Nebraska Heat Pump Rebates
Right now, Nebraska heat pump rebates pay as much as $4,000 under the program run by Lincoln Electric System and the City of Lincoln. Nebraska Public Power District also gives up to $3,300 for geothermal systems elsewhere in the state through EnergyWise.
Find the Nebraska rebates for your ZIP code
If JavaScript is off, look for your state in the program table.
Who sends your electric bill?
What are you putting in?
- Largest standard rebate available
- $2,500 LES Sustainable Energy Program + City of Lincoln Heat Pump Incentives, for customers of Lincoln Electric System together with the City of Lincoln.
- Geothermal (ground-source) system
- $3,300 NPPD EnergyWise High Efficiency Heat Pump Incentives
- If your household income qualifies
- $4,000 LES Sustainable Energy Program + City of Lincoln Heat Pump Incentives
- HEAR appliance rebates
- Not yet open Run by DWEE. 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
Rebates for heat pumps in Nebraska
Which cash incentives apply at your home depends on your electric utility, so match it with the program name.
| Program | Who can get it | Central heat pump | Ductless mini-split | Heat pump water heater | Geothermal | Status | Apply |
|---|---|---|---|---|---|---|---|
| NPPD EnergyWise High Efficiency Heat Pump Incentives | Served by Nebraska Public Power District | $1,200 | $1,200 | $400 | $3,300 | Open | Official page |
| OPPD HVAC Smart Rebates | Served by Omaha Public Power District | $525 | None | None | None | Open | Official page |
| LES Sustainable Energy Program + City of Lincoln Heat Pump Incentives | Served by Lincoln Electric System and the City of Lincoln | Up to $2,500 | None | $500 | $1,000-1,800 | Open | Official page |
Claiming Your Nebraska Heat Pump Rebates Step by Step
Before any work begins, check your utility's rules, since Nebraska utilities all require that your installer help file the paperwork.
- Lincoln Electric System and City of Lincoln: A participating contractor takes the credit right off your invoice when you hire one. Income-qualified buyers must get pre-approval from the city before installation, while standard Lincoln heat pump money is first-come through December 31, 2026.
- Nebraska Public Power District: Once your system is in, you and your dealer sign your local utility's EnergyWise rebate form. The dealer gets $50 for putting in a qualified system, and your utility pays you directly.
- Omaha Public Power District: The heat pump you pick needs a 15.2 SEER2 rating or higher. The yellow energy label shows the SEER2 score, which measures seasonal cooling efficiency. After your contractor files the HVAC Smart online application, the utility mails a $525 check to you.
What can households with lower income receive in Nebraska?
The largest local discount goes to income-qualified homeowners in Lincoln, while statewide federal rebate programs are still being planned.
Beginning September 1, 2026, Lincoln households that earn 80% of the local median income or less can receive $4,000. The midpoint of what families earn in one city or county is called the median income. Urban Development approval is required before work starts, and the unit you replace must be at least five years old.
The statewide Home Energy Rebates covering appliances and whole-home upgrades have not opened yet. On its state energy rebates page, the Nebraska Department of Water, Energy, and Environment shows both as preparing an application.
In the meantime, the Nebraska Weatherization Assistance Program offers weatherization services free of charge to families earning under 200% of the federal poverty level. A household that receives Aid to Dependent Children or Supplemental Security Income is automatically eligible.
Federal Tax Credit Changes and Public Power Loans
Only in Nebraska is every electric utility publicly owned, with each one run as a district, a municipal system, or a rural cooperative. Data from the Energy Information Administration show natural gas heats about six in ten Nebraska homes, while electricity heats three in ten.
If Nebraska Public Power District serves your home, you can compare the cash rebate with low-interest financing. Instead of the cash incentive, retail and participating wholesale customers can choose a 1.5% interest Dollar and Energy Saving Loan.
Your budget also needs to be planned without federal tax breaks. The Section 25C residential energy tax credit was ended early by Congress under Public Law 119-21. A federal tax credit no longer applies once a heat pump goes into service after December 31, 2025.
Common Questions About Nebraska Heat Pump Rebates
Are tax credits for heat pumps coming in 2026?
Systems installed in 2026 will not get a federal tax credit. The credit was ended after 2025 by the One, Big, Beautiful Bill, which the federal government enacted on July 4, 2025. Per Fact Sheet FS-2025-05, published August 21, 2025, the Internal Revenue Service has confirmed that any installation after 2025 will not qualify.
Is Nebraska losing its heat pump rebates?
Utility rebates at the local level remain open, and bigger state programs have yet to arrive. The Nebraska Department of Water, Energy, and Environment announced in October 2023 that it planned to seek $91 million in federal grant funding. Lincoln also grew its local program, which now pays general households up to $2,500 for swapping an air conditioner for a heat pump.
Do heat pumps make sense in Nebraska?
Across several efficiency levels, public power incentives help bring the upfront price down. Mid-range air-source units still earn $400 at 15.2 SEER2 and $800 at 16.1 SEER2 from Nebraska Public Power District. A heat pump water heater also earns you $400 to $650 from them, or $500 in Lincoln.
Get Nebraska 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.