The Texas Commission on Environmental Quality (TCEQ) has opened the application period for its Alternative Fueling Facilities Program (AFFP), offering $12 million in grants to support the construction and reconstruction of alternative fueling stations in 88 counties within the Clean Transportation Zone.
Funding amounts vary by project type. Grants of up to $400,000 are available for projects involving compressed natural gas (CNG) or liquified natural gas (LNG). Projects that combine both CNG and LNG can receive up to $600,000. For other eligible fuels, such as hydrogen, biodiesel, propane, electricity, and methanol with at least 85% volume, grants may cover up to $600,000 or 50% of project costs, whichever is less.
The program is open to individuals, state and local governments, corporations, or any legal entity. Business applicants must be registered with the Texas Secretary of State as of the program’s opening date. Applicants must also purchase and own any equipment funded through these grants during the contract period.
Eligible projects include building new alternative fueling facilities or expanding existing sites to offer a new fuel not previously available there. All projects must provide fixed fueling or charging infrastructure at a specific location within the designated counties. According to TCEQ guidelines, “Projects that are open to the public will be considered for funding before private facilities.”
Applications will be accepted until 5:00 p.m. CST on January 20, 2026. Detailed eligibility criteria and application materials can be found on the AFFP webpage.
For more information about this opportunity or other programs under the Texas Emissions Reduction Plan (TERP), interested parties can contact TCEQ’s TERP team by phone at 800-919-TERP (8377) or by email at terp@tceq.texas.gov.
Those wishing to stay informed about updates regarding TERP programs are encouraged by TCEQ to join their email list.
