Sustainability will continue to be an ongoing trend for businesses in 2025. More financial rebate opportunities are coming for companies looking for ways to offset the costs of their energy projects. These projects can include LED retrofits, HVAC upgrades, renewable energy, and more! Utility companies offer numerous programs to help promote energy-efficient options and incentivize businesses to adopt sustainable practices. 2025 brings expanded rebate offerings for companies looking to lower their carbon emissions and position themselves as environmentally conscious.

The Hidden Gems of Utility Rebates

Utility companies are one of the leading providers of financial rebates and are a major resource for reducing energy consumption. For example, Pacific Gas and Electric (PG&E) offers financial rebates to businesses to upgrade HVAC, refrigeration, insulation, water-hating, and laundry equipment. Replacing old or inefficient equipment can lead to lower monthly utility bills and a positive impact on the environment.

Substantial Increases in Rebate Amounts

This year marks a noticeable uptick in rebate values, making energy-efficient upgrades more appealing than ever.

• Lighting Upgrades: ConEd in New York is offering rebates for various LED products, such as downlights starting at $9 and TLED starting at $4. These rebates were effective at the start of the new year.
• Heat Pump Water Heaters: Duke Energy in North Carolina now offers rebates of $700 for heat pump water heaters, a significant jump from the previous $350. These enhancements reflect the utilities’ recognition of the long-term savings these technologies offer for both businesses and the energy grid.

Incentives for New Construction and Major Renovations

FirstEnergy’s Commercial New Construction (CNC) Program provides extensive support for projects in its service area, including new builds, major renovations, and expansions. The program offers financial incentives for exceeding standard energy efficiency codes, helping businesses save on both upfront costs and long-term energy expenses. Key highlights include:

• Rebates of $0.15 per kWh saved and $400 per kilowatt saved.
• Complimentary energy design assistance to maximize efficiency.
• Eligibility for projects enrolled before HVAC construction documents are finalized.

Rebates for Combined Heat and Power Projects

Businesses in Pennsylvania served by FirstEnergy utilities can take advantage of a robust rebate program for Combined Heat and Power (CHP) projects. Incentives are paid at $0.03 per kWh for displaced energy use, capped at 50% of the project cost or up to $500,000. These programs are designed to support significant efficiency upgrades while reducing reliance on traditional energy sources.

Opportunities for Gas-Fueled Efficiency

Nicor Gas has expanded its rebate programs in 2025, offering financial incentives for a variety of energy-efficient installations:

• Space and Water Heating: Rebates include $200 for furnaces and $1.50 per MBTUH for condensing boilers. Boiler reset controls can earn up to $1,500 in rebates.
• Steam Trap Replacements: Incentives range from $25 to $300 per trap, depending on pressure and application, encouraging businesses to address costly steam losses.
• Commercial Food Service Equipment: Rebates for ENERGY STAR-rated ovens, broilers, fryers, and steamers range from $250 to $1,000, helping food service businesses cut energy costs without compromising quality.

The Time to Act Is Now

Early 2025 presents a unique opportunity for businesses to capitalize on expanded commercial energy efficiency rebates. With higher rebate values, performance-based incentives, and support for a range of technologies, utility companies are making it easier than ever to reduce energy expenses and contribute to sustainability goals.

By exploring programs like PG&E’s performance incentives, FirstEnergy’s CNC Program, and Nicor Gas’s rebate offerings, businesses can position themselves as leaders in energy efficiency while enjoying substantial financial benefits. Whether you’re upgrading lighting, investing in new construction, or improving HVAC systems, these incentives make 2025 a pivotal year for energy-smart investments.

Take advantage of these rebates while they last and start saving today!

The new year proposes new ways for businesses to expand their savings by capitalizing on upcoming financial rebates. Local utility companies and state programs are rich with opportunities to cut upfront costs of energy-efficient projects. By upgrading to the latest technology and sustainable infrastructure, businesses can future-proof their company and position themselves as sustainable.

Incentive Rebate360 has a team of industry experts to guide you through the commercial rebate process to expand your savings. If you are interested in any of the rebates mentioned, contact us today by calling 480-653-8180, emailing [email protected], or scheduling a call that fits your needs by clicking the button below!