VW Settlement to Fund Zero-Emission Trucks and Buses in New Jersey

(NEWARK, NJ – Feb. 16, 2021)  Gov. Phil Murphy today announced the creation of a state Office of Climate Action and the Green Economy and the allocation of $100 million toward vehicle electrification in New Jersey. The funds come from Regional Greenhouse Gas Initiative proceeds and what was awarded to the state in the Volkswagen settlement over fuel efficiency issues. The initiative supports meeting the state’s climate and clean energy goals to electrify trucks and buses. The money will be earmarked specifically to convert a range of diesel-polluting vehicles in port and industrial areas, garbage and delivery trucks as well as NJ Transit and school buses.

“New Jersey just gained ground in the race to electrify transportation. Under Governor Murphy’s leadership, New Jersey is emerging as a key electric vehicle market and positioning itself among others like California to capture the air quality, health and economic benefits that come with this transition.”

“Trucks and buses are major sources of harmful air pollutants, including greenhouse gases. Electrifying this sector offers the biggest benefit to our communities and children who deserve to breathe cleaner, healthier air.”

 ·        Mary Barber, Director, Regulatory and Legislative Affairs

In addition to this latest medium- and heavy-duty vehicle fund allocation, the state has approved the NJ Zero-Emission Incentive Program (NJ ZIP), a $15.7 million voucher program to purchase electric trucks, and is moving to adopt the California’s Advanced Clean Truck and Low NOx Rule, a law that would require manufacturers of medium- and heavy-duty trucks to build more electric options.