Louisiana Heat Pump Rebates

Qualifying units currently earn Louisiana heat pump rebates of up to $3,500, paid through the Cleco Power Wise and the SWEPCO HVAC incentives. Three things decide your rebate: your electric utility, how efficient your equipment is, and whether you hire an approved contractor.

Find the Louisiana rebates for your ZIP code

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Heat pump outdoor unit on a concrete pad beside a brick ranch house, the kind of install Louisiana heat pump rebates help pay for
Largest standard rebate available
$3,500 Cleco Power Wise Air Conditioner / Heat Pump, open to Cleco Power LLC customers
HEAR appliance rebates
Not launched yet Run by C&E. Official page
HOMES whole-home rebates
Not open yet Paid on the energy saved by a whole-home upgrade. Official page
The federal 25C tax credit
Ended No credit for heat pumps installed after 31 December 2025

Louisiana rebates for heat pumps

Each row names a Louisiana electric utility, and its program accepts only that utility's residential customers.

ProgramWho can get itCentral heat pumpDuctless mini-splitHeat pump water heaterGeothermalStatusApply
Heat Pump Water Heater from Residential Retail and Products (Entergy Louisiana)Served by Entergy Louisiana LLCNoneNoneUp to $400 per unitNoneOpenOfficial page
Cleco Power Wise Air Conditioner / Heat Pump (HVAC Replacement) RebateServed by Cleco Power LLCFor a standard unit up to 5.4 tons, the rebate runs $350 to $600/ton, with a cap of $3,500 per qualifying unitNoneNoneNoneOpenOfficial page
Cleco Power Wise Geothermal Heat Pump RebateServed by Cleco Power LLCNoneNoneNone$1,500OpenOfficial page
Cleco Power Wise Water Heater Replacement RebateServed by Cleco Power LLCNoneNone$400NoneOpenOfficial page
SWEPCO HVAC Incentive Program (Louisiana)Served by Southwestern Electric Power CoUp to $3,500 for a qualifying unitNoneNoneNoneOpenOfficial page
Energy Smart (Entergy New Orleans) A/C SolutionsServed by Entergy New Orleans, LLC$250 per system$500 per systemNoneNoneOpenOfficial page

Steps to Claim Utility Louisiana Heat Pump Rebates

The rules for claiming a discount come from your electric utility, and most utilities require an approved installer before any work starts. Up to $3,500 per qualifying system is paid by both SWEPCO and Cleco Power, but Cleco warns that its funding is limited. At least 14.3 SEER2 is required by the Cleco HVAC program, and the pay runs $350 to $600 per ton, capped at 5.4 tons. The unit label shows the SEER2 rating, which measures cooling efficiency.

  1. Choose an approved installer through the SWEPCO contractor list or through Cleco, and the incentive gets deducted on your quote.
  2. Let your contractor file the central system paperwork after installation, and a utility inspection may follow.
  3. For the $1,500 Cleco geothermal rebate or the $400 water heater discount, apply within 60 days of purchase.
  4. Fill out the Energy Smart form in Orleans Parish to receive $200 to $500 back after your unit is replaced.

State Rebate Status and Discounts for Lower-Income Households

The two federally funded rebate programs are still being prepared in Louisiana, and together they will deliver more than $200 million in discounts on home energy. No opening date has been set by the state Office of Energy or the Office of Community Development Disaster Recovery Unit. Before you buy equipment, you can check for launch announcements from the Department of Conservation and Energy.

When the appliance program opens, households earning below 150% of area median income will get upfront discounts. The midpoint household income in your local parish is what counts as area median income. According to the Office of Energy FAQ, the whole-home program will pay between $2,000 and $4,000 for contractor upgrades, whatever your income. A higher percentage back goes to households below 80% of the parish midpoint, which also receive $200 tune-ups today via Energy Smart. Entergy Louisiana gives eligible families no-cost efficiency upgrades through authorized trade allies as well, but central heat pumps are excluded.

Louisiana Heating Rules and Free Weatherization

Free home efficiency work is available to families on a tight budget, who can apply via the Louisiana Weatherization Assistance Program. Regional providers deliver this service on behalf of the Louisiana Housing Corporation, whose 2025 income cap is $64,300 for a family of four. High energy users, people with disabilities, families, and elderly residents get priority, but local funding is limited.

About six in ten homes in Louisiana heat with electricity, and nearly all have air conditioning, according to the Energy Information Administration. Roughly one home in three heats with natural gas, which draws only 2% of the state's gas supply in mild winters. You can still count on local utility rebates today, since the federal 25C tax credit no longer covers installations after 31 December 2025.

Common Questions About Louisiana Heat Pump Rebates

Can you still get the federal heat pump tax credit in 2026?

No, a system installed in 2026 is not eligible for the federal credit. The Section 25C and Section 25D credits ended early under Public Law 119-21, which Congress passed on July 4, 2025. IRS Fact Sheet FS-2025-05, which came out on August 21, 2025, disqualifies equipment that goes into service after December 31, 2025.

Are heat pump rebates disappearing in Louisiana?

No, discounts from your local electric utility are still open, and the state has not even launched its rebates. The Department of Conservation and Energy is the new name for what was, until October 1, 2025, the Department of Energy and Natural Resources. That agency is not done launching its federal efficiency programs. Multifamily buildings will also get up to $400,000 from them once the programs open.

Do heat pump and water heater rebates still exist in Louisiana?

Utility rebates still cover certain equipment upgrades, even though the tax credits are gone. Cleco pays $400 on an ENERGY STAR water heater if the form, the proof of purchase, and a photo are emailed within 60 days. Besides duct sealing and home insulation through its trade allies, Entergy Louisiana gives up to $400 for heat pump water heaters sold at retail.

Based on my home size and efficiency rating, what will a heat pump rebate pay?

Your rebate from Louisiana utilities depends on unit tonnage and efficiency ratings, not on your house's square footage. The heating efficiency rating printed on your system label is HSPF2. With Energy Smart, you get $200 at 15.2 SEER2 and 7.1 HSPF2, $225 at 16 with 7.7, and $250 at 17 with 7.8. Replace electric strip heat with a 17 SEER2, 7.7 HSPF2 mini-split and you get $500; putting that unit in place of a heat pump pays $250.

Get Louisiana 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.