Pursue the Rebate: There’s Never Been A Better Time!
When you hear the term “variable-capacity heat pumps,” hopefully, the words “energy efficient,” “superior comfort,” and “energy rebates” come to mind. The term is becoming popular for differentiating our high-performance and cold-climate capabilities from standard heat pumps. And the benefits are tremendous, including reduced operating costs, the elimination of GHG-emitting fossil fuels for heating, and soon, rebates!
Lawmakers have taken note of the benefits of our variable-capacity, cold-climate heat pumps, and we’ve seen a growing number of local municipal and utility incentives to encourage you to make the switch. Now the federal government has made a monumental commitment to boosting the adoption of qualified heat pumps across the U.S.
Enter the Inflation Reduction Act. The legislation introduces a rebate program and tax credit to offset the costs of household electrification. Qualified homeowners are eligible for up to $14,000 in point-of-sale rebates toward efficiency upgrades including an offset of the heat pump installation costs, up to $8,000! Through the legislation’s extension of the 25C tax credit, qualified households can receive a 30 percent income tax credit for the cost of buying and installing an eligible heat pump system, up to $2,000 per household! The Inflation Reduction Act is a major investment toward a much more electrified America.
Why pursue the rebate?
Utilities offer rebates to incentivize homeowners to choose all-electric heat pumps over conventional or fossil fuel-burning systems. As a win-win, your decision helps reduce dependence on fossil fuels and utilities help you offset some of the upfront costs.
A recent Wirecutter article describes the experience of a Boston homeowner who was weighing the benefits of a heat pump system against a lower-cost fossil-fuel-burning system. When he learned he qualified for a $6,000 rebate and a seven-year, zero-interest loan to help cover the remaining costs, the choice was essentially made for him. One of our Diamond Contractors® installed the system, and today the homeowner enjoys energy cost savings while reducing his carbon footprint.
If you’re upgrading to electrified comfort, take the rebate. Otherwise, you’re leaving easy cash on the table you could use for vacations, gadgets, hobbies or other home upgrades in the future.
What are states doing now?
Above, we touched on Massachusetts’s statewide initiative to convert fossil-fuel-burning homes to renewable alternatives. Massachusetts homeowners can get up to $10,000 back depending on how their heat pump system meets performance standards defined by the Air-Conditioning, Heating & Refrigeration Institute (AHRI).
Several states currently join Massachusetts in efforts to decarbonize by incentivizing homeowners. California is known for being at the forefront of the renewable energy movement and has set ambitious carbon-neutrality goals. The state rewards homeowners with up to $6,000 for installing heat pumps. New York, another leader in the decarbonization charge, offers varying incentives to homeowners, as does Washington state. In Colorado, where approximately 70 percent of homes are heated with natural gas, lawmakers recently voted to incentivize heat pump adoption with rebates and tax credits.
These are just a few examples of ways states are currently paving the way for homeowners to pursue all-electric heat pumps instead of fossil-fuel-burning systems. We expect more to follow suit. Reducing costs upfront helps more homeowners enjoy the long-term cost savings of heat pumps – a true win-win!
How to find your rebate
Wherever you are in the country, finding the rebates and incentives available to you should be easy! Start by visiting your local utility’s website to see what they cover.
There are also manufacturer-specific rebates. With tools like our rebate finder, you can quickly find out what’s available in your area.
Enjoy the superior comfort, high performance and exceptional quality offered by our variable-capacity heat pump systems while reaping even more financial benefits through rebates.
TL;DR: Pursue the rebate. Comfort + utility savings = a win-win!
For more information about our variable-capacity heat pump systems, visit MitsubishiComfort.com.