The New Jersey Clean Energy Program has been put in place to encourage businesses to increase their energy efficiency through the use of renewable sources by offering them financial incentives. There are two New Jersey rebate programs we’ll discuss here: Pay for Performance and Direct Install. Direct Install is the New Jersey Clean Energy Program for small to midsize buildings while Pay for Performance is meant for larger facilities.
Pay for Performance
Pay for Performance is one of the New Jersey rebate programs which offers incentives to larger, industrial and commercial facilities. To qualify, you must have a boiler with an input of 500,000 BTU or higher, or have a peak demand of over 100kW over the last year. Exceptions are afforded for:
- Affordable family housing
- Public universities and colleges
- Local government entities
Pay for Performance is a New Jersey Clean Energy Program focused on comprehensive energy savings. Program partners are contracted and work directly with the facility and other partners in the network in order to create the best energy reduction plan for the building. American Boiler Company works with an approved program partner to complete the requirements of the New Jersey rebate programs. A recent project for a multifamily apartment complex provided a 15% reduction in energy and rebates of over $500,000.
Three milestones must be completed for incentives to be awarded with this New Jersey Clean Energy Program. Each milestone allows for a different incentive:
- An approved partner submits a complete energy reduction plan. Incentives work out to approximately $.10 per square foot. A facility can receive up to $50,000 in incentives at this stage, but must not go over 50% of the building’s yearly energy expense.
- The energy saving measures are implemented. Incentives at this stage are based on projected results of the energy saving measures. This includes both natural gas and electricity savings.
- A post-construction benchmarking report is completed. After one year, a benchmarking report will verify the energy savings. Incentives at this point will be based on actual savings. At least 15% in savings must be achieved in order to receive rebates at this stage.
Direct Install is a New Jersey Clean Energy Program meant for smaller facilities. Your peak demand must be below 100kW a year and your boiler must have an input of less than 500,000 BTU. Each region in New Jersey has a participating contractor which will work with your facility to upgrade your operational equipment. Lime Energy is the participating contractor for Essex, Bergen, Hudson and Passaic Counties, and American Boiler Company has been selected by Lime Energy to replace inefficient boilers in the Direct Install Program.
With the reduction in price of New Jersey’s Solar Renewable Energy Certificates, efficient combined heat and power boiler systems are a better way than solar energy to save money and reduce greenhouse gas emissions. American Boiler Company offers significant savings with high quality results. Contact us today and we’ll help you receive the maximum incentive from the New Jersey Clean Energy Program.