Industrial Energy-Saving Incentives

The information below provides details on valuable federal and state incentives for manufacturers and industrial energy consumers. Be sure to check this page often for the latest information on these incentives, including eligibility, dates and most importantly, how to redeem incentives.

Please note that incentives paid through credits on your annual federal tax filings will require using 2015 Internal Revenue Service forms. Click on the links below to expand details about each incentive.

Be sure to check this page often for the latest information on incentives!

Energy Investment Rebates and Credits

Business Renewable Energy Investment Tax Credit (ITC)

Provider: Federal Internal Revenue Service

Savings: Provides a 30% credit for solar, fuel cells and small wind; 10% credit for geothermal, microturbines and CHP. Allows eligible taxpayers to receive federal renewable electricity production tax credit (PTC) for the purchase and installation of renewable energy sources.

Qualifications: Fuel cells, microturbines and CHP systems must meet specific energy-efficiency criteria.

How to get it: To apply for the tax credit, a business must complete Form 3468

When to get it: Credits are available for eligible systems placed in service on or before December 31, 2016.

Green Jobs Tax Credit

Provider: Virginia Department of Commerce and Trade

Savings: For every green job created with a yearly salary of $50,000 or more, a company is eligible to earn a $500 income tax credit for five years.

Qualifications: Employers must create a new job in the alternative energy/renewable energy fields. The Department of Commerce and Trade has rules regarding qualifying jobs. The credit is allowed for the first five years that the job is continuously filled. For the purposes of this tax credit, a green job is defined as employment in industries relating to renewable or alternative energy, including hydrogen and fuel cell technology, landfill gas, and biofuels.

How to get it: For more information on the Green Jobs Tax Credit, contact the Office of the Secretary of Commerce and Trade by E-Mail or Phone: (804) 786-7831

When to get it: The tax credit expires on January 1, 2018

Wood, Alternative Energy, or Cogeneration Tax Exemption

Provider: Virginia Department of Environmental Quality

Savings: Any city or town can exempt or partially exempt generating equipment that is used to convert from oil or natural gas to wood, wood waste, or any alternative energy source for manufacturing, or any cogeneration equipment from local property taxes.

How to get it: Contact your local tax office. Localities offering exemptions: Dinwiddie, Henrico, Pulaski, and Winchester.

When to get it: Exemption currently available.

Efficiency Equipment & Building Improvements & Upgrades

Energy Efficient Lighting Systems & Controls Rebate Program

Provider: Dominion Virginia Power

Savings: Non-residential customers will be eligible to receive one rebate ($2-$235/fixture) per upgrade of qualifying energy efficient lighting and lighting controls.

Qualifications: To qualify, applicants must be a Dominion Virginia Power customer with a demand of 10 megawatts or less and be responsible for the electric bill, own the building and/or be able to secure permission from the building owner to complete the lighting project. Upgrades/installations must be performed by a participating contractor.

How to get it: Upon completion of lighting installation, the participating contractor will complete the rebate application. Form must be submitted within 45 days of completion date.

When to get it: This incentive is currently available.

Heating & Cooling System Rebate Program

Provider: Dominion Virginia Power

Savings: Non-residential customers will be eligible to receive rebates of $26-$62 per ton for qualifying energy efficient heating and cooling systems. Economizer upgrade rebates are offered at a rate of $98 per ton for dual enthalpy economizers less than 10 tons and $156 per ton for dual enthalpy economizers 10 tons or more.

Qualifications: To qualify, applicants must be a Dominion Virginia Power customer with a demand of 10 megawatts or less and be responsible for the electric bill, own the building and/or be able to secure permission from the building owner to complete the heating and cooling system project. Upgrades must be performed by a participating contractor.

How to get it: Upon completion of the installations, the contractor will complete the rebate application. Form must be submitted within 45 days of completion date.

When to get it: This incentive is currently available.