Incentives and Financing

With energy costs at all-time highs and low-interest financing available through New York State, the economics of upgrading your home's performance have never looked better.

As a New York State Home Performance with Energy Star partner, we offer our customers access to Energy$mart financing for qualified building upgrades. For a limited time, 5% loans are available for improvements to owner-occupied single family homes and duplexes; owners of commercial buildings may qualify for 4.5% interest rate subsidies.

New York State offers programs to assist households of all income levels with home energy efficiency-related work. To determine your eligibility, find your household income in the table at the bottom of the page.

• Lower income households qualify for free energy saving measures through the Weatherization Assistance Program (WAP). WAP work scopes typically include air sealing, insulation, and repairs or modification of existing heating systems. Window replacements are not funded through this program. Lower income households may waive free assistance and participate in Assisted Home Performance with Energy Star (AHP). They may also use AHP subsidies for measures such as windows and heating system replacements not covered by WAP.

• Middle income households qualify for subsidies and low-interest loans through the Assisted Home Performance with Energy Star (AHP) program. Homeowners who qualify for Assisted Home Performance can receive subsidies equal to 50% of the cost of the job, up to a maximum subsidy of $5000. They can finance the remaining 50% of the job cost at 4% below market rate for up to 10 years.

• Other households can choose between:
  • Rebates equal to 10% of the total job cost.
  • 4% interest rate reductions on loans of up to 10 years.

Home Performance with ENERGY STAR and Assisted Home Performance with ENERGY STAR loans, subsidies, and rebates apply to high-efficiency heating and cooling systems, insulation and air sealing, and ENERGY STAR qualified lighting, windows, and appliances. To participate in these programs, customers must have the work done by a contractor certified by the Building Performance Institute.

How PSC improvements can pay for themselves with Energy$mart financing:
According to the EPA, an average home in the Ithaca area spent $2493 on energy last year. Let’s look at how a hypothetical heating, insulation, and air sealing upgrade could generate a positive cash flow for a typical household. This simple model assumes that energy prices will remain stable for the next ten years. Pretty unlikely! As prices go up the payback gets more and more attractive:

Pre-improvement energy bill $2493
Post-improvement energy bill (assumes 30% savings) $1745
Annual energy savings $748
Cost of upgrade $3000
Annual loan payments (5 years @ 5%) $679

Net cash flow:
First five years +$69/year , ($748 - $679)
After five years +$748/year

Total savings:
Five years +$345
Ten years +$4085

*These figures for illustration purposes only. Actual costs and savings will vary.