There is no better time than now to upgrade your home’s heating and cooling system! In August, the Inflation Reduction Act was signed into law as a way to alleviate inflation by lowering prescription drug prices, reducing the deficit, and halting global warming. The Inflation Reduction Act is the largest ever federal legislation addressing climate change; the law invested $369 billion in clean energy sources and technologies that improve energy efficiency. Part of this Act provides significant incentives and rebates for homeowners who purchase and install a heat pump. Below we dive deeper into what this means for homeowners and how you can save with heat pump adoption.
The High-Efficiency Electric Home Rebate Program (HEEHRP)
In 2023, many American homeowners will be eligible for a free heat pump to heat and cool their homes. How? Because part of the IRA funds the development of renewable energy sources like solar, hydro, and wind. No carbon emissions are produced by these energy sources, so they’re considered clean. With the government moving away from energy sources that burn fossil fuels, like gas, they seek a more clean electricity source, urging homeowners to update their old equipment to energy-efficient appliances, like heat pumps.
The new IRA law includes the first-ever national rebate program, called the High-Efficiency Electric Home Rebate Program. Here is what we know about HEEHRP so far:
- Allocates over $4 billion to states for home energy improvement projects, including heat pump rebates and incentives.
- Designed to support low-to-moderate-income households
- If your household income is 80% below your area’s median income, you receive the maximum rebate, covering your heat pump at 100% up to $8,000.
- If your household income is 81-150% of your area’s median income, you’ll receive up to 50% of the heat pump’s cost.
- If your household income exceeds 150% of your area’s median income, you’re not out of luck; you can receive a 30% tax credit of up to $2,000 on a new heat pump.
At American Weathermakers, we can make this a reality with our HVAC services! Connect with our team to learn more about heat pump installation, or we can even help with your current system, offering heat pump tune-ups and repairs.
Why Upgrade to a Heat Pump?
Heat pump installations receive an incredible incentive and rebate package to support the ongoing efforts to minimize greenhouse gas emissions and save our planet. With heat pump installation, you can convert your home to an all-electric, high-efficiency heating and cooling solution. Other advantages include the following:
- Save space – Your heat pump does the job of an air conditioner and furnace, reducing the amount of bulky equipment taking up space in your home.
- Cost savings – The upfront cost of a heat pump is significantly lower because it’s an AC and heater combined.
- Lower utility bills – Heat pumps run more efficiently than gas furnaces, saving you money on your monthly bills.
- Better indoor air quality – Many modern heat pumps include dehumidifiers and air filtering capabilities to keep the air you breathe clean and allergen-free.
Illinois will be running this program with more details about redeeming your rebates and incentives still being released. For the most up-to-date information regarding the Inflation Reduction Act, you can trust the experts at American Weathermakers to share this knowledge as soon as it becomes available.
Heat Pump Maintenance With American Weathermakers
Save the planet (and your wallet!) with an energy-efficient heat pump. At American Weathermakers, we’re leading the way in heat pump installation. Not only do we install ENERGY STAR heat pump systems, but we also offer heat pump maintenance and several other HVAC services, like repairs and emergency care. If you’re ready to save money, enjoy rebates and incentives, and live in a more comfortable home, contact American Weathermakers at (847) 503-9497 to schedule a heat pump installation appointment.
