Pennsylvania Heat Pump Rebates

PPL Electric Utilities runs the Pennsylvania heat pump rebates, which give up to $500 for ground-source systems and $475 for air-source units. How much you get depends on your total household income and on which electric company serves your home.

Find the Pennsylvania rebates for your ZIP code

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Cold-climate heat pump outdoor unit on a wall bracket beside a clapboard house in light snow, the kind of install Pennsylvania heat pump rebates help pay for
Largest standard rebate now available
$325 PPL Electric Utilities Home Energy Rebates (Act 129), open to homes served by PPL Electric Utilities Corp
Geothermal (ground-source) system
$500 PPL Electric Utilities Home Energy Rebates (Act 129)
If your household income qualifies
$475 PPL Electric Utilities Home Energy Rebates (Act 129)
HEAR appliance rebates
Not yet open Run by EPO. 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

Pennsylvania heat pump rebates

Find your electric utility's name in the program rows to see which cash rebates your home can get.

ProgramWho can get itCentral heat pumpDuctless mini-splitHeat pump water heaterGeothermalStatusApply
PPL Electric Utilities Home Energy Rebates (Act 129)Served by PPL Electric Utilities Corp$325$225$400$500OpenOfficial page
PECO rebates for heating, cooling, and water heatingServed by PECO Energy Co$300$300$350NoneOpenOfficial page
Duquesne Light instant discounts for residential HVAC and water heatingServed by Duquesne Light Co$215$80$150NoneOpenOfficial page
FirstEnergy Pennsylvania residential HVAC rebatesFirstEnergy Pennsylvania Electric Company customersNoneNoneNoneNonePausedOfficial page

Claiming Your Pennsylvania Heat Pump Rebates Step by Step

Every company sets its own filing deadline, so check your electric utility rules before you buy equipment.

  1. Duquesne Light: Have your installer purchase the unit from a participating distributor, and up to $215 comes off at purchase. The Duquesne Light discount portal offers this instant discount, starting August 1, 2026, and ending May 31, 2031.
  2. PECO: Let your contractor file, or send in your own form no later than 90 days after purchase or installation. Through the PECO rebate page, you can claim up to $350.
  3. PPL Electric Utilities: File online or by mail with the PPL application, within 180 days of installation. A unit that already got an instant supplier discount does not qualify.
  4. FirstEnergy Pennsylvania: The Met-Ed, Penelec, Penn Power, and West Penn programs are paused right now.

Do lower-income households qualify for bigger rebates?

A new air-source heat pump can bring $350 or $475 to income-eligible families served by PPL Electric Utilities. You qualify if your household earns 250% or less of the federal poverty level, and extra money comes with multi-project upgrades. Finish three or more qualifying projects during a rolling year, with insulation or air sealing among them, and a $350 bonus applies.

Penn Energy Savers is also planning larger point-of-sale discounts funded by the federal government, with a federal award of $260 million behind it. New guidance from the Department of Energy came out on June 1, 2026, and the state is updating its design as a result. When these programs open, your savings will be based on area median income, meaning the typical household pay in your county. If a family is below 80% of that local midpoint, up to 100% of project costs can be covered, up to the cap. A household in the 81% to 150% range can have 50% of its project costs covered. Sign up online today and receive launch alerts by email.

Free Pennsylvania Weatherization and State Energy Rules

The state accepts applications for free home efficiency upgrades from households that earn 200% of the federal poverty level or less. A family of four can earn up to $66,000 and still qualify, as of January 13, 2026, under the Weatherization Assistance Program. At that same income level, PPL customers may also get a free home assessment from their electric utility.

Natural gas is the main heating source in more than half of Pennsylvania homes. About one home in four runs on electricity, and more homes here burn coal than in any other state. Electric utilities must fund efficiency rebates between June 1, 2026, and May 31, 2031, under state law Act 129. Heating contractors can get free in-person installation training through Penn Heat Pump Pathways, which the state energy office runs. Equipment that goes into service after December 31, 2025, no longer gets the federal 25C tax credit, which Public Law 119-21 ended.

Common Questions About Pennsylvania Heat Pump Rebates

Do different heat pump installs in Pennsylvania qualify for rebates?

Yes, the amount a utility pays depends on the equipment type and its SEER2, the seasonal cooling efficiency rating. In existing homes, a heat pump water heater earns $400 from PPL Electric Utilities, and a ductless mini-split earns $225. Mini-splits get $150 to $300 from PECO, which also pays $50 for an air-source tune-up, while Duquesne Light cuts $80 off mini-splits.

Does a federal HVAC tax credit cover heat pumps in 2026?

No. Under the One, Big, Beautiful Bill, the federal residential energy tax credit was ended by Congress on July 4, 2025. The cutoff date was confirmed in Internal Revenue Service Fact Sheet FS-2025-05, published August 21, 2025. This federal tax credit cannot be claimed for systems installed in 2026, so Pennsylvania homeowners must turn to electric utility rebates.

Are federally funded state rebates for heat pumps still on the way?

Yes. Pennsylvania residents will get two federally funded discount programs, to be run by the Department of Environmental Protection Energy Programs Office. Rules still need to be finalized. After that, single-family homes qualify, along with multifamily buildings where at least 50% of the residents meet the income limits. Email RA-EPHomeEngRebates@pa.gov with questions, or use it to sign up for the official state mailing list and get launch updates.

In Pennsylvania, how does home size change my heat pump cost and rebate?

No official state program publishes an average installation price for a home of two thousand square feet. Ductwork and insulation needs differ from house to house. Still, incentives depend on system size: Duquesne Light caps the discount for air-source heat pumps at units below 5.4 tons. Contractors trained through Penn Heat Pump Pathways can give homeowners quotes and help them size their equipment correctly.

Get Pennsylvania 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.