Over $10 Million in Incentives Available Through Act On Energy® $75 Incentive per Horsepower Controlled For Variable Frequency Drives

Financial incentives are available for upgrades of open drip-proof motors or totally enclosed fan-cooled motors. Incentive amounts are based on motor size and efficiency. 

VFD Incentives

A variable frequency drive (VFD) controls the rotational speed of a motor by controlling the frequency of the electrical power supplied while not affecting the quality of the system. Typical motors have two settings, on and off. Allowing a motor to adjust its output based on the demand of the equipment allows the motors to save energy by working at a lower speed during less demanding times.

Act On Energy has practically doubled the VFD incentive by offering $75 per horsepower controlled. This offer is limited to new projects that add VFDs to motors or pumps that submitted through December 31, 2010. During this time, the percent of the project cost that Act On Energy will cover will also be increased to 75%. These increases allow for a quicker payback on projects. 

Click here  to download the Motor application with the new VFD incentive.  For any new applications submitted, projects cannot be completed before June 1, 2010. 

Act On Energy recently incentivized a project for 7 VFDs on various equipment at a manufacturing facility.  Because of this project, that company  received over $50,000 in incentives with a payback of just under 1.4 years and will save almost $81,000 dollars in energy costs every year. 

Download the case study here, and learn more about this great project and how using VFDs in your facility can save energy and money.

Projects with incentives less than $5,000 no longer require pre-approval but can still be submitted to verify equipment eligibility and incentive level. Though projects less than $5,000 do not need pre-approval, all equipment must meet program requirements or the project will be denied.  Projects with incentives less than $5,000 have 90 days from the equipment purchase invoice date to be completed and 30 days after completion to submit paperwork in order to be eligible for incentives. 

Projects requesting incentives greater than $5,000 require pre-approval.  The pre-approved incentive amount is good for 90 days from the date of pre-approval; thereby requiring purchase of the equipment and completion of the project within the 90-day period to receive the reserved incentive funds.