Michigan’s Government Is Asking About Use of VW Settlement Funds

VW emissions scandal

The Michigan Agency for Energy is trying to find out more about ways we can use funds for zero emission vehicle infrastructure provided by Volkswagen’s settlement with the US government.

The settlement requires VW to put $2 billion into a fund for ZEV infrastructure and outreach. The money will be split, $800 million going to projects in the state of California and $1.2 million for other projects in the U.S. overseen by the EPA. The VW ZEV fund is one way of combatting the harm caused by the company’s recent diesel-rigging scandal, in which the company programmed cars to cheat emissions tests and appear to be emitting 40 times less than they actually were.

Michigan, as the epicenter of EV research and development, is interested in soliciting ideas on how the state could utilize part of the EPA’s $1.2 billion. As reported by Detroit News, Valerie Brader, executive director of the of the Michigan Agency for Energy, said “the state is seeking information on ZEV projects that will be implemented to offset the negative effects of Volkswagen’s actions in Michigan.”

The Agency said it intends “to work with public and private partners to solicit eligible projects to be included in a comprehensive proposal for ZEV investment planning” along with the Michigan Department of Environmental Quality, the Michigan Department of Transportation, and the Michigan Economic Development Corp.  For more information about the MAE’s RFI, see here.

At press time, the Michigan DEQ also released an RFI on the related VW Mitigation Fund, which will support emission reductions through diesel vehicle replacements.