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Grants for Ferries, Tugboats, and Freight Switchers

The Texas Volkswagen Environmental Mitigation Program (TxVEMP) provides funding to replace or repower older locomotives or repower marine vessels to reduce nitrogen oxides (NOx) emissions in Texas.

Accepting Applications Soon

We expect to begin accepting applications in July 2024—subject to change.

Limited funding available. This is a competitive grant based on criteria to be outlined in the Request for Grant Applications.

Join our email list to get updates.

The information below is provided for reference only. When we begin accepting applications, we will update this webpage with the final requirements and documents.

How to Apply

Eligible applicants

  • Individuals, state and local governments, corporations, or any other legal entity.

Eligible projects

  • Replace or repower the following locomotives:
    • freight switchers
  • Repower the following marine vessels:
    • ferries
    • tugs
  • Applicants purchasing a qualifying ferry, tug, or freight switcher powered by electricity may request additional funding for on-site electric charging infrastructure.

Eligible areas

Review documents to ensure eligibility

  • Request for Grant Applications
  • Example Grant Contract

  • Government-Owned Equipment: up to 100% for eligible equipment and electric charging infrastructure.
  • Non-Government-Owned Equipment: up to 75% for eligible equipment with electric engine(s) and electric charging infrastructure.

*The incremental cost is the eligible cost to purchase the replacement equipment minus the scrap value of the equipment being replaced.

Projects will be more competitive if they have a lower cost per ton to reduce NOX emissions and higher reduction in total NOX emissions. We recommend you use the estimators or technical supplements below to estimate the cost per ton of NOX emissions reduced by replacing or repowering your equipment.

TCEQ will verify your estimates and make the final calculations for your application.

Note: We will add links to the forms below when we begin accepting applications.

Estimate Your Cost per Ton

  • Marine Vessels
  • Locomotives

Technical Supplements

  • Marine Vessels
  • Locomotives

  • Marine Vessel Project Application (TCEQ-21000-a)
  • Locomotive Project Application (TCEQ-21000-b)
  • Supplemental Form 1: Waiver Request (TCEQ-21000-c)
  • Supplemental Form 2: Non-Standard Usage (TCEQ-21000-d)
  • IRS Form W-9

Secure Site

Regular Mail

Air Grants Division, MC-204 (TxVEMP)
P.O. Box 13087
Austin, TX 78711-3087

Express Mail

Air Grants Division, MC-204 (TxVEMP)
12100 Park 35 Circle
Building F, 1st Floor, Suite 1301
Austin, TX 78753