Home Energy Savings for Small Business

If your small business or small non-profit is based in a house converted for business, you may earn rebates to make whole-building energy improvements.

Home Energy Savings is a whole-building approach to energy efficiency. You can save energy by making energy-efficiency improvements to your building.

Participating Contractor Required

Austin Energy requires that you use an Austin Energy participating contractor to qualify for this offering. Your contractor can help you choose the right-sized equipment for your home. Participating contractors meet Austin Energy requirements for licensure, insurance, work quality, and equipment.

Our participating contractors will:

• Discuss your home's condition with you
• Conduct a no-cost energy analysis
• Recommend improvements
• Leave an estimate for any recommended work
• Help you with the rebate/loan application process

Energy Efficiency Improvements

Possible Improvements (as recommended by the participating contractor):

• Install a new central air conditioner or heat pump
• Perform an HVAC tune-up
• Improve efficiency and temperature-balancing of air conditioning / heating system
• Add attic insulation
• Seal or replace leaky ducts and seal building envelope
• Install airtight, insulated covers for pull-down attic stairs and whole-house fans
• Install solar shading screens or film on single-pane windows
• Install an eligible smart thermostat
• Install an ENERGY STAR^® rated heat pump water heater

*These improvements require air leakage testing of your office and duct system.

Home offices do not qualify for this offering. If you work in an office within your residence and want to make energy improvements, learn more about the Home Energy Savings rebate for residential customers. 

Small business and small non-profit customers may qualify for a rebate to make the following improvements. We do not offer loans for this offering.

To qualify for project rebates, you must:

• Install a system listed in the table below.
• Make all recommended and approved energy efficiency improvements at the same that you have a new central air conditioning system installed.

Rebate amounts vary based on the type of equipment you install.

*Federal Tax Credit information, eligibility criteria, and how to apply is available on the IRS website at https://www.irs.gov/credits-deductions/energy-efficient-home-improvement-credit. IRS eligibility criteria for tax credits may exceed Austin Energy’s rebate eligibility criteria. Austin Energy recommends customers and contractors refer to the IRS guidelines for tax credit eligibility.
**Seasonal Energy Efficiency Ratio 2 (SEER2) measures average energy efficiency over a cooling season.
***Energy Efficiency Ratio 2 (EER2) measures an air conditioner's energy efficiency at high outdoor temperatures and persistent use.
****Heating Seasonal Performance Factor 2 (HSPF2) measures the efficiency of a heat pump over the fall and winter seasons.
‡Consortium for Energy Efficiency (CEE) 2025 Requirements: Effective January 1, 2025, additional specifications for air source heat pumps are outlined in the CEE℠ Residential Heating and Cooling Systems Initiative Electric Equipment Specifications document. Please refer to the CEE specifications for details on the 2025 requirements.

Prerequisites

• Austin Energy provides electricity to your property.
• You are a qualified local small business or a tax-exempt (501c3), small non-profit.
• You are on the <10kW rate or ≥10 < 50kW rates.
• Your business or non-profit must be based in an existing home converted for business use only. Learn more about new construction rebates for businesses building new facilities.
• This rebate does not apply to home offices. Buildings must be used only for business.
• Your business cannot be based in a mobile or manufactured building.
• A participating contractor must perform the energy analysis and make all energy efficiency improvements.
• All participating contractors are required to provide a warranty on all materials and workmanship for a minimum of one year from the date of final inspection by Austin Energy.
• Participating contractors shall act as the manufacturer’s agent for all equipment, workmanship, and materials’ warranties.
• Austin Energy requires a completed Welcome Form (pdf) and Checklist Form (pdf) verifying customer rate information, construction type, ceiling type and return-air type. Please be prepared to provide your business name, address and federal Tax ID number.

Requirements

• You must qualify for at least $100 in rebates to participate.
• Your home or building must be 10 years old or older.
• Buildings where asbestos is found in the heating, ventilation, and air conditioning system are not eligible.
• Buildings where remodeling is imminent or concurrent with the proposed installations are not eligible.
• Buildings containing spray foam insulation are not eligible.
• New AC units or heat pumps must be sized to service at least 600 sq ft or 12,000 BTU adjusted performance per ton, or the participating contractor must perform a Manual J load calculation to determine the size of the AC unit.
• To qualify for an AC Tune Up, the system must be out of the manufacturer’s warranty and less than 15 years old.
• New AC unit must meet the minimum SEER2/EER2 requirements.
• All components of the system (condenser, furnace/air handler, and evaporator coil) must be replaced in order for the new system to be eligible for rebates.
• To qualify for a heat pump water heater rebate, the unit must be labeled as an ENERGY STAR® certified hybrid electric water heater, have an Energy Factor of 2.0 or better, store a minimum of 40 gallons of water, be installed new (not used), and have a minimum 6-year warranty on major components supplied by the manufacture.
• Renters must provide written permission from the property owner to participate.
• You are not eligible for a loan (or rebate) covering any energy efficiency measure for which you received a rebate or loan within the past 10 years.
• Allow Austin Energy access to all areas of the home for a verification inspection, final inspection, and in some cases a quality assurance quality control (QA/QC) inspection to confirm the scope of the project, compliance with program guidelines, local, state, and national codes, and closing of permits as applicable.