custom rebates: commercial advantage program


The City of Palo Alto Utilities (CPAU) custom rebate option is available for retrofit energy projects that do not qualify for prescriptive rebates. Qualifying projects include replacements such as controls or modifications to air conditioning systems which result in verifiable electric and/or natural gas savings.


  • Electric customer rebate – Ten cents ($0.10) per kWh saved for the first year.
  • Natural gas customer rebate – One dollar ($1.00) per therm saved for the first year.
  • Rebates are subject to change based on CPAU’s verification of project energy savings.
  • See full Program Details and Specifications.


  • Project estimate must show verifiable electric and/or natural gas savings. A professional engineer must estimate the project energy savings.
  • Lighting projects must use the CPAU lighting calculator for energy saving calculations and must meet specific technology requirements. Learn more about Lighting Technology Requirements.
  • Only retrofit projects for existing operating equipment qualify.
  • Variable Frequency Drives (VFDs) require the use of the CPAU VFD calculator for energy savings calculations.


  • Read the Terms and Conditions.
  • Identify your project and have the energy savings calculations stamped by a licensed engineer.
  • Before purchase, order, and installation of any equipment, complete Commercial Advantage Rebate Application and attach your stamped Custom Rebate savings report.
  • Contact CPAU to schedule a pre-installation inspection of existing equipment.
  • CPAU will issue a notice of approval.
  • Once approved, order, purchase, and install equipment within six months.
  • Within 90 days of purchase, send Proof of Purchase and supporting documentation to CPAU.
  • Contact CPAU once project is complete to schedule post-installation inspection.

Read on for full details of the application process as well as the terms and conditions.