There is a surge in energy consumption today. Because of the development of technology and overpopulation, energy consumption has doubled, and everyone is affected. There’s the cost increase, and consumers are the ones paying for it. It has also greatly affected the environment and has posed a lot of damage. To help bring awareness to the energy surge we are all experiencing, some utility companies offer energy rebates for a good reason.
- Marketing Strategy
A business will do anything to retain customers that’s why utility companies offer incentives and rebates as part of their marketing strategy. Both the business, and the consumer, can benefit from this strategy. For a business, they offer rebates and incentives for customer retention. In return, customers can enjoy rebates and would always look for the one offering financial incentives to lower utility costs.
- Customer Relations
Some utility companies offer financial incentives to keep a good relationship with their customers. Incentives and rebates make the customer happy, and when they are happy, they would never forget your services. They would not think of choosing another provider since their happiness is already provided. Also, incentives are a smart way to keep a utility company profitable.
- Law / Policy
Incentives and rebates are also mandated by law, and utility companies need to comply with the law. Although it is a policy that companies have to follow, this rebate and incentives are only available to consumers who are also following the company’s regulations in energy efficiency conservation. The company will offer a refund, but the consumer must also do his part of the bargain.
- Supply and Demand
Some utility companies have limited supply, so they encourage their consumers to cut down on their consumption. In return, the company will give them an incentive to balance the company’s supply and demand.
The Most Common Incentives offered by utility companies
- Tax Incentives
Although this incentive expired at the end of 2016, many consumers had benefited from this rebate when it was still available. Qualified consumers were able to avail of federal tax credits.
- Energy Star Rebates
The Energy Star is a program that promotes energy efficiency, and there are plenty of Energy Star products such as appliances which consumers purchase. The Energy Star is a form of financial incentive that the consumer can avail when the item or equipment is paid in full.
- Energy Efficiency Loans
For a consumer to invest in energy efficiency, it will cost him a lot. But utility companies, energy service companies, and the local state offer energy-efficient loans to help consumers start their energy-efficient installations. If you are a qualified consumer, you will then be able to avail and enjoy this incentive.
- Financial Incentives from Insulations
If a consumer’s home is insulated, he might find himself qualified for a financial incentive. Rebate is offered per square foot of insulation installed and using the insulation material approved by the Department of Energy. The utility company computes the rebate amount based on their qualifications.
Here are some home Insulation techniques that you should consider:
- Wall Insulation — There are two different types of wall insulation — cavity and solid wall insulation. Cavity wall insulation is when there is a gap between the inner and outer leaf. Meanwhile, solid wall insulation means there is no cavity inside them.
- Window and Door Insulation — incentives are applied on double-glazed windows and doors only.
- Floor Insulation — Probably the most expensive insulation because of the floor area. Modern floors have floor insulation on them.
- Roof Insulation — Roof insulation has two types. The warm loft insulation is ideal as insulation is immediately under the roof. Cold loft insulation is the insulation of the top-story ceiling.
There are many energy efficiency projects that consumers can avail. Insulating homes is an energy-efficient project that homeowners should try. Not only is it beneficial for the utility companies but also the consumer. Insulate your homes now and avail of excellent incentives and rebates.
Utility companies are offering incentives and rebates for consumers to be more energy-efficient and at the same time help them become more responsible with energy consumption.