Program Manual

Battery Energy Storage System (BESS): A system that stores electricity in batteries and delivers it at a later time, including integrated inverter and controls. 

Nameplate kWh: The manufacturer-stated nameplate energy capacity (kWh) of the installed battery system, as documented on the invoice or manufacturer specification sheets. This value is used for rebate calculation. 

Continuous Power (kW AC): The continuous AC power output rating of the inverter, used to determine the applicable program tier. 

First Come, First Reserved: A queue process in which complete applications are time-stamped; approved applications reserve funds until completion or reservation expiration. 

Placed in Service: The date the system is commissioned, interconnected, and operational at the customer site. 

ConnectedSolutions List: The list of battery systems supported by Rhode Island Energy’s ConnectedSolutions battery program for new installations.

Curtailment Service Provider (CSP): A third-party aggregator that enrolls distributed energy resources in demand-response or grid-services programs on behalf of the utility or grid operator. 

The rebate amount is calculated based on the nameplate kWh documented on the final invoice and/or manufacturer specification sheets. The invoice and spec sheets are the source of truth for total kWh; the utility interconnection confirmation is not used for rebate sizing. Tier 1 Base Incentive = min($250 × nameplate kWh, $8,000) 

Tier 1 Income-Eligible Incentive = min($500 × nameplate kWh, $16,000) Tier 2 Incentive = min($175 × nameplate kWh, $45,500) 

6.1 Eligible Customers 

The applicant must be a property owner at the address where the battery system will be installed. The installation address must be served by an active electric account with Rhode Island Energy, Clear River Electric and Water (CREW) District, or Block Island Utility District. 

6.2 Income Eligibility 

To receive the enhanced Tier 1 income-eligible incentive ($500 per kWh, up to $16,000), the applicant must demonstrate income eligibility through proof of participation in a qualifying utility, state, or federal program, dated within the last 12 months. Qualifying programs include: 

• Rhode Island Energy: A-60 Electric Low-Income Discount Rate 
• Weatherization Assistance Program (WAP) 
• Low Income Home Energy Assistance Program (LIHEAP) 
• Supplemental Nutrition Assistance Program (SNAP)
• RI Works Program 
• SSI State Supplemental Payment (SSP) 
• Medicaid 
• Housing Program / Section 8 

Self-attestation of income is not accepted. Applicants must provide documentation of enrollment in one of the programs listed above. 

6.3 Demand-Response Participation 

As a condition of receiving the rebate, participants must enroll in demand-response programs when available from their electric utility. At completion, the applicant must provide one of the following as proof of enrollment: 

• A signed contract or enrollment agreement with a Curtailment Service Provider (CSP), or 
• A Rhode Island Energy Direct Participation enrollment email confirmation. 

If demand-response programs are not yet available for the applicant’s system at the time of completion, the applicant must submit a signed agreement committing to enroll when programs become available. 

6.4 Eligible Systems 

6.4.1 Systems on the ConnectedSolutions List (Required for Tier 1) 

All Tier 1 systems (≤25 kW AC) must be listed as supported in new installations by Rhode Island Energy’s ConnectedSolutions battery program. Systems on this list are pre-vetted for grid interoperability and do not require additional equipment certifications. 

6.4.2 Systems Not on the ConnectedSolutions List (Tier 2 Only) 

Tier 2 systems (25–250 kW AC) that are not on the ConnectedSolutions list must meet the following equipment certification and safety requirements: 

• All eligible energy storage systems must be listed to UL 9540 by a Nationally Recognized Testing Laboratory (NRTL), with testing to UL 9540A (Test Method for Evaluating Thermal Runaway Fire Propagation in Battery Energy Storage Systems). 
• Inverters must be certified to UL 1741 and comply with IEEE 1547. 
• Systems must satisfy all requirements of the municipality, including applicable fire code and building code requirements. 

The Installer Attestation for non-ConnectedSolutions systems includes additional certification requirements (see the Installer Attestation form). 

6.4.3 General Eligible Project Criteria 

All eligible projects must meet the following: 

• The system must be a new installation of a behind-the-meter, grid-connected battery energy storage system. 
• The system must receive utility interconnection approval. 
• The project must be fully permitted and inspected per local requirements. 
• New additional batteries added to an existing battery system are eligible, provided the new batteries meet all program requirements and are separately metered or documented. 
• The executed installation agreement must be dated on or after the program launch date. 

6.5 Ineligible Projects 

• Used or refurbished equipment. 
• Off-grid systems that are not interconnected with the electric grid. 
• Projects located outside Rhode Island or not tied to a qualifying utility account. 
• Projects lacking required permits, inspections, or utility interconnection approval. 
• Existing (previously installed) battery systems that are not being expanded with new additional batteries. 
• Projects with an interconnection application submitted prior to the program launch date.
• This program is not eligible for the Rhode Island Renewable Energy Fund (REF) storage adder. Projects receiving the ESR rebate may not also claim the REF storage adder for the same equipment. 

The rebate process has two steps: reservation and completion. 

7.1 Step 1: Reserve Your Rebate 

Tier 1 rebates (≤25 kW) can be reserved with only an executed installation agreement with an installer. Tier 2 applications (25–250 kW) additionally require a submitted interconnection application. 

OER will review customer applications submitted through the online rebate portal in the order received and issue reservation-of-funds letters to approved applicants that guarantee rebate availability for an initial 365 days. Up to two 180-day extensions may be granted on a case-by-case basis for documented permitting or utility interconnection delays. Funds are reserved upon approval of a complete application and released if a reservation expires or is withdrawn. Remaining program budget is posted publicly and updated every two weeks. 

Reservation Form Requirement: All applicants must submit a reservation form to initiate the process. If a project does not reserve funds in advance, the applicant may still apply within 90 days of receiving the utility Authorization to Interconnect (ATI), but must still submit the reservation form first. 

Reservation Application Requirements 

Your application must include: 

1. Your name, contact information, mailing address, and service address where the system will be installed. 
2. Electric utility bill for the service address from the last 3 months. 
3. Executed installation agreement with an installer showing the battery make/model, nameplate capacity (kWh AC), and continuous power (kW AC). The agreement must be dated on or after the program launch date. 
4. Intended rebate payee (customer or designated installer). 
5. Acknowledgment of program terms. 
6. Income-eligible customers: Document proving participation in a qualifying utility, state, or federal program, dated within the last 12 months. 
7. Tier 2 applicants: Copy of the submitted interconnection application. 

7.2 Step 2: Install Your System and Submit Your Completion Package 

After your system is installed, submit the following documents so OER can verify your project and issue payment: 

1. Final invoice or signed financing/leasing agreement showing the battery model, nameplate kWh, and installation address. If the installer is the payee, the document must show a discount equal to the full rebate value. 
2. Utility Authorization to Interconnect (ATI) that lists the total storage kWh and kW AC.
3. Certificate of Completion from local permitting authority. 
4. Installer Attestation including electrical one-line diagram, equipment serial numbers, and installation photographs. 
5. Proof of demand-response enrollment: a signed contract with a Curtailment Service Provider (CSP) or a Rhode Island Energy Direct Participation enrollment email confirmation. If DR programs are not yet available, a signed commitment to enroll when available. 
6. Customer W-9 (required regardless of rebate payee). 

DC-Coupled Additions to Existing Interconnections

If an applicant has an existing interconnection agreement and is adding DC-coupled storage, the applicant must provide a copy of the existing interconnection agreement. The installer must attest on the Installer Attestation form that the addition of storage does not require a new interconnection application. 

7.3 Reservation Term and Expiration 

Approved reservations are valid for 365 calendar days. Up to two 180-day extensions may be granted at OER’s discretion for documented permitting or utility interconnection delays. If a reservation expires, reserved funds are released back to the program for the next eligible applicant. 

Customers may change their installer during the reservation period by notifying OER and submitting an updated installer designation. A change of installer is grounds for a reservation-timer restart, if requested by the customer and approved by OER. 

Project Termination or Withdrawal: The applicant is required to notify OER in the event of project termination or withdrawal so that reserved funds can be released promptly. 

7.4 Verification and Payment 

OER will verify completion packages through document review and may conduct quality-assurance checks, including requests for additional documentation or site visits. All Tier 2 projects with a system rating over 100 kW will receive a field inspection. Approximately 10 percent of all other completed projects will be randomly selected for field inspection by a contractor retained by OER. 

Once approved, OER will issue the rebate payment to the designated payee (customer or installer) via State payment processes (check or ACH, subject to State rules). 

When an installer is designated as the rebate payee, the installer must register as a vendor with the State of Rhode Island’s Division of Purchases in order to receive disbursements. Vendor registration is available through the Ocean State Procures portal. If the installer is the payee, the final invoice must reflect a discount equal to the full rebate amount, ensuring the customer receives the financial benefit of the rebate at the point of sale. 

The Installer Attestation must include an as-built single-line diagram showing, at minimum: service/meter point, main panel, battery and inverter or integrated system, disconnects/breakers, any PV interconnection point (if applicable), any critical loads panel (if applicable), and the point of interconnection. The diagram may be installer-generated and does not require an engineering stamp unless otherwise required by local permitting. 

OER may verify eligibility and compliance through desk review, data matching, and/or site inspections at any time. All Tier 2 projects over 100 kW will receive a mandatory field inspection. Approximately 10 percent of all other completed projects will be randomly selected for field inspection by a contractor retained by OER to verify system quality, proper installation, and code compliance. 

Participants must retain project documentation for a minimum of three (3) years following rebate payment and provide it upon request. OER may deny payment or require repayment if the project is found noncompliant, not installed, not operational, or not interconnected as required. 

By participating in the ESR Program, the applicant acknowledges that OER may contact the applicant at any point during or after the rebate process. Communications may include, but are not limited to, demand-response program information, enrollment verification, quality-assurance follow-up, program evaluation surveys, and general program updates. 

To support evaluation and future program design, OER will collect non-sensitive project data including: installed kWh, equipment make/model, installation date, zip code/municipality, whether paired with PV, and installer participation. OER may also request optional participant survey feedback. Program data will be managed consistent with applicable privacy and records requirements. 

This section summarizes the legal basis for using RGGI auction proceeds to fund the Energy Storage Rebate Program. 

16.1 Legal Basis 

Rhode Island General Laws § 23-82-6 provides that revenues from the sale of carbon allowances under RGGI “shall be used for the benefit of energy consumers through investment in the most cost-effective available projects that can reduce long-term consumer energy demands and costs.” Among other allowable uses, the statute authorizes the “promotion of cost-effective energy efficiency and conservation in order to achieve the purposes of § 39-1-27.7,” which governs system reliability and least-cost procurement. This creates two criteria for eligible investments: (1) the resource must qualify as energy efficiency or conservation, and (2) it must advance the purposes of § 39-1-27.7. 

16.2 Energy Storage as a Conservation Resource 

Under § 39-1-27.7(b)(2), the least-cost procurement includes “procurement of energy efficiency and energy conservation measures.” The PUC’s Least-Cost Procurement Standards (Order 23890, 2020) define “conservation procurement” as the procurement of a resource that avoids energy use by reducing end-use performance or that avoids energy costs by displacing high-cost energy use with low-cost energy use. Battery energy storage enables price arbitrage between low-cost and high-cost timeframes, avoiding the procurement of expensive electricity during peak demand hours. Energy storage therefore qualifies as an energy conservation resource under the least-cost procurement statute and its associated standards. 

16.3 Achieving the Purposes of § 39-1-27.7 

Eligible RGGI-funded measures must also achieve the purpose of § 39-1-27.7: “meeting electrical and natural gas energy needs in Rhode Island, in a manner that is optimally cost-effective, reliable, prudent, and environmentally responsible.” Energy storage satisfies each of these criteria: 

• Cost-effective: Storage saves ratepayers money through energy-price arbitrage and by reducing system peak demand, which lowers the need for costly grid capacity expansion. 
• Reliable: Storage can be dispatched within milliseconds to meet grid needs and serves as backup power during outages. 
• Environmentally responsible: Storage reduces the emissions intensity of grid electricity by displacing peaking generators and enables higher renewable penetration by smoothing intermittency and reducing curtailment. 
• Prudent: Given current energy affordability challenges, state emissions reduction goals under the Act on Climate, and statewide storage deployment targets, further investment in energy storage is a sound use of public funds. 

16.4 Conclusion 

Energy storage’s qualification as a conservation resource under the PUC’s Least-Cost Procurement Standards, combined with its fulfillment of § 39-1-27.7’s requirements for cost-effectiveness, reliability, environmental responsibility, and prudency, establish it as an eligible use of RGGI auction proceeds. OER’s prior use of RGGI funding to provide Pascoag Utility District with a $250,000 grant for a 3 MW utility-scale battery facility completed in 2022 further affirms this interpretation.