Other Heat Pumps
Air-to-water Heat Pumps
Efficiency Vermont offers up to $6,500 in incentives, depending on the size of the condenser(s) and income level. Additional federal incentives of up to $10,000 will be available through the inflation Reduction Act.
State Incentives
- Efficiency Vermont offers $1,000/ton, maximum of 6 tons. There is an additional $500 income bonus rebate.
Federal Incentives
Available January 2023
- 30% up to $2,000 tax credit per year for heat pumps.
- Additional 30% up to $600 tax credit available for electrical panel upgrade if combined with another heat pump installation
Coming soon! Available by August 2024
- The High Efficiency Electric Home Rebate Act (HEEHRA) covers 100% of project costs up to $8,000 for low-income households (less than 80% AMI) and 50% of project costs for moderate-income households (80-150% of AMI).
- Whole Home Energy Reduction Rebates (HOMES) – rebates for the lesser of $8,000 or 80% of project cost if the project reduces energy usage by at least 35%. UNCLEAR WHETHER HEAT PUMPS ARE ELIGIBLE PROJECT COSTS.
Ground Source Heat Pumps (Geothermal)
Efficiency Vermont offers up to $21,500 in incentives, depending on equipment size and income level. Potential for additional federal incentives of up to $10,000 through the inflation Reduction Act, depending on eligibility of ground source heat pumps.
State Incentives
- Efficiency Vermont offers $2,100/ton, up to 10 tons, for eligible ground source heat pump installations. An additional $500 is available through Efficiency Vermont for income-eligible customers.
Federal Incentives
As of November 2022, it is not clear whether ground source heat pumps are eligible for the following incentives.
Available January 2023
- 30% up to $2,000 tax credit per year for heat pumps
- Additional 30% up to $600 tax credit available for electrical panel upgrade if combined with another heat pump installation.
Coming soon! Available by August 2024
- The High Efficiency Electric Home Rebate Act (HEEHRA) covers 100% of project costs up to $8,000 for low-income households (less than 80% AMI) and 50% of project costs for moderate-income households (80-150% of AMI).
- Whole Home Energy Reduction Rebates (HOMES) – rebates for the lesser of $8,000 or 80% of project cost if the project reduces energy usage by at least 35%. UNCLEAR WHETHER HEAT PUMPS ARE ELIGIBLE PROJECT COST.
Heat Pumps (Water Heating)
Efficiency Vermont and Green Mountain Power provide a combined incentive of up to $800 for heat pump water heaters, depending on equipment type and income level. Additional federal incentives of up to $3,750 will be available through the Inflation Reduction Act.
State Incentives
- Efficiency Vermont and Green Mountain Power offer $300-$600 for heat pump water heaters (depending on equipment eligibility), plus an additional $200 for income-qualified customers.
- The Department of Public Service will design and implement a “Switch and Save” program for low-income Vermonters to install heat pump water heaters at little to no cost. The program will likely be available in the winter of 2023.
Federal Incentives
Available January 2023
- 30% up to $2,000 tax credit per year for heat pumps.
- Additional 30% up to $600 tax credit available for electrical panel upgrade if combined with another heat pump installation.
Coming soon! Available by August 2024
- The High Efficiency Electric Home Rebate Act (HEEHRA) covers 100% of project costs up to $8,000 for low-income households (less than 80% AMI) and 50% of project costs for moderate-income households (80-150% of AMI).
- Whole Home Energy Reduction Rebates (HOMES) – rebates for the lesser of $8,000 or 80% of project cost if the project reduces energy usage by at least 35%. UNCLEAR WHETHER HEAT PUMPS ARE ELIGIBLE PROJECT COST.