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Custom Incentives

Custom incentives are available to commercial customers who install qualifying energy efficiency projects that are not eligible for rebates through other Nicor Gas offerings.

For Commercial Customers

Custom incentives are based on the therms saved from the energy efficiency project.

 

 

*Incentives are capped at $350,000 or 35% of the project cost, whichever is less.

Project Savings

Incentive Amount

Incentive Cap*

2,500 - 15,000 therms saved/year

$0.60 per therm saved

$350,000 per   year

> 15,000 therms saved/year

$0.80 per therm saved

$350,000 per   year

Small Commercial Facilities

To qualify for this incentive tier, the business must use less than 60,000 therms of natural gas annually, be independently owned and operated, and have fewer than 10 locations. Custom incentives are based on the therms saved from the energy efficiency project.

 

*Incentives are capped at $350,000 or 35% of the project cost, whichever is less.

  Project Savings

  Incentive Amount

  Incentive Cap*

> 2,500 Therms Saved/Year

$0.60 Per Therm Saved

$350,000 per year

> 7,500 Therms Saved/Year

$0.80 Per Therm Saved

$350,000 per year

Multi-Family

Multi-family buildings must have permanent or semi-permanent residential tenants and be an apartment/condominium, college/university dormitory, assisted living facility or retirement community consisting of 5 units or more.

 

*Incentives are capped at $350,000 or 35% of the project cost, whichever is less.

  Project Savings

  Incentive Amount

 Incentive Cap*

2,500 - 7,500 therms saved/year

$0.60 per therm saved

$350,000 per year

> 7,500 therms saved/year

$0.80 per therm saved

$350,000 per year

Common Projects Include:

  • High-efficiency burner replacements
  • Burner and furnace controls
  • Process heat recovery technologies, including flue stack and condensing economizers
  • Regenerative thermal oxidizers
  • Condensate return system improvements
  • Building and process insulation
  • Retrocommissioning studies
  • Combined Heat and Power
  • Air side measures:
    • Make-up air units
    • Energy recovery ventilators

Please note: you must obtain pre-approval and final approval to receive custom incentives for an energy-saving project.

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FAQ: Custom Incentives for Commercial Customers

Find the answers to frequently asked questions about custom incentives and project eligibility. If you can’t find the answer to your question, or would like to talk to a representative, call us at 877.886.4239.

Eligibility

How do I know if I am eligible for custom incentives?

All custom projects must be installed at the site of a current Nicor Gas commercial or industrial customer. Self-directed customers are not eligible. Custom incentives are limited to projects that are not eligible for rebates.

I’ve already received rebates for other products and/or equipment in my facility. Am I still eligible for custom incentives?

Business customers are eligible to receive custom incentives in addition to rebates as long as you do not receive two incentives for the same equipment or improvement, and the total custom incentive received per facility/site does not exceed $350,000 or 35% of the total project cost.

What projects are ineligible for custom incentives?

Eligibility is at the sole discretion of Nicor Gas. Projects that are NOT eligible for an incentive include the following:

 

  • Changes in operational and/or maintenance practices or simple control modifications not involving capital costs
  • Projects that involve peak-shifting (and not therm savings)
  • Renewable energy projects
  • Projects with expected simple payback of less than one year
  • Any project or equipment eligible for standard rebates through the Nicor Gas Energy Efficiency Program

My project will not be installed and operational by December 31, 2020. Am I still able to receive an incentive?

Projects must be installed and fully operational prior to December 31, 2020 and prior to submitting the final application, and the final application must be received within 30 days, or by January 31, 2021, whichever comes first. Please contact the Nicor Gas Energy Efficiency Program if your project will not be installed and operational by December 31, 2020 – a new program year will begin on January 1, 2021, and you may be able to rollover the project into the new year. However, funding after December 31, 2020 is not guaranteed, and the Nicor Gas Energy Efficiency Program will work with you to transition your project if a new cycle is available.

Applying

I am a contractor or employee of the applying business. Am I able to apply on behalf of the Nicor Gas Customer/Account Holder?

Those granted authority by the Nicor Gas Customer/Account Holder may submit the pre-approval application on behalf of the customer/account holder. However, the Nicor Gas Customer/Account Holder must complete the program influence questionnaire in section 6 of the application and the required signature in section 8 of the Pre-Approval Application. The signature on the final application must also belong to the Nicor Gas Customer/Account Holder.

How do I estimate natural gas savings for my project?

Gas savings calculations are recommended, but not required, in order to submit an application for consideration.

Calculations should be supplied in electronic format. Applicants must use industry-accepted engineering algorithms, simulation models and measurement procedures from recognized technical organizations and rating agencies to estimate natural gas savings (i.e. ASHRAE, ANSI, SMACNA, ARI, ASTM, etc.). Applicants must submit documentation of sources used with the pre-approval application and final application, including clearly describing any assumptions made during calculations.

Applicants must estimate the annual natural gas usage of both existing and proposed equipment based on the current operation of the facility. For assistance in completing the please contact the Nicor Gas Energy Efficiency Program.

What documentation do I need to submit with my application?

  • Pre-approval application
  • Cut sheet/manufacturer specification sheet
  • Gas savings calculations (recommended but not required)
  • Project proposal

What is a public sector facility?

A property which is controlled or owned by the government and is funded through taxation. Examples include:

 

  • K-12 public schools
  • Colleges and universities
  • Hospitals and health clinics
  • Local, state, or federal government buildings
  • Airports
  • Libraries

I purchase my natural gas through a third party provider. Am I eligible for custom incentives?

Public sector customers are eligible to receive custom incentives in addition to rebates as long as you do not receive two incentives for the same measure, and the total custom incentive received per facility/site does not exceed $350,000.