Electric Efficiency Performance-Based Incentives for Existing Facilities Program

These incentives are offered for cost-effective energy efficiency projects to an applicant that delivers verifiable annual electric energy savings. Please note that all projects must include at least two measure categories as defined below, and no measure category may account for more than 75% of the anticipated kWh savings.

Eligible measure categories include, but are not limited to:

  • Lighting and Lighting Controls
  • HVAC and HVAC Controls (including Chillers)
  • Motors and Variable Frequency Drives (VFD)
  • Monitoring-Based Commissioning 
  • Building Envelope Improvements
  • Energy Management Advanced Controls Systems (EMS) 
  • Elevators


Tier Description Incentive Rate
1 The electric efficiency improvements cause annual kWh reductions less than or equal to 30% of current annual usage. $0.10/kWh
2 The electric efficiency improvements cause annual kWh reductions greater than 30% but less than or equal to 50% of current annual usage. $0.12/kWh
3 The electric efficiency improvements cause annual kWh reductions greater than 50% of current annual usage. $0.15/kWh

Incentive Cap

While incentives are based upon the amount of electrical energy saved in one year, the total incentive cannot exceed 50% of the project cost. project cost may include equipment, labor, and engineering expenses. Incentives are also capped at the lesser of a one (1) year simple payback or $500,000.

Minimum Project Size

Unless otherwise approved by NYSERDA, Performance-Based projects must save at least 250,000 kWh annually. Smaller projects should consider Pre-Qualified incentives.


Visit the general EFP eligibility page for an overview. In addition, all equipment covered by ENERGY STAR® must meet the ENERGY STAR minimum efficiencies. All other equipment must meet the following criteria:


  • All lighting projects require the Existing Facilities Program Lighting Form
  • Installation of T12 and T8 fluorescent lighting technology is ineligible for funding
  • Installation of Compact Fluorescent Lighting (CFL) technology is ineligible for funding
  • Re-lamping projects are ineligible for funding. Re-lamping is defined as the replacement of only the removable lamp(s) in a light fixture.
  • De-lamping / lamp removal may contribute to no greater than 20% of the total energy savings
  • Applicants implementing Solid State Lighting (SSL) projects should review the most recent EFP SSL (LED) policy [PDF] for eligibility


All motors must qualify as National Electric Manufacturers Association (NEMA) Premium Efficiency Motors.


All HVAC equipment must exceed ASHRAE 90.1 2007 by at least 2% or the Pre-Qualified program's standards as listed on the HVAC Incentive Worksheet, whichever is more stringent.


Performance-Based incentives are offered for cost-effective energy efficiency projects that deliver verifiable annual energy savings resulting from the installation of information gathering technologies that provide critical data to monitor and alter building operations. Additionally, NYSERDA seeks to promote clear communication of energy usage to the occupants of commercial and institutional spaces, thereby facilitating a coordinated means to reduce consumption and lower costs.

MBCx incentive payments are intended to cover the materials and engineering costs associated with upgrading energy data collection hardware and the cost of energy management services needed to achieve energy savings.

Persistence – MBCx incentives are offered for upgrades and initiatives that generate energy savings based upon improved operation. Eligible savings must be quantified by an Engineering Analysis and a commissioning plan designed to ensure the persistent realization of energy efficiency based upon operational changes for a period of at least five years.

Persistence must be demonstrated through externally contracted monitoring services or scheduled in-house staff training. Documentation of persistence may include invoices, scopes of services, and training materials. incentive applications missing, in whole or in part, an initial scope targeting the monitoring, isolation and assurance of claimed energy savings may be rejected at NYSERDA’s sole discretion.

All projects that include MBCx as a measure category must provide, to NYSERDA, ongoing access to the project’s energy data. The Applicant must perform M&V for a period up to two years. MBCx projects will be subject to a 40% withholding of the total incentive, which is payable to the Applicant after NYSERDA receives and approves the final M&V report

Ineligible activities include, but are not limited to, occupant behavior-based initiatives such as turning off lighting or closing blinds to reduce internal heat gain and operational improvements without continuous enhanced monitoring capability.

Custom Projects

Applicants considering projects other than the measure categories listed above should contact NYSERDA to discuss eligibility.

Ineligible Projects

  • Ineligible projects include Power Quality, Power Factor improvements, and Fuel Switching
  • Projects with simple payback periods greater than 18 years (excluding NYSERDA incentives) are ineligible

Measurement and Verification (M&V)

All lighting projects saving more than 1,000,000 kWh annually and all other projects saving more than 500,000 kWh annually must perform (M&V) for a period up to one year. The applicant must create an M&V Plan in collaboration with NYSERDA’s Technical Consultant. projects requiring M&V will be subject to a 40% withholding of the total incentive, which is payable after NYSERDA receives and approves the final M&V report. At NYSERDA’s discretion, M&V may be required for projects with less than 500,000 kWh in annual savings. Final incentive levels may be adjusted based on the M&V results. Projects failing to perform to M&V savings estimates may be required to reimburse NYSERDA for any over payment.