How the schemes work for businesses

The Energy Savings Scheme (ESS) provides financial incentives to implement projects that save energy. These incentives are passed on to businesses by Accredited Certificate Providers (ACPs) in the form of discounts and other incentives. ACPs can create Energy Savings Certificates (ESCs) for the energy the project saves. ESCs can be sold to Scheme Participants (mainly retailers) to meet their obligations under the scheme. This creates a market for the certificates, which sets the value of the ESC.

Information about eligible activities is available on the Activities for businesses page.

Businesses will also be able to access incentives for projects that reduce peak demand for electricity under the Peak Demand Reduction Scheme (PDRS) when it commences on 1 November 2022. For more information on the PDRS and how it works see our How the PDRS works page.

You can find more information about how you can save energy in your business at energysaver.nsw.gov.au

How to get involved

As a business, there are 3 ways to get involved:

  • work with an ACP to get incentives for energy savings projects
  • get accredited as an ACP by IPART and create your own certificates for:
    • energy savings projects under the ESS or
    • peak demand reduction projects under the PDRS once it commences
  • become an Auditor under the schemes.

Work with an existing ACP to get an incentive

Energy efficiency projects that may be marginal on a cost–benefit basis from energy savings alone may be feasible with the additional income from certificates.  An established ACP may be able to create certificates on your behalf. If you choose to go ahead with an energy savings project, you will be asked to assign the energy savings from the project to the ACP by signing a nomination form so they can create certificates.

A list of ESS ACPs that can help you implement energy saving projects is available on the List of ACPs for business page.

ACPs can only become accredited under the PDRS after the PDRS Rule commences in the second half of 2022. Once the scheme commences on 1 November 2022 accredited ACPs will be able to create Peak Reduction Certificates (PRCs) from eligible activities.

ESS ACPs that become accredited under the PDRS may be able to create PRCs for eligible activities implemented after 1 April 2022 if they meet certain criteria.

Get accredited as an ACP

To become an ACP in the schemes, you must apply to IPART. More information is available on the following pages:

Become an Auditor for the schemes

Auditors help ensure ACPs and Scheme Participants comply with the ESS and PDRS requirements and obligations. They are typically engaged directly by ACPs and Scheme Participants, however IPART can also engage auditors to audit ACPs and Scheme Participants.

To conduct an audit under the ESS and PDRS, you must be a member of the Audit Services Panel. To do this you must meet certain requirements. Auditors that are currently members of the Audit Services Panel for the ESS will be able to complete audits under the PDRS. More information on how to become an Audit Services Panel member, including auditor requirements, is provided on our Join the audit panel page.