Railroad Commission Announces New $6 Million Alternative Fuels Grant Program


AUSTIN-- The Railroad Commission of Texas—the state’s top energy agency—has a new $6 million grant program to help companies replace their older forklifts and medium- and heavy-duty diesel vehicles with ultra, low-emission natural gas- and propane–fueled equipment. The grant program, which will produce significant air-quality benefits, is funded by the Texas Emissions Reduction Plan (TERP) through the Texas Commission on Environmental Quality.

Since 2005, the Railroad Commission has awarded $39.5 million in grants to Texas companies and school districts and reduced emissions of smog-forming nitrogen oxides (NOx) by nearly 5,000 tons.

“We’re pleased to help operators use Texas-produced alternative fuels to save money and help continue to clean up Texas air,” said Chairman Barry T. Smitherman. “Our program works for large and small operators in eligible counties, whether they have a single piece of warehouse equipment or an entire fleet of heavy-duty trucks.”

Commissioner David Porter said, “The grants provide an incentive to replace older forklifts and medium- or heavy-duty equipment and also help offset initial capital costs of new natural gas- or propane-fueled equipment for operators who retire their older gasoline or diesel vehicles by sending them to the scrapyard.”

Commissioner Christi Craddick said, “As natural gas and propane costs about half of diesel, this grant program can help Texas companies cut their fuel costs. In addition, the new natural gas and propane vehicles and forklifts will lower smog-forming NOx emissions by more than 600 tons over the vehicles’ useful lives.”

To be eligible for the grants, new equipment must meet the latest emissions standards and operate in one of the 43 counties designated by the Texas Commission on Environmental Quality as having substandard air quality. The grant amount averages $9,500.

For more information, visit www.altenergy.rrc.texas.gov or contact the Railroad Commission’s Alternative Energy Division at 512-463-6933.

About the Railroad Commission

Established in 1891, the Railroad Commission of Texas is the oldest regulatory agency in the state. The Commission has a long and proud history of service to both Texas and to the nation, including more than 90 years regulating the oil and gas industry. Additionally, the Commission promotes research and education on the use of alternative fuels and has jurisdiction over gas utility, surface mining and pipeline industries. Our mission is to serve Texas by our stewardship of natural resources and the environment, our concern for personal and community safety, and our support of enhanced development and economic vitality for the benefit of Texans. To learn more, please visit http://www.rrc.texas.gov/