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Home Energy Rebates Update

June 27, 2024

Additional States Receive and Apply for Program Funding, Penobscot Nation First Tribal Applicant

California, Hawaii, Maine, Washington and Wisconsin are the latest states to receive their funding from the U.S. Department of Energy (DOE) to launch a Home Energy Rebates program.

Rebates are not yet available to residents of these states. With this action, these states are now able to take the final steps needed to launch their programs.

DOE has approved Wisconsin’s Home Efficiency Rebates (HOMES) application and has now awarded a total of $74.8 million to the state. This is the first full HOMES application to be approved by DOE.

DOE has approved the other states’ applications for their Home Electrification and Appliance Rebates (HEAR) programs. These states have now been awarded the following amounts:

• California: $292.7 million
• Hawaii: $34.4 million
• Maine: $35.7 million
• Washington: $84.9 million

Six states have now received funding to launch rebate programs. New York was the first state to receive its funding.

“More states and Tribes are on their way to offering their own Home Energy Rebate programs that will help American households save energy and save money on electric appliances,” said Keishaa Austin, Acting Principal Deputy Director of DOE’s Office of State and Community Energy Programs. “By making it cheaper to make energy-efficient upgrades, we will work together to spark the clean energy revolution.”

"Californians are eager to invest in clean, electric technologies for their homes,” said Commissioner Andrew McAllister, lead for energy efficiency at the California Energy Commission. “The Energy Commission is proud to partner with DOE to provide rebates for low-to-moderate income households through contractors and installers."

“The Hawaii State Energy Office is proud to join California, New York, Maine, Washington and Wisconsin in reaching this important milestone towards the launch of our rebate programs later this year,” said Hawaii Chief Energy Officer Mark B. Glick. “We are excited about the program’s potential to reduce energy costs for households throughout Hawaii, and are now actively seeking program implementation partners who may apply on our website.”

“Maine is a national leader in heat pump adoption, which is creating good jobs, reducing our reliance on fossil fuels, and increasing energy efficiency for families and businesses in the state,” said Dan Burgess, Director of the Maine Governor’s Energy Office. “This new funding, to be administered with our partners at Efficiency Maine Trust, will enable more income-eligible households in Maine, in particular multifamily dwellings, to stay comfortable all year by adopting heat pumps. On behalf of Governor Mills’ Administration, I am pleased that DOE has approved our HEAR application and look forward to delivering these funds to Maine people.”

“We are eager to bring funding for high-efficiency electric equipment, including heat pump technologies, to communities throughout Washington state," said Michael Furze, Director of the Washington State Energy Office. "This is especially important for lower income households, including our state’s most vulnerable residents and underserved communities. Paired with state funding, we are determined to see that all Washingtonians benefit from the clean energy transition, and this federal support is a tremendous boost for our state’s efforts to achieve that goal.”

“I am thrilled the Department of Energy approved Wisconsin’s HOMES application in recognition of our robust public engagement process, extensive planning period, and thoughtful program design. This approval moves us one step closer to launching the Home Energy Rebates to deliver energy savings to Wisconsin households,” said Public Service Commission of Wisconsin Chairperson Summer Strand. “Wisconsin is prepared to leverage our existing energy-efficiency rebate programming to expeditiously implement these historic programs and is well-positioned to successfully lead these exciting new opportunities.”

The Home Energy Rebates are a historic $8.8 billion investment under the Inflation Reduction Act to lower costs for American families through energy efficiency and electrification.

For too long, too many American families have struggled with high energy bills. In fact, one out of every three households have had to forgo a necessity like food or medicine to pay for energy.

The Home Energy Rebates will provide American households with up to $14,000 in savings on energy-efficient home upgrades that can in turn lower their energy bills. Energy efficiency measures, like insulation and duct sealing, along with efficient appliances like heat pumps, stoves and clothes dryers, can save households hundreds and even thousands of dollars annually on their energy bills.

Visit DOE’s State Progress Dashboard for the Rebates to check the status of each state and territory.

Penobscot Nation First Tribe to Apply for Rebates Funding

On June 11, the Penobscot Nation in Maine became the first Tribe to submit a complete funding application to implement a HEAR program.

“The Penobscot Nation is excited to submit this application and grateful that there are funding opportunities such as the Home Energy Rebates program,” said Gary Fearon, Director of Housing for the Penobscot Nation. “This program will touch and positively impact the lives of many of our Tribal citizens.”

The Inflation Reduction Act provided $225 million for Tribal HEAR programs. DOE has allocated funding amounts to Tribes that they will be awarded upon having their applications approved by DOE. Tribes have until May 31, 2025, to apply for their funding.

More States’ Applications Rolling In

The District of Columbia and Vermont have submitted applications for HOMES program funding. With their applications, 19 states and territories have now applied for full funding for at least one of the two rebate programs.

In addition, Colorado, New York, and Washington recently submitted their HOMES applications and have now applied for both HOMES and HEAR funding. Ten states have now applied for full funding to launch both programs.

“We are pleased to have submitted our application for the federal Home Efficiency Rebate program to bring new financial incentives to Colorado to improve energy performance in multifamily buildings serving low- and moderate-income residents,” said Colorado Energy Office Executive Director Will Toor. “By making energy efficiency upgrades to large multifamily buildings, this program will not only help us achieve our ambitious climate goals but will also save building residents money on their energy bills, improve building comfort and safety, and increase the resilience of our clean power grid.”

“The District of Columbia is a leader in residential energy efficiency and electrification incentive programs,” said Nick Burger, Deputy Director of the Energy Administration for the District of Columbia. “We are pleased to submit our Home Efficiency Rebates application and greatly expand access to incentives for our low-income residents. This federal funding, coupled with District of Columbia investments, will enable these residents to electrify their homes with reliable, clean and affordable energy efficiency equipment, appliances and building retrofits.”

"NYSERDA is proud to work with the U.S. Department of Energy to further expand access to federal Home Energy Rebates for New Yorkers in support of their efforts to make electrification upgrades in their homes,” said New York State Energy Research and Development Authority (NYSERDA) President and Chief Executive Officer Doreen M. Harris. “These updates will provide healthier, more comfortable places to live while reducing emissions and increasing resiliency to help protect families from the effects of climate change.”

“Vermont has a longstanding commitment to improving the efficiency of its residential building stock through weatherization efforts. We look forward to implementing the Home Energy Rebate programs to deliver the financial and environmental benefits of these efficiency projects to more income-eligible households,” said Melissa Bailey, Director of the Vermont State Energy Office. “The $29 million in Home Efficiency Rebates will be delivered in partnership with the Weatherization Assistance Program operated by Vermont’s Office of Economic Opportunity.”

About Home Energy Rebates

On Aug. 16, 2022, President Joseph R. Biden signed the landmark Inflation Reduction Act. The law includes nearly $400 billion to support clean energy and address climate change, including $8.8 billion in Home Energy Rebates, which will provide two separate rebates to consumers:

The Home Efficiency Rebates will provide $4.3 billion to discount the price of energy-saving retrofits in single-family and multi-family buildings. These rebates will be administered by states and territories.

The Home Electrification and Appliance Rebates will provide $4.5 billion in rebates for high-efficiency electricity upgrades in homes. These rebates will be administered by states, territories, and Indian tribes.

For more information, visit the Home Energy Rebates website and sign up for email updates.

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