Illinois Municipal Electric Agency - Electric Efficiency Program

August 04, 2025

Summary

The IMEA Electric Efficiency Program provides incentives for electricity-saving projects in commercial, industrial, and public-sector facilities served by IMEA member municipal electric systems. Projects must receive pre-approval before starting, including a Notice to Proceed and, in some cases, a pre-inspection. Applications are reviewed by both IMEA and the local municipality, which can set additional rules or funding limits. Funding is limited and allocated annually starting in May, so early application is encouraged. Incentives can cover up to 75% of project costs, and final documentation must be submitted within 45 days of project completion. Eligible measures include lighting, compressors, VSDs, and custom projects, while equipment repairs and fuel switching are not eligible. All applications must be complete, submitted as a single PDF, and approved before work begins.

Program Overview

Implementing Sector:	Utility
Category:	Financial Incentive
State:	Illinois
Incentive Type:	Rebate Program
Web Site:	https://www.imea.org/Electric%20Efficiency%20Program.html
Administrator:	Illinois Municipal Electric Agency
Start Date:
Eligible Renewable/Other Technologies:	Daylighting Refrigerators/Freezers Equipment Insulation Lighting Lighting Controls/Sensors Chillers Heat pumps Air conditioners Compressed air Energy Mgmt. Systems/Building Controls Building Insulation Motors Motor VFDs Comprehensive Measures/Whole Building Custom/Others pending approval Other EE Geothermal Direct-Use
Incentive Amount:	Lighting: Varies widely, see here Compressed Air Air Compressors (Under 200 HP): $125/HP Compressed Air Nozzles: $20/nozzle Refrigeration Measures FY 2025-26 pre-application still in preparation Variable Speed Drives VSDs for HVAC Supply and Return Fans: $200/HP VSDs for HVAC Pumps and Cooling Fans: $200/HP Custom Incentive: $0.08/annual kWh savings
Maximum Incentive:	General: 75% of project cost
Eligible System Size:	Varies by technology
Equipment Requirements:	Varies by technology and system capacity
Installation Requirements:	Varies by technology

Incentives

This program has 3 incentives

Technologies:	Compressed air
Sectors:	Commercial, Industrial
Parameters:	The incentive is 125.00 $/horsepower

Technologies:	Motor VFDs
Sectors:	Commercial, Industrial
Parameters:	The incentive is 200.00 $/horsepower

Technologies:	Custom/Others pending approval
Sectors:	Commercial, Industrial
Parameters:	The incentive is 0.08 $/kWh

Contact

Name:	Rodd Whelpley
Organization:	Illinois Municipal Electric Agency
Address:	IL
Phone:	(217) 789-4632
Email:	rwhelpley@imea.org

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.