Small Pellet Boiler

Incentives are available for the installation of qualified high-efficiency, low-emission pellet boiler heating systems with thermal storage for residential and small commercial applications (less than 300,000 Btu/h).


Incentives are 45% of installed costs based on system size:

Boiler Size (kW) Boiler size (Btu/hr) Maximum Incentive
35 120,000 $16,000
88 300,000 $36,000

An additional $5,000 for documented recycling (removal and destruction) of old outdoor or indoor wood boiler, or $2,500 for recycling a whole house wood furnace is also available.

Incentives are available on a first-come, first-served basis, and will only be reserved for customers once an application has been approved by NYSERDA. Incentives are paid upon approval of the Incentive Application directly to the Installer and passed on in the full amount to the customer. Incentives will not be provided directly to customers purchasing or installing the new system. Incentives are only available for new equipment and systems that have not been installed (partially or completely) prior to NYSERDA approval of a Project Application.

You may qualify for a Green Jobs - Green New York Smart Energy Loan to help pay for eligible project costs.

Further detail regarding program rules can be found in the Program Manual [PDF]. The boiler must be a qualified technology

How to Apply

  • Contact a qualified installer [PDF]
  • The installer will prepare and submit necessary paperwork

Questions to ask the Eligible Installer

  • How many hydronic heating systems have you installed? How many projects similar to my proposed project have you completed in the last year?
  • What is the estimated price range for an eligible biomass boiler and thermal storage system when installed with my existing hydronic distribution system?
  • Will my project require a building permit? If yes, will you be responsible for obtaining the permit? (You may want to choose a contractor familiar with the permitting process in your county, city, or town.)
  • Will my system need to be approved by the local code official?
  • What other approvals are required in my municipality?
  • May I have a list of references? (Participating Installers/Contractors have provided NYSERDA with customer references including names, addresses, and phone numbers. Ask each client how long ago the project was and whether it was completed on time. Was the client satisfied? Were there any unexpected costs? Did workers show up on time and clean up after finishing the job?)
  • What types of insurance do you carry (Participating Installers/Contractors must have general liability and worker’s compensation insurance)?