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Illinois Municipal Electric Agency - Electric Efficiency Program

Local Government
Federal Government
Savings Category 
Equipment Insulation
Lighting Controls/Sensors
Heat Pumps
Air conditioners
Compressed air
Programmable Thermostats
Energy Mgmt. Systems/Building Controls
Building Insulation
Motor VFDs
Comprehensive Measures/Whole Building
Custom/Others pending approval
Other EE
Geothermal Direct-Use
Vending Machine Controls
Maximum Rebate 

General: 75% of project cost

Program Info
Sector Name 
Illinois Municipal Electric Agency
Funding Source 

IMEA (funds available to each IMEA member are based on their proportional electric purchases from IMEA)

Program Type 
Rebate Program
Rebate Amount 

Lighting: Varies widely
Unitary/Split Air Conditioners and Heat Pumps: $100/ton
Chillers (Water Cooled): $33 - $66/ton
Chillers (Air Cooled): $50 -$100/ton
Room Air Conditioners: $83/ton
Package Terminal Air Conditioner and Heat Pumps: $50/ton
Geothermal Heat Pumps: $1,000/ton
Refrigeration Measures and Equipment: Varies widely
VFD's for HVAC Applications: up to 75% of cost
Ice Makers: $150 - $400
Motors: $11 - $515
Custom Incentives: $0.10/kWh for one year's estimated energy savings
Exterior Lighting/Breakthrough Incentives: $0.30/kWh


Note: This program is undergoing changes after a review by CLEAResult. Applications are not currently available (as of June 10, 2016) but the program website states they will be available during June 2016; check the program website for updates.

FY2014-15 of the program runs from May 1, 2014 through April 30, 2015.

The Illinois Municipal Electric Agency (IMEA) offers rebates to member municipal utilities* (those who purchase wholesale electric service from IMEA) and retail customers for energy efficiency upgrades. The incentive program provides up to 75% of the project cost in rebates or grants for qualified efficiency projects -- although all incentives are subject to funding availability. Rebates are provided for a variety of projects including custom measures. The same program eligibility and applications apply.

Eligible projects are those which will result in electricity savings, either through equipment upgrades, or building or process improvements. A wide range of efficiency technologies and equipment, such as lighting, HVAC, motors, insulation, vending controls, among others, are eligible. Specific rebate amounts are provided in IMEA's application. Custom projects will also be considered under a separate incentive level of $0.10 per kilowatt hour (kWh) for one year's estimated energy savings and breakthrough equipment and exterior lighting will be provided an incentive level of $0.30/kWh for one year's estimated energy savings. The energy savings of the selected equipment must provide a financial payback before the useful life of the equipment expires. The bonus rate for peak shaving is $50.00 per kW saved at time of city peak.

A bonus rate for power factor correction can be calculated two ways. The applicant may choose to request a bonus that is $2.00 per kVar improved. Or, the applicant can request a $350 bonus for a power factor correction project that raises the power factor from anything below 0.95 to 0.95 or better.

Pre-approval is required, and interested applicants should reserve funding prior to purchasing any equipment. Interested applicants should submit applications to their municipal utility first. The municipal utility will submit it to IMEA for review. IMEA is working with the Illinois Department of Economic Opportunity to administer the rebate. If approved, rebate recipients are required to provide all receipts and invoices in a final application due within 45 days of project completion. See IMEA's web site for application materials.

*IMEA provides a list of member municipal utilities on its web site.