This funding is being made under the commission’s Alternative and Renewable Fuel and Vehicle Technology Program, created by Assembly Bill 118.

Of the two recipients, Greenkraft will be the major beneficiary with a funding of about $400,000, while Upland Unified School District will receive $278,889.

The program is slated to invest about $90m for the fiscal year 2013 in order to boost the development and use of new technologies, and alternative and renewable fuels, to help the state meet its climate change goals.

These awards will also support the rapid commercialization of zero-emission vehicles in California, with a 2025 target of having 1.5 million zero emission vehicles on the state’s roads.

These incentives will help to pay the difference between alternative-fuel vehicles and conventional vehicles, and will be available only for new natural gas and propane vehicles that meet all the emission requirements of the California Air Resources Board.