DEP Makes $6 Million Available for Alternative Fuel Transportation Projects

HARRISBURG – Environmental Protection Secretary John Hanger announced that the department is now accepting applications through the state’s $6 million Alternative Fuel Incentive Grant program, or AFIG, for homegrown fuel projects throughout Pennsylvania.

“The AFIG program helps improve our environment and economy by developing cleaner burning, less polluting forms of transportation,” said Hanger. “AFIG encourages the use of homegrown fuels by providing a financial incentive to spur projects that improve our air quality and reduce our dependence upon foreign oil.”

Eligible proposals may include projects that use or produce biofuels, alternative fuels and alternative fuel vehicles, or that deploy fuel-saving technology in the transportation sector. Projects may include retrofitting fleet vehicles to operate on alternative fuels, purchasing an alternative fuel vehicle, installing fleet refueling equipment for alternative fuel vehicles, or supporting next-phase advanced research, development and training.

AFIG grants may also be used to offset the incremental cost of purchasing biofuel refueling and storage equipment or related tank cleaning. Funding is also available for qualified renewable fuel producers to receive reimbursement of up to 10 cents per gallon of renewable fuels produced in a calendar year up to 12.5 million gallons.

Successful projects will be market-driven, create jobs, and spur economic development within the state.

Projects must begin on or after July 1, 2010, and must be completed within two years.

Since Governor Edward G. Rendell expanded the AFIG program in 2004, it has awarded $31 million to 93 projects and leveraged an additional $194 million in investments from public and private fleet operators and fuel providers.

“We have made great strides in recent years in developing and utilizing alternative forms of energy generation,” said Hanger. ”Pennsylvania is a leader in using advanced wind and solar technologies to power our homes. It only makes sense to maximize the available technologies that will make our transportation sector more fuel efficient and more environmentally friendly as well.”

School districts, municipal authorities, political subdivisions, nonprofit entities, corporations, and limited liability companies or partnerships incorporated or registered in Pennsylvania are eligible to apply.

Applications must be submitted via the Environmental eGrant system at www.grants.dcnr.state.pa.us. Paper applications will not be accepted. The deadline to submit applications is 4 p.m., Friday, Aug. 27.

For more information on AFIG and to view the program guidelines, visit www.depweb.state.pa.us, keyword: Alternative Fuels. Questions regarding the grant program and applications may be directed to the DEP Grant Center by calling 717-705-5400, or by e-mailing epafiginfo@state.pa.us.

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