Commercial, industrial, institutional and eligible multi-family customers served by Nicor Gas in Illinois may be able to reduce the cost of a heating system upgrade through the 2026 Nicor Gas Custom Incentive Program.
The 2026 Nicor Gas Custom Incentive Program includes a dedicated incentive rate for qualifying gas heat pump projects. More information about the program is available on the Nicor Gas website. Eligible projects may receive $4 per annual therm saved, subject to technical review, pre-approval, available program funding and the incentive limits established by Nicor Gas.
The program is available to eligible Nicor Gas customers across several categories, including Business and Public Sector, Small Business and Multi-family. The application covers a broad range of properties, such as manufacturing facilities, warehouses, offices, schools, colleges, hospitals, healthcare facilities, hotels, retail buildings, religious facilities, emergency service buildings and multi-family properties.
To participate, the applicant must be a current Nicor Gas customer, and the natural gas savings generated by the project must occur on an eligible Nicor Gas meter. Final eligibility is determined by the Nicor Gas Energy Efficiency Program.
While many custom energy efficiency projects receive incentives based on savings tiers of $0.60 or $0.80 per therm, the 2026 application establishes a separate rate of $4 per therm saved for gas heat pump projects.
The final incentive amount is based on the annual natural gas savings approved through the program’s engineering review. Maximum project incentive is $350,000 per or 35% of the total project cost, whichever is less.
Robur gas absorption heat pumps are designed for commercial, industrial and institutional heating applications. By recovering renewable energy from the outdoor air, they can reduce natural gas consumption compared with conventional boiler-based systems.
Because the Nicor Gas program specifically includes gas heat pump projects as a dedicated incentive category, a qualifying Robur installation may represent an opportunity to improve heating efficiency while reducing the initial financial impact of the project.
Customers must submit the pre-approval application and all required supporting documentation before purchasing equipment, signing a binding installation commitment or starting work that alters the existing system or baseline conditions. Projects started before written pre-approval may lose eligibility for the incentive.
The application requires information about the existing system, the proposed project, equipment specifications, project costs and estimated annual gas savings. Nicor Gas may also require a pre-installation inspection, a post-installation inspection and additional measurement or verification activities.
Robur Corporation can support building owners, consulting engineers, contractors and energy service companies during the preliminary evaluation of a gas absorption heat pump project. This may include identifying the most suitable Robur technology, providing equipment specifications and supplying technical information that can support the incentive application.
The Nicor Gas Energy Efficiency Program remains solely responsible for confirming project eligibility, approved energy savings and the final incentive amount.
For complete program details, eligibility requirements and application procedures, visit the Nicor Gas Custom Incentive Program page.
Contact Robur Corporation to discuss your facility, heating requirements and the potential use of gas absorption heat pumps within the Nicor Gas service territory.
The 2026 Nicor Gas Custom Incentive application lists a dedicated incentive rate of $4 per annual therm saved for qualifying gas heat pump projects. The final amount is based on the natural gas savings approved by the program.
No. The program includes gas heat pumps as a dedicated project category, but every installation must be submitted for review. Eligibility depends on the customer, the facility, the existing system, the proposed design, the calculated natural gas savings and the program’s final approval.
Yes. The application includes a specific Small Business category. However, the applicant must be an eligible Nicor Gas customer and the project must meet all technical, financial and pre-approval requirements.
Yes. The program includes a Business and Public Sector category and lists building types such as schools, colleges, hospitals, healthcare facilities and emergency service buildings. Final eligibility is determined by the Nicor Gas Energy Efficiency Program.
Eligible multi-family properties with three or more units are included in the program. The application identifies multi-family buildings as a separate customer category and includes mid-rise, high-rise and assisted-living properties.
Yes. Written pre-approval must be obtained before the project moves forward. Purchasing equipment, beginning installation or changing the existing system before approval may make the project ineligible.
The application requires a completed pre-approval form, manufacturer specification sheets and the contractor’s project proposal. Projected energy savings calculations, drawings, operating data and other technical documentation are also recommended and may help reduce review delays.
Maximum incentive is $350,000 or 35% of the total project cost, whichever is less.