Motor Crush for Credit Provision in Senate Energy Bill

Yesterday, the Senate Energy Committee passed a rebate provision as part of its Energy Bill markup that would set a new 'crush for credit' program at DOE. This legislation creates a new energy-efficient motor rebate program for the purchase of NEMA Premium® efficiency electrical motors, providing a $25 per horse-power rebate for the purchase of NEMA Premium® motors, as well as a $5 per horse-power rebate for the disposal of the old, inefficient motor. This program would offset most of the cost difference between new, more efficient motors and the lesser cost to repair the older, less efficient motors. Once signed into law, this program allows the federal government to spend $350 million to incentivize the widespread adoption of NEMA Premium® motors.

For more details, see NEMA's Press Release.

ACEEE sees this provision as an important complement to motor efficiency programs that are attempting to affect the repair/replace decisions in the marketplace as we move toward the implementation of EISA motor efficiency standards (for more on this topic, see ACEEE's report).