Arizona Heat Pump Rebates
Through the state Efficiency Arizona program, Arizona heat pump rebates pay income-eligible households up to $8,000. Standard utility customers may also claim $225 per ton through Salt River Project, or up to $720 through Tucson Electric Power.
Find the Arizona rebates for your ZIP code
If JavaScript is off, find your state in the program table.
Who sends your electric bill?
What are you putting in?
- Biggest standard rebate available
- $720 TEP Efficient Home Program, Tucson Electric Power Co customers
- HEAR appliance rebates
- Open Pays as much as $8,000 toward a heat pump when income qualifies. Run by Arizona Governor's Office of Resiliency. Official page
- HOMES whole-home rebates
- Approved, not yet open Paid on the energy saved by a whole-home upgrade. Official page
- 25C federal tax credit
- Ended No credit for heat pumps installed after 31 December 2025
Arizona heat pump rebates
To find the programs your home can use, match the name of your electric or gas utility and your household income.
| Program | Who can get it | Central heat pump | Ductless mini-split | Heat pump water heater | Status | Apply |
|---|---|---|---|---|---|---|
| SRP Cool Cash Rebate for central AC, heat pumps, and mini-splits | Served by Salt River Project | $225 per ton | $225 per ton | None | Open | Official page |
| SRP heat pump water heater rebate | Served by Salt River Project | None | None | $500 | Open | Official page |
| TEP Efficient Home Program | Served by Tucson Electric Power Co | Up to $720 | Up to $100/ton | None | Open | Official page |
| UniSource Energy Services Efficient Home Program | Served by UNS Electric, Inc | Up to $450 | None | None | Open | Official page |
| APS residential energy efficiency rebates | Served by Arizona Public Service Co | None | None | None | Ended | Official page |
Claiming Utility Arizona Heat Pump Rebates Step by Step
The claim rules for a standard rebate come from your electric utility, so review its contractor list before purchasing equipment.
- A participating installer is required by each active electric utility program in Arizona, so the contractor you choose must be utility-approved.
- An instant discount of up to $720 or $450 is deducted from your final invoice with Tucson Electric Power and UniSource Energy Services.
- Check, before any work starts, that your installer has signed the utility terms agreement required by the Salt River Project Cool Cash Rebate.
- The $225 per ton rate goes to variable-capacity heat pumps and mini-splits rated 15.2 SEER2, which is the cooling efficiency score printed on the label.
- In the Salt River Project Rebate Center, file your application no later than six months after installation; it covers up to five units.
- If an Arizona-licensed plumber installs the unit before April 30, 2027, the $500 Salt River Project water heater rebate can be claimed within six months.
Efficiency Arizona Rebates for Income-Qualified Households
Homeowners can claim state rebates when they earn 150% of area median income or less; that figure is the midpoint income for your county. Efficiency Arizona appliance rebates also go to households on public assistance, but if your income exceeds 150% of area median income, you cannot apply.
Up to $8,000 goes toward a heat pump, and $1,750 toward a heat pump water heater, for approved households. The program covers part of project costs based on your income, with total savings capped at $14,000 per household.
Creating an online account and getting eligibility approval are required before an assigned contractor can install your system. Rebates cover only electric systems being replaced, never natural gas equipment, for reservations from September 1, 2026 onward. Still in planning, the state's whole-home Home Efficiency Rebates program, run under the Governor's Office of Resiliency, is not open.
Arizona Weatherization, Utility Rules, and Ended Tax Credits
The Arizona Department of Housing weatherization program takes applications for free upgrades from lower-income homeowners and from renters with landlord permission. Using federal poverty income limits, ten local agencies operate this service, which has helped more than 26,000 homes since 1977.
Roughly three in five Arizona homes use electricity for heat, and over nine in ten have air conditioning. Natural gas heats one in three households, and Southwest Gas offers those homes no heat pump rebates.
The state mandate that made regulated electric utilities run efficiency programs was repealed in 2026 by the Arizona Corporation Commission. No heat pump rebates appear on the Arizona Public Service list, and installs after 31 December 2025 no longer get the federal 25C tax credit.
Common Questions About Arizona Heat Pump Rebates
Are mini-splits or lower-tier heat pump systems eligible for Arizona rebates?
Yes, multi-stage heat pumps get $150 per ton from Salt River Project, and single-stage models get $75 per ton. $225 per ton or half-ton goes to ducted or ductless mini-splits, but garages, window units, and new construction do not earn it. Up to $100 per ton is also paid by Tucson Electric Power for mini-splits, and it offers a free virtual home assessment first.
Can Arizona homeowners still claim the federal heat pump tax credit in 2026?
No, Congress cut short tax credits for residential clean energy and efficiency with Public Law 119-21 on July 4, 2025. New equipment no longer counts for federal tax reductions, according to Internal Revenue Service Fact Sheet FS-2025-05, issued August 21, 2025. Homeowners must look to state or electric utility rebates instead.
Do state rebates in Arizona still cover heat pumps and other electric upgrades?
Yes, Efficiency Arizona puts the number of state households eligible for its income-based program at about 1,000,000. An assigned contractor handles more than heating systems: approved applicants can also get insulation, wiring, and electric panel upgrades. Emailed retail coupons from Efficiency Arizona also cover heat pump dryers, heat pump water heaters, and electric cooking equipment.
Get Arizona installer quotes with the rebates taken off
Most rebates on this page are paid through the installer or need the installer's paperwork, so the quote is where the money is settled. Tell us the ZIP code and what you want installed, and installers who work with these programs send a written price with the rebates taken off.