Small Business Energy Efficiency Grant Program

The Rhode Island Commerce Small Business Energy Efficiency Grant Program is a statewide effort to assist small businesses reduce their energy costs by implementing measures that improve energy efficiency. This program will reimburse small businesses up to $20,000 for energy efficiency measures implemented as the result of an energy efficiency audit.

Join Waitlist

Important Update:
Applications submitted after June 10, 2026 will be placed on a waitlist. Waitlisted applications will be reviewed on a first-come, first-served basis as additional funding becomes available.

Why It Matters

Energy efficiency means using less electricity to perform the same tasks—reducing your utility bills while supporting a cleaner energy future. By investing in efficiency, small businesses can:

Lower monthly energy expenses
Improve comfort and performance in their workspaces
Contribute to Rhode Island’s clean energy goals
Reduce reliance on fossil fuels as demand grows

Funding Levels

Up to 80% of project costs covered for businesses with less than $2 million in annual gross revenue
Up to 70% of project costs covered for businesses with $2 million–$5 million in annual gross revenue

Maximum Grant Awards

Projects that leverage Rhode Island Energy incentives typically provide greater overall value, as they allow for financing options and additional discounts.

$10,000 maximum when combined with Rhode Island Energy or RISE incentives
$20,000 maximum for independently completed projects

Business Eligibility

Small businesses must meet the following requirements to be eligible for the Small Business Energy Efficiency Grant Program:

Be a Rhode Island business or 501©3 nonprofit
Have a gross annual revenue of $5 million or less
Not be disbarred in the federal System of Account Management (SAM)
Not be permanently closed
Have been open and operating since January 31, 2024
Have a Rhode Island Certificate of Good Standing (COGS)
Have a Rhode Island Letter of Good Standing (LOGS) or letter from their certified public accountant
Not be owned by a nationally or regionally owned franchise

Eligible Projects or Purchases include:

LED lighting upgrades and controls
Cooler/refrigeration controls
Programmable WiFi thermostats
Boiler and hot water controls
Air sealing and building insulation
Variable frequency drives
Water saving devices
Roof top unit controls
Pumps and efficient motors
Custom equipment and controls
Electric panel upgrades
Removal knob-and-tube wiring
Improvements to ventilation:
- Purchasing and installing a higher-grade filter within an existing air handling unit
- Central HVAC installation, repair, or balancing
- HVAC UVGI system installation
- Adding a portable fan filter unit (PFFU)
- Adding an indoor air purifier
- HRV system installation, repair or balancing

Note: Solar panels are not eligible for reimbursement. If you are interested in solar panel installations, please visit https://commerceri.com/renewable-energy-fund/ for more information.

Have questions? We’re here to help.

Email us at energy.efficiency@commerceri.com or call 401-278-9100 to connect with a Business Support Specialist.

Energy Assessments

Energy assessments must be performed in 2026 and can be done by any of the approved entities below:

Rhode Island Energy’s Small Business Program delivered by RISE Engineering: complete this form or call 877-784-3709 to schedule a no cost audit
Block Island Power Company
The Clear River Electric and Water District
Licensed and Registered Contractors *
- To verify registered and licensed contractors (commercial roofers, home inspectors, underground utility, water filtration, well drilling, pump installers, etc.), visit https://crb.ri.gov/
- To verify licensed trades professionals (alarm business and agents, electricians, hoisting engineers, mechanical, and plumbers/irrigators, etc.), visit https://dlt.ri.gov/regulation-and-safety/professional-regulation

*Only energy assessments/audits conducted by a Rhode Island registered and licensed professional will be accepted for the RI Small Business Energy Efficiency Grant Program.

Frequently Asked Questions (FAQs)

Heat Pump Projects

This effort is a partnership between Rhode Island Commerce, Rhode Island Energy, RISE Engineering and the Rhode Island Executive Climate Change Coordinating Council (EC4).