High efficiency heat pumps and water heaters

Instant discounts on high-efficiency electric heat pump technologies are now available to equipment installers and are applied at the wholesaler or distributor point-of-purchase. If the unit you are purchasing meets the criteria below, you may be eligible for a discount from your contractor.

Tell them you are a PSE customer and ask about receiving a discount on your new high-efficiency electric heat pump, gas storage water heater, or space heat boiler.

Learn more about the Inflation Reduction Act, which offers federal tax credits for people working to cut their home energy use and adopt renewable energy.


Heat Pumps

Table 1: SEER/HSPF rated commercial and residential air-cooled heat pumps (<5.4 tons)
EQUIPMENT TYPE PROJECT TYPE TIER SEER HSPF Customer
pass-through
rebate
($/outdoor system)
Mini or Multi-Split Heat Pump
<65 kBtuh
(<5.4 tons)		 Retrofit and new construction 1 16.0 9.5 $400
2 16.0 11.0 $600
Traditional Heat Pump Retrofit only
<65 kBtuh
(<5.4 tons) 		Retrofit only 1 16.0 9.0 $300
Retrofit and new construction 2 16.0 10.0 $500
Table 2: SEER2/HSPF2 rated commercial and residential air-cooled heat pumps (<5.4 tons)4
EQUIPMENT TYPE PROJECT TYPE TIER SEER 2 HSPF 2 Customer
pass-through
rebate
($/outdoor system)
Air source heat pump
<65 kBtuh
(<5.4 tons)		 Retrofit only 1 15.2 8.1 $300
Retrofit or new
construction
 2 15.2 8.5 $400
3 16.0 9.5 $600
  1. SEER/HSPF table is effective for equipment that only has SEER/HSPF rating in the AHRI directory.
  2. The contractor is highly encouraged to pass the equipment rebate through to the customer.
  3. To qualify as a mini- or multi-split heat pump, products must be listed in the AHRI database as Variable Speed Mini-Split or Multi-Split heat pumps. These products may be referred to as Ductless Heat Pumps in the marketplace.
  4. SEER2/HSPF2 table is effective for equipment that has only a SEER2/HSPF2 or dual rating in the AHRI directory.
  5. Qualification of air source heat pumps for this program does not assure qualification for Inflation Reduction Act (IRA) incentives.

  • What is SEER(2)? HSPF(2)?

    Seasonal Energy Efficiency Ratio (SEER/SEER2) is most commonly used to measure the efficiency of a central air conditioner. The higher the SEER, the more efficient the system. SEER measures how efficiently a cooling system will operate over an entire season. In technical terms, SEER is a measure of the total cooling of a central air conditioner or heat pump (in Btu) during the normal cooling season as compared to the total electric energy input (in watt-hours) consumed during the same period. This measure of efficiency is specific to the temperate climate in the middle of the U.S. Recently testing procedures have been refined to introduce the SEER2 rating.

    Heat Seasonal Performance Factor (HSPF/HSPF2) is the most commonly used measure of a heat pumps heating efficiency. The higher the HSPF, the more efficient the heat pump. In technical terms, HSPF represents the total heating output of a heat pump (including supplementary electric heat) during the normal heating season (in Btu) as compared to the total electricity consumed (in watt-hours) during the same period. Recently testing procedures have been refined to introduce the HSPF2 rating.

    Source: www.energystar.gov

  • Ductless heat pump facts

    A ductless heat pump is a highly energy-efficient heating and cooling system that runs without the energy losses associated with the ductwork of a central forced-air system. As it doesn't require ducts to carry conditioned air, it is the preferred system for additions to your home, newer homes that only require a small space conditioning system or areas of your home that you wish to condition in zones.

    Other benefits include:

    • Ductless heat pumps use between 25 and 50 percent less energy to heat your home
    • An ultra-quiet fan evenly circulates air, eliminating hot and cold spots
    • Installation in your home is inexpensive, simple and quick, which makes for little or no disruption
    • Ductless systems come standard with air conditioning, so you can get rid of window units

  • Air-source heat pump facts

    airsourceheatpump

    An air-source heat pump is a high-efficiency heating and cooling system that can deliver between one-and-a-half and three times more heat energy to a home than the electrical energy it uses.

    A less efficient panel of electric coils kicks in to provide additional indoor heating when outdoor temperatures fall below 40 degrees Fahrenheit, so it's generally not a preferred system for regions with sub-freezing winter temperatures.

Water heaters

Commercial and residential water heaters
EQUIPMENT
TYPE		 Building
type		 Project
type		 Size
Category		 Minimum
UEF**		 Customer
pass-
through
rebate*
($/unit)
 Contractor
spiff***
($/unit)
Condensing or
non-condensing
storage gas
water heaters 		Residential Retrofit ≥ 20 gallons
and
≤ 55 gallons		 Uniform Energy
Factor ≥ 0.67		 $135 $50

* The contractor is highly encouraged to pass the equipment rebate through to the customer. Restrictions apply.
** Values are AHRI rated efficiencies.
*** Contractor spiff will be passed through by the distributor to the contractor as a line item on the invoice.



Residential space heating boilers

Limit 1 condensing gas boiler per residence. Sales made on or after January 1, 2024, are eligible for the Program. Please reach out to Program Implementer with any questions.

EQUIPMENT
TYPE		 Building
type		 Size
category		 Project
type		 AFUE Customer
pass-through rebate
($/unit)
Condensing
gas boiler 		Residential ≤ 300,000 Mbtuh Retrofit ≥ 95% $450
alert

TIP: The installation of a heat pump or air conditioner can sometimes cause a fluctuation in the power supply when your equipment starts. This may result in a visible flicker of the lighting in your home or your neighbors' homes.

To ensure that your heat pump installation does not have a negative effect on power quality, it's important to discuss this issue with your contractor. For additional assistance, call a PSE Customer Construction Services specialist at 1-888-321-7779.

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ASK AN ENERGY ADVISOR

Have questions about PSE's green options, including energy efficiency tips and rebates, contractor referrals, electric cars and renewable energy options? We're here to help.

Call us at 1-800-562-1482, Monday through Friday 8 a.m. to 5 p.m. or contact us below.



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