Background (Energy.gov, Whitehouse.gov, IRS.gov)
On Aug. 16, 2022, President Biden signed the landmark Inflation Reduction Act (IRA) into law. The law includes $391 billion to support clean energy and address climate change, including $8.8 billion in rebates for home energy efficiency and electrification projects.
The Office of State and Community Energy Programs (SCEP) is working to distribute these funds to states and Indian Tribes. The Inflation Reduction Act of 2022 includes two provisions authorizing $8.8 billion in rebates for Home Efficiency Rebates and Home Electrification and Appliance Rebates.
The Department of Energy expects households to be able to access these rebates in much of the country in late 2023/early 2024.
Energy.gov
Home Energy Rebate Program
High-Efficiency Electric Home Rebate Act (HEEHRA) - Section 50122
Put simply, if your household income is anywhere below 150% of the Area Median Income (AMI) you will receive instant rebate money off your high efficiency heat pump installation at the time of sale! Compare your income now with the Fannie Mae Lookup Tool.
As of 2023, the AMI for all of the Austin Metro Area is $110,300. That means if your household income is $165,450 you will be able to take advantage of the instant rebate! Don’t worry if your household income is higher, you can still take advantage of the tax credits right off the top of your tax obligation!
https://www.energy.gov/scep/home-energy-rebate-programs-frequently-asked-questions
Qualified electrification projects under Section 50122 (Home Electrification and Appliance Rebates) include the purchase and installation of at least one of the following upgrades:
ENERGY STAR electric heat pump water heater—up to $1,750
ENERGY STAR electric heat pump for space heating & cooling—up to $8,000
ENERGY STAR electric heat pump clothes dryer— up to $840
ENERGY STAR electric stove, cooktop, range, or oven—up to $840
Electric load service center—up to $4,000
Electric wiring—up to $2,500
Insulation, air sealing, and ventilation—up to $1,600
If tables aren’t your thing, no worries, let us break it down in examples.
Example 1: Household income is below 80% of AMI - You will receive 100% off a high efficiency heat pump installation rebate up to $8,000! Click here to submit for this category if that is you!
Example 2: Household income is between 80-150% of AMI - You will receive 50% off a high efficiency heat pump installation rebate up to $4,000! Click here to submit for this category if that is you!
We will be installing 1 ton Mitsubishi heat pumps with minimal installation requirements for $7-8K. That is usually enough to heat or cool and space of about 300 sq ft with standard insulation and 8’ ceilings.
Call or book now! (512) 270-8388