EPA revises $5B clean bus initiative ahead of 2026 grants

A parked school bus in a parking lot on an overcast day.

February 25, 2026

The Environmental Protection Agency (EPA) is planning to revise the $5 billion Clean School Bus (CBS) Program as it pivots its focus on new alternative fuel technologies that could be used in the school bus sector. Comments are due by April 6. 

The agency recently issued a Request for Information (RFI) from fleet operators, manufacturers, school officials and energy producers to gather feedback on qualifying alternative fuels alongside associated technologies in the medium- and heavy-duty school bus sector. This information will inform upcoming funding opportunities through the CBS Program. 

The EPA is predominantly interested in further information regarding the availability, market price and performance of typical alternative fuels covered by the CBS Program, including liquified natural gas (LNG), compressed natural gas (CNG), hydrogen, propane or biofuels. Additional feedback that will be valued by the agency includes: 

  • The availability, market price and performance of alternative fuels with respect to school buses. 
  • The availability, market price and performance of associated alternative fueling infrastructure. 
  • The need for school bus fleets to have dedicated fueling infrastructure. 
  • Options for improving and expanding grant implementation tools and oversight methods. 
  • Ancillary aspects of the school bus industry, including supply chain timelines for alternative fuel school buses and standard purchasing practices. 

Notably, the RFI is not calling for any feedback on zero-emissions fleet vehicles or associated infrastructure. The EPA further cemented their decision to not award any funds under the CSB Rebate Program, instead opting to allocate funding based on the upcoming 2026 grant framework in development. 

Photo by Vitaliy Haiduk from Pexels

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