Public Sector Energy Financing

Every building you operate has expenditures associated with energy. That’s why we created the Public Sector Energy Financing Program from the ground up to suit your needs. Whether you operate a school or a warehouse, Michigan Saves wants to help you invest in improvements that reduce future increases in energy prices, maximize your opportunity to bank excess maintenance costs, and provide savings via smaller, more predictable utility bills. Start now to see results in your public sector building and your balance sheet.

Now Available

Special financing rates available for qualifying, energy efficiency measures for Consumers Energy and DTE Energy municipal customers

Learn More >

It’s as easy as 1-2-3

The number 1 in a green circle

Select a Contractor

Select a Michigan Saves authorized contractor to get an estimate on qualifying energy improvements.

The number two in a green circle

Apply for Financing

Your contractor will provide you with the application.

The number three in a green circle


Once the financing is approved, your contractor installs the upgrades and is paid directly by the lender—after the work is completed to your satisfaction.

Public Sector Frequently Asked Questions

What is Michigan Saves financing?

Michigan Saves financing is financial capital made available to customers through a network of lenders that offer favorable terms based on a negotiated contract. This program helps Michigan public sector building managers reduce costs by financing energy efficient lighting, heating and cooling systems, insulation, appliances, water heaters, and more. Upgrades are made with the help of our authorized contractors and an authorized lending partner.

What finance rates and terms are available?

All publicly owned buildings, such as municipal offices, public schools, libraries, and hospitals, are eligible for rates ranging from 3% to 5% APR. Standard terms are 24, 36, 48, and 60 months. Installment purchase agreements are available from $5,000 to $10 million.

What can I use the financing for?

Most energy improvements can be financed, but a full list of eligible improvements is available here. The most common commercial improvements include LED lighting, HVAC systems, insulation, and new mechanical equipment like occupancy sensors and electronically communicated motors.

Can I do the work myself?

Michigan Saves makes it easy to process authorized contractors and easy for your own contractor to become authorized. Whichever you choose, you can work with people you are comfortable with. Michigan Saves screens energy auditors and contractors to ensure they have applicable licenses, credentials, and insurance, and understand the financing process. If you are already working with or know a contractor, they can become authorized by Michigan Saves by filling out an application.

Eligible Improvements

The improvements listed below—subject to specified requirements where noted—are eligible for financing for qualified commercial borrowers under the Business Energy Financing Program. This list is subject to change. Measures that are not included on this list—such as air sealing, insulation, and related health and safety measures and more—may also qualify for financing if they are recommended through a business energy assessment conducted by a certified professional. See the Michigan Saves list of authorized contractors to find a certified energy auditor near you, if you are interested in receiving a business energy assessment.


Compact Fluorescent Fixtures
Compact Fluorescent Lamps Energy Star Screw-in or Pin Base
Exit Signs 5 watt or Energy Star Electroluminescent, T1 or LED
High-Intensity Discharge (HID) Conversion (interior) HID to Fluroescent, LED or Induction
High-Intensity Discharge (HID) Conversion (exterior) HID to Fluorescent
High Output Linear Fluorescents T12 to HO T8/ T5
High Performance (HP) and Reduced Wattage (RW) Linear Fluroescent with Electronic Ballast CEE qualified T12 to HP/RW T8
Light Emitting Diode (LED) Down Lights and Fixtures Energy Star
Light Emitting Diode (LED) Lamps Energy Star
Light Tube (daylighting)
Standard Linear Fluorescent Retrofit with Electronic Ballast and Reflectors T12 to T8 / T5
Boiler (gas) 86% AFUE – space heating;
82% AFUE – hot water or steam
Boiler Controls Oxygen trim, modulating burner, or water reset
Boiler Tuneup Electronic flue gas analyzer must be used
Central AC (unitary, split system, and rooftop units) 10.4 EER to 14.0 EER
Central AC (package terminal and heat pump) 12.5 EER Through-the-wall, self-contained units, < 2 tons
Chilled Water Reset (air cooled)
Chilled Water Reset (water cooled)
Chiller (air-cooled) IPLV 1.04 kW/ton
Chiller (water cooled)* IPLV 0.49 to 0.57 kW/ton
Duct Sealing
Furnace (gas) 90% AFUE
Furnace Tuneup Annual preventative maintenance
Heat Pump (ground source) 17.0 EER
Heat Pump (water loop) 11.5 EER to 12.3 EER
Infrared Heaters Electric ignition and replacement for unit type heaters
Insulation (tank) 1″
Pipe Wrap R4
Programmable Thermostat
Room Air Conditioners Energy Star
Steam Trap Repair or Replacement
Variable Frequency Drives (VFD) on HVAC Fans and HVAC Pumps
Water Heater (electric) 0.93 EF
Water Heater (electric heat pump) 2.0 EF
Water Heaters (gas storage) 0.67 EF or 88% TE
Water Heater (oil storage) 0.82 EF
Water Heater (tankless) 0.82 EF Power vented
Anti-Sweat Heater Controls (ASHC)
Beverage Vending Machine Controls Passive infrared occupancy sensor
Curtain Doors For use with walk-in refrigerators or freezers
Door Gasket
ECM Motor for Refrigeration Case
Efficient Refrigerator Condenser
Evaporater Fan Motor Controls
Floating Head Pressure Controls
Freezers Energy Star
Fryer Energy Star
Griddles Energy Star
Hot Food Holding Cabinets Energy Star
Ice Machines CEE Tier 2
LED Lighting for Refrigeration Cases
Night Covers for Open Refrigerated Display Cases
Occupance Sensors for LED Refrigeration Cases 35 lumens per wat & 72 CRI
Oven (convection)
Oven (conveyer)
Prerinse Sprayers 1.6 gpm
Refrigerators Energy Star
Steam Cookers Energy Star
Vending Machines Energy Star
Vending Machine Controls
Ventilation Hoods (Engineered Commercial Kitchen) High efficiency, variable speed with controls
Walk-in Cooler/Freezer Electronically Commutated (EC) Motor Replacement Replace standard efficiency shaded pole or permanent split capacitor evaporator motor
High Performance Window Glazing SHGC <0.39 & U-value <0.57
Insulation (attic roof) Final insulation level must exceed R42
Insulation (flat roof) Final insulation level must exceed R24
Insulation (wall) Final insulation level must exceed R13
Reflective Roof (metal, asphalt, or membrane) Energy Star
Window Film SHGC <0.39 & U-value <0.72
Windows Energy Star
Central Lighting Controls Automated controls with override capabilities
Daylight Sensor Controls
Demand Control Ventilation (DCV)
HVAC Energy Management System
Exterior Lighting Bilevel Controls with Override
Intelligent Surge Protector Built-in plug load detection and control capabilities
Lighting Occupancy Sensors Passive infrared, ultrasonic, or fixture integrated
Lighting Timers
Plug Load Occupancy Sensor
Switching Controls for Multilevel Lighting


Who’s Eligible? Details Eligible Improvements Promotional Flyer and Details Promotion Ends
Consumers Energy municipal customers 0.0% APR financing for 36 months up to $75,000 Electric and gas measures; compressed air measures; agricultural projects Consumers Energy While funds available through 11/30/2017
DTE Energy municipal customers 1.99% APR financing for 60 months up to $150,000 Custom and prescriptive gas and electric projects, including energy-efficient lighting, refrigeration, heating and cooling equipment and more  DTE Energy While funds available through 11/30/2017