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Texas Emissions Reduction Plan (TERP)

The TERP program provides financial incentives to eligible individuals, businesses, or local governments to reduce emissions from polluting vehicles and equipment.
Texas Emissions Reduction Plan LogoTERP, Texas Emissions Reduction Plan, a program of the TCEQ. Get money to upgrade or replace your truck or equipment and clear the air!

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New and upgraded equipment pollutes less, improving the air quality in Texas. Grant applications are accepted at different times throughout the year, depending on available funds.

We believe these to be taxable grants. Please consult with your tax advisor.

NEW ITEMS:

New Technology Implementation Grant Program is now open New Item

Light-Duty Purchase or Lease Incentive Program (LDPLIP) is now open New Item

Texas Natural Gas Vehicle Grant Program (TNGVGP) is now open 

TERP GRANT PROGRAMS:

The TERP program is comprised of nine different grant programs. Each program has its own specific eligibility requirements and may accept applications at different time periods of the year. 

Alternative Fueling Facilities Program (AFFP)

The AFFP program offers grants for the construction or expansion of natural gas and other alternative fuel fueling stations within the Clean Transportation Zone. Effective September 1, 2017, the Texas Health and Safety Code (THSC) Chapters 393 and 394 were amended to combine the AFFP and the Clean Transportation Triangle (CTT) programs.

The latest application period has ended. Applications may no longer be submitted for funding consideration.

 

Drayage Truck Incentive Program (DTIP)

The purpose of the Drayage Truck Incentive Program (DTIP) is to provide financial
incentives for the replacement of older drayage trucks operating at eligible seaports and Class I rail yards in areas of Texas designated as nonattainment under the Federal Clean Air Act.

The latest application period has ended. Applications may no longer be submitted for funding consideration.

 

Emissions Reduction Incentive Grants (ERIG)

The Emissions Reduction Incentive Grants (ERIG) Program offers grants to upgrade or replace on-road vehicles, non-road equipment, stationary equipment, marine vessels, locomotives, on-vehicle electrification and idle reduction infrastructure, and rail relocation and improvement projects, which must result in a reduction of emissions of nitrogen oxides (NOx) of at least 25%.

The latest application period has ended. Applications may no longer be submitted for funding consideration.

 

New Technology Research and Development Grants

These grants provided financial incentives to encourage and support research, development, and commercialization of technologies that reduce pollution in Texas.

The latest application period has ended. Applications may no longer be submitted for funding consideration.

 

New Technology Implementation Grant (NTIG) Program

These grants provide incentives to assist in the implementation of new technologies to reduce emissions of pollutants from facilities and other stationary sources.

  The TCEQ is now accepting applications for funding consideration under the New Technology Implementation Grant Program. Applications must be received and date-stamped at the front desk, Rm. 1301, 1st floor of Building F on the premises of the TCEQ by no later than 5:00 p.m., Central Time, December 14, 2018.

 

Rebate Grants (including small business)

The Rebate Grants program is a simplified first-come, first-served grant program to upgrade or replace diesel heavy-duty vehicles and/or non-road equipment.

The latest application period has ended. Applications may no longer be submitted for funding consideration.

 

Texas Clean Fleet Program (TCFP)

The Texas Clean Fleet Program (TCFP) offers grants to replace heavy-duty and light-duty on-road diesel vehicles with alternative fuel and hybrid vehicles.

The latest application period has ended. Applications may no longer be submitted for funding consideration.

 

Texas Clean School Bus Program

The goal of the Texas Clean School Bus Program is to reduce children’s exposure to diesel exhaust in and around diesel school buses. Under the program, TCEQ will provide grants to offset the incremental cost of eligible projects that reduce diesel exhaust emissions. Eligible projects include the purchase and installation of eligible retrofit systems on eligible buses.

The TCEQ has received requests for funding in excess of the Fiscal Year (FY) 2018 appropriation of $3,094,795.00. Applications may still be submitted but will not be considered for funding until after August 31, 2018 in FY 2019. Applications must be received at the front desk, Rm. 1301, 1st floor of Building F on the premises of the TCEQ by no later than 5:00 p.m. Central Time, April 26, 2019.

 

Light-Duty Motor Vehicle Purchase or Lease Incentive Program (LDPLIP)

The Light-Duty Motor Vehicle Purchase or Lease Incentive Program (LDPLIP) will provide rebate incentives statewide to persons who purchase or lease an eligible new light-duty motor vehicle powered by compressed natural gas (CNG), liquefied petroleum gas (LPG), or hydrogen fuel cells or other electric drives (plug-in or plug-in hybrid).  Only vehicles purchased in Texas are eligible for the incentive.

 

  The TCEQ is now accepting applications for funding consideration under the LDPLIP. Applications must be received and date-stamped at the front desk, Rm. 1301, 1st floor of Building F on the premises of the TCEQ by no later than 5:00 p.m., Central Time, May 31, 2019.

 

Texas Natural Gas Vehicle Grant Program (TNGVGP)

The TNGVGP provides grants to encourage an entity that owns and operates a heavy-duty or medium-duty motor vehicle to repower the vehicle with a natural gas engine or replace the vehicle with a natural gas vehicle. Grant applicants are no longer required to go through a Participating Dealer under contract with the TCEQ to apply.

The TCEQ is now accepting applications for funding consideration under the TNGVGP. Applications must be received and date-stamped at the front desk, Rm. 1301, 1st floor of Building F on the premises of the TCEQ by no later than 5:00 p.m. Central Time, May 31, 2019.

 

Need more information?
Call (toll-free)
800-919-TERP (8377)

Or see other contact info.

Need to make post-contract changes?
Please send your completed Contract Amendment Request Form (PDF) to:
terp_revise@tceq.texas.gov

Upcoming TERP Meetings and Workshops



TERP Project Summary Reports and Publications



Reimbursement and Disposition Forms



Monitoring and Usage Requirements for TERP Grant Funded Equipment



Liquefied Gas Tax Information