California introduces $25 million diesel engine replacement program

10 November 1998

The California Environmental Protection Agency's Air Resources Board (ARB) has been named administrator of a $25 million diesel engine replacement program instituted by Gov. Pete Wilson and named the Moyer Program. The one-time budget funding is available for grants over the next two fiscal years and will help accelerate the replacement of large diesel engines with new, low-emission technology engines.

Monies are available for on-road, off-road, marine, locomotive and stationary agricultural engines. Both public and private agencies may apply for grants and participate in the development in funding criteria. The ARB will hold an information workshop on the program at its El Monte Laboratory on November 12.

The diesel replacement program has the potential to reduce nitrogen oxide (NOx) emissions by 60 tons per day from all sources, averaging $8500 per ton. Projects to be funded uner the program must have a minimum cost effectiveness of $12,000 per ton. By comparison, stationary source NOx controls average $15,000 per ton.

Cleaner engines are more expensive than traditional diesel engines, but grants offered through the program will help defray that cost and accelerate fleet turnover. Industry trade groups are supportive of such incentive programs because they help reduce their operating costs and assist the state's air districts in meeting State Implementation Plan (SIP) requirements on time.

It is expected that the engines funded under the program will be both natural gas and new technology diesel engines, depending on the application.

Diesel engines are getting cleaner with the combined use of cleaner fuels and engines, and in 2004, still cleaner-running engines will be required. Today cleaner diesel-fueled engines are available either through retrofit of older engines or purchase of a new model. It is expected that diesel technology will be dominant choice for complying with the 2004 regulations.

Source: California ARB
Moyer Program Discussion (pdf)