Steam Air Conditioning Incentives

Is it time to update or replace your chiller equipment? Take advantage of reduced steam rates when you install a new steam A/C system. Steam is the best choice for both economical and reliable cooling.

Customer Benefits

  • Save money on new, more-efficient steam equipment.
  • Maintain your existing steam operations, maintenance staff, and operating and maintenance procedures.
  • Help maintain electric reliability for your building and your neighborhood.
  • Contribute to keeping electric and steam rates down.

How the Program Works

  1. Submit an application with the required supporting materials about your proposed project.
  2. We’ll review your application and let you know if you’re eligible.
  3. Sign and submit your required customer agreement within 30 days.
  4. We will schedule a preinstallation field visit to verify application information and supporting documents.
  5. If your project is good to go, we’ll give you an acceptance authorizing you to order, purchase, and install the approved equipment. You are fully responsible for completing your installation within 12 months of your acceptance letter date. If you can’t make that deadline, you must send us a written request for an extension.
  6. After installation, let us know that your project is complete, and submit any required new equipment information.
  7. We’ll schedule a post-installation field visit to verify the equipment installed.
  8. You will receive your incentive payment as soon as we confirm that your installation is acceptable and your customer agreement is signed.

Eligibility & Requirements

  • You must be replacing existing steam chillers with new steam chillers, replacing existing electric chillers with new steam chillers, installing new steam chillers in lieu of electric chillers in a major renovation or new construction, or proposing a custom steam chiller project subject to review and approval by Con Edison.
  • You are required to contract for a minimum of 10 years of steam service.
  • If you have a hybrid chiller configuration, you’ll be required to commit to demand response load reductions equivalent to the calculated load of the incentivized steam chiller equipment.
  • Engineering assessments are required for all custom projects as well as certain chiller locations and configurations.

Apply Now (PDF)

Steam AC Equipment Type

Capacity Range

Incentive Level (1)(2) ($ per ton)

Incentive Limit

Steam Turbine Chiller

Less than or equal to 1700 tons

$600

Up to 65% of the delivered equipment cost(3)*

Steam Turbine Chiller

Greater than 1700 tons

$525

Up to 65% of the delivered equipment cost(3)*

Double Stage Steam Absorption Chiller

All

$480

Up to 65% of the delivered equipment cost(3)*

Single Stage Steam Absorption Chiller

All

$325

Up to 65% of the delivered equipment cost(3)*

Custom Chiller Project** (4)

All

Incentives shall be determined on a case-by-case basis. Con Edison shall review the required material to determine the incentive offering for each eligible project.

Notes:

(1) All projects must be completed and fully operational by the application deadline to be eligible for the above incentives. No exceptions.

(2) A large project bonus incentive is available for any projects with a combined electric avoidance of 500 kW or greater (about 900 tons or greater). A 10 percent bonus is applied to the above incentives for projects of 500 kW to 999 kW. A 15 percent bonus is applied to the above incentives for projects of 1,000 kW or greater. See program requirements for details.

(3) Delivered equipment cost represents the total invoiced cost associated with purchase of the chiller equipment. This cost includes all delivery, labor, equipment, and taxes associated with purchasing the chiller equipment and delivering it to the property. Any additional customer costs including, but not limited to, site preparation, rigging, demolition, and equipment removal are not to be included in the total invoiced cost.

**(4) Custom projects are subject to Con Edison approval for eligibility and incentive levels as set forth in the program guidelines.

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Please note: Projects must be completed and fully operational by the deadline to be eligible for the listed incentives. No exceptions.

To qualify for steam A/C incentives, a signed application and all required supporting materials must be received and approved by Con Edison prior to ordering, purchasing, or installing any equipment.