LBE Equipment Decarbonization Grant Program for State Entities

The Massachusetts Department of Energy Resources (DOER) is conducting the Leading by Example (LBE) Equipment Decarbonization Grant Program for State Entities, a competitive grant opportunity aimed at accelerating the transition from fossil-fuel equipment to efficient electric alternatives in state government facilities. The program targets four specific equipment categories: space conditioning systems, service water heating, commercial kitchen equipment, and facilities maintenance equipment. Eligible projects must replace existing fossil fuel-powered equipment with electric alternatives, demonstrating significant energy efficiency and greenhouse gas emissions reductions. Applicants must submit a Statement of Interest and a comprehensive grant application detailing project specifics, including existing equipment specifications, proposed replacements, estimated costs, and anticipated energy savings. The program requires projects to leverage other available funding sources like Mass Save incentives and comply with Build America, Buy America Act requirements. Applications will be accepted through June 30, 2027, or until program funds are exhausted, with a total program funding allocation of $2,450,000 from the U.S. Department of Energy State Energy Program.

Eligible applicants are strictly limited to Massachusetts executive branch agencies, public institutions of higher education, and quasi-public authorities. The grant provides base funding up to 40% of project costs, with maximum awards varying by equipment category: $350,000 for space conditioning systems, $150,000 for water heating and commercial kitchen equipment, and $150,000 for facilities maintenance equipment. Additional funding opportunities exist through a 10% Climate & Justice Adder for projects located in disadvantaged communities (Justice40 Initiative areas), and up to $10,000 for pollinator habitat creation when combined with landscaping equipment projects. Evaluation criteria include project feasibility, energy efficiency potential, greenhouse gas reduction metrics, and alignment with decarbonization goals. Applicants must pursue external incentives before seeking grant funding and ensure proposed equipment meets specific performance standards, including ENERGY STAR certification where applicable. Submissions must be electronically sent to LBE-Grants@mass.gov, with a formal review process determining final grant awards.