CUSTOM REBATES OVERVIEW

Energy Efficiency > Business > Custom Rebates

The Custom Rebates Program provides non-residential customers with generous incentives for equipment purchases and industrial process improvements that reduce energy consumption and demand. These rebates are for equipment that is not covered by DP&L's Prescriptive Rebate Programs and is generally best suited for customized industry-specific or facility-specific applications.

> 2009 Custom Rebates

> Eligibility Requirements

> Baseline Determination

> Application Instructions and Process

> Terms & Conditions

> Printer Friendly Version (PDF)

2009 Custom Rebates

Maximum Incentive $0.05 / kWh savings (for the first year)
+
$50.00 for each kW saved**
Minimum Payback Period* 1 year
Maximum Payback Period* 7 years

* Payback period is determined by the below formula. Incremental Equipment Costs consider the installed cost of the high efficiency equipment compared to the costs of any minimum federal- and state-mandated efficiency standards. If none exist, then industry accepted standard efficiency equipment should be used. If no standard equipment is applicable, the total equipment cost should be used. Estimated Annual Electric Savings consider electric savings at the current average rate of the Customer.

Payback Period = Total Incremental Equipment Costs / Estimated Annual Electric Savings

** Equipment must operate regularly between 12pm and 6pm Eastern Standard Time, Monday through Friday, and during the months of June through August to be eligible for the demand portion of the rebate.

The incentives listed above are subject to change at DP&L's discretion.

Eligibility Requirements

Only DP&L non-residential distribution customers are eligible for custom rebates. Any eligible customer may submit an application. There is no limit to the number of applications that can be submitted although DP&L encourages customers to consolidate applications whenever possible. A customer is defined as any and all entities of which the customer has a 10% or more interest in ownership or control. National or chain accounts are considered a single customer.

To be eligible for a Custom Rebate, projects must:
  • Have a minimum payback based on electricity cost savings of at least 1 year and a maximum payback of 7 years
  • Be any of the following project types:
    • An energy efficiency measure added to an existing system
    • Early retirement of equipment and replacement with more efficient equipment
    • Replacement of failed equipment or equipment at the end of its useful life with more efficient equipment
  • Use electricity as the fuel source and be installed in the DP&L service area
  • Be comprised of new equipment purchased from a manufacturer, distributor or contractor
  • Demonstrate permanency or sustainability of savings over the payback period or a 5 year period, whichever is longer
  • Exceed minimum federal- and state-mandated efficiency standards
Under the Custom Rebate Program, DP&L will not provide rebates for:
  • Equipment that is part of a new construction project
  • Measures installed with funding from another utility incentive program or from one of DP&L's prescriptive rebate programs
  • On-site electricity generation or renewables
  • Fuel switching technology (e.g. electric to gas or gas to electric)
  • Projects where the energy savings result from reduced production or equipment retirement
  • Changes in operational and/or maintenance practices or simple control modifications not involving capital costs
  • Projects that shift the time of a customer peak without net energy savings
Baseline Determination

Please follow the guidelines below to determine the appropriate kWh and kW baseline.

New efficiency measure added to an existing system-New equipment being added to an existing system to increase system efficiency. The customer is pro-actively seeking ways to improve an existing system. Examples might include advanced occupancy sensors added to an existing lighting system. The energy baseline is the performance of the existing system in its original, working condition.

Early retirement of equipment-Replacement of inefficient equipment that has not yet reached the end of its useful life with new, more modern equipment. The customer is opting to pro-actively replace the inefficient equipment even though it is still functioning. Examples would include the replacement of a traditional 250hp motor with a premium efficiency motor. The energy baseline is the performance of the existing system in its original, working condition.

Replacement of equipment at the end-of-useful life or replacement of failed equipment-The customer must replace the equipment and now has the option to choose more efficient replacement equipment. For example, the customer must replace 20-year-old welders which no longer function properly and now has the option to use efficient inverter welders. The energy baseline is any minimum federal- and state-mandated efficiency standards that may exist. In the absence of these standards, generally accepted industry standards should be used. For example, it would not be standard practice today to install an 8.0 SEER split-system HVAC unit.

If projects directly impact facility production levels, DP&L will consider the energy savings per unit of production.

Application Instructions and Process

Before you get started, you will need the following information:

  • Your DP&L account number
  • A full description of the energy efficient measures you are planning to install, the cost, life expectancy and operating hours
  • For each measure, the baseline and new kWh and kW

Please review the eligibility requirements before completing the application. When applying for a rebate, please follow the process below:
  • Complete the Online Rebate Application and submit it to DP&L for review. Supporting documentation may be mailed, faxed, emailed or uploaded to DP&L. Please include the following documentation.
    • A description of the affected facility (i.e. building type, facility size, major activities performed)
    • A detailed cost estimate reflecting the costs of purchasing and installing the energy savings measure (including all materials, labor, and equipment discounts). Project design costs, energy audit costs, equipment disposal costs, costs incurred from equipment downtime, warranty costs and any other costs not related to the equipment purchase or the installation of the equipment should not be included or factored into calculations.
    • Supporting documentation showing any diagrams, schematics, or other design documents of the before and after state of the system(s). Supporting documents should be mailed, faxed, or uploaded to DP&L.
    • A full description of how the energy and demand savings were calculated. Please include formulas and any assumptions that were made. Use rated performance factors from ARI, ANSI, ASTM, ASHRAE, or other recognized organizations when possible. It is up to the Customer to present a convincing case for how energy savings should be estimated.
  • DP&L reviews the application and verifies the information provided. DP&L reserves the right to conduct an audit of the Customer's existing equipment (the baseline) and/or the facility as part of its application review.
  • DP&L approves or denies the application. DP&L will attempt to notify Customer of the decision in writing within 14 days. If the application is approved, the funds will be reserved.
  • Customer provides DP&L with proof of purchase or intent to purchase within 60 days. This may come in the form of an invoice, purchase order or other supporting document.
  • Customer completes the project installation within 120 days of application approval and notifies DP&L. Customer must provide a final, itemized invoice reflecting the true costs of purchasing and installing the energy savings measure (including all materials, labor, and equipment discounts) as well as equipment serial numbers. If the installation does not occur within 120 days, the Customer must request an extension from DP&L. Extension approvals will be granted on a case-by-case basis.
  • DP&L releases the funds to the Customer within 30 days. DP&L reserves the right to inspect the system(s) prior to releasing any funds to ensure compliance with the program Terms and Conditions.
Copyright 2009 DP&L All Rights Reserved