Volkswagen (VW) Settlement: DERA Option | Clean Diesel and DERA Funding | US EPA

Volkswagen (VW) Settlement: DERA Option

General Information

On October 25, 2016, the court approved a settlement that partially resolves allegations that Volkswagen violated the Clean Air Act by the sale of approximately 500,000 motor vehicles containing 2.0 liter diesel engines equipped with “defeat devices.”

Under the partial settlement, Volkswagen will pay $2.7 billion to fully remediate the excess NOx emissions from the affected 2.0 liter engines. This money will be used to establish a mitigation trust that will be administrated through a mitigation trustee, with allocations to specific state, territorial, and tribal government beneficiaries to be used for specific NOx reducing actions. These actions can be found in Appendix D of the Consent Decree.  Action #10 allows for Beneficiaries to use Trust funds for their non-federal voluntary match (DERA Option).

Settlement Highlights

States

The States, Puerto Rico, and the District of Columbia may obtain funds as Mitigation Trust Beneficiaries upon application to the Trustee to implement NOx reduction projects as defined in Appendix D-2, including the DERA Option under the DERA State Clean Diesel Grant Program.

Please submit questions related to Appendix D of the VW Consent Decree to the Clean Diesel helpline with the subject line “VW Question – State”

Tribes

Federally recognized tribes may obtain trust funds as Beneficiaries upon application to the Trustee to implement NOx reduction projects as defined in Appendix D-2, including the DERA Option under the competitive DERA Tribal Clean Diesel Grant Program.

Please submit questions related to Appendix D of the VW Consent Decree to the Clean Diesel helpline with the subject line “VW Question – Tribe”

Source: Volkswagen (VW) Settlement: DERA Option | Clean Diesel and DERA Funding | US EPA