Clean Diesel (DERA) Funding Available for School Buses

For Immediate Release: June 18, 2025

Contact: Erin Hatfield, (405) 702-7119

The Oklahoma Department of Environmental Quality (DEQ) is opening the second round of applications for the FY23/24 Clean Diesel / DERA grant funding program. This program reduces school bus diesel emissions in the state.

This will be the first time that first-come-first-served funding has been offered through the Oklahoma Clean Diesel program. The program is offering approximately $700,000 toward diesel, gasoline, propane, natural gas, and all-electric powered school bus replacements. For this application period, the first complete applications with eligible projects will be awarded as applications are received and reviewed, instead of using competitive ranked scoring.

Reimbursement amounts:

  • may fund up to 25% of the cost of a new replacement vehicle powered by a 2021 model year or newer engine certified to EPA emission standards.
  • may fund up to 35% of the cost of a new replacement vehicle powered by a 2021 model year or newer engine certified to meet CARB’s Optional Low-NOx Standards.
  • may fund up to 45% of the cost of a new 2021 model year or newer zero-emission (all-electric) replacement vehicle. Eligible cost can include the purchase and installation of one charging unit per vehicle, including the unit and charging cable, mount and/or pedestal.

The Grant Solicitation and Application for the program will be available on the Clean Diesel/DERA webpage, https://www.deq.ok.gov/air-quality-division/clean-diesel-dera/. Applications will be accepted until all funding has been awarded.

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