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Demand Management Incentives for Large Customers

Help us lower our peak load on the hottest days and we’ll give you financial incentives to manage your energy use and save money.

Our Demand Management Program is open to customers, market partners, and aggregators.

Project Funding and Auctions

We will consider applications for 2018 energy projects as funding becomes available. Preference will be given to projects with lower $/kW incentive requests. We will consider emergency diesel generator jobs only if no other jobs are being considered when funding is available.

Con Edison has allocated $32 million to spend in 2019 and funding will be allocated to projects using two or more auctions. Projects with the highest chances of winning an incentive award will:

  • Have the lowest incentive requested on a kW reduced basis. Applicants are encouraged to propose incentive levels lower than the ceiling levels below.
  • Be “advanced technology" projects as described in the Technical Data Requirements, though other project types are also eligible.
  • Minimize the ratio of total project cost of kW reduction level.

Projects not selected for an incentive in the first auction can reapply to future auctions. Projects awarded an incentive offer for the 2019 program will be required to provide a security cash collateral in an amount that is equal to the lesser of 10% of the incentive offer by Con Edison, and equal to a capped cash collateral of $150,000 per project.

Current Auctions and Projects

The deadline for 2019-Auction B is fast approaching. Don’t forget to submit your jobs by March 1, 2018.

Auctions for Payouts in 2019

Final Application Deadline

Award Date

2019-Auction A

Closed - November 17, 2017

January 22, 2018

2019-Auction B March 1, 2018 April 19, 2018
2019-Auction C July 13, 2018*  

*Auction C will happen at the discretion of Con Edison. If it is held, the stated application deadline for this auction is tentative.

Project Type

2018 Project Completion Deadline

2019 Project Completion Deadline

HVAC, BMS/Controls, DR Enablement – Controls

August 1, 2018

August 1, 2019

High Efficiency Electric Chiller, Thermal Storage, Battery

September 14, 2018

September 16, 2019

Non-Electric Chiller, DR Enablement – Generator

October 15, 2018

October 15, 2019

Incentive Limits

All incentives will be capped at the lesser of:

  • 50 percent of the project cost estimate as determined by Con Edison, or
  • 50 percent of the actual project costs, or
  • Incentive levels listed in the chart below, based on kW estimates as determined by Con Edison, or
  • $3 million per project in 2018, $4 million per project in 2019, or 
  • $5.5 million per market partner or applicant in 2018, $8 million per market partner or applicant in 2019 

Project Type

2018 Ceiling Incentive Levels

2019 Ceiling Incentive Levels

Thermal Storage



Battery Storage



High Efficiency Electric Chiller/HVAC/BMS/Controls



DR Enablement Controls



DR Enablement (for CHP, covers only incremental kWs that can be generated above base load level) $650/kW   $500/kW

Steam Turbine Chiller, Double Stage Absorption Chiller, Gas Driven Chiller*



Single Stage Absorption Chiller*



Steam Turbine Chiller Control Panel for Improved Efficiency*



* Use .55kW/ton factor to convert to $/ton


To attend or view a Demand Management webinar, register or log in.





Demand Management Program 2019 Auction B (recording)

December 7, 2017, 1 p.m.


Looking to better manage your building’s energy output? Visit our interactive site

Program Application

2018 Program Application
2018 Technical Data Requirements (PDF)
2019 Program Application
2019 Technical Requirements