Massachusetts has two key policies to promote combined heat and power (CHP): the MASS SAVE Energy Efficiency Program and the Alternative Portfolio Standard. The MASS SAVE Program provides rebates of up to $750/kW for CHP systems and incentives are determined based on a benefit-cost ratio test. The Alternative Portfolio Standard creates a mandate for electricity suppliers to obtain credits from alternative energy sources, including CHP, with the standard increasing to 5% by 2020. Case studies highlight CHP projects at UMass Medical Center and Simonds International that received incentives under these programs based on estimated annual energy savings and alternative energy credits.