October 29, 2025. The Texas Commission on Environmental Quality on Oct. 23 announced the availability of $12 million to support the development of alternative fueling facilities to supply compressed natural gas (CNG), liquefied natural gas (LNG), hydrogen, biodiesel blends of B20 or greater, propane, electricity or methanol blends of 85% or greater.
The funding is being offered under the Texas Emissions Reduction Plan’s Alternative Fueling Facilities Program and aims to encourage the construction and reconstruction of eligible alternative fueling facilities within the 88 counties that make up the Clean Transportation Zone.
The program offers grants of up to $400,000 for CNG or LNG projects. Grants of to $600,000 are available for combined CNG and LNG projects. Up to $600,000 or 50% or eligible project costs, whichever is less, are available for eligible fuels other than natural gas.
Eligible projects must include the construction or reconstruction of an alternative fueling facility. Reconstruction is defined as the expansion of a site to provide a new and different alternative fuel that does not exist at the site. Projects that are open to the public will be considered for funding before private facilities.
Applications can be submitted through Jan. 20, 2026. Additional information is available on the Texas Commission on Environmental Quality website.