Independent Electricity System Operator (IESO) – Save on Energy – Retrofit Program
Description:
The Save on Energy Retrofit program is designed to help Ontario businesses save energy, reduce costs and increase productivity. This province-wide initiative offers financial incentives for equipment upgrades that reduce facility electricity consumption
Comments on Funding:
To participate, the applicant’s project must be pre-approved with a minimum incentive of $500.Incentives are available for a variety of products and technologies to continue to help businesses save on energy costs and increase their competitiveness.
The following Participant Incentives are offered through the Retrofit Program:
- Prescriptive Incentives that will be calculated as the lesser of:
- the Prescriptive Incentive calculated in accordance with the Prescriptive Worksheet(s);
- 50% of the Eligible Costs for a Project with Prescriptive Measures, up to a maximum of 55% of the Estimated Eligible Costs in the Application approved by the IESO; and
- $1,000,000.
The IESO may approve a Micro Project under the Fast Track Application Process in its sole discretion.
- Social Housing Adder that will be calculated as the positive difference, if any, of:
- the Participant Incentive that would otherwise be payable for such Project had the applicant not been a Social Housing Provider, multiplied by two (2), up to a maximum of 50% of the Eligible Costs for such Project or a maximum of 55% of the Estimated Eligible Costs in the Application approved by the IESO; and
- the Participant Incentive that would otherwise be payable for such Project had the applicant not been a Social Housing Provider.
Eligibility:
Applicants must be:
- Commercial spaces or buildings, such as offices, retail and grocery stores, restaurants, hotels and warehouses,
- industrial facilities in sectors such as food and beverage, automotive, plastics, steel, mining, paper and chemical industries,
- Institutional buildings, including hospitals, universities, municipal halls and arenas,
- multi-family buildings, such as apartments (including social housing) or condominiums,
- Agricultural facilities, including dairy, swine or poultry farms, greenhouses and nurseries.
Lessees must have the owner’s consent or authorization to participate. To participate, the applicant’s project must be pre-approved with a minimum incentive of $500.
Examples of eligible projects include:
- Lighting retrofits;
- Lighting controls;
- HVAC redesign;
- Chiller replacement;
- Variable-speed drive installations.
Other Things to Note:
- Changes to the Save on Energy Retrofit program came into effect on October 12, 2022. Changes include:
a) new prescriptive measures that were proposed through the new measure submission process will be added to the prescriptive measures list;
b) incentive levels for select lighting products will be adjusted to reflect their saving opportunity;
c) new, higher tiers for motors and variable frequency drives will be added;
d) the eligibility criteria for demand controlled ventilation – interior conditioned spaces and for unitary AC equipment will be adjusted. - These Participant Incentives and Advance Incentives will apply only to those Projects in respect of which a Participant Agreement has been entered into no later than December 31, 2024 through Pre-Approval of an Application and the Measures have a Project completion date no later than December 31, 2025.
- Participant eligibility from the Program Requirements document:A Participant must:
- be a Non-Residential Customer or Recognized Farm Operation that has not previously entered into a binding commitment to acquire the Measures or services required to install the Measures, provided that the IESO may waive this requirement where (A) the circumstances in Section 3.3(b)(ii) apply, or (B) where the Participant can demonstrate to the IESO’s satisfaction, at the IESO’s sole discretion, that the Participant intended to apply to the Retrofit Program prior to entering into a binding commitment; and
- be a Social Housing Provider in order to qualify for the Social Housing Adder or SHP Advance Incentive.
When It Ends:
Ongoing
Deadline:
December 31, 2024