Conservation Improvement Program (Minnesota)

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Last modified on May 23, 2011.

Rules Regulations Policies Program

Place Minnesota

Name Conservation Improvement Program
Incentive Type Public Benefits Fund
Applicable Sector Commercial, Industrial, Residential
Eligible Technologies Photovoltaics, Anaerobic Digestion, Unspecified technologies
Active Incentive No

Energy Category Energy Efficiency Incentive Programs

Charge 1.5% Utility Revenue; 2% Xcel Energy revenue; 0.5% natural gas utility revenue

Date added to DSIRE 2006-04-25
Last DSIRE Review 2006-04-25

References DSIRE[1]


Energy utilities in Minnesota are required to devote a percentage of their operating revenues to conservation and energy efficiency projects through a Conservation Improvement Program (CIP). State statute mandates that electric utilities invest 1.5 percent of their annual revenues in CIP (except Xcel Energy, which must invest 2 percent). Natural gas utilities are required to invest 0.5 percent of their annual revenues. The cost of CIP programs is billed back to customers of these utilities.

Beginning in 2002, rural electric cooperatives and municipal utilities were required to spend the same amount as regulated utilities on energy conservation programs.

Each utility develops its own conservation plan to offer their business and residential customers. Typical CIP projects for residential customers include:

  • Energy audits and check-ups
  • Energy efficient appliance and lighting rebates
  • Load management tools, such as air conditioner or water heater controls
  • Financial services, such as low-interest loans or grants for making more substantial home energy improvements
  • Energy efficient home construction guidelines

Typical CIP projects for commercial/industrial customers include:

  • Cooling -- Rebates may be offered for chiller replacement, cool storage systems, refrigeration efficiency improvements and rooftop air conditioners.
  • Lighting -- Most utilities offer rebates for lamp ballast replacement, street lighting, or for entire new lighting systems.
  • Industrial process/motors -- rebates on farm equipment, high efficiency motors, or for customer-designed projects
  • Financial services -- Grants or low interest loans are available for most energy efficiency improvements.

Authorities (Please contact the if there are any file problems.)

Authority 1: Minn. Stat. 216b.241

Incentive Contact

Contact Name Christy Brusven
Department Minnesota Department of Commerce
Division Energy Division
Address 85 7th Place East, Suite 600

Place St. Paul, Minnesota
Zip/Postal Code 55101-3165
Phone (651) 282-5088
Phone 2 (651) 296-5175


  • Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.[1]


  1. 1.0 1.1  "Database of State Incentives for Renewables and Efficiency (DSIRE) accessed 2009-12-08"