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   Rebates and Incentives

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Multifamily developers can earn incentives for new affordable housing projects that obtain a passive building certification from Phius.

Austin Energy is now accepting applications for the new Passive Building Incentive. Get program details below or submit your contact info to get started.

  • Description
  • Incentive
  • Eligibility
  • How to Apply
  • Find Phius Pros

Austin Energy is testing a new incentive to help address the critical need for sustainable, affordable housing in Central Texas. Participants can earn incentives for affordable multifamily projects that obtain certification from Phius.

Research shows that Phius projects are more durable and resilient, reduce energy loads, improve indoor air quality and produce quieter environments. These benefits come from a tighter building envelope and more rigorous design strategies.

Austin Energy will select four to five affordable multifamily projects to participate in this pilot program. To be considered, projects must meet these criteria:

  • Located in the Austin Energy service area
  • In the early stages of project design
  • 100% affordable, averaging up to 60% of the median family income (MFI)
  • Designed as an all-electric residential space

Additional Tax Credits and Incentives

Phius projects must also participate in programs that make them eligible for 45L tax credits. These may include Department of Energy Zero Energy Ready Home and ENERGY STAR® Multifamily New Construction.

Communities that install solar photovoltaic (PV) systems can apply for Austin Energy’s Solar PV Incentives. Eligible projects may also receive Business EV Charger Rebate incentives and participate in Demand Response programs like Power Partner. Other energy efficiency incentives from Austin Energy do not apply.

Austin Energy will pay $2,200 per residential unit and reimburse the developer/owner for certain costs associated with the Phius certification. Participants will receive two incentive payments over the course of the project. The table below details the structure and timing of these payments.

Incentive Payment Project Phase Amount
Pre-Construction
  Phase 0 - Application
 Phase 1 - Predesign
 Phase 2 - Design		  
 $200 per unit + Phius costs*
 
Post-Construction  Phase 3 - Construction
 Phase 4 - Closeout		  $2,000 per unit**
N/A  Phase 5 - Measurement and Verification  N/A


* Paid after the Phius Design Certification and all program requirements are met. Pre-construction incentive covers the cost of Phius Feasibility Study, Registration, and Certification Workshop. These costs vary by project and team size.

** Paid after Phius Final Certification, incremental cost data is provided, and other program requirements are met. Maximum post-construction incentive is $400,000. Properties receiving Phius certification are not eligible to receive additional multifamily new construction incentives.

Download the Austin Energy Passive Building Incentive Guidelines (pdf) for details.
 

 

Program Requirements:

Project Eligibility:

  • Property must be a new construction multifamily or townhome project.
  • Mixed-use buildings with first-floor commercial space qualify.
  • Project must participate in the S.M.A.R.T. Housing program and agree to 100% affordability, averaging up to 60% of the MFI.
  • Project must participate in the Austin Energy Green Building (AEGB) rating.
  • Three-year post-occupancy data collection is required.
  • Project teams have experience in certification programs like Phius, LEED, and AEGB.
  • Attend semi-annual Passive Building Incentive project team meetings.
  • Properties receiving Phius certification are not eligible to receive additional multifamily new construction incentives.

Getting Started

Austin Energy will support your project from the design phase through the final inspection. Send us your contact information, and a representative will help you get started.

Application and Acceptance Process

  1. Submit your contact information. A representative will email you an application form.
  2. Complete and return your application. Within two weeks, a representative will contact you to schedule a one-hour virtual meeting.
  3. During your meeting, Austin Energy staff will review program details and answer any questions.
  4. If selected, you will receive a letter of intent. Sign and return the letter to Austin Energy.
  5. Register your project in the Austin Energy Green Building (AEGB) Online Rating System.

Download the Austin Energy Passive Building Incentive Guidelines (pdf) for more information.

Phius Professional Requirement

Each project team must include a Certified Passive House Consultant (CPHC). Additionally, Phius certification requires a Phius Certified Rater or Verifier, depending on the building type. Phius recommends engaging a Phius Certified Rater or Verifier from the beginning of the project to ensure compliance with critical design decisions.

Find a Phius Certified Professional.

Disclaimer

Rebates become available only after Austin Energy rebate application approval and any necessary site inspections. All installed equipment must comply with local, state, and federal regulations, including building codes and permitting requirements. Program offerings, requirements, and rebate levels may change without notice. Funding remains limited and follows a first-come, first-served basis. The maximum combined rebate is $300,000 per customer site per fiscal year (October through September).

Date last reviewed or modified: 05/19/2025