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Heat Recovery Project Development


NYSERDA’s Heat Recovery Program is focused on energizing the New York marketplace for heat recovery solutions as an economical approach to decarbonization for a broad swath of existing buildings. The program provides cost-sharing support for project assessment and design development to integrate heat recovery energy conservation measures within existing building retrofit and decarbonization plans.

By developing a robust pipeline of heat recovery retrofits, the program aims to accelerate confidence in heat recovery as a promising approach to decarbonization and to increase the number of building retrofit projects incorporating heat recovery energy conservation measures.

How It Works

Category 1: Heat Recovery Opportunity Assessments

The Heat Recovery Opportunity Assessment Category provides cost-share support for consultants to assess a property’s heat recovery opportunity by quantifying the heat that is currently rejected and analyzing its potential to be repurposed. Assessments are meant to inform the building owner’s decision on whether to move forward with Heat Recovery Project Design.

See sample Energy Flow Diagrams [PDF]

Applicants can receive funding for up to 75% of total project cost capped at $40,000 to create and deliver opportunity assessments.

Category 2: Heat Recovery Project Design

The Heat Recovery Project Design Category provides cost-share support for consultants to develop an implementation-ready, technically, and economically viable design to implement a heat recovery system in an existing property. Project designs should have the potential to significantly improve the heat recovery performance of existing buildings.

View examples of eligible heat recovery design concepts [PDF].

Applicants can receive funding for up to 75% of total project cost, capped at $80,000 to create and deliver designs for an existing property.

Additional Information:

Who Can Apply

To qualify for the Heat Recovery Program, project teams must include an eligible consultant and a customer representing an eligible building. Either party may apply.

  • Consultants are engineering or sustainability consultants with demonstrated experience and expertise in clean energy services delivery to commercial, industrial and/or multifamily customers in New York State.
  • Buildings must be located in New York State, served by a New York State Investor-Owned Electric Utility, and pay System Benefits Charges (SBC).
  • An existing property of any size that falls under the classification of multifamily, commercial, industrial, and/or institutional buildings is eligible. New constructions are not eligible for this program.
  • Affordable multifamily housing projects may qualify for additional cost-share. Review the Affordable Multifamily Buildings Guidelines [PDF] for the definition of affordable housing and acceptable forms of affordability verification.

How to Apply

View the Program Opportunity Notice (PON 5547) Link opens in new window - close new window to return to this page. for full eligibility, application, consultant, and deliverable requirements.

Completed application packages may be submitted to the to Heat Recovery Program Application Portal Link opens in new window - close new window to return to this page. through November 17, 2025, or until funds are fully committed.


Email program questions to [email protected].


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