The programs being piloted by NYSEG, RG&E, and RECO could serve as blueprints for the next generation of home energy rebates.
[New York, New York] – [October 31, 2024] – Sealed, a climate tech company on a mission to stop home energy waste, is proud to announce its role in supporting new measured savings pilot programs in New York and New Jersey, marking the first expansion of such initiatives beyond California. These programs, run by utility companies New York State Electric & Gas (NYSEG), Rochester Gas and Electric (RG&E), and Rockland Electric Company (RECO), are designed to provide households with performance-based incentives for home energy retrofits such as weatherization and heat pump installations.
Measured savings programs are emerging as the future of rebate strategies for incentivizing home weatherization, heat pump installations, and other deep energy efficiency retrofits. Under the Inflation Reduction Act (IRA) HOMES rebate program, all states now have the opportunity to offer these types of programs. Until now, however, the only active measured savings programs have been limited to California.
“We’re excited to support these measured savings programs and demonstrate how we can help utilities and states achieve their maximum potential and impact,” said Andy Frank, President and co-founder at Sealed. “By making it easier for contractors to participate, we can help ensure these programs win at the kitchen table—ultimately benefiting homeowners, contractors, and transforming the broader energy efficiency market.”
“Working with Sealed made our project smooth and efficient from start to finish,” said Joon Hong, owner of Ace Solutions in Northern New Jersey. “Their knowledgeable team ensured a seamless process, allowing us to deliver high-efficiency heat systems to customers quickly and easily, with substantial rebates—a fantastic experience with impressive results!”
New Measured Savings Programs in New York and New Jersey
For the first time, utilities in New York and New Jersey are launching pilot programs offering rebates based on actual, measured energy savings:
- In New York, NYSEG and RG&E are introducing rebates for customers who undertake weatherization projects. These rebates are calculated based on the energy savings achieved after the project is complete and energy usage is weather-normalized.
- In New Jersey, RECO is offering rebates for homeowners who install whole-home heat pump systems. Similar to the New York programs, the rebate is determined by measuring the energy savings before and after the retrofit.
These initiatives signal a significant shift in how rebates are structured, offering customers greater transparency and alignment between energy savings and incentive amounts.
Sealed’s Role as Aggregator
Sealed is playing a crucial role in facilitating these measured savings programs by serving as an aggregator. Drawing from its experience with California programs like 3C-REN, Sealed is providing the infrastructure to help contractors and households take full advantage of the new rebate offerings.
“To make these programs successful, we need to make getting rebates easy for contractors and households. With Sealed Pro, you can qualify and calculate rebates at the point of sale, reducing what used to be a multi-hour process down to minutes,” said Ryan Bevans, Chief Revenue Officer at Sealed. “More than 80% of the contractors we are working with were not active in the 3C-REN program before Sealed. Sealed participation tripled the program volume.”
In addition to simplifying the qualification process, Sealed manages rebate processing on behalf of contractors, paying the expected value of the rebate within 10 days of installation—faster than most programs have the ability to pay.
Transformative Potential of Measured Savings Programs
The programs being piloted by NYSEG, RG&E, and RECO could serve as blueprints for the next generation of home energy rebates. As the need for comprehensive home energy retrofits becomes more urgent, utility and government administrators are exploring new models like measured savings to drive both scale and accountability.
The pilots will assess how effective the programs are at encouraging contractor participation by minimizing barriers to entry, while also ensuring accountability for ratepayer dollars.
About Sealed
Sealed is a climate tech company with a mission to stop home energy waste and electrify all homes. Sealed provides software and solutions to contractors, enabling them to install more home weatherization and electrification projects, grow their business, and make it easier for homeowners to have more comfort with less energy waste. Sealed’s software, data, and analytics enable market-leading products, including a one-stop shop rebate solution, investment-grade energy savings predictions, and customer qualification and education tools. Sealed also serves as an aggregator of projects for utility and government incentives, handling all rebate processing and payment on behalf of contractors, enabling contractors to participate in measured savings, Virtual Power Plant (VPP), and other programs with minimal additional costs or friction.
About O&R
Orange and Rockland Utilities, Inc. (O&R) is a wholly owned subsidiary of Consolidated Edison, Inc., one of the nation’s largest investor-owned energy companies. O&R is a regulated utility that provides electric service to approximately 300,000 customers in southeastern New York State (where its franchise name is Orange and Rockland Utilities) and northern New Jersey (where it’s Rockland Electric Company), and natural gas service to approximately 140,000 customers in New York.
About NYSEG
New York State Electric & Gas Corporation (NYSEG) is a subsidiary of Avangrid, Inc. Established in 1852, NYSEG operates approximately 35,000 miles of electric distribution lines and 4,500 miles of electric transmission lines across more than 40% of upstate New York. It also operates more than 8,150 miles of natural gas distribution pipelines and 20 miles of gas transmission pipelines. It serves approximately 894,000 electricity customers and 266,000 natural gas customers. For more information, visit www.nyseg.com.
About RG&E
Rochester Gas and Electric Corporation (RG&E) is a subsidiary of Avangrid, Inc. Established in 1848, RG&E operates approximately 8,800 miles of electric distribution lines and 1,100 miles of electric transmission lines. It also operates approximately 10,600 miles of natural gas distribution pipelines and 105 miles of gas transmission pipelines. It serves approximately 378,500 electricity customers and 313,000 natural gas customers in a nine-county region in New York surrounding the City of Rochester. For more information, visit www.rge.com.