The Pennsylvania Department of Environmental Protection (DEP) recently awarded more than $1 million in Alternative Fuel Incentive Grants (AFIG).

Pennsylvania’s AFIG program currently reimburses up to 20% of the applicant’s eligible costs of an alternative fuel project. Pennsylvania Governor Ed Rendell recently signed into law Act 178 of 2004 that eliminated restrictions on the percentage of grant funds that can support alternative fuel projects. The new law will allow DEP to fund projects at higher percentages.

Act 178 of 2004 also allows DEP to offer a rebate instead of a grant to Commonwealth residents who purchase hybrid electric and alternative fuel vehicles. Hybrid vehicle purchasers can now apply throughout the year, and will be eligible for the rebate as long as funding is available and DEP receives the required information within six months of the purchase. Grants will also be available to fund the construction of alternative refueling stations and advanced technology vehicle research and development.

The law also expands the AFIG program to help school districts, transit authorities, local government agencies and nonprofit organizations buy down the added cost to use biodiesel fuel.

These AFIG grants will support a range of activities and purchases:

• $540,000—the largest single grant representing 52% of the total awards—goes to IdleAire Technologies to install electric power units to allow heavy duty trucks to connect to the grid to eliminate idling (with its associated fuel consumption and emissions) at truck stops.

• $302,500 goes to the Pennsylvania Transportation Institute to fund the demonstration of hydrogen and compressed natural gas blends (HCNG) in Centre Country Area Transit buses and Penn State vans.

• $96,800 goes to 121 private residents for the purchase of hybrid-electric vehicles.

• $52,500 goes to Lower Merion School District for upgrades to refueling stations supporting the district’s fleet of 65 CNG buses.

• $41,000 goes to Kronosport, Inc. to design and build a small, low speed, hydrogen fuel cell powered utility vehicle for off-road use.

• $5,900 goes to Worley and Obetz to install an LPG refueling station.