Puget Sound Energy Horticultural Lighting Incentive: Amounts, Caps and How to Apply

If you grow in Puget Sound Energy (PSE) territory in Washington, PSE's Commercial Horticultural program can pay part of the cost of LED grow lights, including under canopy bars. It is one of the horticulture LED rebates that pays on energy saved rather than a flat amount per fixture, which means fixture efficacy matters directly.

This page covers what PSE pays, who qualifies, what you need to send, and the step that most often costs growers the incentive. Figures are from PSE's program page as checked on November 9, 2026.

What PSE pays

PSE lists these current incentive rates for horticultural projects:

Project type	Incentive rate	Cap
Lighting retrofit (replacing existing lights)	Up to $0.20 per annual kWh saved	Up to 70% of the full cost
Lighting new construction (new grow area)	Up to $0.20 per annual kWh saved	Up to 100% of the incremental cost difference between a WA Energy Code baseline and the proposed LEDs
Dehumidifier retrofit	Up to $0.45 per annual kWh saved	Up to 70% of the full cost
Dehumidifier new construction	Up to $0.45 per annual kWh saved	Up to 100% of the incremental cost difference vs. a WA Energy Code baseline

"Up to" matters: PSE calculates each project, and the cap applies whichever figure is lower.

How the lighting incentive is calculated

For retrofits, PSE compares the existing system's efficiency with the proposed system's. For lighting, PSE calculates savings from the photosynthetic photon efficacy (PPE) of the LEDs you propose, so a fixture with a higher µmol/J rating is likely to earn a higher incentive. PSE also has to confirm the existing lighting system before work begins.

A simple way to see how the cap works, with a hypothetical project: if PSE's calculator credited a retrofit with 10,000 kWh saved per year, the most it could pay at $0.20 per kWh is $2,000. If the project cost $2,500, the 70% cap would limit the retrofit incentive to $1,750. Your actual kWh figure comes from PSE's horticultural lighting calculator, not from this example.

Who qualifies

From PSE's eligibility rules:

• You must be a PSE commercial or industrial electric customer.

• You must be growing indoor or greenhouse plant canopy.

• For a lighting incentive, the LED fixtures must be listed on the DesignLights Consortium (DLC) Horticultural Qualified Products List.

• You must be pre-approved by PSE before installing any energy-efficiency measure.

The DLC requirement narrows the choice. On our AG-140 line, both the AG-140 R80 Red Enhanced (455 µmol/s at 3.25 µmol/J) and the 3K Full Phase version (420 µmol/s at 3.0 µmol/J) are DLC listed. Always check the exact model number on the DLC QPL before you apply. Our comparison of R80 Red vs Full Phase covers the other differences.

What to send PSE for pre-approval

PSE's process starts with the online custom retrofit grant application. For lighting projects, PSE asks you to include:

1. The PSE horticultural lighting calculator, filled in for your project.

2. Manufacturer's specification sheets for the proposed LED grow lights.

3. A PDF printout of the product's DLC listing.

A lighting layout makes the calculator much easier to fill in: fixture counts, wattage, hang height and target PPFD for each room. That is what a free light plan gives you.

Order of operations

1. Confirm you are a PSE commercial or industrial electric customer and note your account details.

2. Choose DLC-listed fixtures and save the QPL listing as a PDF.

3. Get a layout and fill in the PSE horticultural lighting calculator.

4. Submit the custom retrofit grant application with the calculator, spec sheets and DLC listing.

5. For retrofits, let PSE confirm the existing lighting before any work starts.

6. Wait for pre-approval, then buy and install.

The step that loses incentives is installing first. PSE requires pre-approval before installing any measure, so keep the purchase order on hold until you have it.

How we help

Our fixtures are ETL listed, and both AG-140 spectrums (R80 Red Enhanced and 3K Full Phase) are DLC listed. With a free light plan we send fixture counts, wattage and the PPFD layout for each room, plus the spec sheets you need for the PSE application. You submit the application to PSE, and PSE decides the incentive.

See the AG-140 Under Canopy LED Kit, browse under canopy lights, or read our overview of grow light rebates for how other utilities pay.

Growing in PSE territory? Ask for a free light plan and rebate check.

Sources

Checked November 9, 2026. Program terms can change; confirm with PSE (grow@pse.com) before you rely on any figure.

• Puget Sound Energy, Commercial Horticultural Incentives: https://www.pse.com/en/business-incentives/commercial-lighting/Horticulture

• DLC Horticultural Qualified Products List: https://designlights.org/qpl/

• Grower's Choice AG-140 spec sheet (Rev. 10/2026), on the AG-140 product page

FAQ

How much does PSE pay for LED grow lights?

PSE lists up to $0.20 per annual kWh saved for horticultural lighting, capped at 70% of the full cost for retrofits, or up to 100% of the incremental cost over a WA Energy Code baseline for new construction.

Do I need pre-approval for the PSE horticultural incentive?

Yes. PSE requires pre-approval before you install any energy-efficiency measure. For retrofits, PSE also confirms the existing system before work begins.

Do my grow lights have to be DLC listed for PSE?

Yes. For a lighting incentive, PSE requires LED fixtures listed on the DLC Horticultural Qualified Products List.

Does PSE cover greenhouses?

PSE's eligibility rules cover growers with indoor or greenhouse plant canopy who are PSE commercial or industrial electric customers.

Does a higher µmol/J rating earn more from PSE?

Likely, yes. PSE calculates lighting savings from the PPE of the proposed LEDs, so a higher µmol/J rating usually means more modeled savings and a higher incentive.