Businesses planning equipment upgrades have a narrowing window to capture commercial energy efficiency rebates in Illinois and Wisconsin. ComEd serves northern Illinois, Nicor Gas serves much of northern Illinois outside Chicago, and Focus on Energy supports eligible customers of participating utilities throughout Wisconsin.
Year-end commercial energy rebates for 2026 can offset significant project costs, but buying equipment before December 31 isn’t enough. Installation, approval, and application requirements determine whether a project qualifies.
The five opportunities highlighted for each program offer substantial potential through scalable incentive rates or high rebate caps. They don’t rank universally: equipment capacity, project scope, and eligibility determine which rebate is most lucrative for a particular business.
Key Takeaways
- ComEd’s standard incentives generally require project completion and final application submission by December 31, 2026.
- Nicor Gas and Focus on Energy allow some applications into January, but qualifying installations must occur during 2026.
- Large motors, boilers, ventilation systems, and extensive lighting upgrades can generate substantial project-level incentives.
- Required approvals must be addressed before work begins, and some programs require approval before equipment is ordered.
- Published rates remain subject to technical qualifications, cost caps, and funding availability.
Which ComEd Business Rebates Offer Large Incentives in Northern Illinois?
ComEd business rebates for 2026 support eligible commercial and public-sector customers in northern Illinois, including Chicago, that receive electricity through ComEd’s distribution system. Participation depends on the account’s program eligibility.
| Rebate opportunity | Published incentive | Important qualification |
| HVAC fan or pump variable-speed drives | $225 per horsepower | Eligible motors must be 500 HP or less. Replacing a functioning drive does not qualify. |
| Variable-speed drives on existing HVAC chillers | $55 per ton | Applies to qualifying existing comfort-cooling chillers. New chillers with integrated drives are excluded from this measure. |
| Efficient water-cooled chillers | $10 per ton for each 0.01 kW/ton improvement below the qualifying part-load efficiency | Equipment must also meet full-load efficiency requirements. Process-cooling chillers are excluded. |
| Interior and exterior LED upgrades | Interior: $0.80 per watt reduced. Exterior: $0.70 for one-for-one replacements or $0.80 for qualifying redesigns | Incentives depend on verified wattage reductions and eligible products. Exterior redesign rates require a qualifying change in fixture quantities. |
| Laboratory ventilation optimization | $0.75 per CFM reduced | Requires at least a 10% ventilation reduction and independent testing by a qualified testing and balancing agent. |
For example, a qualifying 50-HP fan drive calculates to $11,250 before caps. A qualifying interior lighting upgrade that reduces demand by 20,000 watts costs $16,000.
ComEd generally requires completion and final submission by December 31, 2026. Track 2 applications are due within 60 days of completion or by year-end, whichever comes first. Projects requesting $10,000 or more require a reservation letter before work starts.
The 2026 fact sheet provides a December 31, 2027 exception for chiller installations. Confirm the specific reservation terms; do not assume this exception covers drive retrofits on existing chillers.
What Are High-Value Nicor Gas Commercial Rebates in Northern Illinois?
Nicor Gas commercial rebates for 2026 support eligible natural gas customers across much of northern Illinois outside Chicago. Verify the property’s gas provider, since electric and gas service territories don’t always match.
| Rebate opportunity | Published incentive | Important qualification |
| Condensing boilers | $1.50 per MBTUH, up to 2,500 MBTUH | Space-heating use, qualifying efficiency, and required reset controls apply. A qualifying 2,500-MBTUH boiler calculates to $3,750. |
| Industrial/process steam traps | $300 per qualifying trap | Systems must operate at least 15 psig. A qualifying survey is required for the full rate. |
| Pipe insulation | $2–$4 per linear foot | Rates depend on piping location, system type, and insulation requirements. New construction is excluded. |
| Kitchen demand-controlled ventilation | $500 per exhaust-fan horsepower | Total system size must be below 5,000 CFM, with qualifying sensors and controls. |
| Greenhouse heat curtains | $0.25 per square foot, capped at $10,000 | Applies to qualifying greenhouses with polyethylene glazing and no existing thermal curtain. |
Nicor Gas requires installation or qualifying service by December 31, 2026. Submit applications within 90 days of installation or service, or by January 31, 2027, whichever comes first. Earlier projects may therefore have deadlines before January.
Which Focus on Energy Business Rebates Offer Significant Savings in Wisconsin?
Focus on Energy business rebates for 2026 serve eligible Wisconsin businesses through participating electric and natural gas utilities. A Wisconsin address alone does not establish eligibility.
The rates below apply to qualifying equipment upgrades and retrofits.
| Rebate opportunity | Published incentive | Important qualification |
| Compressed air process load shifting | $300 per compressor horsepower shifted | Limited to 50% of project cost. Preapproval is recommended. |
| Hot water boilers | $7–$8 per input MBh | The applicable rate depends on equipment qualifications. Input MBh measures capacity in thousands of Btu per hour. |
| Energy recovery ventilators | $1.25–$1.35 per CFM | Qualifying airflow and equipment specifications determine the incentive. |
| Process exhaust filtration | $1 per CFM reduced | Limited to 50% of project cost; verified airflow reduction determines the calculation. |
| Boiler linkageless combustion controls | $35 per boiler horsepower | Limited to 50% of project cost. Boiler horsepower is a different measurement from motor horsepower. |
You must purchase and install standard rebate equipment by December 31, 2026. Applications are due within 60 days of installation, no later than January 31, 2027.
Preapproval is encouraged for standard rebates exceeding $10,000 to guarantee funding. Custom incentives require approval before ordering equipment, issuing purchase orders, or contracting labor.
Frequently Asked Questions
Can a business claim two rebates for the same equipment?
Do not assume incentives can be combined. Program rules may prohibit duplicate funding for the same equipment, even when the property has separate electric and gas providers.
Will a rebate cover the full equipment cost?
Published rates do not guarantee full reimbursement. Project-cost limits and measure-specific caps can reduce the payment below the initial calculation.
Can rebate eligibility replace an engineering review?
No. Ventilation changes, heating upgrades, and lighting redesigns must still meet the facility’s operational, safety, and applicable code requirements.
Start Your Year-End Rebate Review Now
Send your utility information, proposed equipment, and expected installation dates to Incentive Rebate360 to start an eligibility review. The team can identify required approvals, evaluate potential incentives, and coordinate application documentation before deadlines arrive.
Contact Incentive Rebate360 before placing orders or authorizing work that could affect rebate eligibility.
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