Air Quality Funding

 

Funding for Consumer Alternative Fuel Vehicle
and Infrastructure Purchases
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Funding for Clean Energy and Energy Efficiency Projects
Earth and car icon leading to funding and resources air quality improvement strategies


Acronyms

EV - Electric Vehicle PHEV - Plug-In Hybrid Vehicle
CNG - Compressed Natural Gas LPG - Liquefied Petroleum Gas
FCEV - Fuel Cell Electric Vehicle GVWR - Gross Vehicle Weight Rating




Comprehensive List of Annual Funding for Vehicles and Infrastructure [Excel]
 

Funding for Consumer Alternative Fuel Vehicle and Infrastructure Purchases

AFDC Federal and State Laws and Incentives - Comprehensive list of all the incentives available for alternative fuel vehicles or infrastructure

 
Program/Incentive Eligible Activities Funding Amount Deadline to Apply
Alternative Fuel Infrastructure Tax Credit Installation of qualified residential fueling equipment, such as EV charging infrastructure Up to $1,000 tax credit December 31, 2032
Electric Vehicle (EV) and Fuel Cell Electric Vehicle (FCEV) Tax Credit* New EV, PHEV, or FCEV with a GVWR of 14,000 lbs. or less with final assembly in North America
$2,500 - $7,500 tax credit
No deadline
 
GreenSense Incentive Program*
for Denton Municipal Electric (DME) customers
EVs and e-bikes EV: $1,500
e-bike: 50% up to $1,000
No deadline
Previously Owned Clean Vehicle Credit*
 
Used EV, PHEV, or FCEV with a GVWR of 14,000 lbs. or less Up to $4,000 tax credit No deadline
United Cooperative Services Rebates 
for United Cooperative Services customers
Electric vehicle charger, fuel conversion rebates, and other energy efficiency improvements Rebates vary based on activity End of 2024 or until funds are depleted
 
 *Can be combined
 

Funding for Fleet Vehicles and Alternative Fuel Infrastructure

AFDC Federal and State Laws and Incentives - Comprehensive list of all the incentives available for alternative fuel vehicles or infrastructure

Texas Emissions Reduction Plan (TERP) Introduction Video 

 
Program/Incentive Eligible
Activities
Funding
Amount
Deadline to Apply
Alternative Fuel Excise Tax Credit Alternative fuel sold or used as a fuel to operate a motor vehicle $0.50 per gallon (GGE for natural gas and propane) December 31, 2024
Alternative Fuel Infrastructure Tax Credit Installation of alternative fuel infrastructure equipment in eligible locations, including EV charging infrastructure Up to 30% tax credit December 31, 2032
Charging and Fueling Infrastructure (CFI) Discretionary Grant Program (Round 2) EV charging and alternative-fueling infrastructure 80% of eligible project costs, total of $800 million for Round 2 applicants and $521.2 million for Round 1 applicants reapplying August 28, 2024
Commercial Electric Vehicle (EV) and Fuel Cell Electric Vehicle (FCEV) Tax Credit* New EV, PHEV, or FCEV
15% of the purchase price for PHEVs

30% of the purchase price for EVs and FCEVs

Maximum tax credit of $7,500 for vehicles under 14,000 lbs. GVWR and $40,000 for vehicles over 14,000 lbs. GVWR
No deadline
Electric Vehicle (EV) and Fuel Cell Electric Vehicle (FCEV) Tax Credit* New EV, PHEV, or FCEV with a GVWR of 14,000 lbs. or less with final assembly in North America $2,500 - $7,500 tax credit No deadline
Clean Heavy-Duty Vehicles Grant Program Replacement of Class 6/7 non-zero emission vehicles with Class 6/7 zero emission vehicles Awards may vary July 25, 2024
Clean School Bus Program Replacing or repowering diesel-powered school busses Replacement: Up to 80% of incremental project cost

Repower: Up to 100% of cost to purchase and install
October 14, 2024
Higher Blends Infrastructure Incentive Program Infrastructure to increase significantly the sales and use of higher blends of ethanol and biodiesel Up to 75% of eligible project costs, not to exceed $5 million Opens quarterly through September 2024, next deadline June 30, 2024
Rebate Grants Program Upgrade or replace on-road heavy-duty diesel vehicles and select non-road equipment Up to 80% of eligible costs July 29, 2024
Seaport and Rail Yard Areas Emissions Reduction Program (SPRY) Replacing or repowering drayage trucks and cargo handling equipment with newer ones Up to 80% of eligible costs March 4, 2025
TxVEMP All-Electric Grant Program






 
Replacement or repower of eligible heavy-duty diesel vehicles or equipment or installation of refueling infrastructure Up to 100% of the incremental cost of the project for government entities

Up to 75% for nongovernmental entities
First-come, first-served until August 31, 2025
*Can be combined
*Note for tax-exempt organizations: The U.S. Department of the Treasury and the Internal Revenue Service have released final rules on elective pay, otherwise known as direct pay. Direct pay enables state and local governments, nonprofit organizations, and other entities to take advantage of clean energy tax credits. For example, a local government that makes a clean energy investment that qualifies for the investment tax credit can file an annual tax return with the IRS to claim elective pay for the full value of the investment tax credit. View the direct pay final rules here.

Funding for Clean Energy and Energy Efficiency Projects

DSIRE - Provides info on federal and state programs related to renewables, fuel cells, and energy efficiency

DOE Solar Research And Development Funding Programs

EPA Clean Energy Programs

Program/Incentive Eligible Activities Funding Amount Deadline to Apply
Energy Efficiency and Climate Justice Block Grants Clean energy and energy efficiency $3,000,000,000 To remain available through September 30, 2026
EPA Clean Ports Program Purchase or install zero-emission port equipment or technology, to conduct any relevant planning or permitting in connection with the purchase or installation of such zero-emission port equipment or technology, and to develop qualified climate action plans Varies depending on activity September 30, 2027
Energy Improvement in Rural or Remote Areas Clean energy and energy efficiency $1,000,000,000 $200,000,000 appropriated annually for fiscal years 2022 through 2026 (to remain available until expended)
Take a Load Off, Texas Incentive Programs Energy efficiency measures Varies No deadline

 

Other Funding Resources

Better Buildings Financing Navigator
Bipartisan Infrastructure Law (BIL) Guidebook, Pages 155-225 (PDF)
Infrastructure Investment and Jobs Act (IIJA) Resource Hub 
DSIRE - Provides info on federal and state programs related to renewables, fuel cells, and energy efficiency
Inflation Reduction Act (IRA) Guidebook Programs List
IRA Tax Credits for Clean Energy and Alternative Fuel Vehicles
EPA Funding Announcements from the IRA and BIL
EV Incentives for Consumers