Grants for Alternative Fuel and Hybrid Vehicle Fleets

The Texas Clean Fleet Program (TCFP) provides funding to replace diesel-powered vehicles with alternative fuel and hybrid vehicles.

Now Accepting Applications

We are accepting applications for grants through 5 p.m. CT, March 21, 2025.

Limited funding available. This is a competitive grant based on criteria described in the Request for Grant Applications below.

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How to Apply

Step 1 Determine if you are eligible

Eligible applicants

An individual or entity operating a fleet of 75 or more vehicles that are registered in Texas.

Eligible projects

You must submit a minimum of 10 vehicles for replacement per application. Vehicles being replaced must be on-road, heavy-duty or light-duty, and powered by diesel.
New replacement vehicles must be:

the same weight classification as the vehicle being replaced.
powered by an alternative fuel or hybrid system.
certified to emit at least 25% less nitrogen oxides (NO_X) than the vehicle being replaced, based on the certified federal emissions standard or a baseline emissions level set by TCEQ (refer to the Technical Supplement).

Eligible areas

Map of Eligible Counties

Review documents to ensure eligibility

Step 2 Estimate Your Potential Grant Amount and NO_X Reductions

The grant estimators provided below will help you calculate the maximum grant amount, total tons of NO_X reduced, and cost per ton of NO_X reduced for your project.

An applicant may request up to 80% of the incremental cost (total eligible cost) associated with the purchase of the new hybrid or alternative fuel vehicle.

Grant Estimators

Review the Technical Supplement to learn how TCEQ calculates a project’s total tons of NO_X reduced and cost per ton of NO_X reduced.

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

Applications will be scored based on:

cost per ton of NO_X reduced
total NO_X reductions
total NO_X reductions in the ozone nonattainment areas

Step 3 Collect documents and complete applicable forms

All applicants must complete, sign, and upload the following:

IRS Form W-9
Supplemental Form - Waiver Request (TCEQ-20954-d Revised January 2025) (if applicable)

Step 4 Submit your application

Applications must be completed and submitted electronically through the TERP Online Single-Use Non-CROMERR Submission System (SUNSS).

Review the online application instructions.
Complete the online application.
Upload IRS Form W-9 and other required attachments (if applicable).

Questions?
Want Updates?

TERP@tceq.texas.gov

800-919-TERP (8377)

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