Diesel Emissions Reduction Act (DERA)

Background

The Diesel Emission Reduction Act (DERA), contained within the Energy Policy Act of 2005, provides grants and loans to states and other eligible entities to achieve significant reductions in diesel emissions. DEM receives funds from the U.S. Environmental Protection Agency (EPA) through the State DERA Program. From time to time, project proposals have been solicited from municipalities, organizations, and individuals for diesel reduction projects that are environmentally and economically beneficial.

Eligibility and Projects

Applicants eligible to apply for the State DERA Fund include, but are not limited to independent owner operators (IOOs), fleet operators, local businesses, municipalities, and others that meet the program requirements.

Equipment eligible for grant funding shall meet the following requirements:

On Road Diesel Vehicle

  • Buses, medium duty trucks, and heavy-duty trucks (Class 5 through Class 8)
  • Drayage trucks: any Class 8 (GVWR greater than 33,000) highway vehicle operating on or transgressing through port or intermodal rail yard property for the purpose of loading, unloading, or transporting cargo;
  • Be registered with the Rhode Island Division of Motor Vehicles;
  • Be kept or garaged in Rhode Island as indicated on the vehicle registration issued by the Division of Motor Vehicles; and
  • The applicant shall certify to the Department on the application that fifty percent (50%) or more of the vehicle miles traveled, or hours of operation, shall be projected to be in Rhode Island for at least five (5) years following the reimbursement grant award.

Marine

  • Be registered with the Department’s Office of Boat Registration or with the Coast Guard (documentation is required);
  • Be used to provide goods and/or services to Rhode Island residents;
  • If the vessel is identified as a commercial fishing vessel at least fifty percent (50%) or more of the fish landed in the last year were in Rhode Island ports; and
  • The applicant must commit to reporting usage information for at least five (5) years following the reimbursement grant award.

Nonroad Equipment

  • Includes diesel powered equipment and vehicles used in construction, handling of cargo (including at ports and airports), agriculture, mining, or energy production (including stationary generators and pumps).
  • Must provide documentation of operating at least 500 hours/year during the two years prior to upgrade in the state of Rhode Island (250 hours/year for agricultural pumps)
  • The applicant must commit to reporting usage information for at least five (5) years following the reimbursement grant award.

For 2022 the following types of projects are eligible to receive monies from the State DERA Fund:

  • On Road Vehicle Replacements (Diesel, Alternative Fuel, Low NOx, Fuel Cell, All-Electric);
  • School Bus Replacements (ZERO EMISSION/ELECTRIC ONLY)*;
  • Nonroad Equipment/Vehicles (Diesel, Alternative Fuel, Low NOx, All-Electric); and
  • Marine Engine Replacement (Diesel, Alternative Fuel, Low NOx, All-Electric)

*We will only accept applications for school bus replacement projects if they are zero emission (ZEV) replacements, including all-electric and fuel cell vehicles. We will also accept applications for school bus engine swaps from a diesel engine to a ZEV engine and chassis.

Applications

All interested parties must submit an application once the Department issues a Request for Proposals (RFP). Applications will be evaluated based on the project's ability to cost effectively reduce emissions as well as other factors.

The Department will contact successful applicants about their award status once a decision has been made. The applicant is not to make any purchases and start the project until after the Grant Agreement has been signed and a Project Confirmation Letter has been issued. Please be aware that the Department and the State of Rhode Island take no responsibility for project work done outside the term or scope of a valid grant agreement or prior to a full approval of an agreement.

In accordance with the Multi – State Medium and Heavy Duty Zero Emission Vehicle Memorandum of Understanding (MHD ZEV MOU), the State of Rhode Island is making a pointed effort to reduce greenhouse gas emissions in the MHD sector. Therefore, on-road applicants with a ZEV replacement for on-road MHD vehicles will be scored higher than diesel and traditional fuel replacements. Applications with alternative fuel sources (propane, CNG, LNG, ethanol) will be scored higher than diesel, but not higher than a ZEV replacement.

Any questions or applications on the State DERA Fund can be submitted via email to Madeline Haines at Madeline.Haines@dem.ri.gov.

Anticipated Timeline:

  • October 19, 2022 – Request for Proposals and application is released
  • November 29, 2022 – Deadline for application submission

Documents and Resources

Completed Projects

FY2021 DERA Awards
Award Amount Awardee Project
$13,413 American Seafood, Inc. Marine ferry vessel replacement of 1 engine
$12,240 Oldport Marine Services, Inc. Marine vessel replacement of 1 engine
$58,492 SilverFox Fisheries, Inc.

Marine vessel replacement of 1 engine

$359,752 Town of Westerly (Westerly Public Schools) Vehicle replacement of 2 electric school buses and charging pedestals
FY2020 DERA Awards
Award Amount Awardee Project
$183,407 A&R Marine Corp. D.B.A. Prudence and Bay Islands Transport Marine ferry vessel replacement of 2 engines
$10,331 Barrington Yacht Club Marine ferry vessel replacement of 1 engine
$16,400 Daniel J. Eagan Marine vessel replacement of 1 engine
$50,575 Marcus Brothers, Inc. Marine vessel replacement of 1 engine
$27,353 University of Rhode Island (College of Environment and Life Sciences) Engine replacement of 1 marine research vessel
FY2019 DERA Awards
Award Amount Awardee Project
$51,469 Booth Fisheries, Inc. Marine vessel replacement of 1 engine
$32,500 Newport Biodiesel, Inc. Vehicle replacements of 1 vacuum truck
$56,000 Patrick T. Duckworth Marine vessel replacement of 1 engine
$40,000 Richmond Sand and Stone LLC Vehicle replacement of 1 on-road tractor
$12,182 Triumph Fisheries LLC D.B.A. Tenacity Fisheries LLC Marine vessel replacement of 1 engine
$40,600 City of Pawtucket (Highway Office) Vehicle replacement of 1 plow truck
DEM Completed, Grant-Funded Projects: FY2011-2018 DERA Awards
Award Amount Awardee Project
$15,190 Dennis Ingram D.B.A. F/V Blue Moon Marine vessel replacement of 1 engine
$89,250 Cranston Public Schools (Transportation Office) Vehicle replacement of 3 school buses
$40,800 Foley Fisheries Engine replacement of 1 marine vessel
$102,680 Frances Fleet Inc. Marine vessel replacement of 3 engines
$50,220 University of Rhode Island (College of Environment and Life Sciences) Engine repower of 1 marine research vessel
$60,000 RIDOT Vehicle replacement of 1 highway dump truck/plow/sander
$112,837 Cranston Public Schools (Transportation Office) Vehicle replacement of 6 school buses
$110,680 Rhode Island Airport Corporation Retrofit of 39 airport ground support equipment
$9,468 City of Warwick - Department of Public Works Vehicle Replacement
$127,732 Community College of Rhode Island Vehicle replacements of two dump trucks/snow plows
$94,224 City of Warwick - Fire Department Vehicle replacement of two rescue trucks
$12,984 City of Central Falls - Department of Public Works Exhaust retrofits of 6 vehicles
$88,000 Town of Bristol - Fire Department Vehicle replacement of 1 rescue truck
$193,808 City of Pawtucket - Fire Department Vehicle replacement of 1 ladder truck
$118,750 City of Providence - Fire Department Vehicle replacement of 1 pumper truck
$150,000 Town of Johnston Vehicle replacement of 1 ladder truck
$57,061* Port of Galilee Shore power installation. *State match of $235,294
$132,444 City of Pawtucket - Fire Department Vehicle replacement of 1 pumper truck
$44,220 City of Pawtucket - Office of Public Works Center Vehicle replacement of 1 highway dump truck/plow/sander

Total DEM Completed, Grant-Funded Projects FY2011-2021: $2,575,062