USDOT Opens Applications for $800M in Low-Carbon Construction Grants
The funding is part of the second round of the Low Carbon Transportation Materials Program.
PHOTO BY ANDREUA / UNLIMPHOTOS

The U.S. Department of Transportation this week announced $800 million in federal funding to support the use of low-carbon materials in transportation projects. The funding is part of the second round of the Low Carbon Transportation Materials Program, aimed at reducing the carbon footprint of construction activities.

The Federal Highway Administration began accepting applications on Tuesday, encouraging cities, metropolitan planning organizations, tribal governments and other agencies that manage transportation projects to apply.

The announcement follows an earlier round of funding in March, where $1.2 billion was allocated to state departments of transportation. Applications for this round far exceeded available funds, according to Shailen Bhatt, Federal Highway Administrator.

“We’re going to have to make tough choices,” he said in a press release. “The demand is out there.”

This round of funding will be awarded in Spring 2025 and is intended to help cover costs associated with adopting materials, such as carbon-capture concrete, composites and porous pavement, which are known for their lower environmental impact and can significantly reduce the carbon footprint of construction projects.

In addition to funding, the program aims to assist agencies in updating procurement processes to encourage the use of these sustainable materials. It also provides resources to help quantify the emissions of various construction materials, which is crucial for tracking progress toward environmental goals.

The FHWA is working closely with the U.S. Environmental Protection Agency and the General Services Administration to implement these low-carbon initiatives authorized under the Inflation Reduction Act.

Bhatt acknowledged there is some resistance to adopting new materials, particularly due to cost concerns.

“It’s more costly to develop supply chains around some of these materials. Profit margins are low in this industry,” Bhatt said. The program seeks to address these challenges by defraying costs and encouraging wider use of sustainable materials in the construction sector.

Applications for the $800 million in funding are available via the Low Carbon Transportation Materials Grants Program or by visiting Grants.gov.

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