Clean Heat for All: Packaged Terminal Heat Pump Program

Description of goods to services to be bid:

The following changes have been made to PON 5907:

This PON is re-opening with a due date of August 6, 2025.
- A cap of one (1) proposal per manufacturer, per PON category has been implemented. There was previously no cap in place. Manufacturers are still encouraged to submit proposals to all applicable PON categories.
- A proposal template and budget worksheet have been included in the solicitation to assist proposers in developing fully responsive proposals.
- The following items have been added to the ‘Proposal Requirements’ and ‘Evaluation Criteria’:
- Proposers are required to outline how they will provide customer support, troubleshooting and ongoing maintenance and repair services for customers in New York State.
- Proposers are asked to outline any existing presence in New York State, including corporate offices, design and engineering facilities, manufacturing, distribution or sales and service providers.
- Proposers are asked to describe any economic benefit for NYS that will be created through commercialization of the proposed product in the form of subsequent manufacturing or technical service activity, intellectual property creation, revenue generation or job creation.
- Updates were made to Attachment B - Standard Agreement:
- Clarifications added to Exhibit B – General Contract Provisions, Terms and Conditions.
- Exhibit E: 2017 Report Content Guide removed.
- Minor revisions to language to improve clarity on intent of program as it pertains to eligibility, budget and proposal requirements.

The program aims to transform the market for cold climate, high efficiency packaged terminal heat pumps (PTHPs) to serve as superior replacement for standard packaged terminal air conditioners (PTACs), hydronic cabinet PTACs and through-the-wall air conditioners. The program will achieve this by establishing partnerships with, and providing funding to, HVAC manufacturers to support product development and field demonstrations of PTHPs in NYS multifamily buildings.

Product development grants of up to $250,000 are available to heat pump manufacturers to support the development of new, or modification of existing PTHPs that meet the program outlined technical requirements. Up to $1,000,000 is available for awarded heat pump manufacturers to fund field demonstrations of PTHPs. Demonstration funding will support NYSERDA purchase of prototype PTHPs, installation costs, support for multifamily building owner Demonstration Partner(s) and project management for the duration of demonstration spanning at least one heating and one cooling season.

If changes are made to this solicitation notification will be posted on NYSERDA’s website at:www.nyserda.ny.gov/funding-opportunities

Eligibility/Qualifications Requirements/Preferences:

Product development funding is available to all heat pump manufacturers who illustrate the ability to develop, demonstrate and scale production of PTHP equipment in accordance with NYSERDA outlined technical specification.

Manufacturers awarded product development grants are only eligible for field demonstration funding upon NYSERDA receipt and approval of laboratory testing report confirming PTHP performance in alignment with technical specifications outlined in the awarded proposal. Awarded heat pump manufacturers must team with NYS multifamily building owners qualified as eligible demonstration partners through RFQL 5937.