Discounts available to finance school bus purchases | Schools


As part of its commitment to protect children, highlighted during Children’s Health Month, the United States Environmental Protection Agency (EPA) announced on Wednesday, October 6, two discount opportunities on buses 2021 Diesel Emissions Reduction Act (DERA) School Bus Rebates and 2021 US Rescue Plan Electric School Bus Rebates.

The two rebate opportunities total approximately $ 17 million in combined funding for schools and fleet owners to replace older, heavily polluting diesel school buses. Replacing these buses will improve the air quality in and around schools and communities, reduce greenhouse gas pollution and better protect the health of children in general.

Since 2012, the EPA’s school bus rebates have awarded, or are awarding, more than $ 55 million to replace more than 2,700 old diesel school buses.

“All children, regardless of their zip code, have the right to learn and play in a healthy environment,” said EPA administrator Michael S. Regan. “These funding opportunities to replace heavily polluting diesel buses will translate into cleaner air for many of the 25 million American children who depend on school buses to transport them to and from school every day.”

The first rebate opportunity is the 2021 US Rescue Plan (ARP) electric school bus rebate. This new $ 7 million pilot program will provide funding to replace old diesel school buses with new zero-emission electric school buses. .

The funds are earmarked exclusively for school districts in underserved communities, tribal schools and private fleets serving these schools. This program provides $ 300,000 per bus for up to four electric school bus replacements and associated charging infrastructure. The list of eligible applicants is available on the 2021 ARP Electric School Bus Rebates website.

The second rebate opportunity is the latest round of EPA funding for long-standing rebates on DERA school buses. This year’s program provides approximately $ 10 million to fund the replacement of old diesel school buses with new electric, diesel, gasoline, propane or compressed natural gas (CNG) school buses that meet current emission standards. All public school districts and private bus fleets serving these schools are eligible.

The discounts available are between $ 20,000 and $ 65,000 per bus depending on the type of fuel used in the replacement bus. Applicants can request rebates for up to 10 buses with a maximum rebate amount of $ 300,000 per request.

Both rebate programs will select the winners through a lottery system. The award winners are required to dispose of old diesel buses being replaced to ensure that these buses do not continue to pollute. The programs will run concurrently but will require separate application forms.

The EPA is accepting applications for both programs until Friday, November 5 at 4 p.m. Eastern Standard Time. Questions regarding the application can be directed to [email protected]

For more information on the rebate programs, candidate eligibility, selection process, and information webinar dates, visit

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