Incentive Levels and Tiered Incentive Rates
SGIP Incentive Levels
The SGIP program provides incentive payments to help reduce the cost of installing self-generation equipment. Incentive is paid 50% upfront with the remaining incentive paid based on system performance over a five-year period.
The incentive levels for the categories of the self-generation technologies are as follows:
| Technology Type | Incentive | |
|---|---|---|
| Renewable and Waste Energy Capture | Wind Turbine | $1.25 |
| Waste Heat to Power Technologies | $1.25 | |
| Pressure Reduction Turbine | $1.25 | |
| Conventional CHP | Internal Combustion Engine – CHP | $0.50 |
| Microturbine – CHP | $0.50 | |
| Gas Turbine – CHP | $0.50 | |
| Emerging technologies | Advanced Energy Storage1 | $2.00 |
| Biogas2 | $2.00 | |
| Fuel Cell – CHP or Electric Only | $2.25 |
1Standalone or paired with solar PV or any otherwise eligible SGIP technology.
2Biogas incentive is an adder that may be used in conjunction with fuel cells or any conventional CHP technologies.
Tiered Incentive Rates
For projects greater than 1 MW up to 3 MW, the incentive identified in the above table declines according to the schedule in the table below.
| Capacity | Incentive Rate (Percent of Base) |
|---|---|
| 0 - 1 MW | 100% |
| >1 MW - 2 MW | 50% |
| >2 MW - 3 MW | 25% |
No incentives are paid for system capacities above 3 MW, including existing generating capacity that has previously received SGIP incentives.
