Save money and meet efficiency goals with energy incentives for businesses.
Lower costs and achieve your energy goals by taking advantage of energy efficiency incentives for businesses from TVA EnergyRight® and your local power company.
Helping the region save energy.
To help businesses save money and energy, we’re offering financial incentives on qualifying equipment purchases. For the best customer experience, we encourage the use of a trade ally from our Preferred Partners Network, a skilled group of commercial and trade contractors that can help you achieve your energy goals.
Big savings just got bigger with this limited-time offer.
Now’s the time to upgrade your business or industrial lighting to energy-efficient LEDs — or kick off a custom efficiency upgrade project. Qualifying Indoor and Outdoor LED lighting, New Construction lighting and Custom energy efficiency projects earn a 15% bonus on top of our standard incentive rates for applications submitted through December 31, 2025.
Find your energy efficiency incentive.
Custom
Custom incentives give you the flexibility to make energy efficiency improvements unique to your facility and operations. Businesses can reduce energy costs and receive an incentive for doing so by installing new energy-saving electric technologies. Custom incentives are offered at a rate of up to $0.18/kWh of the first year’s energy savings.
Electric forklifts
Electric forklifts have lower operating costs, require less maintenance, and are quieter and more maneuverable than gas-powered forklifts. Expand your existing electric fleet or switch from gas forklifts to electric and save up to $2,000 on new or refurbished forklifts. Or, save up to $1,000 when leasing an electric forklift.
HVAC
HVAC systems can yield significant energy savings and improve comfort and air quality. We’re offering $80/ton for HVAC energy efficient replacements; $175/ton for Advanced Tier unitary A/C and heat pumps, $200/ton for air-cooled chillers, $250/ton for variable refrigerant flow (VRF) and dual fuel heat pumps, and $1,000/ton for ground source heat pumps. Pre-approval is not required, and you can apply up to 6 months after installation or the invoice date.
LED Lighting
Improve the quality of light for your facility while saving energy and maintenance costs. We’re offering $0.15/kWh for indoor lighting, $0.13/kWh for outdoor and street lighting and $0.10/kWh for new construction lighting. Network lighting controls are now eligible for indoor and new construction lighting and could increase energy savings.
Refrigeration
Chill out with commercial refrigeration incentives. Reduce energy costs and improve customer experience with refrigeration incentives from TVA EnergyRight. We’re offering incentives of $50 for electronically commutated motors (ECMs), $200 for fan controllers and $100-$200/linear foot for high-efficiency reach-in cases.
Thermal ice storage
Thermal ice storage systems store chilled water or ice to cool your building during peak hours. This shifts electric cooling operations to off-peak hours so you save money and reduce peak demand use. Thermal ice storage incentives are available at $9.00/ton hour for partial storage and $11.00/ton hour for full storage projects.
Variable speed drives
Variable speed drives (VSDs) — also known as adjustable speed drives (ASDs) or variable frequency drives (VFDs) — control the speed and torque of motors that drive fans, pumps or compressors in HVAC systems. We are now offering a $100/horsepower (HP) incentive for the installation of VSDs on existing HVAC equipment.
Commissioning
Go beyond standard equipment replacements. Participate in an energy audit or continuous monitoring to uncover inefficiencies, which can help you cut costs and earn $0.05/kWh saved.
NEW! Fast Track Compressed Air
Industries who take a comprehensive approach to optimizing compressed air systems can significantly reduce energy consumption, lower operating costs, and improve overall efficiency. We’re offering $300/unit for no loss condensate drains, $75/unit for engineered air nozzles, $8/HP/unit for low pressure drop filters and $4/cfm/shift for cycling refrigerated dryers. Pre-approval is not required, and you can apply up to 6 months after installation or the invoice date.
Incentives overview
See a summary of incentives below or download the PDF for an overview of all available incentives and rates.
Connect with a TVA Energy Expert to get started.
New Construction Calculator
See how much you could save on new builds or renovations with qualifying LED lighting upgrades.
General Incentive Calculator
Find out your potential savings on energy upgrades that qualify for TVA EnergyRight incentives.
FAQs
Can’t find what you’re looking for? Email us at TVABusinessIncentive@tva.gov or give our energy advisors a call at (866) 233-0450.
If project pre-approval is required, DO NOT remove or install any equipment until all pre-approval requirements are completed and a formal Application Approval Notice has been received via email. If pre-approval is not required, the equipment installed must conform with the program requirements.
Is my business eligible for incentives from TVA EnergyRight?
Is my business eligible for incentives from TVA EnergyRight?
All business, commercial, industrial, and government customers may be eligible for incentives from TVA EnergyRight and your local power company. Find out if your organization qualifies by contacting a TVA-vetted contractor from our Preferred Partners Network or submitting a project request.
Incentive eligibility is subject to final approval by TVA and your local power company, and the availability of funding. Incentives are capped at 70% of material cost, with a maximum cap of $3,000,000 per organization per TVA fiscal year, which runs from October-September.
My business is served directly by TVA, not a local power company. Are we eligible for incentives?
Yes, your business is eligible for incentives on qualifying equipment upgrades. Find out if your organization qualifies by contacting a TVA-vetted contractor from our Preferred Partners Network or submitting a project request.
Incentive eligibility is subject to final approval by TVA, and the availability of funding. Incentives are capped at 70% of material cost, with a maximum cap of $3,000,000 per organization per TVA fiscal year, which runs from October-September.
What energy efficiency incentives do you offer businesses?
We offer a variety of Standard and Custom incentives that give you the flexibility to make energy improvements unique to your facility and operations.
What is the Preferred Partners Network (PPN)?
The PPN is a network of TVA-vetted commercial and trade contractors with exclusive access to TVA EnergyRight incentives. PPN members are ready to help you find the best energy solutions for your business or industry.
Do I have to use a PPN contractor to apply for incentives?
If you don’t have a contractor or your contractor isn’t a PPN member, please call (866) 233-0450 or email TVA BusinessIncentive@tva.gov for assistance.
Do I need to get pre-approval before purchasing or installing equipment?
All equipment purchased must meet the minimum efficiency requirements listed for each technology type. If pre-approval is required, DO NOT remove or install any equipment until all pre-approval requirements are completed, and you have received a formal Application Approval Notice via email. If pre-approval is not required, the equipment installed must conform with the program requirements.
What is an Application Approval Notice?
An Application Approval Notice is formal acknowledgement that your application to receive incentives is approved. This notice will arrive by email.
What is the maximum incentive amount?
Incentive eligibility is subject to final approval by TVA, and the availability of funding. Incentives are capped at 70% of material cost, with a maximum cap of $3,000,000 per organization per TVA fiscal year, which runs from October-September. Any equipment purchased must meet the minimum efficiency requirements listed for each technology type if specified.
What is the minimum incentive amount?
The minimum incentive requirements are $150 per standard application (electric forklifts, HVAC, LED lighting, refrigeration, thermal ice storage and variable speed drives) and $1,500 per custom incentive application. Any equipment purchased must meet the minimum efficiency requirements listed for each technology type if specified.
Are pre- or post-installation inspections required?
Pre- or post-installation inspections may be required. Incentives are determined after pre-inspection and communicated in the Application Approval Notice.
How much time do I have to install the qualifying equipment and make efficiency upgrades?
The maximum installation period is 730 days (two years) after the formal Application Approval Notice has been received via email.
Can my local power company issue bill credits rather than an incentive check?
If your local power company participates in bill credits, you will have the option to choose check or bill credit for incentive payments ≥ $12,000 when completing the Online Application. All other payments will be made by check.
What’s the fine print?
For the full list of TVA EnergyRight incentives rules and guidelines, you can review or download it here.
Still have questions?
Our team is ready to answer your questions so you can start saving.
Call (866) 233-0450 or email TVABusinessIncentive@tva.gov.
Business & Industry resources
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