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2026 Diesel Emissions Reduction Act (DERA) National Program

Open now · Cooperative Agreement · EPA-OAR-OTAQ-26-01

Next cut-off
22 Jan '27
in 119 days
Per grant
$1.5M
the call's own average
Grants expected
120
projects that will be funded
Funding rate
,
not published, read the conditions

In context of US Environmental Protection Agency

This grant$1.5M
The track runs to the largest grant in US Environmental Protection Agency ($1.5M). The median across the 4 calls we publish is $720K, this one is above it.

What this call funds

This Notice of Funding Opportunity (NOFO) announces the availability of funds under the Diesel Emissions Reduction Act (DERA) Program and solicits applications from eligible entities to incentivize and accelerate the upgrade or retirement of the nation’s legacy diesel engine fleet. Eligible activities include the retrofit or replacement of existing diesel engines, vehicles, and equipment with the U.S. Environmental Protection Agency (EPA) and California Air Resources Board (CARB) certified or verified technologies.

There are several ways DERA recipients may implement projects and fund project partners, depending on the roles and responsibilities of each. If the applicant is the owner of the target vehicles, the applicant may directly implement the project. If the applicant is partnering with diesel fleet owners, the applicant may award subawards or participant support costs (e.g., rebates). Please refer to Section 9.B. for detailed guidance on funding partnerships.

After an extensive review of the program, the EPA revamped DERA requirements to ensure alignment with the Administration’s priorities, improve the quality of projects funded, expand the availability of technology choices, and respond to stakeholder requests for a simplified program structure. Consistent with agency grants direction, updates to 2 CFR §200.204 and DERA statutory requirements, this NOFO reflects these changes and inputs when compared to previous funding notice opportunities.

Trimmed here, the full scope, expected outcomes and award criteria are on the official topic page ↗.

What applying costs you

ItemEstimateNote
Drafting effort3–4 weekssingle submission
Time to first payment6–9 monthscut-off → evaluation → grant agreement

These are Bemzu's estimates from the call's structure (the number of stages and whether a consortium is required) not figures published by the Commission. Only the co-financing share is read from the call itself.

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