As the world’s population continues to grow, so does its need for a power supply. This constant strain on resources has power companies turning to their patrons for help and even offering them money back for installing or using energy-efficient devices.

As one of the largest power draws across every industry, energy-efficient lighting is a prime candidate for rebates. And there’s no bulb that’s quite as efficient as an LED.

Although once extremely expensive, compared to their counterparts, LEDs are relatively affordable on today’s market.

In fact, most states, you can earn a rebate replacing incandescent, fluorescent, high-pressure sodium, metal halide, and other, inefficient bulbs with long-lasting, energy-efficient LED lighting.

Rebates help to mitigate the cost of purchasing and installing LED lights and are typically earned on a fixture-by-fixture basis.

This means that if you’re replacing all the lighting for a large commercial or industrial facility, you could potentially receive thousands of dollars in rebates. This is just one of the many benefits of switching to LED lighting.

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Types of Rebates

There are a few different types of rebates. And what type of rebate you’ll receive depends entirely on what state you live in and what power company you’re dealing with. Here are the most common LED rebate types in the United States.

Point of Sale (POS) – This rebate is issued automatically when eligible products are purchased. This is preferred by facility managers since there is no down time spent waiting for the rebate to be processed.

Prescriptive – This rebate is one paid out over a predetermined period of time, but it does usually allow you to choose your own fixture, as long as it meets certain standards.

Custom – The most complex of all rebates, a custom rebate allows you full control. Facility managers can propose custom rebates to power and utility companies, which often means a complex planning process.


State Lighting Rebates

The Best of the Best

It’s hard to name a certain set of states as offering the best rebates, because it really depends on what you’re looking for.

But what you’ll likely see is that certain areas of the country tend to offer better rebate programs than others, and chances are, the answers will surprise you.

The Northeast

Although these rebates typically require a lot of paperwork, you’re rewarded well for your efforts. The pre-approval process alone can result in thousands of dollars saved in LED installation costs. If you manage a facility (either commercial or industrial) with older lighting in these states, you should be considering an upgrade.

The Midwest & the Northwest

The hardest part about receiving a rebate in these states is deciding which organization to go through. Take a different approach by choosing a product that works for you first, then matching it with a rebate program. Most programs feature simple approval processes and a variety of rebates to choose from.

The Worst of the Worst

Not everyone can be winners. And, although these states have some of the worst LED lighting rebate programs in the country, they’re not necessarily against energy-efficient technology.


California uses legislation like Title 20 and Title 24 instead of energy-efficient appliance rebates to convince businesses to switch to LED lighting.


Rebates in Texas have the potential to be lucrative, especially for larger projects. However, the application process is known to be time-consuming and difficult. Many small business owners avoid them for this reason.


The best way to describe the Florida LED lighting rebate program is probably with an analogy, Florida is a desert and rebates are water. The rebates are few and far between, and the ones that are offered are usually extremely minimal.

LED lighting rebates by state

If your state isn’t in the best or worst category, you likely have several relatively good rebate options to choose from.

It’s also important to remember that even without state rebates, LEDs quickly make back their initial purchase price by saving you on electrical and maintenance costs.

So, even if your state is one of the worst for rebates, switching to LED lighting is still a great option.

Saving Money & Earning Rebates with LEDs

How to Determine Energy Savings for a Retrofit

The most intriguing part of switching to LED lighting is the money saved. And, whether that be through rebates, energy- efficiency, or a combination of the two, it’s always encouraging to know approximately what your savings could be.

Calculating energy-savings is a somewhat complicated process, and you’ll need detailed information about your current lighting setup and the fixtures that you wish to upgrade to. We’ve listed everything you’ll need below.

  • Original wattage per bulb
  • Replacement wattage per bulb
  • Number of bulbs replaced
  • Energy expenses
  • Daily “on” hours
  • Annual “on” days
  • Initial expense of upgrade

Once you’ve gathered all this information, you can use this energy savings calculator to give you a realistic idea of how much you can expect to save. Be aware that the results from this calculator are an approximation, and your final savings may differ based on many factors. And although wattage is a good measure of energy efficiency, generally, LEDs are best measured in lumens.


  • Company Name: Energy
  • Contact: 1-800-368-3749



  • Company Name: FPL
  • Contact:800-226-3545


  • Company Name: Avista
  • Contact: 800-936-6629



  • Company Name: Entergy
  • Contact: 800-368-3749




New Mexico

North Dakota


South Carolina







  • Company Name: Delmarva
  • Contact: 800-375-7117 










New York


  • Company Name: AEP Ohio
  • Contact: 800-672-2231



South Dakota







District of Columbia



  • Company Name: Vectren
  • Contact: 800-227-1376 






New Hampshire


North Carolina




West Virginia

Dwayne Kula

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About the Author

Dwayne Kula is President of LED Lighting Supply. On any given day, Dwayne is writing content for the site and helps manage the marketing initiatives that are on-going. He has a Software Engineering degree and still dabbles in writing software for the company as needed. When not working, he enjoys spending time with his family, working out, playing the occasional game of golf and exploring New England.

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