U.S. Environmental Protection Agency ! Office of Transportation & Air Quality ! SmartWay Transport®

 Partnership

NVFEL ! 2000 Traverwood Dr. ! Ann Arbor MI 48105 ! (734) 214-4767 ! www.epa.gov/smartway 

EPA420-F-06-016 February 2006 

What is the SmartWay 

Transport Partnership? 

• Voluntary partnership between the U.S. 

Environmental Protection Agency (EPA) 

and the freight industry to improve energy 

efficiency and reduce emissions from 

freight transportation. 

What does the Partnership do? 

• Encourages trucking companies and 

railroads to adopt technologies that reduce 

fuel consumption and emissions. 

• Works with freight shippers (such as IKEA, 

Nike, Lowe’s, The Home Depot) to ship 

more of their freight using trucking 

companies participating in the Partnership. 

For virtually every trucking company, fuel is the 

second largest expense behind labor. Numerous 

technologies are currently available to help these 

companies reduce fuel consumption; however, 

one of the major barriers to their widespread 

adoption is a lack of investment capital. The 

SmartWay Transport®

 Partnership is establishing 

several innovative financing programs to make 

these technologies more accessible to interested 

trucking companies through SmartWay Upgrade 

Kits. Greater use of these technologies will not 

only reduce fuel consumption and related costs 

to trucking companies, but it will also result in 

reductions in emissions of greenhouse gases 

and other harmful air pollutants. 

The SmartWay Technology Upgrade Kit 

SmartWay Upgrade Kits are highly fuel-efficient 

technologies bundled with emission control 

devices. These SmartWay Upgrade Kits create a unique incentive for trucking companies to retrofit their 

trucks because the monthly fuel savings generally exceed the monthly loan payments. Fleet owners save 

money immediately. Fleet owners can compare the costs and estimate the fuel savings associated with 

various efficiency technologies by using the SmartWay Technology Package Savings Calculator, visit 

www.epa.gov/smartway/calculator/loancalc.htm. The following table shows how the individual 

components of the SmartWay Upgrade Kits can benefit the company and the environment. 

Technology Cost1

Benefits2

(Monthly Fuel 

Savings) 

Monthly Loan 

Payment @ 

9% for 48 

months 

Net Monthly 

Savings 

Idle Reduction Device – Bunk Heater $1,500 $215 $37 $178 

Idle Reduction Device – Auxiliary 

Power Unit (APU) 

$8,500 $330 $212 $118 

Aluminum Wheels for Single Wide 

Tires 

$5,600 $153 $139 $14 

Trailer Aerodynamics $2,400 $191 $60 $131 

Exhaust Aftertreatment Device – 

Diesel Oxidation Catalyst (DOC) 

$1,200 $0 (20-50% PM 

emission reduction) 

$30 -- 

Exhaust Aftertreatment Device – 

Particulate Matter (PM) Filter 

$6,000 $0 (90% PM emission 

reduction) 

$149 -- 

 1

 Equipment cost may vary depending on vendor, equipment specifications, quantities purchased, etc. 2

 Monthly fuel savings are estimated for a long-haul truck using 16,667 gallons of diesel per year and idling 1,200 

hours per year for bunk heaters, and 2,400 hours per year for APUs. Fuel cost is $2.75/gallon. 

SmartWay Innovative Financing 

Program for the Trucking Industry 
U.S. Environmental Protection Agency ! Office of Transportation & Air Quality ! SmartWay Transport®

 Partnership

NVFEL ! 2000 Traverwood Dr. ! Ann Arbor MI 48105 ! (734) 214-4767 ! www.epa.gov/smartway 

EPA420-F-06-016 February 2006 

SmartWay Upgrade Kits that include an idling reduction device, exhaust aftertreatment device, tractor 

and/or trailer aerodynamics, and low rolling resistance duals or single wide tires may improve fuel 

economy up to 20%, reduce oxides of nitrogen (NOx) up to 20%, and reduce particulate matter (PM) up 

to 90%. Upgrade Kits purchased by trucking companies can be customized to the specific needs of the 

company. The following table provides some possible SmartWay Upgrade Kit options.

Possible SmartWay Upgrade 

Kit Options 

Total 

Cost 

Benefits 

(Monthly Fuel 

Savings) 

Monthly Loan 

Payment @ 5% for 

48 months 

Net Monthly 

Savings 

Heater, Tires, Aero, DOC $10,700 $520 $266 $254 

APU, Tires, Aero, DOC $17,700 $636 $440 $196 

Heater, Tires, Aero, PM Filter $16,000 $520 $386 $134 

For additional idle reduction technologies, visit www.epa.gov/otaq/smartway/idlingtechnologies.htm. For 

a list of exhaust aftertreatment devices, visit www.epa.gov/otaq/retrofit/retroverifiedlist.htm. 

Financing Options 

SmartWay is exploring a number of options to help trucking 

companies reduce their fuel consumption and costs and make 

funds available for the purchase of SmartWay Upgrade Kits. 

These options include state loan programs and national loan 

programs. 

State Loan Programs: 

• Some states have existing loan programs through their 

small business or environmental offices that may be 

able to finance SmartWay Upgrade Kits. 

• These loan programs are often offered with terms that are more attractive than currently available 

commercial loans (e.g., low-interest rates, flexible repayment terms). 

• SmartWay has partnered with loan programs in Arkansas, Minnesota, and Pennsylvania to offer 

SmartWay Upgrade Kits and is working to partner with additional states. 

• SmartWay is working with Cascade Sierra Solutions, a non-profit organization headquartered in 

Coburg, Oregon, to implement a loan program for upgrading trucks that travel along the I-5 

Corridor (from Washington to California). 

National Loan Programs: 

• Commercial banks or other organizations could develop programs aimed at providing capital to 

trucking companies for the purchase of fuel saving and emission reduction devices. 

• Programs could be nationally available and offer below-market rates or preferred terms for 

trucking companies. 

If You Would Like to Learn More

Please contact: Annie Kee, 202-343-9218, kee.annie@epa.gov. 

Information about SmartWay can be found on the program website: www.epa.gov/smartway.

A SmartWay partner using single wide tires.