Invitation for Proposals From State Governments for Projects Designed To Accelerate the Introduction and Increase the Use of Alternative Fuels and Alternative Fuel Vehicles

DEPARTMENT OF ENERGY

Invitation for Proposals From State Governments for Projects

Designed To Accelerate the Introduction and Increase the Use of

Alternative Fuels and Alternative Fuel Vehicles

AGENCY: Department of Energy.

ACTION: Notice of Program Interest.

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SUMMARY: The U.S. Department of Energy (DOE) is interested in obtaining

unsolicited proposals from States under 10 CFR 600.15. DOE may award

grants to States to fund pilot programs demonstrating the feasibility

of accelerating the introduction and expanding the use of alternative

fuels and alternative fuel vehicles. Grants for such demonstration

programs, if any, would generally support DOE's alternative motor fuels

programs, including the impending State and Local Incentives Program of

the Energy Policy Act of 1992 (EPACT) and DOE's Clean Cities program.

Awards, if any, will be based on a combination of DOE need and program

merit. Meritorious program proposals would contain incentive plans

directed toward cities that are currently or are petitioning to become

DOE Clean Cities; that leverage non-Federal and Federal resources; and

are regionally diverse.

Proposals in response to this notice should encourage widespread

participation and reflect the participation and responsibilities of all

included parties. Particularly, proposals should reflect other

governmental participation, such as local government participation in a

State program. Approximately $1.0 million may be available in FY 1994

funds for pilot programs; approximately 6-10 awards may be made.

DATES: To guarantee consideration, proposals must be received by

September 1, 1994. Proposals shall be considered as meeting the

deadline if they are either received or postmarked on or before the

deadline date. Applications which do not meet the deadline will be

considered late applications and may not be considered.

ADDRESSES: Proposals referencing Program Notice should be submitted to:

Office of Transportation Technologies, Office of Alternative Fuels, EE-

33, U.S. Department of Energy, Forrestal Building, 1000 Independence

Ave., Washington, DC 20585, Reference: Notice of Program Interest, DOE

Alternative Fuels Pilot Programs.

FOR FURTHER INFORMATION CONTACT: Jeffrey P. Hardy, Office of

Alternative Fuels, Office of Transportation Technologies, U.S.

Department of Energy, Forrestal Building, 1000 Independence Ave.,

Washington, DC 20585, telephone (202) 586-9118.

SUPPLEMENTARY INFORMATION:

A. Background

The Energy Policy Act of 1992 (EPACT) sets forth Alternative Fuels

Titles III, IV and V which effectively establish goals and mechanisms

by which the widespread use of alternative fuels will lead this country

away from a growing dependence on imported petroleum in the

transportation sector. The Department of Energy (DOE) is responsible

for implementing and executing many initiatives under EPACT in order to

create a sustainable alternative fuels market.

To ensure successful market development, DOE is undertaking a

strategic alternative fuels program which builds on research and

development successes through the establishment of market foundations,

including public information, certification of training programs, and

assisting other agencies in labeling of fuels and vehicles, and setting

standards for fuels and vehicles. The second step of the program is to

supplement existing incentives to encourage the early adoption of

alternative fuels and vehicles, such as tax credits for purchasing

vehicles, tax credits for building stations, and grants to States to

develop incentive programs for alternative fuels. Thirdly, DOE will

obtain voluntary commitments from fuel suppliers to build stations,

from the automakers to build vehicles, and from fleets to use those

vehicles. Voluntary participation reduces the need for mandates and

allows users to determine appropriate technologies. The fourth step

will be to expand the market for alternative fuel vehicles by requiring

selected fleet operators to take the leadership in vehicle acquisition,

beginning with the Federal fleet, the State fleets, and the fleets of

alternative fuel suppliers. Finally, achieving long-term EPACT goals

may require private fleets and municipal government fleets to begin

acquiring AFVs in 1999.

Achievement of the challenging EPACT mandates will require

innovative and resourceful activity by DOE and by stakeholders in the

alternative fuels market. In support of the strategic alternative fuel

program, DOE will draw upon such available tools as technology

transfer, the use of studies, pilot programs, rulemakings, grants and

other deployment activities.

B. Purpose

The purpose of this notice is to promote and support innovative or

promising State programs demonstrating the feasibility of accelerating

the introduction and expanding the use of alternative fuels and

alternative fuel vehicles in the creation of a sustainable alternative

fuels market. Demonstrated results may then be considered by DOE during

the development and execution of its strategic alternative fuels

program.

C. Areas of Interest

The Department of Energy seeks to gain information and broaden its

knowledge and experience in the following areas of interest:

(1) Energy Policy Act of 1992 requirements to accelerate the

introduction and expand the use of alternative fuels and alternative

fuel vehicles;

(2) The potential to increase the long-term effectiveness of EPACT

Section 409;

(3) The potential to complement on-going activities in the DOE

Clean Cities program;

(4) Integration and implementation of Energy Policy Act and Clean

Air Act goals at the State and local level;

(5) The cost-effective use of combined private and public funding;

(6) The motivation and involvement of multiple public and private

market entities;

(7) The development of supporting alternative fuel market

infrastructure and broad public access to such infrastructure

(refueling, maintenance, etc.);

(8) Geographic program diversity;

(9) Promotion of all types of alternative fuels;

(10) The commercialization of innovative, efficient energy

technologies;

(11) Air quality improvement; and,

(12) The advancement of economic development and domestic resource

utilization.

D. Availability of Funds

Approximately $1.0 million may be available in FY 1994 funds for

developing demonstration projects to support the strategic alternative

fuels program. Approximately 6-10 awards may be made. Awards, if any,

will be based on a combination of DOE need and project merit within

each area of interest. Programs that leverage non-Federal and other

Federal resources will receive priority consideration.

E. Schedule

All projects submitted by the published deadline will be reviewed

during FY 1994. Any awards, thereafter, will be determined by DOE.

Budget and project periods may be negotiated to fit the needs of

particular projects. Award may be by means of amendment to an existing

grant or by separate grant or cooperative or joint venture agreement.

F. Eligible Applicants

States and entities which are agencies of States are eligible to

apply. Applicants are encouraged to propose cooperative projects or

joint ventures in partnership with local government, private and non-

profit sector organizations, and others.

Qualifying applications must be submitted in accordance with the

following format established by DOE. An application will consist of:

(1) applicant information; (2) a description of the proposed project,

stating parameters and objectives, action to be undertaken and expected

performance; (3) information on the sources and amount of funds

necessary for program implementation, including amounts to be provided

by the applicant(s); and, (4) an economic analysis to show the cost-

effectiveness of the project.

G. Evaluation Criteria

All proposals submitted under this Notice of Program Interest will

be evaluated in accordance of 10 CFR 600.14. Selection will be based on

criteria set forth in 10 CFR 600.14, including: overall merit,

objectives and probability of achievement, proposer's facilities, and

qualifications of critical project personnel. In addition, proposals

will be evaluated with respect to the above-listed Areas of Interest;

for their uniqueness or innovation of concept; for potential

replicability; and upon funding or other resources either provided by

the proposer or leveraged from non-governmental sources.

H. Review Process

Evaluation will be at the Program Office level: DOE Office of

Alternative Fuels. Final selection will be made by the Deputy Assistant

Secretary of Transportation Technologies.

DOE reserves the right to fund, in whole or in part, any, all, or

none of the proposals submitted in response to this notice.

Issued in Washington, DC, June 21, 1994.

Christine A. Ervin,

Assistant Secretary, Energy Efficiency and Renewable Energy.

[FR Doc. 94-15793 Filed 6-28-94; 8:45 am]

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