Incentives for Combined Heat and Power systems expand
Aegis Energy, EDF Group, LLC, helps clients defray capital costs through incentive programs
For a facilities manager or building owner, looking to reduce energy costs and/or comply with environmental mandates, it helps to know that support is available. Both federal and state governments have recognized the proven benefits of Combined Heat and Power (CHP) and are actively offering financial incentives to install these high-efficiency systems.
Aegis Energy, EDF Group, LLC has a proven track record of securing millions of dollars of financial incentives for its clients. Aegis Energy, EDF Group, is an industry leader in alternative energy solutions, offering Combined Heat and Power systems that deliver two forms of energy, heat and electricity, from a single fuel source (natural gas). The high-efficiency CHP systems significantly reduce energy costs and harmful emissions, as recognized by the EPA.
As states adopt clean energy portfolio standards for renewable energy generation and clean energy technologies, the financial incentives to support the transition to these efficient alternatives continue to grow. Aegis Energy maintains a database of these opportunities and has an experienced team dedicated to assisting customers secure these funds.
Currently, 23 states have included Combined Heat and Power (also known as cogeneration) as an eligible technology for their clean energy portfolio standard. What does that mean for a facilities manager or building owner trying to reduce energy costs and/or comply with state mandates?
It means that with this acceptance comes a financial assistance for companies and facilities willing to utilize Combined Heat and Power technologies to reduce their energy costs and greenhouse gas emissions. These incentives come in the form of grants, tax credits, and accelerated depreciation deductions. The grants are paid by state organizations.
In Massachusetts, the MASS Save program is responsible for financially supporting building or equipment upgrades such as the installation of Combined Heat and Power systems. In New York, the New York State Energy Resource and Development Authority (NYSERDA) handles renewable energy incentives and in New Jersey, the NJ Clean Energy Fund serves as the authority.
In Massachusetts, the incentive depends on the size of a project and its attributes. For example, an Aegis Energy, EDF Group, CHP system would warrant a $56,250 incentive. That same system in Connecticut would qualify for $15,000 incentive.
Other types of incentives exist depending on the project and state. For example, in Connecticut, there are also incentives based on natural gas use. Distributed generation projects that use natural gas can qualify for reduced rates from CNG, SCG and Yankee Gas. Under this aspect of the program, certain distribution charges would be waived.
Aegis Energy, EDF Group, LLC is a green-energy innovator that specializes in modular, on-site utility systems. The distinction as an “on-site utility” gives Aegis customers a financial incentive in the state of New Jersey.
In the state of New York, Aegis Energy, EDF Group clients who are Con Edison customers could qualify for up to $135,000 in incentives with similar, although slightly less incentives for clients in upstate New York.
There are other variables in New York that will impact the financial support. Systems that include absorption chillers will have a larger incentive due to the assumed reduction in the summer-peak electric demand. There is also a 10 percent bonus for systems installed at facilities of refuge and facilities that are in Con Edison CHP target zones.
In order to capitalize on programs that offer credits based on usage, Aegis Energy, EDF Group, installs BTU meters on its Combined Heat and Power systems to collect information.
There are also incentives available for Aegis Combined Heat and Power systems installed in Maryland, Rhode Island, New Hampshire, and Pennsylvania.
Because eligibility requirements and variables differ from state to state, Aegis Energy, EDF Group, representatives are well-versed in the requirements and availability of the incentive programs in each state, thereby providing its clients the greatest possible benefits and ROI on the installation of a Combined Heat and Power system.