2025 NIPSCO Small Business Direct Install (SBDI) Incentive Program
For NIPSCO Small Business Customers
Reduce Energy Waste and Earn Cash Incentives
The Small Business Direct Install (SBDI) Program makes it easy for NIPSCO's small business customers to receive greater incentives for their natural gas and electric energy efficiency projects. The program is designed to help small businesses by offsetting the upfront cost of energy efficiency measures, and in some cases, by providing energy-saving measures at no added cost to our customers.
Eligibility*
Eligible customers include those currently billed under electric rates 620, 621, 622 or 623, who have not had a billing demand of 200 kW or greater in any month during the previous 12 months. Eligible NIPSCO natural gas customers are those served under rates 321, 325 or 351 (NIPSCO's DependaBill rate).
SBDI Incentive Cap
The incentive cap per project is $500,000 annually per fuel. Each customer may receive up to $1,000,000 annually per fuel. Incentives will be paid up to 100% of installed cost, including materials and labor. Funds are limited and therefore are paid on a first come, first served basis.
Get Started!
- Review the list of SBDI Incentive measures.
- Purchase and have an approved SBDI Trade Ally install your energy efficient equipment. Incentives greater than $10,000 require pre-approval prior to purchase or installation.
- Submit your application and supporting documentation.
SBDI Lighting Incentives
| Efficient Equipment Replacement | Unit | Prescriptive Incentive | SBDI Incentive |
|---|---|---|---|
| LED 1x4 Fixture (Replacing 1-Lamp Fluorescent) | Fixture | $2.00 | $3.00 |
| LED 1x4 Fixture (Replacing 2-Lamp Fluorescent) | Fixture | $6.00 | $8.00 |
| LED 1x4 Fixture (Replacing 3-Lamp Fluorescent) | Fixture | $8.00 | $10.00 |
| LED 2x2 Fixture (Replacing 2-Lamp Fluorescent) | Fixture | $10.00 | $13.00 |
| LED 2x2 Fixture (Replacing 3-Lamp Fluorescent) | Fixture | $17.00 | $20.00 |
| LED 2x4 Fixture (Replacing 2-Lamp Fluorescent) | Fixture | $10.00 | $13.00 |
| LED 2x4 Fixture (Replacing 3-Lamp Fluorescent) | Fixture | $17.00 | $20.00 |
| LED 2x4 Fixture (Replacing 4-Lamp Fluorescent) | Fixture | $25.00 | $28.00 |
| LED Exit Sign Retrofit/Replacement (Replacing CFL or Incandescent Exit Sign) | Fixture | $2.00 | $3.00 |
| LED High Bay (Replacing 4-Lamp Fluorescent) | Fixture | $28.00 | $30.00 |
| LED High Bay (Replacing 6-Lamp Fluorescent) | Fixture | $55.00 | $60.00 |
| LED High Bay (Replacing 8-Lamp Fluorescent) | Fixture | $45.00 | $50.00 |
| LED Low Bay (Replacing 3-Lamp Fluorescent) | Fixture | $33.00 | $38.00 |
| LED Interior (Replacing HID ≤ 175W) | Fixture | $50.00 | $60.00 |
| LED Interior (Replacing HID 176-250W) | Fixture | $62.50 | $80.00 |
| LED Interior (Replacing HID 251-400W) | Fixture | $100.00 | $135.00 |
| LED Interior (Replacing HID 1000W) | Fixture | $145.00 | $160.00 |
| LED Exterior (Replacing HID ≤ 175W) | Fixture | $45.00 | $55.00 |
| LED Exterior (Replacing HID 176-250W) | Fixture | $50.00 | $75.00 |
| LED Exterior (Replacing HID 251-400W) | Fixture | $125.00 | $140.00 |
| LED Exterior (Replacing HID 1000W) | Fixture | $280.00 | $300.00 |
| LED Tube Relamp (Replacing 2 Ft Fluorescent) | Lamp | $2.00 | $2.50 |
| LED Tube Relamp (Replacing 4 Ft Fluorescent) | Lamp | $4.00 | $5.00 |
| LED Tube Relamp (Replacing 4ft HO Fluorescent) | Lamp | $5.00 | $6.00 |
| LED Tube Relamp (Replacing 8 Ft Fluorescent) | Lamp | $8.00 | $10.00 |
| Dual Occupancy & Daylight Sensor (Indoor Only) | Watt Controlled | $0.25 | $0.30 |
| Exterior Occupancy Sensor | Watt Controlled | $0.09 | $0.11 |
| Interior Occupancy Sensor | Watt Controlled | $0.13 | $0.15 |
| Interior Networked Lighting Controls | Watt Controlled | $0.50 | $0.60 |
Incentivized measures must replace costly, less efficient systems or equipment on a one-for-one basis.
SBDI Compressed Air Incentives
| Efficient Equipment Replacement | Unit | Prescriptive Incentive | SBDI Incentive |
|---|---|---|---|
| Compressed Air Leak Repair | Leaks Repaired | $50.00 | $60.00 |
Incentivized measures must replace costly, less efficient systems or equipment on a one-for-one basis.
SBDI HVAC Incentives
| Efficient Equipment Replacement | Unit | Prescriptive Incentive | SBDI Incentive |
|---|---|---|---|
| Electric Measures | |||
| Smart Thermostat - Electric Cooling and Gas Heating | Unit | $120.00 | $130.00 |
| Smart Thermostat - Electric Cooling and Heating | Unit | $85.00 | $100.00 |
| Smart Thermostat - Electric Cooling Only | Unit | $65.00 | $75.00 |
| Smart Thermostat - Electric Heating Only | Unit | $40.00 | $50.00 |
| Smart Thermostat - Heat Pump | Unit | $40.00 | $50.00 |
| Natural Gas Measures | |||
| Smart Thermostat - Gas Heating Only | Unit | $50.00 | $55.00 |
| HTHV Direct Fired Gas Heater w/ > 92% Efficiency (≥ 93% AFUE) Natural Gas Furnace Replacing Standard Unit (≤225 MBH) | MBH | $1.20 | $1.44 |
| Boiler Hot Water Lockout/Reset | $1.50 | $1.75 | |
| Hot Water Boiler < 300 MBH and ≥ 96% AFUE | $1.65 | $1.85 | |
| Hot Water Boiler ≥ 300 MBH ≤ 2500 MBH and ≥ 92% TE | MBH | $1.65 | $2.00 |
| Space Heating Boiler Tune-Up (No tune-up performed in the past 36 months.) | $0.65 | $0.80 | |
| Steam Boiler < 300 MBH and ≥ 92% AFUE | $1.65 | $1.85 | |
| Steam Boiler ≥ 300 MBH ≤ 2500 MBH and ≥ 92% TE | $1.65 | $2.00 | |
| Commercial Heating Steam Trap Replacement | Trap | $70.00 | $77.00 |
| Pipe Insulation - 1/2" Pipe - Space Heating | Linear Ft | $2.50 | $3.00 |
| Pipe Insulation - 3/4" Pipe - Space Heating | Linear Ft | $2.50 | $3.50 |
Incentivized measures must replace costly, less efficient systems or equipment on a one-for-one basis.
SBDI Refrigeration Incentives
| Efficient Equipment Replacement | Unit | Prescriptive Incentive | SBDI Incentive |
|---|---|---|---|
| Electric Measures | |||
| LED Freezer Display Case Lighting (Replacing Fluorescent Case Lighting) | 4FT Lamp | $10.00 | $15.00 |
| LED Refrigerated Display Case Lighting (Replacing Fluorescent Case Lighting) | 4FT Lamp | $8.00 | $10.00 |
| Evaporator Fan Controls | Controller | $90.00 | $120.00 |
| Walk-In Cooler Strip Curtains - Supermarket | Cooler | $70.00 | $90.00 |
| Walk-In Cooler Strip Curtains - Convenience Store/Restaurant | Cooler | $50.00 | $75.00 |
| Door Heater Control - Cooler | Door | $100.00 | $150.00 |
| Door Heater Control - Freezer | Door | $200.00 | $250.00 |
| Auto Door Closers - Walk-In Cooler | Door | $110.00 | $120.00 |
| Auto Door Closers - Walk-In Freezer | Door | $130.00 | $140.00 |
| Motion Sensors on LED Cases | $10.00 | $15.00 | |
| Walk-In Freezer Strip Curtains - Convenience Store/Restaurant | Freezer | $125.00 | $150.00 |
| Walk-In Freezer Strip Curtains - Supermarket | Freezer | $175.00 | $200.00 |
| ECM for Coolers (Replacing Shaded Pole or PSC Motors) | Motor | $125.00 | $135.00 |
| ECM for Freezers (Replacing Shaded Pole or PSC Motors) | Motor | $150.00 | $160.00 |
| ECM w/ Evaporator Fan Controls (Replacing Shaded Pole or PSC Motors) | Motor/Controller | $300.00 | $400.00 |
Incentivized measures must replace costly, less efficient systems or equipment on a one-for-one basis.
SBDI Kitchen Incentives
| Efficient Equipment | Unit | Prescriptive Incentive | SBDI Incentive |
|---|---|---|---|
| Electric Measures | |||
| ENERGY STAR® Holding Cabinet – 1/2 Size | Cabinet | $300.00 | $325.00 |
| ENERGY STAR® Holding Cabinet - 3/4 Size | Cabinet | $325.00 | $350.00 |
| ENERGY STAR® Holding Cabinet - Full Size | Cabinet | $350.00 | $375.00 |
| ENERGY STAR® Fryer | Fryer | $175.00 | $200.00 |
| ENERGY STAR® Ice Machine - 500-1000 lb/Day | Machine | $53.00 | $60.00 |
| ENERGY STAR® Ice Machine - ≥1000 lb/Day | Machine | $70.00 | $75.00 |
| ENERGY STAR® Oven - Combo | Oven | $750.00 | $850.00 |
| ENERGY STAR® Oven - Convection | Oven | $275.00 | $285.00 |
| Vending Equipment Controller | Sensor | $100.00 | $110.00 |
| ENERGY STAR® Steamer - 3 Pan | Steamer | $440.00 | $470.00 |
| ENERGY STAR® Steamer - 4 Pan | Steamer | $780.00 | $800.00 |
| ENERGY STAR® Steamer – 5 Pan | Steamer | $895.00 | $950.00 |
| ENERGY STAR® Steamer – 6 Pan | Steamer | $945.00 | $1,000.00 |
| ENERGY STAR® Dishwasher - High Temp - Multi Tank Conveyor | Dishwasher | $750.00 | $800.00 |
| ENERGY STAR® Dishwasher - High Temp - Pot, Pan, Utensil | Dishwasher | $50.00 | $60.00 |
| ENERGY STAR® Dishwasher - High Temp - Single Tank | Dishwasher | $750.00 | $800.00 |
| ENERGY STAR® Dishwasher - High Temp - Single Tank Conveyor | Dishwasher | $1,200.00 | $1,300.00 |
| ENERGY STAR® Dishwasher - High Temp - Under Counter | Dishwasher | $350.00 | $400.00 |
| ENERGY STAR® Dishwasher - Low Temp - Multi Tank Conveyor | Dishwasher | $700.00 | $800.00 |
| ENERGY STAR® Dishwasher - Low Temp - Single Tank | Dishwasher | $450.00 | $475.00 |
| ENERGY STAR® Dishwasher - Low Temp - Under Counter | Dishwasher | $150.00 | $200.00 |
| Natural Gas Measures | |||
| ENERGY STAR® Fryer | Fryer | $250.00 | $275.00 |
| ENERGY STAR® Griddle | Griddle | $50.00 | $55.00 |
| ENERGY STAR® Oven - Convection | Oven | $200.00 | $225.00 |
| ENERGY STAR® Steamer – 5 Pan | Steamer | $750.00 | $775.00 |
| ENERGY STAR® Steamer – 6 Pan | Steamer | $800.00 | $825.00 |
| ENERGY STAR® Dishwasher - High Temp - Multi Tank Conveyor | Dishwasher | $750.00 | $800.00 |
| ENERGY STAR® Dishwasher - High Temp - Single Tank | Dishwasher | $750.00 | $800.00 |
| ENERGY STAR® Dishwasher - High Temp - Single Tank Conveyor | Dishwasher | $250.00 | $275.00 |
| ENERGY STAR® Dishwasher - Low Temp - Multi Tank Conveyor | Dishwasher | $780.00 | $810.00 |
| ENERGY STAR® Dishwasher - Low Temp - Single Tank | Dishwasher | $525.00 | $575.00 |
| ENERGY STAR® Dishwasher - Low Temp - Under Counter | Dishwasher | $50.00 | $75.00 |
Incentivized measures must replace costly, less efficient systems or equipment on a one-for-one basis.
SBDI Water Heater Incentives
| Efficient Equipment Replacement | Unit | Prescriptive Incentive | SBDI Incentive |
|---|---|---|---|
| Natural Gas Measures | |||
| Pipe Insulation - 1/2" Pipe - Domestic Hot Water | Linear Ft | $1.00 | $2.00 |
| Pipe Insulation - 3/4" Pipe - Domestic Hot Water | Linear Ft | $2.00 | $2.50 |
| Industrial Steam Trap Replacement | Trap | $180.00 | $180.00 |
| Dry Cleaning Steam Trap Replacement | Trap | $70.00 | $77.00 |
Incentivized measures must replace costly, less efficient systems or equipment on a one-for-one basis.
* If the customer participates in the Midstream Channel by purchasing qualifying equipment from a participating distributor, they are not eligible to participate in the Custom, Prescriptive, SBDI, New Construction or any other NIPSCO programs for an incentive on the same piece of equipment.
NIPSCO offers several different Energy Efficiency Programs that can help your business save. Visit our website to learn about what programs work best for your business.
