We understand money may be scarce for your company at this time, but that doesn’t mean you need to say no to an energy solution. With our team of financial analysts, we can connect you to resources that can help fund your desired renewable energy system. One of the most common ways our clients receive funding is through rebates.
What Is a Rebate and How Does It Help?
In simple terms, a rebate is a sum of money paid by your local utility company to help you purchase a renewable energy system or energy-efficient technology. Rebates typically subsidize costs for building automation systems, lighting retrofits, HVAC upgrades, solar panels, energy-efficient water heaters, and more. And, they can finance 10-20% of your project. Ultimately, it makes your project more affordable upfront and it shortens the payback period. To check out different rebate options click here.
Why do Utility Providers Give Rebates?
Although it may seem counterintuitive, many electric utility companies offer significant financial incentives to install energy-efficient equipment that can save your company and organization energy and money. So why do they do it?
1. Reduce the demand
It may seem crazy that a company might actually try to reduce the demand for their product, but when the product is energy it may make a little more sense. The grid (a compilation of electricity substations, transformers, and power lines) has a limited amount of energy it can provide. Therefore, at times there is an inability to match the demand with the current supply levels.
Solving this demand problem would require utility suppliers to build new power plants which can be an expensive, time-consuming process. So instead of investing vast amounts of capital into new facilities, it can actually be more cost-effective for consumers to make some of their own energy and lessen the demand of the grid.
2. Public Policy
Public policy also plays a role in this as well. In many states, governments have made sustainable energy policies a high priority, and have set tax dollars aside for the sole purpose of reducing consumption. A good example of this is California where the California Energy Commission implemented Title 24. It’s an energy code that is designed to reduce wasteful and unnecessary energy consumption in newly constructed and existing buildings.
How Do You Receive a Rebate?
In order to receive a rebate, a company or organization must apply. The EnergyLink team knows it can be an overwhelming process so we handle it for all of our clients. No work on your end. EnergyLink’s team will work with your organization’s utility provider to facilitate applying for and receiving all renewable energy and energy efficiency rebates. We also have relationships with many utility providers. Currently, EnergyLink is experienced in working with the following utility providers: Ameren, Kansas City Power & Light, Xcel Energy, and more. And, we are eager to add to our list!
At EnergyLink, we are committed to helping our clients find energy-saving solutions even in this challenging time. For more information on how to cut costs and how to finance an energy system upgrade during this time, contact us! To learn more about other financing options, click here.