Commercial Gas Rebates focus on the systems that use the most natural gas in a building. Heating equipment, steam systems, and operational controls typically provide the largest incentives and the fastest payback.

Space and water heating

• Condensing boilers up to 2,500 MBTUH – $1.50 per MBTUH
• Boiler reset controls – $1.25 per MBTUH, up to $1,500
• Non-condensing boilers up to 2,500 MBTUH – $1.25 per MBTUH
• Boiler descaling – $0.50 per MBTUH, up to $1,500 per boiler
• Direct-fired space heaters over 1,600 MBTUH – $750
• Infrared heaters – $700
• Direct-fired space heaters 800–1,600 MBTUH – $500
• Condensing unit heaters with TE ≥ 90% – $325

Heating upgrades are often the foundation of a strong rebate strategy because they address the largest portion of a building’s natural gas use. The list above reflects the most lucrative rebates available, highlighting the measures that typically deliver the greatest financial impact. These incentives are only part of the full range of Commercial Gas Rebates offered, and many projects can benefit from additional equipment and efficiency options beyond this top tier. To learn more about the additional incentives listed and how they can be combined to maximize savings, reach out to Incentive Rebate360 for guidance on eligibility, project planning, and rebate processing.

Why are steam traps critical for commercial facilities?

Failed steam traps are one of the most common sources of hidden energy loss in commercial buildings. Nicor Gas commercial rebates reward systematic repairs because they produce immediate fuel savings and improve temperature consistency. Industrial or process steam traps above 15 psig pay $300 per trap, and commercial steam traps below 15 psig pay $100 per trap. Replacements completed without a survey still earn $25 per trap. Facilities with dozens of traps can recover substantial incentive dollars in a single project.

How can efficiency improvements reduce costs without replacing major equipment?

Measures that reduce heat loss or optimize operations are highly cost-effective. Outdoor pipe insulation pays $4 per linear foot, and indoor steam or hot water pipe insulation also pays $4 per foot. Smaller indoor piping earns $2 per foot. Kitchen demand-controlled ventilation provides $500 per horsepower by adjusting exhaust rates to actual cooking activity. Indoor pool or spa covers receive $1.25 per square foot. These upgrades typically require less disruption than equipment replacement while producing measurable reductions in gas use.

What incentives are available for boiler maintenance?

Professional maintenance is rewarded through tiered incentives. Process heating boilers sized at 3,000 MBTUH or greater earn $0.50 per MBTUH up to $1,500. Units between 2,000 and 2,999 MBTUH receive the same rate up to $1,000, and systems from 1,501 to 1,999 MBTUH qualify up to $750. Space heating boiler tune-ups provide $0.30 per MBTUH up to $500. These rebates help facilities maintain peak efficiency without deferring critical service.

Commercial food service equipment

Restaurants and institutional kitchens have some of the most generous per-unit incentives. Conveyor ovens wider than 25 inches earn $1,000 per deck, and ENERGY STAR combination ovens pay $900 per deck. ENERGY STAR commercial steamers qualify for $950, ENERGY STAR fryers provide $400 per vat, and double rack ovens receive $700 each. Upgrading aging cooking equipment with these rebates can dramatically reduce both utility and maintenance costs.

Agriculture

Agricultural facilities benefit from targeted measures that reflect seasonal heating needs. Greenhouse boiler tune-ups pay $0.50 per MBTUH, capped at $1,500; greenhouse infrared film pays $0.10 per square foot, up to $10,000; and greenhouse heat curtains pay $0.25 per square foot, up to $2,500. Grain dryer tune-ups earn $0.50 per MBTUH, capped at $500, and boiler O2 trim controls earn $0.35 per MBTUH, capped at $800.

Multifamily Rebates from Nicor Gas

How do multifamily rebates differ from commercial incentives?

Multifamily properties share many of the same mechanical systems as commercial buildings but include incentives focused on resident comfort, domestic hot water, and building envelope performance.

Space and water heating

• Condensing boilers up to 2,500 MBTUH – $1.50 per MBTUH
• Boiler reset controls – $1.25 per MBTUH, up to $1,500
• Non-condensing boilers up to 2,500 MBTUH – $1.25 per MBTUH
• Boiler descaling – $0.50 per MBTUH, up to $1,500 per boiler
• Direct-fired space heaters over 1,600 MBTUH – $750
• Infrared heaters – $700
• Central domestic hot water controls – $600 per control
• Direct-fired space heaters 800–1,600 MBTUH – $500
• Condensing unit heaters with TE ≥ 90% – $325

These measures typically influence the largest gas loads in apartment buildings and senior living communities. Condensing boilers, reset controls, and domestic hot water controls often deliver the greatest financial impact across an entire property. To learn more about the full comprehensive list of incentives available through the Nicor Gas program and how they can support your project, reach out for additional guidance and details.

Steam traps

Multifamily buildings with steam distribution can capture the same incentives as commercial facilities. Industrial or process steam traps above 15 psig pay $300 per trap, and dry cleaner steam traps at that pressure also pay $300 each. Commercial steam traps below 15 psig qualify for $100 per trap, and replacements without a survey earn $25 per trap. Repairing failed traps improves comfort consistency between units while cutting fuel waste.

Efficiency improvements

Pipe insulation on outdoor systems pays $4 per linear foot, and indoor steam or hot water pipe insulation also pays $4 per foot. Smaller indoor piping receives $2 per foot. Indoor pool or spa covers earn $1.25 per square foot. These upgrades help stabilize temperatures in common areas and mechanical spaces with minimal disruption to residents.

Boiler tune-ups

Space heating boiler tune-ups provide $0.30 per MBTUH, up to $500, while larger process heating boilers can receive $0.50 per MBTUH, with caps ranging from $500 to $1,500 depending on size. Regular service supported by these rebates keeps central systems operating efficiently throughout the heating season.

Multi-family air sealing and insulation

• Air sealing – $2 per linear foot
• Attic insulation – up to $2.50 per square foot
• Door sweeps – $75 per exterior door
• Door weatherstripping – $25 per exterior door
• Duct sealing – $500 per building

Envelope improvements are a critical complement to mechanical upgrades. Reducing drafts and heat loss lowers the demand placed on boilers and water heaters while improving resident comfort.

What documentation is required to qualify?

Nicor Gas rebates are typically available to existing commercial and multifamily buildings served by Nicor Gas. Projects must involve eligible equipment and proper installation documentation, such as invoices, model numbers, and performance ratings. Large or unique projects may qualify through custom incentives rather than standard amounts. Planning upgrades before equipment is purchased ensures the selected models align with program pathways.

Building a practical rebate strategy

The most successful projects combine several measures into one coordinated plan. A commercial facility might replace boilers, add reset controls, insulate piping, and repair steam traps in the same year. A multifamily property could pair a domestic hot water control upgrade with air sealing and attic insulation to improve comfort across every unit. Connecting these improvements with related efforts such as energy audits, building automation, and preventive maintenance creates a comprehensive efficiency roadmap.

By targeting the highest-impact categories first, owners can maximize Nicor Gas commercial rebates and multifamily gas rebates while lowering total project costs and creating long-term reductions in energy use and maintenance expenses. Incentive Rebate360 can help guide you through the requirements and documentation needed to apply for Nicor Gas rebates. Contact us by calling 480-653-8180, emailing [email protected], or scheduling a call that fits your needs by clicking the button below!