High Efficiency Lighting and Controls

Lighting typically makes up 20-40% of your electric bill. Numerous existing inefficient lighting systems can be replaced with a variety of high-efficiency lighting technologies. Austin Energy offers rebates to commercial customers to install energy-efficient lights, which provide superior light quality and save energy and money. 

This rebate is for existing commercial buildings only. We also offer new construction lighting rebates.

More Savings Opportunities for Small Businesses

Austin Energy’s Small Business Bundle can provide LED lighting, an HVAC tune-up, and smart thermostat upgrades at little to no cost.

Qualified small businesses, small non-profits, and houses of worship may also be eligible for a 30% bonus rebate on our standard commercial rebates. This bonus rebate applies only to retrofits for a wide range of improvements. 

Call Austin Energy at 512-482-5346 or email Small Business Outreach for more information.

Lighting retrofit incentives are calculated based on energy savings for each lamp or fixture. 

Please email Austin Energy Commercial Rebates to request the lighting calculator used to estimate incentives.   

Prerequisites

• For retrofits and equipment replacement, applicants must submit rebate applications prior to installation. For new construction projects, applications must be submitted before the certificate of occupancy is issued. Rebates will not be provided retroactively to equipment or retrofits that have already been installed.
• Rebates are only available for equipment or retrofits that:
  • operate weekdays between 3:00 p.m. and 6:00 p.m., June through September (educational facilities and houses of worship are exempt from this requirement);
  • use electricity as its primary or secondary fuel type (please refer to Texas Gas Service for rebates on natural gas equipment);
  • provide kW savings by exceeding requirements for energy efficiency listed in City of Austin Energy Code Chapter 25-12-261 or as determined by Austin Energy;
  • are new, energized, and have a minimum one year warranty (backup or redundant systems are not eligible); and
  • are installed in permanent buildings or structures.
• Commercial rebates are available for Austin Energy customers with commercial electric service. Businesses located on properties with residential electric service should refer to Austin Energy residential rebates.
• The building where the equipment will be installed must comply with the Energy Conservation Audit and Disclosure (ECAD) ordinance (unless exempt or located outside of Austin city limits).
• Multifamily properties applying for commercial rebates (for master-metered properties or work undertaken in common spaces) must meet all Multifamily Program and equipment installation requirements. Properties must not be on not be listed with the City of Austin Code Department’s Repeat Offender Program.

Lighting Equipment and Installation Requirements

• Lighting must operate between 3:00 p.m. and 6:00 p.m. on weekdays during June through September (schools or houses of worship are exempt from the summer operating requirement). Outdoor lighting is not eligible for rebate, unless operational from 3:00 p.m. - 6:00 p.m. (e.g., exterior 24/7 lighting found in parking garages, building exits, under shaded structures, etc).
• All lighting, lamps, ballasts, retrofit kits and/or fixtures must be approved by a nationally-recognized testing laboratory such as UL, ITSNA, or CSA. Please refer to the Occupational Safety and Health Administration’s list of Nationally Recognized Testing Laboratories.
• Projects that involve the retrofit or replacement of high-powered ballasts require photo documentation and may require a pre-installation site inspection to verify existing equipment. Without verification of the existing high-powered ballasts, a normal/average ballast factor will be applied when calculating energy savings.
• For LED retrofits, it is recommended that all products also meet the quality and performance specifications of the DesignLights Consortium qualified product list for commercial grade solid state lighting (LED) and/or ENERGY STAR® Certified Commercial Light Fixtures and Light Bulbs.
• LED tubes running on magnetic ballast are not eligible for rebates.
• Required documentation:
  • Manufacturer specification sheets for equipment to be installed, including model number, sizing, and wattage
  • Invoice(s) including labor, materials, and installation costs. If in-house staff are used for installation, please provide a labor estimate.
  • Lighting floor plan (if available)

Commercial Rebate Program Requirements

• Austin Energy can help customers evaluate energy efficiency opportunities for their business or organization. Please email us for assistance on calculating potential rebates or other technical guidance.
• Applications must qualify to receive at least $25 in rebates.
• The customer or contractor applying for the rebate must:
  • submit all required application information and equipment documentation (incomplete applications are placed on hold and may be cancelled after 90 days); and
  • agree to schedule pre-installation and post-installation site visits to allow Austin Energy staff to verify existing and installed equipment.
• For customers or properties applying for a rebate to upgrade or retrofit the same equipment that received a historical Austin Energy rebate within the past 10 years, the new rebate will be calculated based on the incremental energy savings. For example, if a customer or property received a historical lighting rebate, any new lighting equipment rebates will be calculated using the incremental energy savings between the existing and new equipment. Exemptions from this requirement due to emergency replacement of failed equipment are evaluated on a case-by-case basis.
• A 30% bonus rebate is available for eligible: 1) locally owned or franchised small-business customers; 2) small 501(c) non-profit organizations; 3) and houses of worship. Eligibility for large campuses or facilities with multiple accounts held by one customer will be determined on a case-by-case basis. Contact us to determine if you qualify.
  • Eligible small businesses must: 1) be locally owned or franchised (headquartered in the Austin metropolitan area — a W-9 may be required to verify); and 2) use Austin Energy Secondary Voltage Rate 1 (<10kW) or Rate 2 (>10kW <300kW).
  • Eligible non-profits must: 1) provide an IRS determination letter or similar IRS documentation verifying their tax-exempt 501(c) status; and 2) use Austin Energy Secondary Voltage Rate 1 (<10kW) or Rate 2 (>10kW <300kW). Government entities, tax exempt real estate trusts and housing co-ops are not eligible for this bonus.
  • All houses of worship are eligible, regardless of rate.
• Rebates will not be paid unless all installed equipment and retrofits comply with manufacturer requirements and all local, state, and federal regulations, including building code and permitting requirements. For requirements on when electrical permits are required, refer to City of Austin Municipal Code chapter 25-12-113, section 80.19(c). For requirements on when permits are required for mechanical work, refer to City of Austin Municipal code chapter 25-12-133, section 104.2. For more information on mechanical, electrical, and building permits contact the City of Austin Department of Development Services.
• Commercial Program rebates are subject to capping based on the total project cost related to the installation of the rebated equipment or retrofits. The applicant is responsible for reporting total job cost and Austin Energy reserves the right to require a signed, itemized invoice or work order for verification.
  • Standard Commercial Program rebates cannot exceed 50% of total job costs.
  • Rebates cannot exceed 80% of total job costs for locally owned small businesses, non-profits, and houses of worship that receive the 30% bonus.
• By default, the rebate payment is directed to the customer listed on the Austin Energy electric account. The rebate may also be directed to one of the below parties if all requirements are met.
  • A parent corporation or organization of the account holder
  • The building owner, verified using county tax records
  • A tenant at the property, whom must provide a letter signed by the account holder authorizing the rebate to be paid to the tenant
  • A participating contractor or any other 3rd party, whom must: 1) register as a City of Austin vendor; 2) register in Austin Energy's rebate processing system; and 3) provide a letter signed by the account holder authorizing the rebate to be paid to that party
• If a participating contractor plans to submit more than one rebate application on behalf of Austin Energy customers, they are required to: 1) register as a City of Austin vendor; and 2) register in Austin Energy's rebate processing system.
• Austin Energy reserves the right to deny or adjust all rebate applications.
• Participating contractors must comply with all program requirements and conduct business in an honest, professional, and ethical manner. All participating contractors must abide by the Austin Energy Code of Conduct and Ethical Requirements (pdf).