CARB Off-Road Incentive Project

The California Air Resources Board (CARB) opened the second round of its Clean Off-Road Equipment Voucher Incentive Project (CORE) recently, providing point-of-sale discounts on off-road zero-emission equipment. CORE supports large forklifts and cargo-handling equipment.

The project is administered by CALSTART and has $125M in funding available, more than double the amount allocated to the project when it first launched in January 2020. Originally only for freight, in 2022, CORE is expanding to include funding for the commercial harbor craft and agriculture and construction sectors.

Participation in the project has been streamlined for ease of use, and key elements include:

• Qualified participants will receive vouchers for point-of-sale discounts on off-road zero-emission equipment, up to a maximum of $500,000 per voucher
• There is no requirement to “scrap,” sell, or retire existing equipment
• Additional funding may be available for charging/refueling infrastructure, equipment operated in disadvantaged communities, and small businesses

“California is backing up its commitment to clean the air in overburdened communities and carry out the direction of the Governor’s Executive Order with a significant investment in zero-emission vehicles and sustainable transportation,” CARB Deputy Executive Officer Craig Segall said. “CORE is specifically designed to assist industry sectors that currently use off-road equipment and can help clean up the communities hardest hit by air pollution.”

“The streamlined process incorporates feedback from program participants and we are anticipating significant interest in this second round,” said Niki Okuk, deputy director at CALSTART.  “The industry is continuing its transition to zero-emissions and CORE provides a clear market signal that helps bring new products to the market.”

CORE supports the following nine equipment categories:

• On- and off-road terminal tractors
• Truck- and trailer-mounted transport refrigeration units (TRUs)
• Large forklifts and cargo-handling equipment
• Airport ground-support equipment
• Railcar movers and switcher locomotives
• Mobile power units (MPUs) and mobile shore-power cable management systems
• Construction equipment
• Agricultural equipment
• Commercial harbor craft

The first round of CORE resulted in over 460 vouchers for vehicles and electric vehicle supply equipment totaling over $62 million, with terminal tractors being the most requested equipment type.

CARB’s mission is to promote and protect public health, welfare, and ecological resources through effective reduction of air pollutants while recognizing and considering effects on the economy.

CORE is part of California Climate Investments, a statewide initiative that puts billions of Cap-and-Trade dollars to work reducing greenhouse gas emissions, strengthening the economy, improving public health and the environment, and providing meaningful benefits to the most disadvantaged communities, low-income communities, and low-income households.