Energy Efficiency Incentives for Multifamily Buildings

Federal Tax Incentives

Effective July 1st 2026 the 45L Energy Efficient New Homes Tax Credit and the 179(D) Energy Efficient Commercial Building Tax Deduction have expired as per passage of the (OBBB).

Investment Tax Credit (ITC) – for on-site solar, battery storage, geothermal

This tax credit expires on July 4^th, 2026 for projects placed in service after December 31^st, 2027. Facilities that begin construction after December 31^st, 2025 and prior to July 4^th, 2026 are exempt from the new deadline but must meet new standards for the “commence construction” requirements.

The Investment Tax Credit for businesses allows businesses to deduct a percentage of the cost of on-site solar, battery storage, or geothermal systems. Taxable businesses are eligible for the ITC and some tax-exempt entities are eligible for direct payment of the tax credit. The base credit amount is between 6% and 30%, with bonuses for meeting additional criteria, such as projects that are located within low-income communities.

IRS ITC page
Call 1-800-829-1040

Federal Alternative Fuel Infrastructure Tax Credit

This tax credit is only available for charging infrastructure placed into service by June 30, 2026.

Multifamily property owners and managers may be eligible for the federal Alternative Fuel Infrastructure Tax Credit, available under Section 30 of the U.S. Tax Code. The tax credit for commercial projects, which includes multifamily projects, is 30% per charger, up to $100,000 per charger. Eligible projects must meet certain labor and location requirements.

IRS webpage for Form 8911
Call 1-800-829-1040

Utility Rebates

Rocky Mountain Power Wattsmart Multifamily Program

Rocky Mountain Power provides cash rebates for energy efficient upgrades to multifamily properties and efficient new multifamily construction. Multifamily properties with four or more units are eligible for rebates for appliances, building shell improvements, HVAC, lighting, weatherization, and water heating updates that increase the efficiency of the building.

Program overview and incentives
Call 866-739-9741 or email WattsmartHomes@RockyMountainPower.net

Enbridge Gas ThermWise Builder Program

Enbridge Gas provides builders of new single- and multi-family residential construction with cash rebates for installing high-efficiency equipment and for building ENERGY STAR-qualified homes. Single-family is defined as projects with 1-3 units and multi-family projects are those with four or more connected units. Builders working with a Home Energy Rater may be eligible for stand-alone or whole-home rebates.

Program overview and incentives
Call 801-324-5118

C-PACE Financing:

The Utah C-PACE program helps property owners access financing from the private sector for energy efficiency improvements. In Utah, C-PACE is also available to real estate developers who design and construct buildings that use equipment that exceeds commercial energy efficiency code requirements. Financing can sometimes cover up to 100% of the project cost, often requiring no money down. C-PACE is administered by local governments and is financed by capital providers.

Coming Soon

Home Energy Rebate program

Utah has been allocated $101 million by the U.S. Department of Energy (DOE) for two home energy rebate programs. These programs target homes and housing units occupied by low- and moderate-income residents and can provide up to $14,000 in rebates. Homeowners and multi-family building owners can receive these rebates through home retrofits that provide significant energy savings and through the purchase of approved, high-efficiency electronic appliances. Due to recent changes in federal funding, this program is not currently available in Utah, but we hope the program will become available. More information can be found on our website.

Helpful Resources:

UTAH ENERGY HUB

Energy efficiency: Save energy. Save money. Relax.