Farmers and growers across Vermont face constant pressure to keep operating costs under control while investing in modern equipment to remain competitive. Upgrading to energy-efficient technologies can reduce overhead and improve long-term sustainability, but the upfront costs can be a barrier. That’s where Efficiency Vermont agricultural equipment rebates come in. These programs provide financial incentives for a wide range of agricultural equipment, helping farms lower expenses, boost productivity, and increase efficiency.

Why Rebates Matter for the Agriculture Industry

The agriculture sector relies heavily on energy-intensive equipment, from ventilation systems in barns to high-efficiency lighting in greenhouses and reverse osmosis systems in maple sugaring operations. These systems not only keep operations running but also influence yields, animal health, and product quality.

Commercial rebates play a crucial role by offsetting the initial investment needed to upgrade to efficient technologies. Without rebate support, many farms would delay or avoid upgrades, missing out on long-term energy and cost savings. By taking advantage of farm equipment rebates that Efficiency Vermont offers, operations can improve efficiency, remain competitive, and better position themselves for a sustainable future.

Overview of Efficiency Vermont Agricultural Equipment Rebates

Custom Project Support

For agricultural operations with unique efficiency projects, Efficiency Vermont offers custom project rebates. From August 1, 2025, through November 30, 2026, rebates are doubled – up to $25,000.
Eligibility:

• Open to Vermont businesses, farms, nonprofits, and institutions.
• Projects must be located in Vermont (excluding Burlington Electric Department service areas).
• Natural gas projects in Vermont Gas Systems territory are not eligible.
• Projects must be pre-approved, demonstrate measurable savings, and show positive economic value.

This incentive is especially valuable for large or complex farm projects that fall outside standard prescriptive rebates.

Indoor Growing Operations

Indoor cultivation facilities can receive rebates for key systems: HVAC, fans, lighting, pumps, refrigeration, drying and processing equipment, and controls. Rebates are typically custom-based, with variable frequency drives (VFDs) receiving up to $200 per HP.
Eligibility:

• Open to Vermont businesses since March 1, 2020.
• Must be an indoor agricultural facility such as cannabis or specialty crops.

This program helps growers reduce energy costs while increasing yields in tightly controlled environments.

Greenhouse Equipment Incentives

Greenhouses—both hoop-style and gable-style—can qualify for rebates on fans, controllers, heating upgrades, LED lighting, insulation, polyethylene upgrades, and thermal/shade curtains.
Eligibility:

• Businesses operating heated or unheated commercial greenhouses.
• Available since March 1, 2020.

Highlights include:

• Up to $0.10 per square foot for greenhouse controllers.
• Up to 30% cash back on LED grow lights.
• Up to $0.50 per square foot for thermal or shade curtains.
• VFD incentives: $200 per HP (2–5 HP) and $150 per HP (7.5–100 HP).

Heat Recovery Units (HRUs)

Dairy farms with at least 35 cows can receive $1,875 in cash back for installing HRUs, which capture waste heat from milk cooling to preheat water—reducing water heating costs by up to 50%.
Eligibility:

• Vermont electric utility customers.
• Minimum herd size of 35 cows.
• Excludes new construction.

Maple Reverse Osmosis (RO) Systems

Sugaring operations producing more than 80 gallons per year are eligible for up to $3,250 back on their first RO system. Additional incentives are available for high-efficiency upgrades.
Eligibility:

• Open to existing sugaring operations.
• Must meet Efficiency Vermont’s qualified product requirements.
• Incentives vary by horsepower: $600/HP for 0.5–3 HP systems and $400/HP for 3–6 HP systems.

Variable Frequency Drives for Maple Sap Vacuum Pumps

Maple sugaring operations running pumps 24/7 during the season can receive $300 cash back for installing a VFD on a vacuum pump.
Eligibility:

• Vermont agricultural businesses.
• Pump motor must be 7.5 HP or greater.

Ventilation Fans for Agricultural Use

Dairy operations can get up to $275 cash back per fan, with rebates varying by fan size and efficiency rating. Both circulation and exhaust fans are included.
Eligibility:

• Dairy barns using tested fans meeting Efficiency Vermont’s efficiency standards.
• Other agricultural facilities may qualify through custom rebates.

Plate Coolers

Medium-sized dairy farms milking at least 75 cows can install plate coolers to reduce milk cooling energy use. Rebates are available, with annual savings of up to $4,000 in electricity costs.
Eligibility:

• Vermont businesses with qualifying herd size.
• Goat farms may be eligible for custom rebates.

The Importance of Equipment Upgrades in Agriculture

Investing in energy-efficient agricultural equipment brings benefits beyond cost savings. Upgraded systems improve production quality, reduce environmental impact, and extend the lifespan of equipment. For example:

• Greenhouse LED lighting improves crop yields while cutting energy bills.
• Dairy plate coolers and HRUs enhance efficiency while maintaining milk quality.
• Maple RO systems reduce fuel use and boiling time, increasing syrup output.

By aligning efficiency goals with rebate opportunities, farmers and producers can reinvest savings into their operations, ensuring long-term stability.

Conclusion

Efficiency Vermont provides a robust portfolio of rebates tailored to the agricultural community. From dairy and greenhouse operations to maple sugaring and indoor cultivation, these programs are designed to make efficiency upgrades more affordable and accessible.

Agriculture businesses can look towards Incentive vrebate360 for advice and expert guidance on rebates to help improve energy and cost savings in their farms and greenhouses. Our team can help you navigate the incentive landscape and streamline the process for you. Contact us today to find out how we can help! You can schedule a call that fits your needs or give us a call at 480-653-8180.