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Air QualityClean Diesel Progra811 SW 6th AvenuePortland, OR 97204Phone: (503) 229-654

(800) 452-401Fax: (503) 229-567www.oregon.gov/DEQ

GrantsKevin Downing

downing.kevin@deq.stat

www.oregon.gov/DE

03-AQ-007Last Updated: 2/27/12By: Kevin Downing

Clean Diesel Retrofit IncentivesGrantsThe State of Oregon helps with incentives for retrofitting older diesel engines.

Oregonians interested in reducing harmful

emissions from their heavy duty diesel enginesmay qualify for financial assistance with help

from the state of Oregon.

What is a retrofit?Retrofit means to upgrade currently operatingdiesel engines with new advanced exhaustcontrols to reduce the most harmful pollutantswith the greatest impact to public health andenvironment.

BackgroundDiesel is the dominant fuel used by the

commercial transportation sector. Diesel enginesalso power most non-road equipment such asconstruction, agricultural, marine andlocomotives.

While diesel engines offer fuel economy, powerand durability, diesel emissions are a majorcontributor to unhealthy levels of fine particlesand ozone (or smog) as well as air toxics. Fineparticles have been associated with an increasedrisk of premature death, hospital admissions forheart and lung disease, increased adverserespiratory symptoms such as asthma, and otheradverse effects. Long-term exposure to dieselexhaust may pose a lung cancer hazard tohumans.

Many Oregon school buses have been retrofitted.

Diesel emission reductions represent one of themost important opportunities to achieve rapidand cost-effective health and environmentalbenefits in Oregon.

The techniques and technologies to reduce dieselemissions range in cost and application andinclude cleaner fuels (cleaner diesel and

biodiesel), anti-idling programs, exhaust

catalysts and other emission controltechnologies, vehicle replacement and evenrepowering old engines.

Many types of diesel engines can be retrofitted.

Qualifying retrofitFederal grants may support retrofits and otherengine upgrades in a variety of circumstances.Each project solicitation is designed to meetspecific program goals that may change overtime. For the most recent notice, seehttp://www.epa.gov/air/grants/rfp-epa-oar-otaq-11-01.pdf.

These grants can be very competitive and theodds of securing a grant can be long.Nonetheless, DEQ is committed to assistingevery Oregon grant applicant in preparing thestrongest application possible for their project.We can provide strategy review, project design,partner recruitment assistance, data analysis,grant writing and even in some cases apply forand manage the grant on your behalf.

For projects where DEQ is the grantadministrator, specific state requirements apply.In this case, the retrofit:

Equips a diesel engine with new after-market emissions reducing parts ortechnology that meets the cost effectiveness

threshold.

Reduces diesel particulate matter emissionsby 25 percent or more.

Uses the most effective passivelyregenerated emission control technologyavailable for the retrofitted equipment andspecific application.

Uses:o Technologies verified on June 19,

2008, by the U.S. Environmental

Fact Sheet

http://www.epa.gov/air/grants/rfp-epa-oar-otaq-11-01.pdfhttp://www.epa.gov/air/grants/rfp-epa-oar-otaq-11-01.pdfhttp://www.epa.gov/air/grants/rfp-epa-oar-otaq-11-01.pdfhttp://www.epa.gov/air/grants/rfp-epa-oar-otaq-11-01.pdfhttp://www.epa.gov/air/grants/rfp-epa-oar-otaq-11-01.pdf

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Protection Agency or California AirResources Board, or

o Any device that DEQ determines hasbeen through comparable emissionverification testing.

Will be used in Oregon three yearsfollowing the retrofit at least 50 percent of

the total miles driven or hours operated.

Must be installed by a Qualified Installer. Installed after June 19, 2008.

Many Oregon trucks have been retrofitted.

Eligible costsEligible costs include the retrofit equipment,supplies directly related to the installation of theretrofit equipment, and labor for the installation.For grants, eligible costs exclude any workcompleted prior to signing a grant agreement.

Cost effectiveness thresholdThe cost effectiveness threshold is $250,000 perton of diesel particulate matter reduced. The

DEQ will only grant funds or tax credits for thecosts under the cost effectiveness threshold. Theapplication includes a spreadsheet for calculatingthe cost effectiveness threshold of yourretrofit(s).

Qualified installersThe retrofit must be installed by a qualifiedinstaller, which is defined as either:

1. A Clean Diesel Service Provider listed onthe Clean Diesel Web page, or

2. An employee of the applicant, if theapplicant and vendor of the retrofittechnology both verify that the employeewill install the retrofit to meet warrantyconditions and possesses the necessary skillto install the retrofit correctly.

The West Coast CollaborativeEPAs partnership program to support cleandiesel efforts with additional funding resourcesand technical information:http://westcoastcollaborative.org/

SmartWay TransportAre you in the freight movement industry and

want to know more about fuel saving advancesand how they can make a difference in yourbusiness? Go to EPAs Smart Way Transportprogram:http://www.epa.gov/smartway/.

Alternative formatsAlternative formats (Braille, large type) of this

document can be made available. Contact

DEQs Office of Communications & Outreach,

Portland, at 503-229-5696, or toll-free in

Oregon at 1-800-452-4011, ext. 569

http://www.epa.gov/smartway/http://www.epa.gov/smartway/http://www.epa.gov/smartway/http://www.epa.gov/smartway/