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Custom incentives: Refrigeration

We offer our business customers financial incentives to make retrofits that improve the efficiency of refrigeration systems. This part of our Custom Incentives program includes evaporative coolers and condensers.

   *Note: You’ll need to pre-qualify with us before you begin installation.


$0.10 and $200/kW

  • Up to 30% of project cost or $150,000, whichever is less

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. on summer weekdays (peak demand period). 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
(The following is not a comprehensive list)

  • High-efficiency chiller replacements that meet and exceed Title 24 baseline requirements
  • Refrigeration complete subsystem replacements (condensers, evaporators, cooling towers, or compressors)
  • Electric chiller heat reclaim
  • Refrigeration floating head controller installations
  • Conversions from constant air volume to variable air volume
  • Variable speed drives on pump motors (including chilled water and cooling tower pumps)
  • Refrigeration evaporator fan controls
  • Demand control ventilation installation (CO2 sensors)

Certain refrigeration projects may be eligible for Express Energy Solutions program -- applying is easy through our online rebate application. Please check our website for eligible measures. Most EES measures do not require pre-approval.

For all other refrigeration projects, please contact SMUD's Custom Incentives program manager Steve Oliver (916) 732-6359 before you purchase equipment.

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