Emissions Reduction Incentive Grants (ERIG) Program

The replacement of an eligible piece of equipment with a newer piece of equipment.

• Equipment being replaced must be in good operating condition with a remaining useful life consistent with the activity life selected in the application
• On-Road Equipment: the new on-road equipment model year may not be more than three years prior to the calendar year in which the equipment is purchased
• Non-Road Equipment: the new non-road engine year may not be more than three years prior to the calendar year in which the equipment is purchased
• The replacement equipment must be certified to emit at least 25% less NOx than the equipment being replaced. Certified means approved by the EPA, the CARB, or otherwise accepted by the TCEQ
• The applicant must own the equipment at the time of application, and must have continuously owned, commercially financed, or leased the equipment and have been listed as the owner on the title or the lessee on the lease agreement for the two years immediately preceding the application signature date
• Unless the vocational type of the equipment is exempt from inspection and registration requirements, the equipment must currently be registered for operation in Texas and must have been continuously inspected and registered in Texas for the two years immediately preceding the application signature date
• The equipment must have been used in its primary function in the routine operations of the applicant in Texas for the two years immediately preceding the application signature date and be capable of performing its primary function for the duration of the project Activity Life

The replacement (repower) of an existing engine in an eligible piece of equipment with a new, rebuilt, or remanufactured engine.

• The new engine must be certified to emit 25% less NOx than the engine being replaced. Certified means approved by the EPA, the CARB, or otherwise accepted by the TCEQ
• The applicant must own the equipment at the time of application, and must have continuously owned, commercially financed, or leased the equipment and have been listed as the owner on the title or the lessee on the lease agreement for the two years immediately preceding the application signature date
• Unless the vocational type of the equipment is exempt from inspection and registration requirements, the equipment must currently be registered for operation in Texas and must have been continuously inspected and registered in Texas for the two years immediately preceding the application signature date
• The equipment must have been used in its primary function in the routine operations of the applicant in Texas for the two years immediately preceding the application date and be capable of performing its primary function for the duration of the project Activity Life

Contact TERP staff at TERP@tceq.texas.gov or 1-800-919-TERP (8377) for more information if you have any of the project categories below:

• New Purchase or Lease: To be eligible for funding, the engine on the new piece of equipment must be certified to emit at least 25% less NOx than required under the current standard. Certified means approved by EPA, the CARB, or otherwise accepted by the TCEQ
• Retrofit or Add-On of Emission-Reduction Technology: The retrofit or add-on of emission-reduction technology to an existing engine in an eligible piece of equipment. Except for retrofits with certain dual-fuel conversion systems, the equipment must be currently owned by the applicant and the retrofit or add-on systems must be certified or verified to emit at least 25% less NOx than the engine prior to the retrofit
• On-Equipment Electrification and Idle Reduction Infrastructure: The purchase and installation of equipment that enables equipment to use electric power to operate, while the equipment is parked, the systems normally supplied power by the propulsion engine or another on-board internal combustion engine that emits NOx
• On-Site Electrification and Idle Reduction Infrastructure: The purchase and installation of on-site infrastructure including auxiliary power units designed to dispense electricity to motor vehicles, on-road heavy-duty On-Equipment, and non-road equipment, including marine vessels and locomotives
• Use of Qualifying Fuel: The TCEQ is not accepting applications under this application period for projects to fund the incremental costs of a qualifying fuel
• Rail Relocation and Improvement: The relocation of rail lines to reduce the number of grade crossings, improvements at rail intersections, and other improvements that will directly result in the reduction of locomotive and/or equipment engine idling at rail intersections. Eligible rail intersections may include the intersection of two rail lines or an intersection of a highway or roadway and a rail line, commonly referred to as a highway-rail grade crossing. The grant recipient must own or otherwise control the rail line, right-of-way, or the facility being improved