Grants for Alternative Fuel Vehicles and Conversion Systems
The Light-Duty Motor Vehicle Purchase or Lease Incentive Program (LDPLIP) provides grants for purchasing or leasing new vehicles or conversion systems, powered by alternative fuel. See below for details about eligibility and how to apply.
Are you an equipment manufacturer? Complete an information request form to help TCEQ compile a list of eligible vehicles, engines, and conversion systems.
No Longer Accepting Applications for Hydrogen Fuel Cell or Other
Electric-Drive Vehicles
TCEQ has suspended acceptance of applications for hydrogen fuel cell or other electric-drive (plug-in or plug-in hybrid) vehicles under LDPLIP. The current number of applications received by TCEQ for these vehicles exceeds the maximum of 2,000 grants available for this funding period.
TCEQ is still accepting applications for compressed natural gas and liquefied petroleum gas vehicles.
How to Apply
Step 1 Determine if you are eligible
Eligible applicants
- Persons who purchase or lease an eligible new light-duty motor vehicle on or after September 1, 2025, and who applied for or acquired title and registration of the vehicle in Texas.
- Individuals, corporations, organizations, governments, or governmental subdivisions or agencies, business trusts, partnerships, associations, or any other legal entity.
Eligible projects
- Vehicles with a gross vehicle weight rating of 10,000 pounds or less, such as cars, and small- or medium-sized trucks which:
- Are purchased or leased new.
- Operate on compressed natural gas (CNG), liquefied petroleum gas (LPG), hydrogen fuel cell, or electric drive (plug-in or plug-in hybrid).
- Vehicles with conversion systems for CNG or LPG.
Eligible areas
Texas
Review documents to ensure eligibility
- Eligible Vehicles*
- Request for Grant Applications
- Addendum No. 1
- Grant Program Summary in English
- Grant Program Summary in Spanish
- Example Grant Contract
*If you believe an eligible vehicle is not on the list, please contact us at LDPLIP-Apply@tceq.texas.gov or 800-919-TERP (8377).
Step 2 Collect documents and fill out forms
Required for all applicants
- Completed and signed IRS Form W-9 .
- One of the following:
- Title Application Receipt or Web Dealer Original Title.
- Application for Texas Title and Registration (Form 130-U).
- Both your Vehicle Title and Registration.
- Completed and executed purchase or lease agreement signed by the applicant and seller (invoice, bill of sale, purchase order, lease document, etc.), or
- In lieu of a completed and executed purchase or lease agreement, TCEQ may accept the following documents: a Buyer’s Order (all pages) signed by the applicant and dealer, plus one of the following:
- Canceled check (front and back) or a bank statement showing payment in full.
- Finance agreement with a financial institution (VIN and loan amount must be on agreement).
- Retail installment contract signed by the applicant and financial institution.
Additional requirements for all individuals or sole proprietors
- State or federal identification card (driver’s license, passport, etc.).
Additional requirements for CNG or LPG vehicle conversion systems
- Conversion invoice.
- Proof of payment for the conversion system.
- Photo of engine plate or EPA certification sticker.
Step 3 Submit your application
You must be in possession of your vehicle before submitting your application.
Applications must be completed and submitted electronically through TERP Online SUNSS.
- Review the online application instructions.
- Complete the online application.
- Upload IRS Form W-9 and other required attachments (if applicable).