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Custom air conditioning & refrigeration incentives

Level I Incentives:

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$0.08/kWh and $200/kW
Up to 20% of project cost or $150,000, whichever is less.

Air conditioning and refrigeration (AC&R) related measures that qualify for the AC&R Level I incentive are retrofits that improve the efficiency of the A/C or refrigeration system (i.e. kW/Ton improvements). Evaporative cooler and evaporative condenser retrofits are also classified under the AC&R Level I incentive rate category.

The demand (kW) reduction incentive will be paid only for projects that reduce electrical demand for at least one hour daily between 4 and 7 p.m., summer weekdays. Incentives paid for peak demand reduction will be pro-rated for projects that do not reduce electrical demand for the entire 4-7 p.m. time period.

Examples of Eligible Measures for Level I

Illustrative (not a comprehensive) list of qualifying efficiency measures

  • High-efficiency chiller replacements that meet and exceed Title 24 baseline requirements
  • Packaged air conditioners and heat pumps (>=240,000 Btu/hr or 20 tons) that meet and exceed Title 24 baseline requirements
  • Air conditioning complete subsystem replacements (evaporative condensers, air-cooled condensers, cooling towers, or compressors)
  • Refrigeration complete subsystem replacements (condensers, evaporators, cooling towers, or compressors)
  • Constant air volume to variable air volume conversions that produces both kW and kWh savings
  • Electric Chiller heat reclaim
  • Evaporative cooling unit installations
  • Evaporative pre-cooling unit installations
  • Indirect evaporative cooling (single stage and dual stage)
  • Heat transfer (including heat pumps) to heat sinks, such as ground source cooling in air-conditioned buildings
  • Refrigeration floating head controller installations

 

Level II Incentives:

$0.08/kWh
Up to 20% of project cost or $50,000, whichever is less.

AC&R measures that involve reduced operation or reduced load such as controls, or component retrofits (e.g., motors, pumps, components, Variable Speed Drives or fans) are classified under the AC&R Level II incentive rate category.

Examples of Eligible Measures for Level II 

Illustrative (not a comprehensive) list of qualifying efficiency measures

  • Controls and energy management systems for HVAC or refrigeration equipment
  • Variable speed drives on fans (including supply fans, exhaust fans, and cooling tower fans)
  • Variable speed drives on pump motors (including chilled water and cooling tower pumps)
  • Variable speed drive installations on existing air conditioning or refrigeration compressor motors
  • Refrigeration evaporator fan controls
  • Demand control ventilation installation (CO2 sensors)
  • Installation of high-speed cold storage doors
  • Air Conditioner air-side or water-side economizer installations on units not already equipped with a 100% economizer
  • Cooling tower upgrades

All projects require SMUD approval prior to installation. All projects are approved on a case-by-case basis.

HVAC Express Incentives: View
Refrigeration Express Incentives: View

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Contact information

Call SMUD Commercial Services 1-877-622-SMUD (7683) for eligibility verification and/or additional information.

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