New York Awards $23 Million to Advance Clean Building Technologies and Cut Energy Costs

New York Governor Kathy Hochul on Dec. 15 announced the award of more than $23 million to 24 projects through the NextGen Buildings Innovation Challenges program, a state initiative designed to advance high impact building technologies and address persistent barriers to building decarbonization. The funding supports solutions that improve energy efficiency, reduce energy demand, and lower operating costs across residential and commercial buildings, reinforcing New York’s broader climate and affordability goals.

The program, administered by the New York State Energy Research and Development Authority, supports the development, commercialization, and demonstration of new products that provide building owners with practical and cost-effective clean energy options. With this latest round of awards, the state has committed nearly $49 million to 51 projects, targeting technology gaps that have slowed adoption of clean heating and building efficiency solutions.

The selected projects focus on several priority areas, including improvements to building envelopes, cost reductions for ground source heat pump systems, intelligent grid interactive building technologies, and thermal storage applications. Specific solutions include advanced insulation and air sealing systems for existing buildings, data driven occupant centric controls that optimize multiple energy assets in commercial facilities, and technologies that lower the cost of geothermal borehole drilling. Additional projects support induction cooking systems with integrated batteries in multifamily housing and thermal storage solutions that enhance heat pump performance while enabling load shifting and demand management.

Five of the funded projects directly benefit low to moderate income housing or are located in disadvantaged communities, aligning with New York’s commitment to deliver at least 35 percent of climate program benefits to underserved areas.

The initiative supports New York State’s climate agenda, which aims to achieve an emissions free economy by 2050 while promoting economic growth, family sustaining jobs, and energy affordability. The awards complement the state’s broader clean energy investments, including the $1 billion Sustainable Future Program, which is focused on lowering emissions, reducing household energy costs, and scaling innovative solutions across the buildings sector.