If your business has a construction project on the horizon, the New York State Energy Research and Development Authority (NYSERDA) has money to share.

Under the latest round of funding in its New Construction Program, NYSERDA has $90 million to dole out between now and December 2015 to qualified new-construction and extensive-renovation projects that incorporate energy-efficient elements.

“We’ve got a whole bunch of money and we’re anxious to share it with people who want to improve their energy efficiency,” says Stephen Finkel, senior project manager for the program.

The program, which is geared toward commercial and institutional organizations ranging from small businesses to educational institutions, began awarding incentives from this round of funding in January.

The program has two main components, technical assistance to help businesses determine what energy-efficient measures are best for their project and how much those measures could save the business in energy costs and financial incentives to help businesses pay for energy-efficient equipment, Finkel says.

Technical assistance is provided on a cost-share basis, where NYSERDA covers a set amount of the cost and any additional costs are split 50-50 between NYSERDA and the business. 

The financial incentives cover a portion, up to 50 percent, of the difference in cost between a basic piece of equipment and an energy-efficient model.

The goal, Finkel says, is to get businesses to invest in energy-efficient equipment even though that equipment costs a little more upfront. The bonus, he says, is that the business will then save on energy costs during the life of that equipment.

“We understand that business owners are looking for items that make economic sense and have financial payback,” he adds. That’s why NYSERDA helps offset some of the cost difference.

The typical piece of equipment will see a return on investment within five to 12 years, he contends. The longest payback period is about 15 to 18 years, while some businesses have seen a significant return on their investment in less than five years, he says.

“We have people that see pretty quick paybacks,” he says. NYSERDA does not provide incentive for products that will show a return on investment in less than a year, he says, because the assumption is that investing in that product makes so much sense, a business should just do it anyway.

In addition, NYSERDA has additional incentives available for projects seeking Leadership in Energy and Environmental Design (or LEED) certification, Finkel notes.

NYSERDA is really hoping to attract some zero-net-energy projects as well, he says. Those projects are ones where the building produces at least as much energy as it consumes over the course of a year. NYSERDA has already supported one such project, he says.

“We’re looking for other people really interested in pushing their energy savings toward that zero-net goal,” he says. NYSERDA hopes to add additional incentives for such projects in the future.

Any businesses planning to undertake a construction or extensive renovation (NYSERDA defines such a project as one where the space will need to be vacant for 30 days while the project takes place) should contact NYSERDA as early in the process as it can, Finkel says. If NYSERDA is involved right from the design phase, technical assistants can help guide decisions about what type of energy-efficient equipment is going in without the project architects having to redesign things, he explains.

The NYSERDA incentives can cover a wide range of equipment such as lighting, heating and cooling systems, heat-recovery systems, and even items such as high-efficiency refrigeration equipment for grocery stores.

Businesses must submit a state consolidated funding application to apply for the program and can access the application, along with more information about the program, online at www.nyserda.ny.gov/new-construction. Assistance with completing the application is available.