State Offering New Incentive Money for Alt-Fuel Vehicles

The Texas Commission on Environmental Quality (TCEQ) is making available a new complement of grant funding that will support fleets' purchases of alternative-fuel vehicles.

This latest round of Texas Clean Fleet Program grants, which are a part of the Texas Emissions Reduction Plan, totals $7.7 million. The grants are available to government, school, corporate and other fleets that own or lease 75 or more on-road vehicles that are currently registered in Texas.

Eligible alternative fuel vehicles are limited to those that run on:

  • compressed natural gas (CNG),
  • liquefied natural gas (LNG),
  • propane autogas,
  • electricity,
  • hydrogen or
  • M85 (85% blend of methanol)

TCEQ notes that the grant funds are available only to fleets that intend to replace at least 20 on-road diesel vehicles, and the switch to alt-fuel vehicles must result in NOX emissions reductions of at least 25%. Grants awards could be as high as 80% of the purchase costs of the new vehicles.

The agency adds that fleets that receive grant funds must operate the alt-fuel vehicles for a defined percentage of their annual mileage in one of the following areas for five years or 400,000 miles, whichever occurs earlier: Houston-Galveston-Brazoria; Dallas-Fort Worth; Beaumont-Port Arthur; Tyler-Longview; Austin; San Antonio; El Paso; Corpus Christi; or Victoria.

More details can be found here. The application deadline is Oct. 3.

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