The ARRA extended the many consumer tax incentives originally introduced in the Energy Policy Act of 2005, allowing for Americans to easily afford energy efficient products and fixtures.
There are many energy incentives available to you today. We know that the thought of Green Building can be somewhat discouraging when you take into consideration the amount of product cost and installation. For this very reason we have provided a list of tax incentives, rebates,and abatements for your green building project to be as ecological and economically friendly as possible.
The link to this Rider University website has a good history of incentives and a wealth of information: https://online.rider.edu/online-masters-degrees/masters-accountancy/guide-green-loans-energy-efficient-tax-credits/
Federal Energy Incentives
The Federal Government has many tax credits available to consumers that decide to implement energy efficient practices and appliances in their home or business. A tax credit is typically more valuable than an equivalent tax deduction, for the simple fact that is reduces dollar for-dollar and not percentage. Listed below are some of the tax credit areas that are provided by the Federal government.
State Energy Incentives
The state of Texas has tax exemptions available in most instances on an individual basis. Most property tax exemptions involve solar, wind power, and eco-friendly construction systems.
Texas PACE Authority
Pace is an acronym for Property Assessed Clean Energy. A PACE project enables owners to finance 100% of their energy saving or water conserving improvements.
CLICK HERE for TX PACE Authority website
City of Houston Property Tax Incentives for Green Buildings (New Construction)
In September 2009, the City of Houston Tax Abatement Program was enacted (Ordinance No. 2009-858), establishing a partial tax abatement for U.S. Green Building Council Leadership in Energy and Environmental Design (LEED)-certified commercial buildings. Since its inception, the tax abatement has been renewed three times, most recently in 2018 (Ordinance No. 2018-391).
CLICK HERE for City of Houston LEED Incentive
Harris County Property Tax Incentives for Green Buildings (New Construction)
Since its inception, the tax abatement has been renewed, most recently in 2018.
CLICK HERE for Harris County Green Building Tax Abatement.
CenterPoint Energy's Commercial & Industrial Standard Offer Program
Incentives are offered to participants (Project Sponsors) who install energy efficient retrofit projects in commercial and industrial facilities. This program also accepts new construction projects, which exceed minimum energy efficiency standards.
A qualifying facility will be one with a peak demand of at least 100 kW at a single site or a combined peak demand of at least 250 kW at multiple sites. Each project must achieve a minimum summer peak demand reduction of 20 kW or 120,000kWh.
Incentives are paid to project sponsors for verified demand and energy savings. Project sponsors may be any company, contractor, or customer who installs energy efficiency measures.
CenterPoint Energy's Commercial Load Management Program
Reduce summer peak demand and improve the energy efficiency of large commercial and industrial facilities with CenterPoint Energy’s Commercial Load Management Program
- Program available to non-residential distribution, government, educational institutions and non-profit customers.
- Earn up to $31.50 per kW of verified curtailed load each year of participation.
- Availability period for curtailments is limited to June 1 through September 30, 1-7 p.m. on weekdays, excluding federal holidays
- Participants are required to be capable of curtailing at least 100 kW.
- Participant must be equipped with an Interval Data Recorder or Smart Meter
CenterPoint Energy's Retro-Commissioning Program (RCx)
Improve energy efficiency on existing commercial buildings, including manufacturing facilities, hospitals, educational campuses, retail stores, with CenterPoint Energy’s Retro-Commissioning Program (RCx).
- A technical energy analysis is performed on your facility at NO cost to Owner, by a qualified RCx agent.
- Existing facilities should be at least 50,000 square feet of air-conditioned space. Facilities should have a higher than average energy consumption.
- Customers must install, at their own cost, specified low cost measures to reduce operating and energy costs (HVAC temperature reset, outside air reduction, optimize HVAC start-up, lighting, add VFD’s, etc.)
- Projects must be completed by approved project deadlines.
"Incentifind - a national database of energy efficiency, water conservation, renewables, and many other incentives that promote green building in both residential and commercial sectors"
IncentiFind is the nation’s only database for green building incentives. Property owners or those serving them may search IncentiFind’s database for free by filling out a simple, online survey about their projec
Register to search IncentiFind’s database. (https://incentifind.com)