State and Local Policy Database

Deployment Incentives

State financial incentives are an important instrument for increasing the use of technologies that provide benefits to both residents and the state overall. Rebates, grants, tax credits, and deductions are all ways in which deployment of new CHP can be incentivized at the state level. The leading states have mixtures of multiple types of incentives. Among the strategies that some states choose are net metering regulations that can encourage CHP deployment by facilitating owners of systems to get credit for excess electricity they produce.

There are currently no state policies that provide additional incentives for CHP deployment.

Last Updated: June 2016

A state policy provides a tax exemption on fuel used for CHP. Act 73 of 2008 provides industrial businesses with an exemption from the fuel tax on any fuel used for cogenerating electric power on its main facility or affiliates.

Last Updated: September 2016

There are currently no state policies that provide additional incentives for CHP deployment.

Last Updated: June 2016