Energy Efficiency and Savings for Your Congregation

Don't wait to access energy savings and efficiency options for your community of faith! Put your faith into action and take steps today that will benefit your congregation and creation tomorrow!

Top places to start with energy efficiency:

Lighting upgrades often pay for themselves in a year or two and result in significant electricity savings. In addition to changing out incandescents for LEDs or fluorescents for T-LEDs, consider motion sensors.
Weatherization such as caulking and air sealing is relatively low-cost and can reduce drafts, improving comfort and reducing heating costs.
Boiler tune-ups can yield savings with relatively low initial investment, and your utility may offer attractive rebates that cover the majority of the cost (see University Lutheran's story below).
Wi-Fi thermostats can help you reduce energy waste by increasing your ability to control your building's temperature at a distance and on-demand (through your smart phone).

University Lutheran Church, East Lansing accessed huge savings and rebates through their utility.

Utility programs offer free energy assessments, rebates and incentives on projects, and instant discounts on qualified purchases

For University Lutheran Church in East Lansing, utility rebates:

1. covered 50-75% of the cost of upgrading the interior lighting throughout the building
2. replaced their parking lot lighting for just $1,000 on a job for which a contractor quoted them $25,000
3. covered $3,000 of the church's $3,600 annual boiler maintenance

In Michigan, because of state energy legislation, our utilities are required to help their customers reduce their energy waste. That's why there are several ways to get discounts and rebates on energy saving projects. Connect with your utility provider for information on free energy assessments, rebates and incentives on projects and instant discounts on qualified purchases.

Michigan IPL helped Lord of Lord's Ministries in Detroit install a 13.91 kW ground-mounted solar array in the fall of 2023, a project that cost $31,150. The Inflation Reduction Act enabled Lord of Lords to get a direct pay refund of 30% of the project cost ($9,345).

As of January 2026, Commercial Facilities Can STILL Get 30% Solar Rebates

Unfortunately, the federal budget legislation passed in July 2025 phases out the Inflation Reduction Act (IRA) tax credits for solar and other clean energy. But there is still time for commercial facilities-- like houses of worship!-- to take advantage of this incentive. (The timeline for residential solar rebates has passed.)

2 Ways to Secure the Full 30% Solar Rebate (thanks, Solar Faithful, for breaking this down!):

1. "Start construction" by July 4, 2026 (safe harbor option)

- For any projects with output less than 1.5MW (1.5 megawatts is vastly larger than any house of worship solar project that we know of), to "start construction" means you have paid your solar contractor 5% of the contract cost.
- Satisfying this requirement gives you until the end of the 4th calendar year after production began to complete construction and place the system into service.
  - Example: If construction on your congregation's solar project begins on July 3, 2026 (in other words, your congregation has paid the contractor 5% of the total contract value-- $2,500 on a $50,000 project, let's say), the project must be placed into service by December 31, 2029 to receive the 30% rebate.

2. Finish and activate your system by December 31, 2027

- If you don’t begin construction before July 4, 2026, you are still eligible to receive the 30% rebate.
- To qualify, your solar project must be completed and placed in service by December 31, 2027.

Watch our Direct Pay webinar from November 2025 to learn more:

St. Peter's Episcopal Church in Detroit found denominational grant funding to replace crumbling, single-paned wood windows in their historic building. As a result, the congregation has been better equipped to generate revenue by offering more comfortable and functional space to tenants (like Michigan IPL!).

Financing is often provided at low rates for faith communities

Michigan Saves is a green bank that offers financing for an array of energy improvements. Qualifying commercial and municipal customers could access 0% interest rates for eligible improvements, like building insulation, HVAC systems, lighting, solar energy, and more.

Here are some denomination-specific funding programs we're aware of. Some of these may provide the most favorable rates to congregations within their denomination:

American Baptist Extension Corporation
Catholic - Knights of Columbus Church Loans
COGIC - Griffin Loans
Disciples Church Extension Fund
Evangelical Presbyterian Church Loan Fund
General Baptist Investment Fund
Hebrew Free Loan
Jewish Solar Challenge
LCMS - Lutheran Church Extension Fund
RCA - Church Growth Fund
UCC Cornerstone Fund
United Methodist Foundations

Additional recommendations for Michigan congregations

Take action today. Energy costs are rising. Steeply. Don't wait for grants that may or may not be available to start planning for building upgrades that will benefit your congregation and our Common Home immediately.
Form a Green Team. Integrating sustainability into the life and habits of your congregation is a team sport! Our Stewards of Hope Guide to Building a Green Team can help.
Get 2 or 3 quotes from qualified contractors. Find contractors on your utility website or use this contractor search tool.
Plan to do the work yourself? Access discounts and rebates on materials with your utility provider.
Go on a treasure hunt! Use this handy inf ormational tool to learn all of the options for savings at your house of worship and get members of your community engaged.

Education and Inspiration for Congregational Energy Efficiency

In this webinar, you'll learn:

where to start in your energy saving journey
how to access discounts and rebates offered by your utility
of inspiring examples of faith communities who have put faith into action with energy stewardship

Check out other past webinars:

How Royal Oak First United Methodist Church renovated their historic building for energy efficiency and solar.
How Victorious Believers Ministries (Saginaw) used Consumers Energy rebates to upgrade their parking lot lighting and add high-efficiency LEDs to the gymnasium, and how they plan to upgrade the lighting in the sanctuary.

Inspire and Equip Others

Help us inspire and equip others in the Michigan IPL network by telling us about how your congregation is putting faith into action.

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