Commercial Energy Conservation Program

0% Interest Assistance for Commercial & Industrial Energy Efficiency & Electrification Projects

HG&E’s Commercial Energy Conservation Program provides businesses with the capital they need to make energy-saving improvements by providing assistance at 0% interest for the implementation of approved energy efficiency, electrification and renewable energy projects. Please see the project-specific requirements for a list of eligible projects.

  • Multi-family Assistance: Multi-family assistance is capped at $20,000 ($5,000 limit per unit). Please note that if you are applying for assistance for a non-owner occupied multi-family property, you must be a Holyoke resident. 
  • Commercial Assistance: Commercial assistance is considered on a case-by-case basis. Requests greater than $10,000 require approval by HG&E's Board of Commissioners. 

Assistance is repayable over 36 months for projects up to $2,000 and 60 months for projects $2,001 or more. These monthly payments are conveniently included on your utility bill. Please note that a one-time processing fee of $100 and other restrictions apply. Eligibility for this program includes having an HG&E account with 6-12 months of clear history and city taxes must be current.

Questions? If you have questions about the Commercial Energy Conservation Program, please contact Michael Curtin, Technical Support Engineer. (Phone: (413) 536-9319)

application instructions and program terms and conditions:

STEP 1: REVIEW THE TERMS AND ELIGIBILITY REQUIREMENTS

In order to get started, please review all terms and conditions of the Commercial Energy Conservation Program carefully to ensure the project meets the specified terms. 

STEP 2: CONSIDER A COMMERCIAL ENERGY AUDIT

Consider receiving an energy audit before implementing energy improvement projects. This is a great way to help prioritize the most impactful projects and uncover additional energy-saving opportunities. You may apply to have the cost of the audit covered through this program.

STEP 3: RECEIVE AN INSTALLATION QUOTE FROM A CONTRACTOR

You will need to submit this with your application. The quote (or other documentation from your installer) must include equipment specifications, including model number (if applicable) so HG&E can confirm that the system or service meets the program requirements. If you are installing multiple systems at the same time, the installation quote must be itemized by system or service.

STEP 4: SUBMIT YOUR APPLICATION

To apply for the Commercial Energy Conservation Program, you will need to submit an application, and your installer will also need to submit a supplemental application for each eligible project/system type from your proposal.  Click here to access the installer supplemental applications. 

Please be prepared to submit digital copies of the following documents:
       • Deed to your property
       • Installation quote

STEP 5: SECURE THE ASSISTANCE

HG&E will review your application after all necessary information has been submitted. If the requested amount of assistance is under $10,000, HG&E will contact you within approximately 5 business days. For requests exceeding $10,000, applications need to be approved by HG&E's Commission. Once an application has been approved by all necessary parties, HG&E will produce a contract which will be mailed to the applicant for signature.

STEP 6: COMPLETE THE IMPROVEMENT(S) & PROVIDE INSTALLER WITH THE POST-INSTALLATION FORM

Your installer will need to complete a post-installation form which will need to be submitted to HG&E before payment is sent to you. 

STEP 7: RECEIVE PAYMENT

A check will be mailed to you approximately three weeks after HG&E receives both the signed assistance contract from you, and the post-installation form from your installer.

 

Borrower Eligibility

1. The HG&E Commercial Energy Conservation Program (CECP) is available to commercial and industrial class utility customers and to Holyoke residents who own non-owner occupied residential investment properties. Please note that if you are applying for assistance for a non-owner occupied multi-family property, you must be a Holyoke resident.

2. Applicants must receive approval from HG&E of this application in order to be eligible. Assistance is not granted to any entity renting or leasing the property. It is recommended that customers apply for the CECP prior to starting project to verify eligibility.

3. Applicant's accounts must be in good standing with HG&E, (6-12 month history of satisfactory payments) and there shall be no Municipal tax liens on the property. For commercial entities with no prior HG&E billing history, customer may submit a letter of credit from their previous utility provider.

4. Applicant’s building must receive gas or electric service from HG&E. In the case of heating, water heating and cooling equipment installations, the building in question must purchase the required fuel from HG&E.

Term & Level of Assistance

1. The maximum repayment term for the assistance is 36 months for projects up to $2,000 and 60 months for projects $2,001 or more.

2. All assistance requests which exceed $10,000 must be approved by the HG&E Commission at a scheduled monthly meeting.

3. The maximum assistance amount for non-owner occupied multi-family investment properties is $20,000 per building. (maximum of $5,000 per unit).
Additional Terms for Multi-Family Properties:
a. A multi-family property for purposes of this program is considered a property with 5 or more apartment units.
b. In order to receive the maximum level of assistance for properties with multiple units, the eligible equipment must serve all units of the property.
c. Customers may receive assistance for multiple qualifying measures as long as the entire amount of assistance does not exceed the aggregate limit defined above.
d. Applicants who previously took advantage of the Commercial Energy Conservation Program (CECP) for a multi-family property are eligible for additional assistance for that property under the following conditions:
       i. If the previous CECP balance is completely paid off, then the assistance levels listed above shall apply.
       ii. If there is an outstanding balance on the previous CECP assistance, the new assistance per building will be limited to the levels listed above minus the current balance.

4. The maximum assistance amount for Commercial and Industrial buildings (excluding multifamily buildings) is handled on a case-by-case basis.

General Conditions

1. Assistance is granted at 0% interest , for the implementation of approved energy efficiency, electrification and renewable energy projects as defined by this program.

2. Applicants are required to pay a one-time $100 dollar processing fee to participate in the program. This fee will appear on the same HG&E bill as the first Assistance Program re-payment.

3. HG&E will bill Assistance payments on the existing HG&E customer bill, and the HG&E prompt payment discount or any other discounts do not apply to Assistance repayment.

4. HG&E will only grant assistance for products installed within 90 days of signing HG&E agreement. All work must be completed within 12 months of application.

5. The Applicant must sign an agreement that allows for a municipal lien to be placed on the property where the work is being performed.

6. The total amount of assistance granted to customers in any year may be limited by HG&E. HG&E reserves the right to determine the amount of assistance for each project.

7. Applicant must provide evidence of equipment installation including a dated receipt/invoice, a post-installation form and documentation from the installer that confirms the equipment being installed meets the energy efficiency requirements of this program (if applicable). If multiple services are being performed at the same time or multiple systems are being installed, the installation quote must be itemized by system or service. If replacing equipment, prior equipment manufacturer/model and proposed equipment manufacturer/model is required to be submitted with the post installation form.

8. Assistance for Solar PV is only granted to customers who provide documentation that they shall own such system.

9. In the case of a natural gas moratorium, HG&E cannot accommodate conversions to firm natural gas from alternate fuel sources. Industrial customers may apply for the Interruptible Service rate. For gas related projects, any gas service work determined to be required by HG&E must be performed by customer before assistance is received.

10. Program benefits do not apply to new home or building construction, including gut-rehabs. (Note: PV, electric vehicle charging station infrastructure, air source heat pumps and electric hot water heaters exempt from exclusion).

11. HG&E reserves the right to change, suspend, or modify the terms of this program at any time.

12. Customers must install the system that is listed on quote that is submitted with application. Any changes to system design from the quote submittal must be approved by HG&E in order to receive assistance.

13. Energy audits are recommended and may be required for any assistance requests as determined by HG&E. Cost of audits will be paid for by customer or can be included in assistance request.

Installation Information

1. HG&E is not responsible for the repair or service of any equipment installed under this program.

2. Applicant is responsible for obtaining pricing, selecting a contractor, coordinating contractor scheduling and making payments to the contractor.

3. In most cases the contractor will obtain the required City or County permits for you. However, it is the customer's responsibility to ensure that the City or County inspection conditions are met. Payments will not be paid for installations made by installers who do not possess the required licenses or permits for the installation.

4. At HG&E's option, the completed installation may be inspected by HG&E personnel or its representative to ensure compliance with the terms of this program.

Payment

1. Payment will be processed once Applicant submits a signed contract and all other documentation and approvals required. A check will be mailed to Applicant within approximately three weeks of the receipt of all required documents.

2. Progress payments will not be made.

Additional requirements are based on the specific type of equipment installed or service performed.  Please review the CECP eligibility requirements per project type. 

Project-Specific Requirements:

Heating and Cooling Systems

PROJECT-SPECIFIC REQUIREMENTS:

  • < 65 kBtuh:
    • ≥ 16 SEER, ≥ 13 EER
    • AHRI certificate
    • Must have existing ducted system (verified through post-installation form)
    • The condenser and the evaporator coil must be new and replaced together
  • ≥ 65 kBtuh:
    • ≥13 IEER
    • The condenser and the evaporator coil must be new and replaced together

PROJECT-SPECIFIC REQUIREMENTS:

  • < 65 kBtuh:
    • SEER ≥ 18, EER ≥ 12.5, HSPF ≥ 9
    • AHRI certificate
    • The condenser and the evaporator coil must be new and replaced together
  • ≥ 65 kBtuh:
    • Air-Cooled VRF System: IEER ≥18, COP ≥3.4
    • Air-Cooled Heat Pump (non VRF): IEER≥ 13, COP ≥3.4
    • The condenser and the evaporator coil must be new and replaced together

PROJECT-SPECIFIC REQUIREMENTS:

  • < 150 kBtuh*:
    • AFUE ≥95%
  • ≥ 150 & <300 kBtuh*:
    • AFUE ≥92%
  • ≥ 300 kBtuh*:
    • Thermal Efficiency ≥90%

*Additional Requirements for gas projects:

  • Input capacity of new system must be less than or equal to input capacity of current system
  • Must have valid gas permit ID
  • Customer must complete any required upgrades to gas service as determined by HG&E
  • Customer must confirm with HG&E that natural gas is available for the project prior to starting work

PROJECT-SPECIFIC REQUIREMENTS:

  • < 300 kBtuh*:
    • AFUE Rating ≥82%
  • ≥ 300 kBtuh & ≤ 2500 kBtuh*:
    • Thermal Efficiency ≥82%
  • > 2500 kBtuh*:
    • Combustion Efficiency ≥82%

*Additional Requirements for gas projects:

  • Input capacity of new system must be less than or equal to input capacity of current system
  • Must have valid gas permit ID
  • Customer must complete any required upgrades to gas service as determined by HG&E
  • Customer must confirm with HG&E that natural gas is available for the project prior to starting work

PROJECT-SPECIFIC REQUIREMENTS:

  • ≤ 300 kBtuh*:
    • AFUE ≥ 90%
  • > 300 & ≤ 2,000 kBtuh*:
    • Thermal Efficiency ≥ 90%

*Additional Requirements for gas projects:

  • Input capacity of new system must be less than or equal to input capacity of current system
  • Must have valid gas permit ID
  • Customer must complete any required upgrades to gas service as determined by HG&E
  • Customer must confirm with HG&E that natural gas is available for the project prior to starting work

PROJECT-SPECIFIC REQUIREMENTS:

  • Programmable thermostats:
    • Must be 7-day programmable thermostat
  • Smart Thermostats:
    • Must be Energy Star certified

Domestic Hot Water Systems

PROJECT-SPECIFIC REQUIREMENTS:

  • < 75 kBtuh*:
    • Energy Star certified
  • ≥ 75 kBtuh*:
    • Thermal Efficiency ≥ 94%

*Additional Requirements for gas projects:

  • Input capacity of new system must be less than or equal to input capacity of current system
  • Must have valid gas permit ID
  • Customer must complete any required upgrades to gas service as determined by HG&E
  • Customer must confirm with HG&E that natural gas is available for the project prior to starting work

PROJECT-SPECIFIC REQUIREMENTS:

  • Must be attached to a Gas-Fired Boiler with a boiler efficiency ≥ 90%
  • Must be replacing a gas-fueled water heater
  • Input capacity of new system must be less than or equal to input capacity of current system
  • Must have valid gas permit ID
  • Customer must complete any required upgrades to gas service as determined by HG&E
  • Customer must confirm with HG&E that natural gas is available for the project prior to starting work

PROJECT-SPECIFIC REQUIREMENTS:

  • Must be Energy Star certified

PROJECT-SPECIFIC REQUIREMENTS:

  • Must be converting from gas, oil or propane or be an interruptible service rate customer.

PROJECT-SPECIFIC REQUIREMENTS:

  •  SRCC Certified
  • Up to $5,000 in assistance available (Up to $7,000 if converting from gas, oil or propane)

Weatherization

PROJECT-SPECIFIC REQUIREMENTS:

  • You must be current HG&E electric customer or must use HG&E for natural gas or electric for primary heating source. 
  • Audit recommended. (Click here for more information on Commercial energy audits.)
  • Available for attic, wall, floor, basement, heating and hot water pipe and rim joist insulation
  • Recommended Final R-Values:
    • Attic insulation: R49-R60
    • Wall insulation: R18-R20
    • Floor insulation: R30 
    • Basement insulation: R15-R19
    • Heating & Hot Water Piping Insulation: R3

PROJECT-SPECIFIC REQUIREMENTS:

  • Audit recommended. (Click here for more information on Commercial energy audits.)
  • If CECP funds were used to receive a Blower Door Test, Blower Door Test report must be submitted with CECP post-installation form
  • You must be current HG&E electric customer or must use HG&E for natural gas or electric for primary heating source. 

PROJECT-SPECIFIC REQUIREMENTS:

  • Audit recommended. (Click here for more information on Commercial energy audits.)
  • You must be current HG&E electric customer or must use HG&E for natural gas or electric for primary heating source. 

PROJECT-SPECIFIC REQUIREMENTS:

  • Current Energy Star Certification for the Northern Climate Zone
  • Windows being replaced must be single-pane windows and shall be attested to with application
  • You must be current HG&E electric customer or must use HG&E for natural gas or electric for primary heating source. 

PROJECT-SPECIFIC REQUIREMENTS:

  • Current Energy Star Certification for the Northern Climate Zone
  • Maximum amount of assistance available is $5,000 per door.
  • You must be current HG&E electric customer or must use HG&E for natural gas or electric for primary heating source. 

SOLAR PHOTOVOLTAIC (PV)

  • Up to $10,000
  • Note that solar financial assistance is available in addition to assistance for energy efficient home improvements, but maximum outstanding assistance granted to a customer is capped at a total of $10,000. Assistance for Solar-PV is only granted to customers who provide documentation that they shall own such system.

ELECTRIC VEHICLE EQUIPMENT

  • Costs covered: Service upgrades, equipment costs and installation costs

ELECTRIC yard equipment

  • Lawn mower must be battery powered zero-turn or riding lawn mower
  • Customer must submit copy of dated sales receipt showing manufacturer, model # and purchase price

ADDITIONAL ENERGY IMPROVEMENT PROJECTS & SERVICES

  • Audit must be from licensed business
  • Click here for more information on Commercial energy audits 

  • Handled on a case-by-case basis.
  • Proposal must be itemized by lighting type.
  • Customer must submit pre and post wattage and hours of use with initial application.

  • Handled on a case-by-case basis

  • Handled on a case-by-case basis

Questions?

Contact Michael Curtin
Technical Support Engineer - Key Accounts

Tel: (413) 536-9319
Email: Mcurtin@hged.com