Commercial Electrification Incentives

NYS has committed to net-zero emissions economy-wide by 2050, with incentives and programs to encourage building and fleet electrification. But those programs won’t last forever!

State, federal, and local incentives are constantly changing and dependent on the building and organization type. Fortunately, you don’t need to navigate these programs by yourself. A local, not-for-profit energy advisor will gladly help you identify which incentives can work for you.

Ready to get started?

Want to learn more? Keep reading below.

BUILDING INCENTIVES

  • Program providing rebates for commercial customers who replace their existing furnace, boiler or water heater with eligible heat pump equipment.

    Type: Rebate

    Details: Up to $1500 rebates for qualifying projects.

    Eligibility: Natural gas and electricity customers who install qualifying equipment by our participating contractors

    Learn More: NYS Clean Heat Rebate Program

  • To promote affordable housing construction and streamline access to financial and technical assistance, HCR, has partnered with NYSERDA to incorporate clean energy incentives and technical support for highly-efficient, all-electric new construction/adaptive reuse and existing building renovations.

    Details: Up to $12,500/unit in clean energy funding will be made available for select projects

    Eligibility: Project applying for and receiving either 9% LIHTC, CIF, or 4% Bond financing

    Learn more here

  • The Inflation Reduction Act (IRA)’s Energy Efficient Home Improvement Credit – Section 25C – provides up to $2,000 annually in tax credits to lower the cost of a qualified heat pump installation by up to 30 percent.

    Type: Tax Credit

    Notes: Many heat pumps will qualify for both the NYS Clean Heat rebates and the IRA’s 25C tax credit. To determine the 25C tax credit’s maximum value, the household would report the amount paid or incurred during the taxable year; i.e. the installation cost after the incentive has been applied.

    Learn More here

  • Program providing rebates for commercial customers who perform energy efficiency upgrades to their facilities and/or equipment (Heat Pumps are excluded).

    Type: Rebate

    Details: Rebate limits are 50% Project Cost for Early Replacement and 90% Incremental Cost for End of Life/New Construction.

    Notes: Eligible projects include retrofits, add-ons, major renovations, and new construction

    Learn More: RG&E Commercial & Industrial Rebate Program

  • NYSEG offers no-cost energy assessments and low to no cost equipment upgrades in apartment and condominium complexes.

    Details: Incentives for air sealing and insulation for electric and heat heated buildings based on energy savings.

    Note: Eligible to property owners/Managers of Multifamily buildings with 5+ units and an active NYSEG electricity and/or natural gas service.

    Learn More here

  • The FlexTech program shares the cost to produce a site-specific energy study on how best to implement clean energy and/or energy efficiency technologies for Commercial, industrial, and multifamily buildings.

    Details: For select technical services, up to $500,000 is available for Commercial, Industrial, or Multifamily customers. The cost share is determined as a % with a cap, and full details can be found here.

    Learn more here

  • C-PACE provides low-cost, long-term, fixed-rate capital for energy efficiency upgrades and renewable on-site energy generation for retrofits and new construction.

    Details: Financing is available for up to 100% of the project cost, or can be combined with other financing. Eligible technologies include Ground Source and Air Source heat pumps.

    Learn More: Check out these resources from the County or speak with someone at Possible Rochester (a local 501(c)(3) focused on connecting businesses to financing for clean energy projects).

EV INCENTIVES

  • This federal program provides a tax credit when you purchase a Qualified Plug-in Electric Vehicle (PEV) including passenger vehicles and light trucks.

    Type: Tax Credit

    Details: $2,500 - $7,500

    Note: Once a manufacturer has sold 200,000 qualified PEVs, the tax credit is no longer available for that manufacturer. Tesla and GM were the first two auto makers to phase out.

    Learn more: Tax Credit Overview

  • The Charge NY initiative offers electric car buyers the Drive Clean Rebate of up to $2,000 for new car purchases or leases. Can be combined with the federal tax credit.

    Type: Rebate

    Details: $500 to $2000

    Learn more here

  • Voucher incentives for the purchase of alternative fuel trucks and buses and verified diesel emission control (VDEC) technologies. This program is intended to facilitate fleet purchases of new zero-emission trucks and buses by reducing the upfront prices of these vehicles.

    Type: Voucher

    Details: Voucher amounts are based on a % of the incremental cost of the vehicle (difference in cost between the zero-emission vehicle and a comparable diesel vehicle), up to a per-vehicle cap. Voucher caps start at $100,000 for most technologies.

    Note: As of January 31, 2024, NYTVIP no longer funds school buses. Funding for zero emission school buses and charging equipment is now awarded separately, through the New York School Bus Incentive Program.

    As of March 3, 2024, the incentive period for Cargo Handling Equipment (CHE) has closed and no new applications will be accepted.

    Learn more here and see IRS Details

  • Medium- and heavy-duty vehicle operators in New York State looking to install charging stations to electrify their fleets may be eligible for charging infrastructure funding from their utility through the Medium- and Heavy-Duty Make Ready Pilot. To qualify, fleets must be approved for participation in either the New York Truck Voucher Incentive Program or the New York City Clean Trucks Program.

    Type: Voucher

    Details: Under the Pilot, utilities can provide incentives of up to 90% of utility-side infrastructure costs to mitigate the cost of developing EV charging capacity.

    Note: Each participating utility will accept applications until December 31, 2025, or until available incentive funding has been fully allocated, whichever comes first.

    Learn more about Fleet Assessment Services, the Medium and Heavy Duty EV Program, and other programs here.

  • The Collaborative leverages collective buying power to competitively bid EVs and charging infrastructure. Includes light, medium, and heavy-duty EVs, electric school buses, and charging station infrastructure.

    Learn more here

CHARGING STATION INCENTIVES

  • Type: Rebate

    Details:

    $4,000 per charging port installed at a public facility (must be located within a disadvantaged community)

    $2,000 per charging port installed at a workplace or multi-unit dwelling location.

    Eligibility: Public, private and not-for-profit organizations that install Level 2 EV charging stations at workplaces, multi-unit dwellings (MUD’s) or public facilities.

    Learn more: Charge Ready 2.0 Program Overview

  • Nonrefundable income tax credits for investments in alternative fuels and electric vehicle recharging stations.

    Type: Tax Credit

    Details: Up to $5,000

    Learn more here

  • The goal of the EV Make-Ready Program is to support the development of electric infrastructure and equipment by reducing the upfront costs of building charging stations for EVs. The Make-Ready program applies to “everything up to the charging station” and can be combined with other incentives. The program focuses on the installation of Level 2 or DC chargers, and has specific funding to benefit “disadvantaged communities.”

    Type: Rebate

    Details: 50%, 90%, or 100% of utility-side and costumer-side infrastructure.

    Learn more here and see RG&E Program Details

  • Through the federal Infrastructure Investment and Jobs Act, New York will receive approximately $175 million in funding over five years to deploy fast chargers along designated electric vehicle corridors, including many of the State’s most-traveled interstate and State highways.

    Learn more here.

  • The Department of Environmental Conservation provides rebates and grants to support cities, towns, villages, and counties acquire ZEVs for their fleets and install public charging infrastructure. Municipalities can access ZEV Vehicle Rebates to purchase or lease (for at least 36 months) new battery-electric, plug-in hybrid, or hydrogen fuel cell vehicles. Meanwhile, ZEV Infrastructure Grants provide funding to install hydrogen fuel filling stations and Level 2 and DCFC charging stations for public use.

    Learn more here.

  • Businesses and employers can receive an income tax credit of up to $5,000 for the purchase and installation of an electric vehicle charging station through the end of 2025.

    Learn more here.

The opportunities are endless - use these resourcess to find yours.

Tools & Links

Calculators

U.S. Dept. of Energy Argonne National Lab AFLEET Tool

U.S. Dept. of Energy Alternative Fuel Vehicle Data Center (EVs)

RGE EV Savings Calculator