Agencies nationwide have until February 2011 to apply for $6 million available for the Diesel Emissions Reduction Act's SmartWay Finance Program for low cost leases or revolving loan programs that enable fleets to realize significant reductions in diesel emissions.

The EPA's National Clean Diesel Campaign announced the opening of the grant competition earlier this week. The deadline to submit applications is Feb. 10.

Joining schools buses on the diesel eligibility list are: engines and equipment; medium-duty or heavy-duty diesel trucks; marine engines, locomotives and other non-road engines, equipment or vehicles used in construction, handling of cargo (including at a port or airport), agriculture, mining or energy production (including stationary generators and pumps).

Eligible diesel emission reduction solutions include verified emission control technologies such as retrofit devices and engine upgrades, verified idle reduction technologies, certified engine re-powers, and/or vehicle or equipment replacement.

Eligible entities include regional, state, local, or tribal agencies (or intertribal consortia) or port authorities with jurisdiction over transportation or air quality, and nonprofit organizations or institutions that: a) represent or provide pollution reduction or educational services to persons or organizations that own or operate diesel fleets; or b) have, as their principal purpose, the promotion of transportation or air quality.

The purpose of the proposed finance program is to maximize the total project funds available for financing eligible diesel emission reduction solutions and be sustainable to maintain the program.

The EPA added that it plans to award grants in June. An information session was also scheduled for Dec. 16, 2010 at 3 p.m. Eastern. Please see the NCDC Grants and Funding Web site for details.

Earlier in the fall EPA announced the competitions for a total of $50 million in fiscal year 2011 National Clean Diesel federal and state funds and another $4 million for the Emerging Technologies Program.