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Sector Participants > IESO News > Launch of Save on Energy's XLerate - The IESO's New Large-Scale Demand Side Management Incentive Program

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Launch of Save on Energy's XLerate - The IESO's New Large-Scale Demand Side Management Incentive Program

November 20, 2025

Save on Energy’s XLerate Program is now open and taking applications. The redesigned program replaces the previous Save on Energy Industrial Energy Efficiency Program (IEEP) and is part of the IESO’s ongoing commitment to support Ontario’s industrial, municipal, institutional, and healthcare sectors in achieving large-scale, impactful energy efficiency improvements. This program will provide up to $15 million to support large, industrial capital projects that deliver measurable energy savings using technologies to improve efficiency and reduce electricity consumption.

Program Highlights

XLerate is a streamlined, pay-for-performance initiative that offers:

  • Incentives of $300/MWh of verified energy savings and $450/MWh for projects located in grid-constrained local areas.
  • Coverage of up to 75% of eligible project costs, with a cap of $15 million per project.
  • Feasibility study funding (50% cost-share) to help organizations scope and develop eligible projects.
  • A lowered minimum project threshold of 600 MWh/year to expand eligibility.

More information is available on Save on Energy’s website.

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