US DOT Funds Climate & Environmental Justice Projects

New Funding Prioritizes Climate and Equity in Infrastructure Projects

The U.S. Department of Transportation is allocating funds from its Infrastructure for Rebuilding America (INFRA) program to specifically address climate change and environmental justice for the first time.

Climate Change Considerations

A portion of the $889 million INFRA budget will be dedicated to projects demonstrating a commitment to mitigating climate impact. Projects will be assessed based on their integration into broader climate strategies.

The agency will prioritize initiatives that actively work to reduce greenhouse gas emissions. This includes the deployment of zero-emission-vehicle infrastructure and strategies that promote shifts towards more sustainable transportation options.

Secretary Buttigieg's Vision

“Now is the time to invest in our nation’s infrastructure for a stronger future,” stated Secretary Pete Buttigieg. “We are dedicated to rebuilding, while simultaneously creating jobs, stimulating the economy, ensuring equity, and confronting the climate crisis.”

He further emphasized the INFRA grant program’s potential to facilitate these crucial objectives.

Focus on Racial Equity

Racial equity will be a key consideration in the evaluation process. Projects must demonstrate inclusive community outreach efforts.

Preference will be given to projects directly benefiting underserved communities, as well as those situated within designated opportunity, empowerment, promise zones, or choice neighborhoods.

Implications for the Electric Vehicle Industry

These new funding programs accelerate the availability of federal dollars for startups focused on electrification. This provides additional momentum to the growing electric vehicle industry and the expansion of its charging networks.

Grant Amounts and Eligible Costs

Large infrastructure projects are eligible for grants of $25 million or more. Smaller projects must meet a minimum grant requirement of $5 million.

Eligible project costs encompass a wide range, including: reconstruction, rehabilitation, property acquisition, environmental mitigation, construction contingencies, equipment acquisition, and operational improvements directly enhancing system performance.