Variable Speed Drive

What is a Variable Speed Drive?

A Variable Speed Drive (VSD), also known as a variable frequency drive is an electronic device that controls the speed and torque of an electric motor by adjusting the frequency and voltage of the electrical power supplied to the motor.

In a standard setup, motors run at full speed whenever they are switched on, even when full output is not required. A VSD allows the motor to run only as fast as needed, matching motor output to real system demand.

VSDs reduce fuel consumption by lowering electricity use through precise motor speed control, with the greatest savings achieved in variable-load fan and pump applications.

Common applications:

  • Fans (building exhaust, make-up air, supply and return)
  • Pumps (chilled water, boiler feed, hot water circulation, water source heat pump circulating loop)

Variable Speed Drive Rebate:

  • $200 per motor hp

Benefits

Lower operating costs – VSDs reduce electricity consumption by matching motor speed to actual demand, helping businesses control energy expenses and improve operating margins.

Improve equipment reliability – soft starts and smoother operation reduce wear and tear, lowering maintenance and downtime.

Increase process control & comfort – VSDs deliver stable pressure, flow, and temperature control, improving product quality and overall system performance.

Reduce peak demand charges – by limiting inrush current and avoiding full-speed operation during low demand periods, VSDs help businesses manage peak electrical demand and related charges.

Support sustainability goals – lower electricity uses results in reduced greenhouse gas emissions, helping businesses meet corporate sustainability and reporting requirements.

BUSINESS ELIGIBILITY

To be eligible, your business must have an active commercial electricity account.

PRODUCT ELIGIBILITY

  • Must be a retrofit to an existing motor not previously integrated with a VSD; motor runs ≥ 2,000 hours/year; must control frequency in response to a variable load; soft-start-only not eligible; must be certified for use in Canada.
  • Must be used on listed applications (e.g., supply/return/exhaust/make-up air fans, chilled water pump, etc.).

HOW TO BUY AND INSTALL

  • The Installer must be a registered Electrical Contractor in the province of Newfoundland and Labrador.
  • A copy of the distributor, retailer, and/or installer invoice must accompany the application.
  • The invoice must specify quantity of qualified systems, manufacturer, model number, material and labour costs.

HOW TO APPLY

Once the Variable Speed Drive is installed, you can apply online or by mail. Your rebate will be applied as a credit on your electricity bill.

Apply NowPrint Application

 

Upload or mail a copy of your purchase receipt with your application.

Allow up to eight weeks for processing.

Newfoundland Power and Newfoundland and Labrador Hydro may visit your facility and inspect the Variable Speed Drive installation at any time within 15 months from when the rebate was processed.