State Energy Program

The State Energy Program (SEP), administered by the North Dakota Department of Commerce’s Community Services Division, is part of a federally supported initiative aimed at enhancing energy efficiency and conservation across the state. The program is funded annually through allocations from the U.S. Department of Energy. While the annual funding amount varies, typical allocations range between $475,000 and $500,000. These funds are disbursed through a reimbursement mechanism and support a variety of energy-related activities designed to lower energy consumption, reduce greenhouse gas emissions, and educate communities on sustainable energy practices. SEP funds in North Dakota are available to a wide range of applicants, with a priority given to schools, political subdivisions, state agencies, and nonprofit organizations. Applicants may use the funds for diverse energy efficiency activities including building audits, lighting retrofits, HVAC system upgrades, and renewable energy projects such as small-scale solar and wind energy installations. The program also supports energy education initiatives, transportation alternatives like alternative fuel vehicles and refueling infrastructure, and helps households measure their environmental impact through partnerships with the Energy & Environmental Research Center (EERC). One of the program’s key educational collaborations is with North Dakota State University, providing publicly accessible materials focused on energy conservation. Applicants are also encouraged to explore the U.S. Department of Energy’s Publication and Product Library for further guidance. To ensure project quality and effectiveness, SEP requires applications for energy efficiency upgrades to include an Energy Savings Analysis that demonstrates a payback period of ten years or less. Applications are accepted year-round; however, for guaranteed consideration for the upcoming fiscal year (July 1 – June 30), applications or a letter of intent (LOI) outlining the proposed project and estimated budget must be submitted by March 1. Submissions must be signed by the chief executive of the organization. The application process includes obtaining a Unique Entity ID via SAM.gov registration and registering as a vendor with the State of North Dakota. Awards range from $7,500 to $75,000 and are provided as reimbursements following documented expenditures. Purchases over $10,000 require at least three bids or a justification if fewer are received. Evaluation of proposals focuses on project clarity, cost-effectiveness, and alignment with energy conservation goals. The program emphasizes future-oriented projects only; any project already underway or under contract at the time of application is ineligible. The program’s technical forms, such as the State Energy Program Grant Application (SFN59023), Energy Savings Analysis (SFN59261), and Energy Reimbursement Request (SFN59519), must be submitted as applicable. Section 106 Clearance (SFN52654) is also required for projects that could affect historic resources. For more information or assistance, applicants can contact Kevin Iverson at (701) 328-5385. The program demonstrates North Dakota's commitment to sustainable energy practices and provides an important mechanism for local organizations to invest in long-term energy efficiency improvements.