Numerous incentives are available from Federal and State government to help businesses manage their utility usage, lower operation costs, and lessen their environmental impact.  For more information or questions, please contact

Glenn Waldrop
Public Information Coordinator
502.352.4485 //


State Incentives

Renewable Energy Tax Credit
A small scale, tax credit option for onsite generation projects. 

Sales Tax Exemption for Manufacturing Facilities
Exempts sales tax associated with the purchase of energy efficient manufacturing equipment. 

Energy Efficiency Tax Credits (Corporate) 
A small scale, tax credit option for energy efficiency retrofit projects. 

Kentucky Enterprise Initiative Act (KEDFA) 
Tax incentive rewarding economically driven upgrades for manufacturing, service or technology companies.

Direct Loan Program (KEDFA) 
A mortgage loan for economically driven fixed asset acquisitions or expansions which create local jobs.

Kentucky Reinvestment Act (KRA) 
A tax credit incentive for economically driven equipment and facility investments of $2.5 million or more. 


Federal Incentives

Energy Policy Act (EPACT)
A tax deduction up to $1.80 per square foot for lighting, thermal envelope & HVAC efficiency retrofits.

Provides up to $500k for renewable energy projects, $250K for energy efficiency projects and $100K for audits in rural communities.

Modified Accelerated Cost-Recovery System (MACRS) 
A process for evaluating tax depreciation on different types of acquisitions.

Business Energy Investment Tax Credit (ITC)
Tax credit (or potential grant option) for a proportion of the capital cost of onsite renewable generation projects.


Federal Guaranteed Loans

USDA - Rural Energy for America Program
(REAP) Loan Guarantee

Provides guaranteed loans up to 75% of project cost or max $25 million for renewable and energy efficiency projects.