Climate Showcase Communities
    Local Climate and Energy Program
                                 Effective Practices for Implementing Local
                                 Climate and Energy  Programs:
                                 Incentive  Techniques
 Lessons Learned by Communities for Communities
 The views expressed in this document are those of the Climate Showcase Communities grant recipients. U.S. EPA does not endorse any
 products or commercial services mentioned.
WHAT IS IT?
Incentives are financial or non-financial rewards for taking actions that improve local
sustainability.
WHY DO IT?
•   Incentives can encourage people to try things that they would not otherwise do and
    encourage them to go further on their own.
•   Incentives can help people get over the initial hurdle of not knowing your program's
    goals or how to participate.
•   Offering even a small incentive can lead to a sizable change in behavior.
•   People are often more interested in trying something if they feel that they are receiving
    immediate gratification.

WHAT WORKS?
•   For energy efficiency programs, consider financial rebates for the cost of an initial
    energy assessment, or provide free or low-cost project counseling. (Rebates often work
    better than providing services for free, which can diminish the perceived value.)
•   Upfront financial incentives can lower the barrier to participation.
•   Engage local businesses to support local initiatives with incentives. Businesses can
    provide valuable prizes for community members and be rewarded with marketing
    opportunities.
•   Survey your target audience for incentive ideas, and design incentives to attract
    individuals who would otherwise be unlikely to participate in your program.
•   Use limited-time incentives to generate buzz and motivation.
•   Align with the incentives offered by other institutions, such as utility rebates.
WHAT SHOULD YOU WATCH OUT FOR?
•   Avoid administrative burdens that make it difficult for people to obtain relatively small
    incentives.
•   Certain types of incentives, such as gift cards, may not be an option for some
    government agencies, depending on procurement policies.
WHAT RESOURCES HAVE PROJECTS FOUND TO BE USEFUL?
•   Database of State Incentives for Renewables and Efficiency: www.dsireusa.org
                                                                   "Establish a 'quick win' at
                                                                   the beginning of a grant
                                                                   program so that
                                                                   participants can see the
                                                                   benefits from the start."

                                                                   Sam, Central New York Climate
                                                                   Change Innovation Project,
                                                                   Central New York Regional
                                                                   Planning and Development
                                                                   Board
                                                                   "Set deadlines for
                                                                   incentives to provide a
                                                                   'push'for program
                                                                   participants to complete
                                                                   projects."

                                                                   Sabrina, Green Homes
                                                                   Challenge, Frederick County,
                                                                   Maryland
£EPA
United States
Environmental Protection
Agency
                                          April 2015
EPA-430-F-15-015

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