Funding Opportunities for Vehicles


The Light-Duty Motor Vehicle Purchase or Lease Incentive Program offers rebates for eligible light-duty motor vehicles purchased or leased in Texas on or after September 1, 2019.

  • Rebates of up to $5,000 are available for up to 1,000 eligible compressed natural gas (CNG) and liquefied petroleum gas (LPG or propane) vehicles.

  • Rebates of up to $2,500 are available for up to 2,000 eligible electric drive (plug-in or plug-in hybrid) or hydrogen fuel cell vehicles.

Applications will be accepted and considered on a first-come, first-served basis until all available rebates have been awarded. Applications will not be accepted after 5:00 p.m. on January 7, 2021. Program details can be found at www.tceq.texas.gov/airquality/terp/ld.html.

The Texas Volkswagen Environmental Mitigation Program continues to accept applications under the second and third round of funding for projects to replace or repower local freight, port drayage trucks, and refuse vehicles. For the Dallas-Fort Worth area, approximately $3 million in grants is still available for the replacement or repower of eligible local freight and port drayage trucks and approximately $5 million in grants is remaining for the replacement or repower of eligible refuse vehicles. Refuse vehicles include a variety of vehicles configured to collect and haul municipal solid waste. Grants will be awarded on a first-come, first-served basis. Details on this opportunity can be found at https://www.tceq.texas.gov/agency/trust/.

The TCEQ is accepting applications for the Texas Natural Gas Vehicle Grant Program, which pays up to 90% of the incremental cost to replace or repower diesel or gasoline vehicles with a natural gas or propane vehicle or engine. Applications will be accepted and considered on a first-come, first-served basis until February 26, 2021, or until all available grants have been awarded.

Apply today at https://www.tceq.texas.gov/airquality/terp/tngvgp.html.

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