Usage and Safety 
block bidding energy efficiency program

My business can be paid for saving energy?


YES! Eligible commercial, industrial and municipal customers can be paid to meet energy savings goals. The Block Bidding Program is a sealed-bid, pay-as-bid auction. The purpose of the program is to create ways for customers to achieve energy savings and allow third-party suppliers, working on behalf of host customers, to participate in offering energy-saving solutions.

The current NYSEG request for proposals (RFP) is closed at this time.

If you would like to receive an email notification when the announcement for a future RFP is released, please contact us to be added to the Company’s Trade Ally list.



Through the Block Bidding Program, NYSEG purchases “blocks” of electricity savings representing reduced electric usage­ from eligible commercial, industrial and municipal customers or from third parties (aggregators) working with those customers.

Since the first RFP was issued in February 2010, NYSEG and RG&E, have approved approximately $10 million for nonresidential energy efficiency projects that will save 45 million kilowatt-hours (kWh) of electricity. The winning bids represent nearly 160 projects from more than 70 different customers across the NYSEG and RG&E service areas.



Any NYSEG electric commercial, industrial or municipal customer who pays the System Benefits Charge (SBC) on their electricity bill is eligible. Third parties (aggregators) may also bid the savings from eligible customer sites, if they have the agreement of those customers. Reminder: please read the Block Bid RFP carefully to determine if it is open to both operating companies or to just one (NYSEG or RG&E) to determine a customer’s eligibility.



  • Learn how Kennedy Valve is saving nearly 23 million kWh of electricity here.
  • Learn how RYCO Management is saving 4.8 million kWh of electricity here.
  • Learn how Fieldtex Products is saving more than 2.2 million kWh of electricity here.




Proposals are required to:

  • Exceed a minimum bid size of 100 megawatt-hours (MWh) of electricity savings.
  • Not exceed a maximum bid size of 8,578 MWh of electricity savings.
  • Only contain energy savings measures that provide permanent and sustainable
    energy savings.
  • Include only energy savings that are achieved after announcement of bid award and no later than 12 months after contract effective date.

Energy savings measures receiving funding from other System Benefit Charge (SBC) funded programs are not eligible for the Block Bidding Program.

Nonresidential customers may seek to work with an aggregator or serve as an aggregator themselves if they wish to increase their electricity savings bid to meet or exceed the minimum bid requirement of 100 MWh.

Successful bidders must:

  • Submit all required bid paperwork, which will be identified in the Request for Proposal.
  • Achieve electricity savings at the qualifying customer site(s).
  • Have their project pass a total resource cost (TRC) test that ensures the project is
  • Identify the specific project location(s).
  • Identify specific measures to be installed. Pre-installation inspections may be required prior to implementing saving measures.

The selection of bids will be subject to the amount of program funds available at the time selections are made.  Consideration will also be made of whether the bids support the Company’s ability to reach its PSC mandated goals. Furthermore, the Company reserves the right to accept or reject any and all bids at the sole discretion of the Company.


The Block Bidding Program is being offered in accordance with a January 4, 2010, New York State Public Service Commission order approving Block Bidding and an October 25, 2011, New York State Public Service Commission order reauthorizing EEPS programs. The Block Bidding Program is funded by the Systems Benefit Charge (SBC) on nonresidential electricity customers’ bills.


other programs

Learn more about our other
energy efficiency rebates and incentives here


news release

Click here for our news release announcing the current phase of Block Bidding.