Organizations considering commercial lighting projects within EmPOWER Maryland utility territories have several changes to account for as 2026 draws to a close. Pepco has ended its temporary lighting incentive increase, DLC requirements are transitioning, and the next EmPOWER program cycle is expected to bring lower incentives for many lighting measures.
For facilities and energy teams, these developments make project timing and equipment selection particularly important when planning work that could extend into 2027.
Pepco’s 40% Lighting Incentive Increase Has Ended
Effective September 21, 2026, Pepco repealed the 40% increase to prescriptive lighting incentives introduced in June.
Pepco’s lighting incentives have returned to base levels through the end of 2026. Current ranges provided by the PEC Incentive Team include $200–$600 for high bays, $150–$600 for exterior lighting, $75–$100 for troffers, and $50 for flat panels.
The status of the comparable increase for Delmarva Power has not yet been confirmed, so projects in that territory should not assume the same change applies.
DLC 6.0 Becomes Important for Projects Crossing Into 2027
What happens to DLC 5.1 lighting projects in 2027?
Through December 31, 2026, EmPOWER programs will accept both DLC 5.1 and DLC 6.0 products. However, a project using DLC 5.1 fixtures that will be installed or closed out in 2027 needs a 2026 pre-approval and reservation to remain eligible for payment in 2027.
Beginning January 1, 2027, equipment submitted with new applications must be DLC 6.0 listed.
Many commonly specified PEC fixtures have already been re-listed under DLC 6.0 or are in the process of being re-listed. Still, facilities and project teams should verify listing status when specifying equipment, particularly for projects that could cross the calendar-year boundary.
Lower 2027 Lighting Incentives Are Expected
The larger planning consideration is the transition to the 2027–2029 EmPOWER Maryland program cycle. According to the PEC Incentive Team update, incentives for many lighting measures are expected to decrease in 2027. More details are anticipated later in Q4.
Historically, BGE, Pepco, Delmarva Power, and SMECO have generally honored pre-approved incentive rates for projects reserved in one year and installed the next, provided the approved equipment is installed without major scope changes. The standard pre-approval term has been six months before expiration.
For this program transition, however, that treatment is not yet certain. Some utilities may begin issuing approvals against their 2027 program budgets, potentially subjecting projects completed next year to lower 2027 rates.
What Should Maryland Facilities Teams Plan for Now?
For lighting projects that are already viable and can be completed in 2026, installation before year-end provides the clearest path to avoiding uncertainty associated with anticipated 2027 incentive reductions.
Projects extending into 2027 require closer attention to pre-approval timing, the applicable utility program, and DLC listing status. Teams should also avoid assuming that a 2026 reservation guarantees a particular 2027 payment until the relevant program confirms how its new-cycle budget and incentive rules will be applied.
As the 2027–2029 EmPOWER Maryland cycle takes shape, additional program details should provide greater clarity. Until then, careful coordination of project schedules, equipment specifications, and incentive reservations can help organizations plan around the transition without relying on incentive levels that have not yet been finalized.
Program requirements and incentive terms may change. Project-specific eligibility and incentive amounts should be confirmed with the applicable utility program.
