American Power Group, Inc. (APG) has received notice from the Texas Commission on Environmental Quality (TECQ) that its dual-fuel conversion applications for eligibility under the Emission Reduction Incentive Grants (ERIG) Program in the State of Texas have been accepted for an additional 66 EPA approved Class 8 APG dual fuel engine families.
In November 2014, TECQ issued notice of approval for an initial listing of 400+ APG engine families. That means more than 470 of APG’s EPA approved dual-fuel engine families now eligible for grants.
The TECQ administers the ERIG Program under the Texas Emissions Reduction Plan (TERP) to provide grant funding for projects in certain eligible areas of Texas to reduce emissions of nitrogen oxides (NOx) through the replacement, repower or retrofit of heavy-duty vehicles and equipment. Legislation addresses NOx reduction eligibility standards for projects to convert heavy-duty on-road diesel engines to operate under dual fuel configurations that use natural gas and diesel fuel.
American Power Group applied for ERIG eligibility based on the prerequisite Environmental Protection Agency’s (EPA) approval of APG’s dual fuel conversion systems as listed on the EPA website. Fleet and equipment owners can apply for these grants based on eligible emission reduction engine technologies. The grant recipient may be eligible for reimbursement of the incremental cost of the purchase and installation of the retrofit and/or add-on technology. The grant amounts are variable and may range from several thousand dollars up to $15,000 based on the total tonnage of estimated NOx reduction over the required life of the vehicle.
Lyle Jensen, American Power Group’s CEO stated, “We are pleased to have our second set of dual fuel engine family applications approved for ERIG eligibility, especially the 18 late-model Class 8 selective catalyst reduction (SCR) engine families for Volvo D13, Mack MP8, Detroit Diesel DD13, and Detroit Diesel DD15. Customer approvals for dual fuel conversion grants from the latest application deadline are expected to be announced this summer.”
Award of an average APG dual-fuel grant is projected to reduce the investment payback period by ten to fifteen months.