Save Energy. Earn Incentives.

The more you save, the more you earn

Benefit from cash incentives for retrofitting existing or installing new high-efficiency equipment to save energy. Your incentive amount is driven by the amount of energy the project saves. The more you save, the more you earn — up to 50 percent of your project cost, or 100 percent of the allowable incentive amount. In addition to the incentive, eligible participants can now receive a comprehensiveness bonus.

Recent program updates 

Compressed Air Systems Moratorium Lift

As of October 28, 2014, California Public Utilities Commission staff have lifted the moratorium of savings claims associated with variable speed drive compressors or sequencing controls for projects installed after July 1, 2014. For more information, read the full memorandum (doc).

New pre-application process

In an effort to address free ridership, SDG&E has implemented a new pre-application process that applies to Energy Efficiency Business Incentive projects for customers with assigned SDG&E Account Executives. For details, please view the Pre-Application Process FAQ document, and the 2013-2015 Pre-Application Information Form to comply with this new requirement. Completed Pre-Application Information Forms should be submitted to the customer's assigned Account Executive, with a copy also sent to

Important updates about California Building Codes and Title 24

For information on program changes in response to 2013 Title 24 updates, please visit our California Building Codes and Title 24 update page. If you require one-on-one project consultation, email us at

Guidance documents

The California Public Utilities Commission recently released several guidance documents explaining changes to the Energy Efficiency Business Incentives program rules. These documents provide clarity around policies and procedures for the program, and can be found by visiting the Process Guidance Documents webpage on the California Public Utilities Commission webpage.

Title 24 project installation deadline

Projects with Title 24 impacted measures which are unable to provide evidence of a 2008 Title 24 permit must have been installed by June 30, 2014. Projects with Title 24 impacted measures without 2008 permits installed after this date will have savings reevaluated based on 2013 Title 24 code baselines. Examples of measures impacted by the 2013 code baseline include, but are not limited to, the following:

  • Lighting projects that trigger code compliance through either the modification-in-place or alteration rules
  • Standard Lighting Controls including occupancy sensors, photocells, and timers
  • Air compressor system upgrades
  • Chiller replacements
  • Boiler or furnace replacements

Comprehensive Bonus

If an application is submitted between March 1, 2013 and October 15, 2015, program participants are eligible for a 20% bonus based on the value of each qualifying Incentive or Rebate.

An Incentive or Rebate qualifies for a bonus when either of the following criteria are met:

  • The program participant has received at least three Incentives or Rebates in three separate categories. See Table 1 below for more information.


  • The program participant receives two Incentives or Rebates in two separate categories plus enrolls in either a Demand Response Program or SDG&E's Retrocommissioning program. See Table 1 below for more information.

Each individual qualifying Incentive or Rebate payment must equal at least 10% of the total Incentive or Rebate payment. Unlike the Incentive or Rebate payment, the bonus will be issued to the customer of record directly.

SDG&E reserves the right to discontinue or modify the bonus at any time.


Table 1. New incentive rate structure

  2013-2015 Cycle
  Basic Targeted
Lighting $.03 $.08
Non Lighting $.08 $.15
Gas $1.00
Peak Reduction $150/kW*

*Energy Efficiency Business Incentive applications received prior to July 1, 2014, are eligible to receive a peak demand reduction incentive of $100/kW.


How to apply

Step 1

Review the Release of Information Policy* and Energy Efficiency Business Incentives fact sheet.

Step 2

Read the Energy Efficiency Manual and review Incentive Rates and Comprehensiveness Bonus Criteria.

Step 3

This step is only applicable to customers with assigned Account Executives. Once measure eligibility is confirmed, and the customer has expressed interest in moving forward with the measure in the near future, fill out the 2013-2015 Pre-Application Information Form and submit to the customer's assigned Account Executive, with a copy also sent to

Step 4

After reviewing the submittal requirements in the application checklist, submit your completed and signed application (with all supporting documentation) by emailing

Submit a completed W-9 form (pdf) if you have not already done so for our records

Step 5

SDG&E will review complete applications, submit projects to California Public Utilities Commission staff for review, and conduct pre-inspections.

  • Purchase or installation of equipment cannot occur prior to the receipt of a Notice to Proceed. See Step 8 below.

Step 6

If measurement and verification is required the Customer or Project Sponsor will be asked to complete the Measurement & Verification form (pdf).

Step 7

SDG&E will issue a Program Project Agreement (pdf) to the Customer or Project Sponsor.

Step 8

SDG&E will execute the Program Project Agreement upon receipt of a signed copy and will issue a Notice to Proceed (pdf) to the Customer or Project Sponsor.

Step 9

The Customer or Project Sponsor should notify SDG&E of installation by submitting an Installation Report (xls) and invoices consistent with the Invoice Template (xls) and Invoice Guidelines (pdf).

Step 10

SDG&E will review invoices and the Installation Report, submit the project for review to California Public Utilities Commission staff, and conduct a post-inspection. 

Step 11

SDG&E will the review documentation, and make savings and incentive adjustments if needed while awaiting clearance from California Public Utilities Commission staff to pay the project.

Step 12

SDG&E will issue payment to Payee designated by Customer after receiving clearance from the California Public Utilities Commission staff.

  • This process is different for Measurement and Verification Projects. Measurement and Verification Projects are typically issued the final incentive after completing an agreed upon post-monitoring period. At the conclusion of the post-monitoring period Customers or Project Sponsors must submit an Operating Report (xls) to initiate the final payment. 


If the CPUC requests review of your project, SDG&E will provide the CPUC with all of the information requested without further notification to you. If you refuse to allow the CPUC, its staff or its contractors and/or consultants to have access to your data, you will not be allowed to participate, and you will be ineligible to receive any program incentives. Please note that if you designated a project sponsor, a similar notification has been forwarded to them as well. In the event your project is selected for review, SDG&E will mark your data as confidential before submitting your files to the CPUC in accordance with California Public Utilities Code Section 583 and CPUC General Order 66-C.

Additional resources

  • Benchmarking

    Before you take any steps to reduce your energy use, it’s helpful to build a complete picture about how your facility currently uses energy. Benchmarking provides you with an easy way to assess and monitor your energy use.

    The EPA’s ENERGY STAR® Portfolio Manager is a tool that helps you identify savings opportunities, verify energy efficiency improvements, and receive EPA recognition for exemplary energy performance.

    Once you have created your building portfolio in Portfolio Manager, you can use SDG&E’s no-cost, easy-to-use Automated Benchmarking Service to automatically send your building’s energy use information to the EPA’s ENERGY STAR Portfolio Manager.