For the latest information on state and federal government grants, you are encouraged to contact Jason Wager (704) 348-2707 or Jessica Hill (704) 348-2731 or by email at cleanfuels [at] centralina [dot] org for more information.
Click here to view a 1-page overview that the CCFC has prepared of this settlement based on what we know to date.
In addition, industry perspectives and presentations from stakeholder partners Duke Energy and PSNC given at a recent Stakeholder meeting can be found here.
On Jan. 4, 2016, and as amended on Oct. 7, 2016, the United States, on behalf of the Environmental Protect Agency (EPA), filed a complaint against Volkswagen (VW) alleging violations of the Clean Air Act regarding approximately 500,000 model year 2009 to 2016 vehicles containing 2.0 liter diesel engines and approximately 80,000 model year 2009 to 2016 motor vehicles containing 3.0 liter diesel engines. The complaint alleges that each of these vehicles contains, as part of the computer control modules, certain algorithms and calibrations that cause the emissions control systems to perform differently during normal vehicle operation and use than when undergoing emissions testing. The use of these prohibited defeat devices caused the vehicles to produce NOx emissions significantly in excess of those allowed by law. On June 28, 2016, the State of California, the California Air Resources Board (CARB), filed a similar complaint against Volkswagen.
Partial Consent Decrees
Of greatest interest to our stakeholders, the United States and California entered into a partial consent decree with Volkswagen, and on Oct. 26, 2016, the U.S. District Court for the Northern District of California approved the 2.0 liter partial settlement, which requires Volkswagen to:
- Buy back or modify the emissions systems of at least 85% of the offending vehicles
- Fully remediate the excess NOx emissions from the subject vehicles through a $2.7 billion environmental mitigation trust*
- Invest in and promote the use of zero emissions vehicles and infrastructure through a $2 billion ZEV investment program.
*Additionally on May 17, 2017, the U.S. District Court granted final approval of the 3.0 liter partial settlement, requiring VW to contribute an additional $225 million to the mitigation trust fund
Qualified plug-in electric vehicles, dedicated natural gas vehicles, and fuel cell electric vehicles may use North Carolina HOV lanes, regardless of the number of occupants.
Qualified PEVs are exempt from state emissions inspection requirements. Other restrictions may apply.
The retail sale, use, storage, and consumption of alternative fuels are exempt from the state retail sales and use tax. This tax exemption is only applicable to agriculture fuel use; on road fuel use is subject to motor fuels tax, not retail sales tax.
An individual who produces biodiesel for use in that individual’s private passenger vehicle is exempt from the state motor fuel excise tax.
This program is a research initiative that rewards customers with a $1,000 incentive toward the incremental cost of a new, dedicated propane mower in exchange for their commitment to provide feedback about mower performance and usage during the mowing season.
Open & Active Grant Solicitations
Although primarily geared towards tobacco growing communities, they have a preference for agriculture, job creation and retention and workforce preparedness AND the alternative energy industry.
- Federal Loan Guarantees for Innovative Energy Technologies
- Rural Energy for America Program Guaranteed Loan Program (REAP Loan)
Federal Incentives and Grant Programs
The Advanced Research Projects Agency – Energy (ARPA-E) was established within the U.S. Department of Energy and focuses on various concepts in multiple program areas including, but not limited to, vehicle technologies, biomass energy, and energy storage.
A tax credit is available for the following alternative fuels: compressed natural gas, liquefied natural gas, liquefied petroleum gas, fuel and compressed or liquefied gas derived from biomass. Expires December 31, 2016.
Fueling equipment for natural gas, liquefied petroleum gas (propane), electricity, E85, or diesel fuel blends containing a minimum of 20% biodiesel installed between January 1, 2015, and December 31, 2016, is eligible for a tax credit of 30% of the cost, not to exceed $30,000.
Alternative fuels used in a manner that the Internal Revenue Service (IRS) deems as nontaxable are exempt from federal fuel taxes.
The Rural Energy for America Program (REAP) provides loan guarantees and grants to agricultural producers and rural small businesses to purchase renewable energy systems or make energy efficiency improvements.
A tax credit of up to $8,000 is available for the purchase of qualified light-duty fuel cell vehicles. Tax credits are also available for medium- and heavy-duty fuel cell vehicles; credit amounts are based on vehicle weight. Expires December 31, 2016
Qualified on-board idle reduction devices and advanced insulation are exempt from the federal excise tax imposed on the retail sale of heavy-duty highway trucks and trailers.
Up to a $7,500 tax credit is available for the purchase of a new qualified plug-in electric drive motor vehicle that draws propulsion using a traction battery that has at least four kWh of capacity, uses an external source of energy to recharge the battery, has a gross vehicle weight rating of up to 14,000 pounds, and meets specified emission standards.
Since 2008, EPA has funded nearly 60,000 pieces of clean diesel technology through the National Clean Diesel Campaign. These technologies include emissions and idle control devices, aerodynamic equipment, engine and vehicle replacements, and alternative fuel options.