Frequently Asked Questions
1. What does the CDM Program offer in the way of incentives?
For eligible Projects the Program will pay $400 per KW of on-peak summer demand reduction, and $0.05
per kWh of annual energy savings or $250 per cooling tonne (for geothermal cooling projects). The amount of
incentive payable for a given Project is capped at 40% of the sum the eligible costs of the Project.
2. Does the Program provide incentives on the basis of a dollars-per-unit of installed equipment?
No. This Program is strictly performance-based. This means incentives are based on verifiable measurements and calculations supporting a claim the Project reduces on-peak demand or annual energy consumption.
3. Does the Program provide incentives for engineering, metering or energy audits?
The Program pays an incentive for eligible summer demand reductions ($400/kW) or annual energy savings
($0.05/kWh) or $250 per cooling tonne (for geothermal cooling projects). It does NOT pay for anything else. The incentive for any eligible Project is capped at 40% of
the eligible costs of implementing the Project. Eligible costs include, among other things, energy audits and
engineering fees directly attributable to the Project, and supported by copies of paid invoices.
4. We have a number of similar buildings in our Toronto portfolio. Are we allowed to group them into one "virtual building" and apply for a Project that would actually take place at a number of sites?
No. The Program Rules specify an eligible Project comprises one or more eligible Measures completed in one
building. An application form must be completed for each building. A BOMA Go Green/BESt Assessment must be purchased
for each application.(BOMA BEST CERTIFICATION IS NOT REQUIRED)
5. What building types are eligible for the Program?
Office buildings, retail stores, restaurants, hotels, and private institutions. Private institutions are privately-owned educational and healthcare facilities. Buildings must have a gross floor area of 25,000 square feet or greater.
6. What building types are not eligible?
Multiresidential construction (condominiums or apartments) and members of the "MUSH group" (– buildings belonging to municipalities, universities, schools and hospitals) and new construction.
7. What are the geographic eligibility limitations?
The BOMA CDM Program is restricted to buildings within the boundaries of the City of Toronto (the 416 area code). Buildings located outside Toronto's boundaries are not eligible.
8. Why are eligible buildings confined to Toronto?
The Ministry directive (February 2006) to save 330 MW of electrical power specified Toronto as the geographical Program limit. This directive is the basis for this Program (among others).
9. Our company is not a member of BOMA Toronto. Do we have to join BOMA to qualify for the BOMA Toronto CDM Program or BOMA Go Green/BESt?
There is no requirement for applicants to become BOMA members to access the BOMA Toronto CDM Program or
BOMA Go Green/BESt.
10. Why are multiresidential buildings excluded from eligibility?
The Ontario Power Authority, the provincial agency that sponsors the CDM Program, is aware of opportunities in the multi-residential market, and plans to design separate initiatives to address them. For the BOMA Toronto CDM Program, the OPA want to focus on the commercial building market.
11. What building retrofit Measures will qualify for an incentive under the Program?
Eligible Measures include:
- Lighting systems retrofit;
- Equipment replacement – chillers, motors;
- HVAC system re-designs such as free cooling;
- Application of variable speed drives to fan and pump systems;
- Building envelope and glazing changes;
- Building automation systems;
- Lighting control systems;
- Tenant sub-metering systems;
- Fuel Substitution;
- Deep lake water cooling;
- Ground source heat pumps;
- Lighting redesign;
- Voltage Optimization;
- Window Film
12. What's the difference between a "Project" and a "Measure"?
A Measure is defined as a single initiative that is eligible for funding under the Program. Eligible Measures include
A Project is the combination of one or more eligible Measures. A Project could include, for example, lighting retrofits and an HVAC system re-design. Depending on the Measures included in the overall Project, the incentive for a Project can be based on on-peak summer demand reduction and annual energy savings.
- Lighting systems retrofit;
- Equipment replacement – chillers, motors;
- HVAC system re-designs such as free cooling;
- Application of variable speed drives to fan and pump systems;
- Building envelope and glazing changes;
- Building automation systems;
- Lighting control systems;
- Tenant sub-metering systems;
- Fuel Substitution;
- Deep lake water cooling;
- Ground source heat pumps;
- Lighting redesign;
- Voltage Optimization;
- Window Film
A Project is the combination of one or more eligible Measures. A Project could include, for example, lighting retrofits and an HVAC system re-design. Depending on the Measures included in the overall Project, the incentive for a Project can be based on on-peak summer demand reduction and annual energy savings.
13. How do you define "Fuel Substitution"?
Fuel Substitution or Fuel Switching is the replacement of an electricity-driven application with a gas-fired device
serving the same need. Electric-to-gas boiler conversions, there placement of an electric chiller with an absorption
chiller and the replacement of electric unitary heaters with gas-fired radiant heaters are examples of Fuel Substitution
Measures that are eligible under the Program.
14. I want to apply - how do I start?
For a complete and detailed description of the application process, see the Program Rules. A very quick overview is provided
in the Application Checklist. Both documents are downloadable from the Program web page at www.bomacdm.com
15. Is BOMA Go Green Plus/BESt certification a requirement of the BOMA Toronto CDM Program?
No. Completion of a Go Green Plus Assessment Tool (which generates a report on your building) is a mandatory part of the
application process. On completion of the Project (at which point the eligible incentive money is paid) the Applicant agrees
to re-enter the building data into the Go Green Assessment Tool 12 months after the project has been completed. Certification
is still an option, and we'd encourage Program participants to go this extra step.
16. What is "BOMA Go Green Plus/BESt" and the GoGreen Plus Assessment Tool?
Go Green Plus is an online building and management environmental audit, owned by BOMA Canada and administered by BOMA Toronto.
The program measures a building's environmental factors such as energy use, indoor health and environmental performance
against the best industry operation and management practices. In addition, Go Green Plus is an important educational tool,
designed to encourage sustainable best practices throughout the commercial real estate industry.
17. What's the application process to obtain the on-line Go Green Assessment Tool?
The Go Green Registration Guide, available for downloading from on the CDM Program page) provides details on
Go Green and the process for obtaining Go Green eligibility for the CDM Program. CERTIFICATION NOT REQUIRED.
REMINDER – don't purchase the Go Green Assessment Tool before submitting your application to the BOMA
Toronto CDM Program, obtaining a Project Number and signing the Participant Agreement.
18. When does the applicant get the incentive money?
Participant will receive incentive payment 30 days after receipt of final evaluation incentive report
and/or receipt of invoices for all eligible project costs.
19. What does "M&V" mean, and how does it relate to the Program?
A critical element of this Program is the measurement and verification (M&V) of the project electricity
savings. The program has established the specific M&V procedures based on international protocols to ensure
effective governance of each measure.
20. What is a Project Evaluator?
Project Evaluators are three (3) independent engineering firms hired by the BOMA CDM Program (at no cost to the
Participant) for their experience and expertise in International Measurement and Verification protocols. While the
Project Evaluators will not conduct M&V Procedures themselves, they will satisfy themselves the Program Participant
(and their engineering team) have an appropriate M&V plan for the Project, and have followed it before and after
Project installation.
21. Why not measure the Project savings at the billing meter?
Incentive programs requiring "proof" of performance from the billing meter data are burdened by the large number of variables
affecting demand and consumption over the course of a year and usually culminate in long arguments over what incentive is
justified. The BOMA Toronto CDM Program takes the position that a Project supported by sound principles and a standardized
evaluation process (M&V) generates real, quantifiable, and sustainable savings. The advantage of this approach is it offers
the Applicant a business case: the Project's incentive value is known at the outset and payable on completion of the job as
long as the Project is installed and verified as proposed in the application documents. The resulting Program take-up more
than offsets any uncertainty around eligible savings (and incentive funding) as determined by the use of M&V protocols.
22. Where is the money coming from?
All electricity ratepayers of Ontario (not taxpayers) subsidize this (and many other) Conservation and Demand Management incentive programs.
23. What is the incentive based on?
The incentive payments are based on the following criteria:
- Verified peak demand reduction at $400 per kW or
- Verified consumption at $0.05 per kWh or
- Verified cooling tonne reduction for geothermal projects at $250 per tonne to a maximum of 40% of total eligible costs.
24. What is the objective of the program?
The objective of the BOMA Toronto CDM Program, over the course of three years, will reduce the demand on Toronto's electrical supply by 150 MW.
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