2026 Volkswagen Environmental Mitigation Trust: Eligible Mitigation Actions

In 2017, Governor Scott delegated authority to ANR to administer Vermont’s allocation of the Volkswagen Environmental Mitigation Trust (EMT) to offset emissions of nitrogen oxides (NOx) in the state. DEC is the entity within ANR, the State of Vermont’s designated beneficiary of the Volkswagen Environmental Mitigation Trust, that is responsible for implementation of and compliance with all legal obligations under the Trust agreement. Based in part on input from the public, other state agencies and the legislature, DEC has determined that funds from Vermont’s allocation of the Trust will be allocated to assess the feasibility of all-electric technologies and begin to catalyze market transformation in Vermont. Since 2018, DEC has been developing project funding opportunities to implement projects that achieve significant reductions in diesel emissions from diesel powered engines, vehicles, and equipment operating in Vermont. The purpose of this Request for Applications is to award the remainder of Vermont’s allocation of the Trust to eligible projects that reduce NOx emissions from mobile sources in the most cost-effective way possible and demonstrate the feasibility of all-electric heavy-duty vehicles and equipment. To this end, DEC is seeking proposals for electric replacement or repower projects for all eligible mitigation actions under the Volkswagen EMT. DEC is accepting applications on a rolling basis through December 31, 2026 for electric vehicle and equipment replacement or repower projects. Up to $5,909,575 is available for project work to be completed by June 30, 2028. Time extensions may be considered on a case-by-case basis.