Funding Updates

CARB Allocates $14 Million for Innovative Small e-Fleets

May 6, 2024

The California Air Resources Board (CARB) has announced the opening of this year’s Innovative Small E-Fleet (ISEF) voucher incentive funding lane set-aside. Part of the state’s Clean Truck and Bus Voucher Incentive program (HVIP), the funding lane has an allocation of $14 million and will open on Monday, June 3rd at 1pm. This allocation will be added to the existing funding, which is currently at $21 million, totaling $35 million available to small fleets seeking innovative options.

ISEF was designed in response to small fleets’ desire for more flexibility in ZEV options, their need to try new technology on a short-term basis, and their unique financing challenges. The success of last year’s ISEF funding led CARB to allocate additional money to help more small fleet owners/operators this year. Fleets of 20 or fewer vehicles that are either California based companies, nonprofits, or public agencies are eligible for double HVIP voucher incentives, disadvantaged and low-income enhancements, and drayage fleet plus-ups. Fleets must work with an approved provider to apply for vouchers; these providers will work with eligible dealers to request vouchers on the individual fleet’s behalf.

Interested fleets, dealers, and providers will have an opportunity to learn more about ISEF and recent policy updates on a CALSTART hosted webinar Thursday May 16th at 10am. An updated ISEF Appendix is now available.

Last year ISEF funded more than 60 small fleets using a variety of solutions to make the transition to zero-emissions. Over 200 vehicles were requested by 28 different providers offering tangible and approachable solutions to small fleets. Fleets that are facing challenges with charging infrastructure installations should reach out to Steve Sokolsky [email protected] to learn about our Mobile Charging pilot as an interim solution.

ISEF is unique in its allocation of funds for small fleets and is solely dedicated to innovative offerings including rentals, short-term leases, as-a-service models, vehicle sharing platforms and other solutions. The project widens the opportunities and provides greater access to incentives for these traditionally underserved groups (which include minority-owned and women-owned small fleets, among others), giving them the flexibility and support they need to adopt this new technology. ISEF also provides CARB the opportunity to gather data to allow it to better understand the specific needs of small fleets and more effectively support them. Fleets wishing to directly purchase vehicles must use Standard HVIP to do so, and will receive the small fleet double voucher enhancement.

Providing resources to these small California fleets to enable them to make the transition to zero-emission vehicles is critical to the goal of reducing greenhouse gas emissions and atmospheric pollutants.

For more information contact: [email protected].

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