TRC Cos. surpasses $2B milestone in clean transportation funding

TRC Cos. recently announced it has surpassed $2 billion in funding for client projects supporting clean commercial transportation and renewable energy initiatives across North America. TRC has emerged as a major player in facilitating the transition to cleaner technologies, with over 650 successful grant applications and a 90% success rate.

This milestone is notable as TRC must navigate the intricate interplay between government incentives, technological innovation and shifting regulatory landscapes.

Joe Annotti, senior vice president of incentives at TRC, told FreightWaves in an interview, “The $2 billion is a huge milestone for us. It’s tangible evidence of the investments we’ve made within our clientele, with our communities, and with technology partners and funding agencies to drive innovation.” He notes that the economic impact extends far beyond the initial funding, as leveraged funds, cost-sharing and growth drivers multiply the effect.

The grant process, Annotti explains, is far more complex than simply waiting for funding announcements. “If you’re waiting on listservs and public announcements of when a grant program opens up, it sets a really poor precedent for your team,” he cautions. Instead, TRC advocates for a proactive approach, working with clients to establish baseline goals, geographic focus and specific funding needs well in advance of grant openings.

Another challenge TRC notes is the timeline from project development to implementation, which can take years and involve several stages of varying lengths:

The grant process at TRC generally begins with project development, which typically takes place one to two months before the program opens for applications. This phase is to assemble the right team from the organization. Following this, the application period usually lasts 30 to 45 days, during which the proposal is prepared and submitted. After submission, a review by the agency can take anywhere from three to six months before an award is announced. When an award is granted, contract negotiations with the funding agency generally extend around three months. Finally, the project enters the implementation phase, which can last anywhere from two to five years, depending on the project’s scope and objectives.

To get ahead of the grant curve, companies have to be proactive. Doing so has paid off in numerous high-profile projects. Notable among these is the JETSI Project, which received over $40 million to deploy 100 zero-emission Class 8 trucks across Southern California. Another standout is the Volvo LIGHTS initiative, awarded $44 million to implement a blueprint for the complete ecosystem needed to successfully deploy commercial battery-electric trucks.

The scope of TRC’s work extends beyond vehicle electrification. The company has secured $95 million for the Nevada Gold Mines 200 MW Solar Project, accelerating the decarbonization of mining operations, and $15.4 million for Frito-Lay’s Zero and Near Zero Emission Freight Facility Project in Modesto, California.

Navigating regulatory shifts and ensuring grant stability

However, the landscape of grant funding is not without challenges, particularly due to recent political shifts. With the new administration in Washington, there’s uncertainty about the future direction of clean energy policies at the federal level. Annotti acknowledges this, noting, “The landscape is changing, but like I tell my team and clients, you don’t build lighthouses in calm seas.”

He predicts a potential shift toward economic drivers and domestic energy sources, with increased focus on natural gas, propane transportation, and marine and rail solutions. Despite these changes, Annotti remains optimistic about the continued momentum in the clean transportation sector.

One concern for many in the industry is the status of existing grants in light of potential policy changes. But Annotti says that while new administrations often pause spending to assess the landscape, outright cancellation of awarded funds is relatively rare. “It’s fairly common course for new administrations to come in and pause everything,” he explains, “just so that the Office of Management and Budget can get a lay of the land.”

Despite potential federal policy shifts, Annotti observes that states are taking initiative: “We’re seeing states already take actions. California, Colorado, New York, New Jersey – they’re all setting their own agendas and will continue to do so.”

The state of zero-emissions projects

While zero-emissions advancements have been made, Annotti notes that it remains a “yearslong effort.” He points to recent initiatives like the Clean Transportation Triangle in Texas and the corridor between Los Angeles and Las Vegas as examples of efforts to create supporting arrays of infrastructure for longer-haul fleets.

“The focus is on driving the right economic and environmental solution,” Annotti explains. “We’re a fuel-agnostic company. We don’t prescribe a certain fuel type or location. The focus is what’s right for the fleet, what’s right for the client in an economic and environmental setting.”

Looking ahead, Annotti sees promise in the continued market diversity in the medium- and heavy-duty vehicle space. He cites the impending production of the Tesla Semi as a potential market stimulant and disruptor. Additionally, he highlights innovations like Cummins’ variable platform ISX engine, which can run on multiple fuel types, as key to providing fleets with greater flexibility and choice.

The role of grant funding in driving these innovations is crucial. “Innovation is, at its core, expensive,” Annotti said. “Grants are intended to help offset those costs and stimulate growth.”

In the case of TRC Cos., while regulatory and political challenges remain, momentum continues to build for clean transportation solutions.

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