Rebates list

Pennsylvania Rebates and Incentives Summary

Rhode IslandPennsylvania has a history of innovation and forward-thinking ideas. It was the first state to put its website URL on its license plate. It’s home of the first baseball stadium, built in 1909. The first automobile service station went up in Pittsburgh in 1913. And, in 1946 Philadelphia became home to the first computer. The state is not quite leading the charge on solar the way it has in so many other fields. But it’s not far behind either.

Pennsylvania offers home and business owners as well as non-profits and government properties incentives and rebates for installing alternative energy, including photovoltaics, solar thermal, wind turbines and geothermal systems. In 2008, the state fueled its renewable energy program when Gov. Ed Rendell (D) signed a law creating the commonwealth’s $650 million Alternative Energy Investment Fund. This legislation broadly increased funding for projects of all sizes and included an additional $16 million Alternative Fuels Investment Fund. Large sums are reserved to help home and property owners invest in energy efficiency – $237.5 million. And the state invests another $428.4 million in developing alternative energy and creating green jobs.

A fair amount of that money – $100 million – directly benefits homeowners and small businesses through the Pennsylvania Sunshine Solar Program, which provides rebates to help subsidize the cost of installing PV arrays and solar thermal systems. What’s great about the programs is that they’re not mutually exclusive, so if you get a state grant or low-interest-rate loan to help you renovate your building for energy efficiency, you can still qualify for the solar rebate program. All state incentives are offered on a first-come-first serve basis, and the programs are incredibly popular. Some funding is drying up years in advance of expectations.

Incentives are offered at the state and local level and by individual utility companies. Under different legislation, utilities in Pennsylvania are required to purchase power produced by independent solar and other renewable energy providers. The state also renewed its residential and business solar tax credit programs through Dec. 31, 2016. The program allows a 30 percent investment tax credit for each installed system.

Pennsylvania benefits from being centrally located in what is a hotbed of solar activity.  Neighboring New Jersey, Maryland, and New York are currently three states in the top 10 for solar activity in the US.  You will find many qualified solar installers working in most areas of the state that also work in these other states and vice versa.

 

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Adams Electric Cooperative - Energy Efficiency Loan Program

Adams Electric Cooperative offers financing to help residential customers increase the energy efficiency of homes through the Energy Resource Conservation (ERC) and Supplemental Loan Program. Residents who qualify for a loan can borrow up to $100,000 with terms of 5-8 years for installations in either existing or new houses. Further information is available on the program web site or from utility personnel.

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Alternative and Clean Energy Program

NOTE: It is important to note that some applicants are only eligible to apply under some aspects of the program. Political subdivisions are only permitted to apply for loans or grants for Clean Energy Projects. Businesses and non-profits may apply for loans for Alternative Energy Production Projects and Clean Energy Projects, but may only apply for grants for Alternative Energy Production Projects and for site preparation for an alternative energy system as a Clean Energy Project.

In July 2008, Pennsylvania enacted a broad $650 million alternative energy bill designed to provide support for a variety of renewable energy and

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Alternative Energy Portfolio Standard

Pennsylvania's Alternative Energy Portfolio Standard (AEPS), created by S.B. 1030 on November 30, 2004, requires each electric distribution company (EDC)* and electric generation supplier (EGS) to retail electric customers in Pennsylvania to supply 18% of its electricity using alternative-energy resources by 2020.** 

Eligible technologies

The eligible alternative energy resources are categorized into two “Tiers”. The standard calls for utilities to generate 8% of their electricity by using "Tier I" energy sources and 10% using "Tier II" sources by May 31, 2021. 

Tier I sources include new and existing facilities which produce electricity using the following sources/technologies

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Alternative Fuel Vehicle Rebate Program

The Alternative Fuel Vehicle Rebate Program is offered to Pennsylvania residents and are offered on a first-come, first-served basis as long as funding is available. For more information, visit the program website.

The rebate applies to new purchases of hydrogen fuel cell vehicles, battery electric vehicles, plug-in hybrid electric vehicles, and electric motorcycles (excluding scooters and e-bikes) with a final purchase price up to $50,000. Used vehicles with fewer than 75,000 miles, purchased from a dealer for less than $50,000 are also eligible for the rebates.

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Building Energy Code

NOTE: Much of the information presented in this summary is drawn from the U.S. Department of Energy’s (DOE) Building Energy Codes Program and the Building Codes Assistance Project (BCAP). For more detailed information about building energy codes, visit the DOE and BCAP websites.

Pennsylvania Department of Labor and Industry (DLI) has the authority to upgrade commercial and residential energy standards through the regulatory process. The current code, the 2009 UCC, became effective December 31, 2009. On January 2016, Pennsylvania also adopted several residential provisions from the 2015 IECC (see details here). 

Over 90% of Pennsylvania's 2,563 municipalities have

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City of Philadelphia - Green Power Purchasing

Philadelphia Municipal Energy Master Plan for the Built Environment

The plan outlines how City government will reach these goals by reducing energy use and cleaning the energy supply. Because energy plays an important role in climate change and disaster preparedness, the plan also informs City government’s climate mitigation and adaptation work. To read the plan visit here.

This plan provides City-owned buildings a roadmap for:

  • Increased energy efficiency.
  • Renewable energy generation.
  • Energy resiliency in municipal buildings and the built environment in Philadelphia

The plan sets four goals for City government’s owned and operated built environment:

  • Reduce greenhouse gas emissions
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City of Philadelphia - Solar Rebate Program

On August 14, 2019, Mayor Kenney of Philadelphia signed a law which created a Solar Rebate. The rebate is paid by the City for commercial or residential solar installations completed after July 1, 2019. These incentive payments will average $1,000 per home. The program has a spending cap of $500,000 per fiscal year.

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City of Philadelphia - Streamlined Solar Permitting and Fee Reduction

Photovoltaic systems of 10 kW or less installed on 1- or 2-family residential units are eligible for streamlined permitting and a fee reduction. PV projects can use a combined electrical and building permit (an "EZ Permit") instead of filling out two separate permits if the project meets certain installation and electrical requirements (as outlined on the combined permit form).

Certain installations are prohibited:

  • On engineered roof trusses, except when the applicant provides a letter from a professional engineer stating that the roof has been inspected and the proposed solar system has been evaluated and will not negatively impact
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Duquesne Light Company - Residential Energy Efficiency Program

Duquesne Light provides rebates to its residential customers for purchasing and installing energy-saving equipment. Customers must purchase and install equipment before applying for the rebate. Customers must then fully and accurately complete the rebate form and send it to the address stated on the document. Rebates should be received within 60 days of rebate form submittal. Equipment standards must meet efficiency requirements of the program. Call 877-694-2197 for rebate inquiries.

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Duquesne Light Company - Residential Solar Water Heating Program

This program is closed for new applicants.


Duquesne Light provided rebates to its residential customers for purchasing and installing qualifying solar water heating systems. Eligible systems may receive a flat rebate of $300 per qualifying system. Various equipment, installation, contractor, and warranty requirements apply, as summarized above and described in more detail in program documents. Customers must purchase and install equipment before applying for rebate and must then fully and accurately complete the rebate form and send it to the address stated on the document. Rebates are paid by debit card, which should be received within 60 days of the

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Energy Efficiency and Conservation Requirements for Utilities

In October 2008 Pennsylvania adopted Act 129 requiring PA Public Utility Commission (PUC) to establish energy efficiency and conservation program for the state’s investor owned utilities. The standard applies to utilities with at least 100,000 customers, which includes the following seven Electric Distribution Companies* (EDCs): PECO Energy, PPL Electric Utilities, West Penn Power, Pennsylvania Electric (Penelec), Metropolitan Edison (Met-Ed), and Duquesne Light. 

Electric Energy and Demand Reduction Standard

The Act 129 included an initial energy conservation and demand reduction targets until 2013. Beyond the initial 2013 targets, the act required the commission to evaluate cost effectiveness of the

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EZ Permit: Electric Vehicle Charger

The City of Philadelphia allows simplified permitting for certain Electric Vehicle Charging Station installations ("EZ Permits"). Qualifying EV Chargers can be permitted without submission of electrical plans or a separate building permit. All projects must meet 2017 National electric code, and are subject to additional requirements as listed in the application.

Qualifying installations require:

  • EV Chargers to be the accessory to a 1- or 2-family dwelling
  • Installations must be pedestal mounted except installations on private property may be wall mounted.
  • Zoning approval for off-street parking must be included if the installation is on private property.
  • For installations
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First Energy (MetEdison, Penelec, Penn Power, West Penn Power) - Residential Solar Water Heating Program

First Energy Utilities (MetEd, Penelec, Penn Power, West Penn Power) in Pennsylvania provide rebates to residential customers for purchasing and installing qualifying solar water heating systems. Eligible systems may receive a rebate of up to $500.  Applications must include a dated sales receipt from the contractor and a copy of the Solar Rating and Certification Corporation (SRCC) certificate indicating SRCC certification. Application forms, terms and conditions, and a list of eligible systems are available on the program website.

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FirstEnergy (MetEdison, Penelec, Penn Power, West Penn Power) - Residential Energy Efficiency Programs

First Energy as a parent company administers the energy efficiency program for Metropolitan Edition (Met-Ed), Pennsylvania Electric (Penelec), Pennsylvania Power (Penn Power), and West Penn Power.  The program summarizes most of the programs offered by these utilities, the actual incentives might vary between the electric utilities. 

Energy Efficiency Kit Program: Residential customers of FirstEnergy's Pennsylvania utilities are eligible to receive an energy efficiency kit. There is no fee for this kit and it will be shipped directly to your home so you can begin saving energy and reduce your utility bill. Request a kit here.

Residential Energy Audit Program:

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High Performance Building Incentives Program

In July 2008, Pennsylvania enacted a broad $650 million alternative energy bill designed to provide support for a variety of renewable energy and energy efficiency technologies. Included in this legislation was a provision authorizing the creation of a $25 million grant and loan program for high performance buildings. The program is jointly administered by the Department of Community and Economic Development (DCED) and the Department of Environmental Protection (DEP), under the direction of Commonwealth Finance Authority (CFA). Program guidelines were issued in April 2009 and revised in November 2009. Incentives are available to both in-state small businesses (100 or fewer

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High Performance Buildings Incentive Program

In July 2008, Pennsylvania enacted a broad $650 million alternative energy bill designed to provide support for a variety of renewable energy and energy efficiency technologies. Included in this legislation was a provision authorizing the creation of a $25 million grant and loan program for high performance buildings. The program is jointly administered by the Department of Community and Economic Development (DCED) and the Department of Environmental Protection (DEP), under the direction of Commonwealth Finance Authority (CFA). Program guidelines were issued in April 2009 and revised in November 2009. Incentives are available to both in-state small businesses (100 or fewer

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Interconnection Standards

The Pennsylvania Public Utilities Commission was required to adopt interconnection standards and net-metering rules by the Alternative Energy Portfolio Standards Act of 2004. The PUC subsequently adopted interconnection standards for net-metered distributed generation (DG) systems in August 2006. In July 2007, H.B.1203 required the Pennsylvania Public Utilities Commission (PUC) to develop "technical and net-metering interconnection rules for customer-generators... consistent with rules defined in other states within the service region of the regional transmission organization that manages the transmission system in any part of the [state]."

In July 2008 the PUC issued a final rulemaking order (effective November 2008) adopting new net

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Met-Ed / Penelec Sustainable Energy Fund

FirstEnergy (formerly GPU) established the Metropolitan Edison Company (Met-Ed) Sustainable Energy Fund in 2000 with an initial contribution of $5.7 million. The fund later received an additional contribution of $2.5 million as a result of the merger between GPU Energy and FirstEnergy, bringing the total to $8.2 million. The fund is administered by the Berks County Community Foundation. The majority of funding available from the Metropolitan Edison Company SEF takes the form of investments made in businesses pursuing one or more of the fund's objectives. These funds typically will be distributed as loans or equity investments, but a limited number

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Metropolitan Edison Company SEF Loans (FirstEnergy Territory)

FirstEnergy (formerly GPU) established the Metropolitan Edison Company Sustainable Energy Fund in 2000 with an initial contribution of $5.7 million. The fund later received an additional contribution of $2.5 million as a result of the merger between GPU Energy and FirstEnergy, bringing the total to $8.2 million. The fund is administered by the Berks County Community Foundation. The majority of funding available from the Metropolitan Edison Company SEF takes the form of investments made in businesses pursuing one or more of the fund's objectives. These funds typically will be distributed as loans or equity investments. The program is open to

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Net Metering

NOTE: On October 2016, the PA Public Service Commission (PUC) issued a second final rulemaking order amending net metering and Alternative Energy Portfolio Standards (AEPS) regulations. Changes include clarifying provisions for meter aggregation, revisions to the interconnection rules and other minor amendments. The documents associated with the case can be accessed at Docket L-2014-2404361.

In 2006 the PA Public Utilities Commission (PUC) adopted net-metering rules and interconnection standards for net-metered systems and other forms of distributed generation (DG) pursuant to the Alternative Energy Portfolio Standards (AEPS) Act of 2004. In 2007, H.B. 1203 amended AEPS and expanded net metering. Revised

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PECO Energy (Electric) - Residential Energy Efficiency Rebate Program

PECO electric service customers are eligible for rebates on ENERGY STAR qualified appliances and HVAC equipment. Whether eligible technologies are purchased through a retail store or a contractor, customers should fill out a rebate form and attach a paid receipt. PECO will also pick up, recycle, and provide rebates for an old refrigerator or freezer. Lighting discounts are also available through selected retailers. Fuel switching rebates may also be available to PECO customers.

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PECO Energy (Gas) - Residential Heating Efficiency Rebate Program

The PECO Natural Gas Efficiency Upgrade Program offers various incentives for installing energy efficient gas equipment in homes.  The program is available to PECO natural gas customers in the natural gas service area of Bucks, Chester, Delaware and Montgomery Counties. All equipment must meet program efficiency requirements. Rebates can be submitted online or by email or mail.

Fuel switching rebates may also be available to eligible PECO customers. Appliances for use in new construction are not eligible for this program. For more information, and to access application forms, visit the program web site. 

 

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Penelec SEF of the Community Foundation for the Alleghenies Grant Program (FirstEnergy Territory)

FirstEnergy (formerly GPU) established the Metropolitan Edison Company Sustainable Energy Fund and the Penelec Sustainable Energy Fund in 2000. The Community Foundation for the Alleghenies in Johnstown, Pennsylvania administers the Penelec loan and grant components of the Fund. The fund is administered by the Berks County Community Foundation. The majority of funding available from the fund takes the form of investments made in businesses pursuing one or more of the fund's objectives. These funds typically will be distributed as loans or equity investments, but a limited number of grants are available each year for specific purposes. The following are the

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Penelec SEF of the Community Foundation for the Alleghenies Loan Program (FirstEnergy Territory)

FirstEnergy (formerly GPU) established the Metropolitan Edison Company Sustainable Energy Fund and the Penelec Sustainable Energy Fund in 2000. The Community Foundation for the Alleghenies in Johnstown, Pennsylvania administers the Penelec loan and grant components of the Fund, which has assets of approximately $9.1 million. The majority of funding available from the fund takes the form of investments made in businesses pursuing one or more of the fund's objectives. These funds typically will be distributed as loans or equity investments. The program is open to any individual, organization, governmental entity, or corporation. Penelec Sustainable Energy Fund and Metropolitan Edison Sustainable

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Pennsylvania Alternative and Clean Energy Program (ACE)

NOTE: It is important to note that some applicants are only eligible to apply under some aspects of the program. Political subdivisions are only permitted to apply for loans or grants for Clean Energy Projects. Businesses and non-profits may apply for loans for Alternative Energy Production Projects and Clean Energy Projects, but may only apply for grants for Alternative Energy Production Projects and for site preparation for an alternative energy system as a Clean Energy Project.

In July 2008, Pennsylvania enacted a broad $650 million alternative energy bill designed to provide support for a variety of renewable energy and

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Philadelphia Gas Works - Home Rebates Program

PGW’s Home Rebate program is available for residential customers within the PGW service territory. To participate in the program, the homeowner must first obtain a discounted home energy audit from a PGW-approved contractor. The assessment will identify various cost-effective energy saving opportunities customized to the home. Following the assessment, the contractor will work with the customer to determine a scope of work. The customer is eligible for a rebate based on the final project scope, up to approximately $3,000. Please contact PGW at 855-PGW-SOLVES to participate in the program


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Philadelphia Gas Works - Residential and Commercial Construction Incentives Program

Philadelphia Gas Works (PGW) provides incentives to developers, home builders and building owners that build new facilities or undergo gut-rehab projects to conserve gas beyond the level consumed at code (IECC 2009) minimum standards. Single-family residential properties can qualify up to $750 per for saving at least 20% beyond energy code minimum standards. Commercial and multifamily properties can qualify for up to $60,000 calculated based on the projected energy savings of at least 15% beyond energy code minimum standards. Projects may use a variety of equipment and measures to achieve gas savings to qualify including high efficiency heating equipment, water

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Philadelphia Gas Works - Residential and Small Business Equipment Rebate Program

Philadelphia Gas Works' (PGW) Residential Heating Equipment rebates are available to all PGW residential or small business customers installing high efficiency boilers and furnaces, and tankless water heaters. All equipment must meet program requirements in order to be eligible for rebates. See the program website for more information on rebate amounts, equipment requirements and fund availability.


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PPL Electric Utilities - Business Incentive Program

PPL Electric Utilities offers incentives on a variety of energy efficiency projects, including solar and CHP.

In 2023, the program design changed to offer energy-based incentives of 8 cents per kWh saved, calculated based on annual performance. The savings must be based on production estimates and annual consumption data or estimates and are subject to verification prior to full approval.

New construction projects will be vetted based on the PPL Electric service application. Total Resource Cost and incentives will be calculated based on customer's displaced energy.

Pre-approval for solar projects is required. To receive pre-approval, you must have a service

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PPL Electric Utilities - Residential Energy Efficiency Rebate Program

PPL Electric Utilities as part of Pennsylvania's Act 129 offers numerous rebates and incentives for its residential customers to improve energy efficiency. All residential customers of PPL Electric are eligible for the incentives. 

Interested applicants must first contact a qualified contractor to install the equipment. PPL utility maintains a database of all participating contractors that the customers can reach out to for installations. After the work is completed the customer can apply online or mail in the rebate form. The applications for the rebates for appliances and equipment must be submitted within 90 days of installation. Applications for insulation

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Public Benefits Programs


Although Pennsylvania's December 1996 electricity restructuring law did not establish a clean-energy fund, four renewable and sustainable-energy funding programs were subsequently created through individual settlements with the state’s five major distribution utilities: Metropolitan Edison Company (Met-Ed), Pennsylvania Electric Company (Penelec), PECO Energy (PECO), PP&L (PPL), and Allegheny Power/West Penn Power Company (WPP). These utilities created individual "Sustainable Energy Funds" with the goals of promoting (1) the development and use of renewable energy and advanced clean-energy technologies, (2) energy conservation and efficiency, and (3) sustainable-energy businesses. Each utility has established an oversight board and designated a fund administrator.


The four Sustainable

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Small Business Advantage Grant Program

NOTE: the 2024-2025 Grant Program application window opened on September 20, 2024. It will remain open until funds are exhausted.

Established in July 2004, the PA Small Business Advantage Grant Program provides matching funds to for-profit businesses with a maximum of 100 full-time equivalent employees for improvements in energy efficiency and pollution prevention. The business must also be the primary source of employment for at least one full-time employee. 

The Department of Environmental Protection (DEP) administers the grants, providing up to $12,000 for proposed projects with significant environmental savings in environmental justice areas. The DEP provides a Small Business Advantage

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Solar Alternative Energy Credits

Pennsylvania's Alternative Energy Portfolio Standard (AEPS), created by S.B. 1030 on November 30, 2004, requires each electric distribution company (EDC) and electric generation supplier (EGS) to retail electric customers in Pennsylvania to supply roughly 18% of its electricity using alternative-energy resources -- roughly 8% from Tier I technologies and 10% from Tier II technologies -- by 2021. The standard also contains a solar set-aside requiring obligated entities to procure a small percentage of their electricity sales from photovoltaic (PV) systems as part of the Tier I requirement. As with the other components of Pennsylvania's AEPS, the percentage requirement ramps

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Solar Energy Incentives Program

Note: The deadline for the most recent solicitation under this program has now passed. The program is currently closed, pending revisions to the program guidelines. Please see the program web site for further details. The Pennsylvania Department of Community and Economic Development now provides the Alternative and Clean Energy Program in place of this one.

In July 2008, Pennsylvania enacted legislation providing $650 million to support a variety of renewable energy and energy efficiency technologies. Included in this legislation was a provision authorizing the creation of a $80 million grant and loan program for solar energy technologies. The program is

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Solar Energy Loan Program

The Solar Energy Program (SEP) program offers financial assistance as loans to eligible applicants to promote manufacturing, research and development, and generation of solar energy in the state.  The program is administered jointly by the Department of Community and Economic Development (DCED) and the Department of Environmental Protection (DEP) under direction of the Commonwealth Financing Authority (CFA). 

Eligibility

The following applicants are eligible for loans:

1. A Business – a corporation, partnership, sole proprietorship, limited liability company, business trust, or other commercial entity approved by the Commonwealth Financing Authority. The term shall include venture capital firms, solar energy and solar thermal
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Sustainable Development Fund Financing Program (PECO Territory)

The Pennsylvania Public Utility Commission created the Sustainable Development Fund (SDF) in its final order of the PECO Energy electric utility restructuring proceeding. The Reinvestment Fund, Inc. (TRF), which was formed in 1985 to build wealth and opportunity for low-wealth communities and low- and moderate-income individuals, administers the SDF. The SDF later received additional funding and responsibilities as a result of the PECO Energy/Unicom merger settlement. That settlement added funding for new wind development, for solar photovoltaics and for renewable energy education, as well as a lump-sum payment and an increase in SDF's core fund. In total, the fund has

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Sustainable Energy Fund (SEF) Loan Program (PPL Territory)

The Sustainable Energy Fund (SEF) promotes and invests in energy efficiency and renewable energy projects, and energy education initiatives in the state of Pennsylvania. 

Financial incentives are offered as loans to promote clean energy technologies and for projects where energy savings are measurable. Eligible clean technology applications include a wide range of energy efficiency and renewable energy projects. Financing is available to commercial, industrial, municipal, agricultural, and nonprofit entities. Special features of the loans include: no prepayment penalty, subordinate lien positions, 100% financing, and interest only period payments.

The SEF also provides financing to non-profits through its Energy Savings Agreements program

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West Penn Power SEF Commercial Loan Program

WPPSEF Offers Conventional Financing that ranges from $25,000 to $1,000,000 and ACT 129 Micro Loans that range from $10,000 to $50,000. For more information on these programs please visit the website above.

The West Penn Power Sustainable Energy Fund (WPPSEF) promotes the use of renewable energy and clean energy among commercial, industrial, institutional and residential customers in the West Penn market region. Eligible technologies include solar, wind, low-impact hydro, sustainable biomass such as closed-loop biomass and biomass gasification, and innovative natural gas technologies as well as energy efficiency. Clean energy refers to advanced technologies, including landfill gas and fuel cells

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West Penn Power SEF Grant Program


The West Penn Power Sustainable Energy Fund (WPPSEF) promotes the use of renewable energy and clean energy among commercial, industrial, institutional and residential customers in the West Penn market region. Eligible technologies include solar, wind, low-impact hydro, sustainable biomass such as closed-loop biomass and biomass gasification, and innovative natural gas technologies as well as energy efficiency. Clean energy refers to advanced technologies, including landfill gas and fuel cells, which use fossil fuels but have significantly lower emissions and waste than current commercialized technologies and fuels derived from waste.

In addition to loans, the program also offers grants up to $25,000 for

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Wind and Geothermal Incentives Program

NOTE: Program is closed as of August 2024

In July 2008, Pennsylvania enacted a broad $650 million alternative energy bill designed to provide support for a variety of renewable energy and energy efficiency technologies. Included in this legislation was a provision authorizing the creation of a $25 million grant and loan program for wind and geothermal energy technologies. The program is jointly administered by the Department of Community and Economic Development (DCED) and the Department of Environmental Protection (DEP), under the direction of Commonwealth Finance Authority (CFA). The most recent program guidelines were issued in January 2018, available here

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