Governor Corbett Awards 18 Impact Fee Grants for Natural Gas Vehicle Conversion

HARRISBURG, Pa., May 16, 2013 /PRNewswire-USNewswire/ -- Governor Tom Corbett today awarded more than $6.7 million in Act 13 funding to 18 companies and organizations making the switch to natural gas for their heavy-duty fleet vehicles.

"Act 13 was a leap forward in strengthening oversight of the drilling industry," Corbett said. "The law was also a leap forward in helping to continue to grow jobs and clean the air at the same time as demand in the transportation sector develops. Natural gas, particularly from the shale formations here in Pennsylvania, is an abundant, affordable, domestic fuel that is putting this country on a path to energy independence." 

Act 13 of 2012 was the single biggest step in modernizing the state's Oil and Gas Law in nearly three decades. It increased protections of private water supplies, empowered the Department of Environmental Protection to issue larger fines and included one of the most progressive hydraulic fracturing fluid disclosure laws in the nation.

The Act also authorized DEP to develop and implement the Natural Gas Energy Development program, which distributes up to $20 million in grants over three years to help pay for the incremental purchase and conversion costs of heavy-duty natural gas fleet vehicles.

In this first round, $5 million was reserved for local transportation organizations, as obligated by the Act. DEP received applications from 49 applicants requesting nearly $13 million in grants. An additional $11 million will be available in August, with 50 percent slated for local transportation organizations. The third and final grant round is slated to open in 2014. 

Eligible vehicles for all three rounds of the Natural Gas Energy Development program include those fueled with compressed natural gas (CNG), liquefied natural gas (LNG) or bi-fuel vehicles weighing 14,000 pounds or more.

Grant requests cannot exceed 50 percent of the incremental purchase or retrofit cost per vehicle or a maximum total of $25,000 per vehicle.

Governor Corbett also announced today a May 25 opening for the Alternative Fuel Incentive Grant (AFIG) program, providing an estimated $10 million to help companies and organizations purchase or convert CNG, LNG or bi-fuel vehicles weighing less than 14,000 pounds, as well as electric, propane or other alternative fuel vehicles of any weight. Applications will also be accepted for innovation in alternative fuel transportation, including non-road vehicles, such as natural gas-powered trains or marine vessels. The AFIG program is funded by a gross receipts tax on utilities.

To learn more about AFIG and Act 13 grant programs, visit www.dep.state.pa.us and click on the "Natural Gas Vehicle Grant Program" button on the homepage.

Media contact: Lynda Rebarchak, DEP, 484-250-5820

Editor's note: The 18 companies and organizations that were awarded grants are listed below, alphabetically by county, with a brief project description and funding amount. 

Allegheny
Giant Eagle, purchase 20 CNG vehicles - $500,000
Waste Management of Pennsylvania, purchase 25 CNG solid waste collection vehicles - $491,444

Berks
Penske Truck Leasing Co., L.P., purchase 20 CNG trucks - $500,000

Blair
Burgmeiers Hauling Inc., purchase 12 CNG refuse trucks - $287,980
Smith Transport Inc., purchase 12 LNG vehicles - $300,000

Cambria
W.C. McQuaide Inc., purchase 25 CNG trucks - $500,000

Centre
Centre County Commissioners, purchase 10 CNG vehicles - $140,359

Delaware
Rose Tree Media School District, convert 14 buses to CNG; and purchase of eight CNG buses - $499,994

Erie
Birkmire Trailer Company, convert 15 trucks to dual fuel (CNG/diesel); and purchase of six CNG trucks - $500,000
Erie Metropolitan Transport Authority, purchase 12 CNG buses - $300,000

Franklin
Borough of Chambersburg, working with IESI and Shippensburg Borough, purchase and/or retrofit 19 CNG vehicles - $472,500

Huntingdon
Park's Garbage Service Inc., purchase 15 CNG refuse trucks - $335,840

Lancaster
Lancaster Co. Solid Waste Management Authority, convert 14 CNG vehicles - $350,000

Philadelphia
Greater Philadelphia Clean Cities, convert 35 partner company vehicles to CNG - $492,216

Potter
Hoopes Turf Farm, purchase 10 LNG trucks - $250,000

Venango
McKissick Trucking Inc., purchase five LNG tankers - $100,000

Warren
Crossett, Inc., convert 25 tractor trailers to CNG - $500,000

York
Shipley Fuels Marketing LLC, convert three tractors to bi-fuel; one City of York street sweeper to CNG; and purchase five CNG vehicles - $224,178

SOURCE Pennsylvania Office of the Governor