NYSERDA - Peak Load Reduction Program (New York)

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Last modified on February 12, 2015.

Financial Incentive Program

Place New York

Name NYSERDA - Peak Load Reduction Program
Incentive Type State Rebate Program
Applicable Sector General Public/Consumer
Eligible Technologies Lighting, Lighting Controls/Sensors, Chillers, Roofs, Motors, Motor VFDs, Custom/Others pending approval, Photovoltaics, Wind, Fuel Cells, Other Distributed Generation Technologies
Active Incentive No
Implementing Sector State/Territory
Energy Category Renewable Energy Incentive Programs, Energy Efficiency Incentive Programs
Amount Incentives vary based on the type of load reducing measure

Expiration Date 2008-06-30

Maximum Incentive Total incentives per contractor cannot not exceed 5 million

Total incentives per facility cannot exceed 1.25 million

Program Budget $37 Million

Program Administrator New York State Energy Research and Development Authority
Website http://www.nyserda.org/programs/peakload/default.asp

References DSIRE[1]


The New York State Energy Research and Development Authority's (NYSERDA) Peak Load Reduction Program is designed to improve electric system reliability through customer reductions in electricity use during summer peak periods, particularly in New York City. The program provides a wide variety of incentives for four categories of load-reducing measures: permanent demand reduction, short-term demand reduction (load shifting), distributed generation, and the installation of interval meters. The program is very customizable, and NYSERDA will consider a wide variety of measures for funding as long as they can demonstrably reduce peak demand. Every New York resident, organization, government facility and business can participate in this demand response program; however, the minimum project size for these incentives ranges from 20 kilowatts to 100 kilowatts, so this program is geared more towards buildings with large consumption needs.

*Permanent demand reduction results in reduced peak demand through the installation of equipment which provides long-term energy savings. A wide variety of energy efficient equipment can receive funding under this program, as well as fuel cells, wind turbines, photovoltaics (PV), or other renewable energy resources. To be eligible, the equipment must be installed and operational in the building for at least five years and have a proven ability to reduce summer peak demand. Program participants within the Con Edison service area can receive the lesser of 65% of project costs or $600 per kilowatt of peak demand reduction; and participants outside the Con Edison service area can receive either 65% of project costs or $300 per kilowatt.

*The short-term demand reduction portion of the program awards incentives for the installation of equipment that allows a facility to curtail their demand on short notice in response to a notification from the New York Independent System Operator (NYISO) of a constrained energy grid or from the Load Serving Entity (LSE) when a localized constraint occurs. Eligible equipment and project-related costs include but are not limited to controls for HVAC equipment, lighting, process loads, motors and motor drives, metering equipment, equipment installation, engineering services, and the development of a curtailment plan. Participants within the Con Edison service area can receive the lesser of 65% of project costs or $200 per kilowatt of summer peak load curtailment; and participants outside the Con Edison service area can receive either 65% of project costs or $50 per kilowatt.

The Distributed Generation Program provides incentives for the owners of clean generation in the Con Edison service territory to transfer electric load to on-site generators in response to a NYISO notification. Generators funded through this program may be operated only in response to an event or test called by the NYISO through the ICAP/SCR program. Through this program, generators can receive an incentive worth the lesser of 65% of eligible project costs or $150 per kilowatt.

New York residents participating in a load reduction program such as the NYISO’s Demand Response program can receive an additional incentive through the Interval Meter Incentive Program. Interval meters purchased through this program are to be used to enable and verify kW demand reductions for associated demand response programs. NYSERDA must be provided read-only access to the data, for a minimum period of two years. Interval meters installed and operated in accordance with the program guidelines are eligible for an incentive worth the lesser of 65 percent of eligible project costs or $1,500 per meter.

  • Bonus incentives for certain permanent demand reduction and short-term load curtailment measures are also available, primarily for locations within the ConEd service territory. Details are available from the program website.

Incentive Contact

Contact Name Chris Smith
Department New York State Energy Research and Development Authority
Address 17 Columbia Circle
Place Albany, New York
Zip/Postal Code 12203-6399
Phone (518) 862-1090 Ext:3360
Phone 2 (866) 697-3732
Email cjs@nyserda.org
Website http://www.nyserda.org/

  • Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.[1]


  1. 1.0 1.1  "Database of State Incentives for Renewables and Efficiency (DSIRE)"