Tesla Model Y, Model 3, and Model S are now eligible for the $2,500 Texas EV grant (TERP)

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Texas Commission on Environmental Quality (TCEQ) has finally added Tesla Model Y, Model 3, and Model S vehicles to the list of eligible vehicles for the grant of $2,500 through the Texas Emissions Reduction Plan (TERP).

The TERP grant eligibility is based on various criteria. However, the basic requirement is that the vehicle’s gross vehicle weight rating (GVWR) should be 10,000 pounds or less. TCEQ also released the list of all the eligible vehicles that fall under the Light-Duty Motor Vehicle Purchase or Lease Incentive Program (LDPLIP).

Besides plug-in electric vehicles, light-duty vehicles running on CNG and LPG are also eligible for the grant. Actually, the grant amount for CNG and LPG vehicles is double what is set for EVs i.e. $5,000 vs. $2,500.

Tesla Model Y Accessories by EVANNEX (Sponsored Banner).
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TCEQ outlined the eligibility criteria in its press release document as follows (complete PDF below):

To be eligible for a grant under the LDPLIP, a new light-duty motor vehicle must meet the eligibility standards in Texas Health and Safety Code Chapter 386 and 30 Texas Administrative Code Chapter 114, and must be included on the TCEQ LDPLIP Eligible Vehicle List. The main vehicle eligibility criteria are outlined below.

A new light-duty motor vehicle is eligible if it has a gross vehicle weight rating (GVWR) of 10,000 pounds or less and is powered by CNG, LPG, or hydrogen fuel cell or other electric drive (plug-in or plug-in hybrid). Additionally, vehicles classified by the EPA as a “Medium-Duty Passenger Vehicle” or a “Class 2b Heavy-Duty Vehicle” with a GVWR up to and including 10,000 pounds and operating on an eligible fuel are included in this definition.

Source: Texas Commission on Environmental Quality (TCEQ) portal.

As we reported earlier in June, all the Tesla Model 3 and Model Y variants qualify for the $7,500 tax credit. Adding it with the $2,500 TERP grant, residents of Texas can now get a massive discount of $10,000 on a Model Y or Model 3.

Tesla customers can now get a base Model 3 for as low as $28,990 after the Federal Tax Credit combined with the TCEQ TERP grant.

TERP has listed all of the currently available variants of the Tesla Model 3 and Y as eligible for the Texas EV grant. However, only the base Tesla Model S qualifies for the TERP grant and Model S Plaid does not qualify.

Here’s the list of Tesla vehicles that qualify for the TERP grant (complete list of the vehicles in PDF below):

MakeModelYearTypeStandard GVWR
TeslaModel 3 RWD2023Electric Drive Plug-In4541 lbs
TeslaModel Y RWD2023Electric Drive Plug-In5302 lbs
TeslaModel 3 LR AWD
Model 3 AWD Performance
2023Electric Drive Plug-In5072 lbs
TeslaModel Y AWD
Model Y LR AWD
Model Y AWD Performance
2023Electric Drive Plug-In5712 lbs
TeslaModel S2023Electric Drive Plug-In5452 lbs
Table: List of qualifying Tesla vehicles for the $2,500 Texas EV grant (TERP).
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The Federal EV Tax Credit will be halved to $3,750 after 31st December 2023 for Model 3 and Model Y. So, the time left before year-end is a good opportunity to buy one of these vehicles to enjoy the lowest prices.

In its Q3 2023 report, Tesla created a map of the United States showing how much a Tesla Model Y crossover electric SUV costs in various states. The lowest starting price of a Tesla Model Y was found to be in Colorado after Federal and state-level subsidies. A Tesla Model Y starts in Colorado at $31,490.

After making it to the list of eligible vehicles for the Texas TCEQ TERP grant, a Tesa Model Y starts at $33,990 in the state (after a total of $10,000 in Federal and Texas rebates).

Infographic: The United States map showing minimum starting price of a Tesla Model Y in various states after Federal and local tax rebates, subsidies, and grants.
Infographic: The United States map showing minimum starting price of a Tesla Model Y in various states after Federal and local tax rebates, subsidies, and grants. Credit: Courtesy of Tesla, Inc.
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Eligible Vehicle List of Light-Duty Motor Vehicle Purchase or Lease Incentive Program (LDPLIP) by the Texas Commission on Environmental Quality (TCEQ) for the Texas Emissions Reduction Plan (TERP) grant.

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Iqtidar Ali
Iqtidar Alihttp://www.teslaoracle.com
Iqtidar has been writing about Tesla, Elon Musk, and EVs for more than 3 years on XAutoWorld.com, many of his articles have been republished on CleanTechnica and InsideEVs, maintains a healthy relationship with the Tesla community across the Social Media sphere. You can reach him on Twitter @IqtidarAlii

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