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Industrial and Process Efficiency Program for Manufacturers

Energy efficiency and productivity improvements are proven investments for manufacturers. They decrease costs, improve product quality, reduce energy pricing risks, engage employees, and demonstrate responsible business practices.

Getting Started

The Industrial and Process Efficiency (IPE) program team will work with you to identify projects, visit your site, meet with your team, and assist with the application process. Contact us to begin working with the IPE Team and to submit your application:

More Program Information and Project Types

Working with NYSERDA helps manufacturers in all industries reduce costs, including plastics and packaging, chemicals, petrochemicals, metals, paper and pulp, transportation, biotechnology, pharmaceutical, food and beverage, mining and mineral processing, general manufacturing, and equipment manufacturers.

Process Efficiency

Process efficiency projects improve or replace an existing process and result in a gross reduction of energy use, or a net reduction of energy use per unit of production. Projects may involve:

  • Industrial process improvements or new installations 
  • Capacity additions that improve the energy use per unit processed 
  • Quality improvement 
  • Waste and scrap reduction 
  • Throughput increase 

Energy Efficiency

Energy efficiency projects reduce on-site consumption of energy in new or existing facilities. Projects may involve:

  • Energy recovery from an industrial process 
  • Space conditioning improvements related to process only 
  • Pumping system improvements 
  • Compressed air efficiency 
  • Fluid and support system improvements

Operations & Maintenance

Operations and Maintenance projects verifiably save energy annually because of upgrades or initiatives to improve operations. Projects may involve:

  • Compressed air system leak management 
  • Replacement of leaking steam traps 
  • Installation of cogged styles fan belts 
  • Burner tune-up


NYSERDA’s performance-based incentives are calculated from the total annual kilowatt-hour (kWh) savings that result from implementing energy efficiency measures. NYSERDA determines incentives by multiplying the annual energy savings by the rates shown. Ongoing cost reductions and productivity improvements resulting from the project continue for the life of the equipment.

Incentive Type Utility Upstate Downstate
Process and energy efficiency Electric $0.10/kWh $0.16/kWh
Fossil fuel $6/MMBtu
Operational & maintenance (O&M) Electric $0.04/kWh
Fossil fuel $3/MMBtu
 Minimum incentive All projects $25,000
Maximum incentive All projects 50% project cost;
$2 million/company
Electric $1 million/project
Fossil fuel $500,000/project

Related Programs

NYSERDA also assists manufacturers through the following program:

  • Flexible Technical Assistance
    Get objective, site-specific targeted technical assistance and analysis to inform how best to implement clean energy or energy efficiency technologies and lower energy costs. NYSERDA will share the costs of FlexTech with eligible companies.