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Industrial and Process Efficiency Program for Data Centers

The cost of data center downtime is estimated to be $9,000 per minute. By investing in energy efficiency and making it an integral part of your processes, you can reduce downtime, improve resiliency, and ensure greater reliability. NYSERDA's Industrial and Process Efficiency (IPE) program offers performance-based incentives to help data center owners and operators offset the cost of investments in energy efficiency and IT productivity projects in their data centers.

Getting Started

The IPE team will work with you to identify projects, visit your site, meet with your team, and assist with the application process. Contact us to begin working with the IPE team and to submit your application:

More Program Information

Examples of energy savings projects that are eligible for incentives include, but are not limited to:

Facilities IT
Air-flow management Server consolidation and virtualization
Cooling system optimization Energy efficient servers
Use of waste heat Desktop virtualization
Uninterruptible power supply (UPS) system upgrades Storage consolidation


NYSERDA’s performance-based incentives are calculated from the total annual kilowatt-hour (kWh) savings that result from implementing energy efficiency measures. NYSERDA determines incentives by multiplying the annual energy savings by the rates shown. Ongoing cost reductions and productivity improvements resulting from the project continue for the life of the equipment.

Incentive Type Utility Upstate Downstate
Process and energy efficiency Electric $0.10/kWh $0.16/kWh
Fossil fuel $6/MMBtu
Operational & maintenance (O&M) Electric $0.04/kWh
Fossil fuel $3/MMBtu
Minimum incentive All projects $25,000
Maximum incentive All projects 50% project cost;
$2 million/company
Electric $1 million/project
Fossil fuel $500,000/project

NYSERDA also assists data center owners and operators through the following NYSERDA programs:

Flexible Technical (FlexTech) Assistance:
Get objective, site-specific targeted technical assistance and analysis to inform how best to implement clean energy or energy efficiency technologies and lower energy costs. NYSERDA will share the costs of FlexTech with eligible companies.