Existing Facilities Performance Based Incentive Program

December 21, 2021


NOTE: Beginning September 21, 2015, NYSERDA is modifying the incentives available through the Existing Facilities Program for the rest of the program year 2015. The changes include i) eliminating the prescriptive incentives and ii) transition of performance based incentive from fixed incentive per kWh saved by geographic region by tiered incentive based on level of kWh saved. For more information, please see the notification filed by NYSERDA to the Department of Public Service.  

The NYSERDA Existing Facilities program merges the former Peak Load Reduction and Enhanced Commercial and Industrial Performance programs. The new program offers a broad array of different incentives to electricity and natural gas customers within the state that pay the System Benefits Charge (SBC). Energy service companies (ESCOs) that implement efficiency measures for eligible customers are likewise eligible. Both pre-qualified equipment rebates and performance based rebates are offered under this program. This summary is provided for performance-based incentive for the program, please visit Existing Building rebate program site for summary on rebate component of the program.

Projects with a simple payback greater than 18 years, or less than 1 year (or 6 months for manufacturing and data center projects) are not eligible for incentives.

Performance-based Incentives

This category of incentives is generally oriented towards large improvement projects. Performance incentives are available for electric efficiency, natural gas efficiency, energy storage, demand response, monitoring-based commissioning, and industrial and process efficiency (Industrial and Process Efficiency Program details). 

Performance based incentives are awarded as one-time payment based on expected first year savings offered by the particular improvement. Beginning September 2015, the incentives are offered as in a tiered approach modifying the previous incentive calculation based on different incentives based on geographic region. Under the new approach, the incentives are calculated by determining total percentage of energy savings and multiplying that by the incentive rate for that tier. Summary of incentives is provided in the table below:

Tier Description Incentive Rate
1 Electric efficiency improvements cause
annual kwh reduction less than or equal
to 30% of current annual usage
2 Electric efficiency improvements cause
annual kwh reduction greater than 30%
but less than or equal to 50% of current
annual usage
3 Electric efficiency improvement cause
annual kwh reductions greater than
50% of the current annual usage.
Natural Gas Incentive
National Fuel Gas customer only
$15/MMBtu saved annually

Incentives are capped at maximum of 50% of the project cost or $500,000 for electric and $60,000 for gas projects per account. Energy efficiency incentives are offered to offset capital cost of energy efficiency projects that reduce electric consumption at eligible facilities. Natural gas incentive are offered to offset cost of projects that reduce natural gas consumption at eligible projects.

The general deadline for applications under this program is December 31, 2015, or until program funding is exhausted. Please consult the program website for additional rules and application information or see Program Opportunity Notice (PON) 1219 for additional program contacts.

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: New York
Incentive Type: Performance-Based Incentive
Web Site: http://www.nyserda.ny.gov/All-Programs/Programs/Existing-Facilities-Program
Administrator: New York State Energy Research and Development Authority
Start Date:
Eligible Renewable/Other Technologies:
  • Clothes Washers
  • Equipment Insulation
  • Lighting
  • Lighting Controls/Sensors
  • Chillers
  • Furnaces
  • Boilers
  • Heat pumps
  • Air conditioners
  • Steam-system upgrades
  • Programmable Thermostats
  • Energy Mgmt. Systems/Building Controls
  • Motors
  • Motor VFDs
  • Processing and Manufacturing Equipment
  • Comprehensive Measures/Whole Building
  • Custom/Others pending approval
  • Other EE
  • Food Service Equipment
  • Data Center Equipment
  • Commercial Refrigeration Equipment
Incentive Amount: Minimum award size $30,000
Varies based on location and incentive category
Maximum Incentive: Up to 50% of the project cost or,
$500,000 (electric), $60,000 (gas) per account
Equipment Requirements: Varies by measure
Ownership of Renewable Energy Credits: NYSERDA


This program has 1 incentives
Sectors: Commercial, Industrial, Installers/Contractors
Parameters: The incentive has a maximum of 30000.00 $/Unit, The incentive has a minimum of $1000000.00


Name: Eric Mazzone
Organization: New York State Energy Research and Developmen
Address: 17 Columbia Circle
Albany NY 12203-6399
Phone: (866) 697-3732
Email: efm@nyserda.ny.gov

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.