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Pacific Gas & Electric's Healthcare Energy Efficiency Program (HEEP) enables medical facilities to lower energy use and utility costs while conserving natural resources and reducing air emissions. By offering a wide range of support services, HEEP helps healthcare facilities overcome barriers to energy efficiency and savings that currently exist in the market. HEEP services include financial incentives, energy audits, engineering analysis, implementation oversight, and retro-commissioning assistance.

HEEP targets healthcare facilities receiving electric and/or gas service from PG&E, including medical office buildings, skilled nursing facilities, acute care hospitals, and other ancillary building types. To ensure that the program is successful and straightforward, PG&E contracts with Willdan Energy Solutions, a third-party energy efficiency specialist, to implement the services.

Contact: Craig Owens, (619) 849-7891

Eligibility Requirements

Independent hospitals, medical office buildings, and skilled nursing homes may be eligible. Other medical facilities may be eligible upon PG&E's approval.

Energy Efficiency Measures Covered

HEEP supports retrofitting and retro-commissioning measures for:

  • Heating, ventilation and air conditioning (HVAC)
  • Boilers
  • Lighting and lighting controls
  • Motors, including air handlers and boiler fans
  • Chillers
  • Medical equipment
  • Food services, including variable-frequency drives (VFD) on hoods, refrigeration, ice machines and storage appliances
  • Laundry

Support from Inception to Inspection

HEEP provides guidance and engineering resources through the project. The program process involves these steps:

  1. The customer enrolls in the program by signing an site-access agreement (SAA), allowing HEEP engineering and program staff to conduct an initial facility site audit. The preliminary audit goal is to identify energy efficiency opportunities available at the site and identify which of those items should proceed to the comprehensive audit phase.

  2. HEEP presents the preliminary energy audit report to the customer and helps decision makers select energy efficiency measures (EEMs) that best suit the organization's business needs and capacities.

  3. Once the customer selects which measures to pursue, HEEP conducts a comprehensive audit, with the goals of defining engineering design and construction services needed to implement the selected EEMs.

  4. The customer commits to program participation and installation of the selected EEMs by signing a program participation agreement (PPA). The comprehensive audit report is submitted to PG&E for technical review and incentive approval.

  5. As the customer completes the installation, HEEP serves as technical consultant, providing bid evaluation assistance, purchase order review, and periodic oversight at the customer facility to verify all equipment installation meets design specifications and program requirements.


HEEP Incentive Chart

HEEP works closely with participating facilities to optimize financial value for the client. The chart below illustrates HEEP incentives: all incentives are capped at 50% of project costs.

Measure Name Basic Targeted
$.03 $.08
Other $.03 $.08
Natural Gas
Peak Reduction $150 kW


"PG&E" refers to Pacific Gas and Electric Company, a subsidiary of PG&E Company, Pacific Gas and Electric Company. All rights reserved. These offerings are funded by California utility customers and administered by PG&E under the auspices of the California Public Utiliities Commission.