Heat Pumps

Rebate details

If you’re paying out-of-pocket for your new heat pump, you’re eligible for a rebate. We’ll cover a portion of the bill from your Tacoma Power Participating Contractor.

If you install a ductless heat pump, you’ll receive a $1,000 rebate, and if you install a variable speed central heat pump, you’ll receive a $1,000-$2,000 rebate based on existing heating type.

Requirements for a rebate:

• The home where the heat pump is installed is served by Tacoma Power.
• Replacing an existing forced air electric furnace.
  • $1,000 rebate on a non-variable speed central heat pump.
  • $2,000 rebate on a variable speed central heat pump.
• Replacing an existing heat pump or non-electric furnace.
  • $1,000 rebate on a variable speed central heat pump.
• You must use a Tacoma Power Participating Contractor.
• Must meet Heat Pump program requirements and specifications.

Use a participating contractor:

A Tacoma Power Participating Contractor must install the heat pump. They are well-trained on all aspects of our program, and will ensure you meet these technical requirements necessary to qualify for the rebate:

• The project must meet local building, electrical, and mechanical codes.
• Installation must follow the manufacturer’s specifications and be completed by a technician who is trained and certified on the brand and model of equipment installed.
• Ductless heat pumps must be installed in the main area of home.
• Only high-efficiency heat pumps may be used, which requires the product to be certified by the Air Conditioning, Heating, and Refrigeration Institute (AHRI) with a minimum HSPF rating of 9.0 or HSPF2 rating of 7.5, and a SEER rating of 15 or a SEER2 rating of 14.3.

See the full list of equipment and installation requirements your contractor is required to follow by looking at our program specifications for central heat pumps or ductless heat pumps.

Not eligible for a rebate:

• Multi-family properties with 5 or more units
• New construction properties
• Do-it-yourself installations
• Properties that have previously received an incentive from Tacoma Power for a heat pump

Required documents for a rebate:

• An application for your project and selected incentive
• An invoice that meets these requirements
• Heat load calculations (for central heat pumps and whole-home ductless heat pumps)
• Heat pump sizing and balance point calculations (for central heat pumps)
• AHRI certificate

See the full list of required documents by clicking here.

Deferred loan and rebate details

If your household income doesn’t exceed the allowed maximums, you might qualify for a deferred loan and a rebate for a ductless heat pump.

You’ll owe nothing and pay nothing until you sell your home.

Requirements for a deferred loan: 

• The primary heat source for your home is electric. 
• Your application and project must be pre-approved by Tacoma Power. 
• The home where the ductless heat pump is installed is served by Tacoma Power. 
• The loan applicant owns the home and land. 
• The loan applicant has a good TPU payment and credit history. 
• You must use a Tacoma Power Participating Contractor. 

Use a participating contractor: 

A Tacoma Power Participating Contractor must install the ductless heat pump. They are well-trained on all aspects of our program, and will ensure you meet these technical requirements necessary to qualify for rebate: 

• The project must meet local building, electrical, and mechanical codes. 
• Installation must follow the manufacturer’s specifications and be completed by a technician who is trained and certified on the brand and model of equipment installed. 
• Ductless heat pumps must be installed in the main area of home. 
• Only high-efficiency ductless heat pumps may be used, which requires the product to be certified by the Air Conditioning, Heating, and Refrigeration Institute (AHRI) with a minimum HSPF rating of 9.0 or HSPF2 rating of 7.5

See the full list of equipment and installation requirements your contractor is required to follow by looking at our program specifications for ductless heat pumps.

Not eligible for a deferred loan: 

• Homes with a reverse mortgage
• Multi-family properties with 5 or more units 
• New construction properties 
• Do-it-yourself installations 
• Properties that have previously received an incentive from Tacoma Power for a heat pump 

Required documents for a deferred loan: 

To see if you qualify for a deferred loan, fill out this income-qualification application and submit it to Tacoma Power along with your income verification documents (or if you have zero income, fill out this form).

If you qualify, then you’ll need to work with your contractor to complete and submit these documents to Tacoma Power before getting started: 

• An application for your project 
• A bid created by your contractor 
• A copy of your statutory warranty deed for proof of ownership 

After your project is complete, your contractor will need to submit the following to Tacoma Power: 

• An invoice that meets these requirements 
• Heat load calculations (for whole-home ductless heat pumps)
• AHRI certificate 
• Photo verification of ductless heat pump equipment installed

See the full list of requirements here.