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TERP LDPLIP Grant Program Opening Oct. 13, 2025
Funding available for eligible new alternative fuel vehicles
The Texas Commission on Environmental Quality (TCEQ) Texas Emissions Reduction Plan (TERP) is providing advanced notice for the opening of the Light-Duty Motor Vehicle Purchase or Lease Incentive Program (LDPLIP).
Light-Duty Motor Vehicle Purchase or Lease Incentive Program
📅 Program Opening Date: Oct. 13, 2025
📝 Application Process: Online via TERP SUNSS
📋 Award Basis: Grants will be awarded on a first-come, first-served basis
Key Program Details
✅ Grant Amounts
- Up to $2,500 for new electric or hydrogen fuel cell vehicles
- Up to $5,000 for new compressed natural gas (CNG) or liquefied petroleum gas (LPG) vehicles
- TCEQ may award no more than 1,000 grants for CNG and LPG vehicles combined and 2,000 grants for electric and hydrogen fuel cell vehicles.
✅ Eligible Applicants
- Individuals or entities who purchase or lease an eligible vehicle on or after September 1, 2025, and who apply for or acquire title and registration of the vehicle in Texas.
- Applicants must have taken possession of the vehicle before applying.
- Applicants must commit to operating and registering the vehicle in Texas for at least one year.
✅ Eligible Vehicles
- Must be included on the TCEQ Eligible Vehicle List.
- Must be new and must not have been the subject of any prior retail sale or lease.
- Powered by CNG, LPG, hydrogen fuel cell, or other electric drive (plug-in or plug-in hybrid).
- Have a gross vehicle weight rating of 10,000 pounds or less.
Stay Informed
To receive updates about this and other TERP programs join our email list.
Questions? Please contact the TERP team at:
800-919-TERP (8377)
terp@tceq.texas.gov
🌐 terpgrants.org
Texas Commission on Environmental Quality (TCEQ)
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