29,703,815 |
The Transit & Shuttle Bus Program provided funding to replace Class 4-8 transit and shuttle buses.
Across the two funding phases, DEQ awarded funds for 64 replacement buses, including spending more than $13 million on 24 all-electric buses. These replacements will prevent more than 62 tons of nitrogen oxide and 15,507 tons of greenhouse gases from entering the atmosphere over their lifetimes.
| Vehicles Funded | Lifetime NOx Reduction (tons) | Lifetime GHG Reduction (tons) | Award Amount |
|---|---|---|---|
| 64 | 62.38 | 15,507.30 | $19,650,832 |
Phase 1 (2018-2021)
| Fuel Type | Vehicles Funded | Lifetime NOx Reduction (tons) | Lifetime GHG Reduction (tons) | Award Amount |
|---|---|---|---|---|
| Electric | 11 | 28.42 | 12,144.70 | $5,167,877 |
| CNG | 1 | 0.84 | 0.00 | $550,000 |
| Diesel | 3 | 1.99 | 124.00 | $339,750 |
| Phase 1 Totals | 15 | 31.25 | 12,268.70 | $6,057,627 |
Phase 2 (2021-2024)
In Phase 2, an additional $6 million was allocated by the North Carolina Department of Transportation (NCDOT) for electric buses in Congestion Mitigation and Air Quality (CMAQ) Improvement Program eligible counties. CMAQ funding was limited to 80% of the incremental cost of an electric replacement bus over the equivalent diesel replacement bus, with the remaining 20% of the incremental cost covered by NC VW Settlement Phase 2 funding.
| Fuel Type | Vehicles Funded | Lifetime NOx Reduction (tons) | Lifetime GHG Reduction (tons) | Award Amount |
|---|---|---|---|---|
| Electric | 13 | 9.94 | 2,716.00 | $7,957,585 |
| CNG | 1 | 1.32 | 0.00 | $675,000 |
| Diesel | 35 | 19.87 | 522.60 | $4,960,620 |
| Phase 2 Totals | 49 | 31.13 | 3,238.60 | $13,593,205 |
This program used funding to replace a variety of on-road and off-road heavy-duty equipment and vehicles with new, clean alternatives. Eligible equipment and vehicles include class 4-8 local freight trucks, switcher locomotives, ferries, tugs, forklifts, port cargo handling equipment, ocean-going vessel shore power, airport ground support equipment.
DEQ funded 88 replacement vehicles and equipment in this program. This included spending more than $5.1million on all-electric projects that vastly decreased emissions of air pollution. The projects funded in this program will prevent more than 152 tons of nitrogen oxide and 7,700 tons of greenhouse gases from entering the atmosphere over their lifetimes.
| Vehicles Funded | Lifetime NOx Reduction (tons) | Lifetime GHG Reduction (tons) | Award Amount |
|---|---|---|---|
| 88 | 152.96 | 7,743.95 | $15,173,231 |
Phase 1 (2018-2021)
| Fuel /Vehicle Type | Vehicles Funded | Lifetime NOx Reduction (tons) | Lifetime GHG Reduction (tons) | Award Amount |
|---|---|---|---|---|
| On-Road CNG | 5 | 1.39 | 56.25 | $1,193,550 |
| On-Road Diesel | 38 | 38.17 | 564.00 | $2,937,650 |
| Phase 1 Totals | 43 | 39.56 | 620.25 | $4,131,200 |
Phase 2 (2021-2024)
| Fuel /Vehicle Type | Vehicles Funded | Lifetime NOx Reduction (tons) | Lifetime GHG Reduction (tons) | Award Amount |
|---|---|---|---|---|
| Off-Road Electric | 2 | 93.60 | 6,750.00 | $4,141,386 |
| On-Road Electric | 2 | 0.82 | 51.00 | $1,004,859 |
| Diesel | 41 | 18.98 | 322.70 | $5,895,786 |
| Phase 2 Totals | 45 | 113.40 | 7,123.70 | $11,042,031 |