Save on Energy – Retrofit Program
We help businesses by providing financial incentives to upgrade to more energy-efficient equipment that can reduce energy bills, lower carbon footprints and enhance staff comfort.
Projects that achieve sustainable, measurable reductions in electricity use may be eligible for the Save on Energy Retrofit Program.
Offered by Independent Electricity System Operator
Amount
Up to 50% of eligible project costs
Up to 50% of eligible project costs (Prescriptive set incentives or Custom incentives from verified kWh/kW peak reductions); double incentive rate for most non-lighting projects in electricity-constrained areas, capped at 50% of eligible project costs; solar PV $1,000/kW-DC for systems ≤10 kW-DC or $770/kW-AC for systems >10 kW-AC up to 1 MW-AC
Quick eligibility check
Who can apply
Projects that achieve sustainable, measurable reductions in electricity use are eligible for incentives for a variety of products and technologies through the Save on Energy Retrofit Program.
Building eligibility
Financial incentives through the Retrofit program are available to owners or lessees* of:
- commercial spaces
- industrial facilities
- municipal buildings, universities, colleges, schools, hospitals
- multi-residential buildings
- agricultural facilities
*If you lease, you must have the owner's consent or authorization to participate.
Is there a grace period for submitting a project that has already started?
There is no grace period for submitting an application for a project that has already started. As described in the Program Requirements, participants must not have entered into a binding commitment prior to applying to the Retrofit program.
About the funding
Get up to 50% of eligible project costs covered
The Retrofit Program offers two incentive streams: Prescriptive for common upgrades with set incentives, and Custom for complex projects where incentives are calculated based on actual operating conditions.
Prescriptive Stream
This stream helps businesses earn set incentives for common, proven energy upgrades. You can choose upgrades from a convenient list of eligible measures with defined incentives—up to 50% of eligible project costs.
Show all funding details
Custom Stream
This stream supports businesses undertaking complex or unique energy-efficient retrofits that may not fit in the Prescriptive Stream and project savings vary based on specific facility conditions. Incentives are calculated from verified kWh or kW peak reductions—up to 50% of eligible project costs.
Bonus offer for electricity-constrained areas
Receive double the incentive rate for most non-lighting projects in eligible areas, capped at 50% of the eligible project costs.
Is there a limit on the Retrofit incentives I can receive?
Incentives are capped at 50 percent of eligible project costs. Please refer to the Retrofit Program Requirements for the types of eligible project costs for Prescriptive and Custom projects.
How long will it take to receive my Retrofit incentive?
Once your Retrofit incentive invoice has been approved, it should take between eight and twelve weeks to receive your incentive. Retrofit Participants are required to submit an invoice to the IESO for the approved incentive amount after their post-project application is approved.
How will I receive the incentive?
The incentive will be sent by cheque to the address listed as the applicant address under Applicant details in the Retrofit application.
What is being introduced?
The Save on Energy Retrofit program is offering a new incentive for distributed energy resources (DERs) for businesses. The incentive is for the installation of solar photovoltaic (PV) systems for load displacement purposes. There are two categories of incentives:
- Micro Generation – The incentive is $1,000/kW-DC for systems that are less than or equal to 10 kW-DC (direct current)
- Small/Medium Generation – The incentive is $770/kW-AC for systems that are greater than 10kW-AC up to 1 MW-AC (alternating current)
Eligible upgrades HVAC, lighting controls, data centre equipment, manufacturing equipment and more!
Project eligibility
Examples of eligible projects include but are not limited to:
- solar photovoltaic systems
- computer room air conditioners
- variable-speed drive installations
- industrial EMIS
- network lighting controls
- HVAC and chiller upgrades
- horticulture and agribusiness upgrades
- custom equipment retrofits
What lighting measures are incented through the Retrofit program?
Network lighting controls, horticultural lighting, and horticultural advanced lighting controls are offered through the Retrofit program.
Similar programs
| Program | Type | Amount | Status |
|---|---|---|---|
| Forest Sector Investment and Innovation Program (FSIIP) – Business Projects | Loan, Grant | Performance-based loan of up to a maximum of 30% of eligible project costs (forgivable portion to a maximum of 50% of the loan amount) | Open |
| Affordable Multi-Family Housing Program | Grant, In-Kind Support | Energy assessments: up to $8,000 per building, to a maximum of $40,000 per housing provider per year | Open |
| Enbridge Gas Equipment Upgrades: Fixed Incentive Program: Air Curtain, Condensing Make-up Air (MUA), & Dock Door Seal | Grant, Rebate | Air curtains $200 to $6,000 per door | Open |
| Enbridge Gas Greenhouse Program | Grant | Retrofit projects: up to $0.25/m3 of natural gas saved, up to 75% of incremental project costs, up to $250,000. New construction projects: up to $0.15/m3 of natural gas saved, up to 75% of incremental project costs, up to $250,000. Energy assessments, studies and meters: up to 50 percent of eligible costs. | Open |
