Texas Commission on Environmental Quality Announces Opening of the Seaport and Rail Yard Areas Emissions Reduction Program

AUSTIN, TX - The Texas Commission on Environmental Quality (TCEQ) is now accepting applications under the Texas Emissions Reduction Plan (TERP) Seaport and Rail Yard Areas Emissions Reduction Program (SPRY) with $24 million in funding available to help reduce nitrogen oxides (NO_X) emissions at seaports and rail yards located in the air quality non-attainment areas of Texas.

Applicants may be eligible for up to 80% of the cost to replace or repower eligible drayage trucks and cargo handling equipment. Funding will be awarded on a first-come, first-served basis.

Eligible Applicants

Individuals, corporations, organizations, governments or governmental subdivisions or agencies, business trusts, partnerships, associations, or any other legal entities authorized to conduct business in Texas.

Eligible Projects

The replacement or repower of drayage trucks and cargo handling equipment including:

• a heavy-duty on-road vehicle with a gross vehicle weight rating (GVWR) over 26,000 pounds
• a non-road terminal tractor (i.e., yard truck)
• other cargo handling equipment.

The drayage truck or cargo handling equipment being replaced or repowered must have been owned (or leased for replacement projects only) and operated by the applicant in one or more of the eligible seaports or rail yards for a minimum of 200 days per year for the preceding two years.

Application Process

Applications must be submitted online through TCEQ's TERP SUNSS system. Detailed eligibility requirements, program guidelines, and application instructions are available on the SPRY Program webpage.

Applications will be accepted until 5:00 p.m. Central Time on March 12, 2027, or until all available funding has been awarded.

About TERP

TCEQ implements the TERP programs to reduce NO_X emissions, a precursor to ozone pollution, by providing financial incentives to persons or entities to upgrade or replace their older, higher emitting vehicles and equipment with newer, cleaner models.

For additional information, contact the TERP team toll-free at 800-919-TERP (8377), by email at [email protected], or visit www.terpgrants.org .