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Home Energy Rebates Update

Jan. 16, 2025

North Carolina Launches Federal Home Energy Rebate Programs to Lower Families’ Utility Bills

Today, North Carolina is launching both federal Home Energy Rebate programs — the Home Efficiency Rebates (HOMES) and the Home Electrification and Appliance Rebates (HEAR). North Carolinians can now use these programs to drastically reduce the cost of energy-saving home upgrades.

Initially, North Carolina’s rebate programs will focus on single-family, owner-occupied housing, particularly those in disadvantaged regions and in areas affected by hurricane damage.

North Carolina’s launch is part of a nationwide initiative to provide $8.8 billion in federal funding for states, territories, and Tribes to offer rebates to reduce residential energy costs. The rebates make it more affordable for households to install cost-saving measures such as heat pumps, electrical panels, and insulation.

The upgrades made possible by the rebates will save American households up to $1 billion annually in energy costs. In addition, the rebates will support an estimated 50,000 U.S. jobs in residential construction, manufacturing, and other sectors.

“This winter, protect your family and your budget. North Carolina’s Home Energy Rebates provide an opportunity to make lasting improvements to your home’s energy efficiency,” said Keishaa Austin, Principal Deputy Director, Department of Energy’s Office of State and Community Energy Programs. “By investing in upgrades now, you could reduce your heating costs, and you’ll also enjoy savings and comfort for years to come.”

“The State Energy Office is excited to launch this important program for North Carolina residents,” said Julie Woosley, Director of the State Energy Office at the North Carolina Department of Environmental Quality (DEQ). “Residential energy efficiency makes homes healthier and lowers energy costs; supports small businesses and the local economy; and increases our state’s energy resilience and independence. The program’s focus on areas with high energy burdens, including rural and underserved communities, will make a difference statewide, especially in areas still recovering from Hurricane Helene and other storms.”

“Energy Saver NC will create job opportunities and put money back in hard-working North Carolinians’ pockets while moving our state towards the goal of a 21st century clean energy economy,” said Governor Josh Stein. “This program is a perfect example of what it means to be North Carolina Strong – creating opportunities by doing the right thing.”

“Energy Saver NC will help low- and moderate-income North Carolina families save money on utility bills, make their homes healthier and more comfortable, reduce emissions and improve our air quality,” said DEQ Secretary Reid Wilson. “From insulation of doors and windows to cooking dinner on their new electric stovetop, this critical program will help to improve the lives of North Carolinians on a daily basis."

For more information on North Carolina’s programs, visit North Carolina’s Home Energy Rebates page.

HOMES Program

This program will be known as the Homeowners Managing Efficiency Savings program in North Carolina. Under the initial launch, owners of single-family, owner-occupied homes can save money on retrofits — typically the installation of multiple home upgrades — that meaningfully reduce household energy usage. (HOMES and HEAR will be expanded later to include rental properties — see below for more information.)

Rebate amounts are based on household income and the amount of energy saved. Households earning up to 150% of their area median income (AMI) are potentially eligible.

Selected upgrades would need to reduce the home’s estimated energy usage by at least 20%. To qualify for the maximum rebate amount, the upgrade would need to reduce the home’s estimated energy usage by at least 35%.

For single-family homes, rebates will range up to:

• $16,000 for those making less than 80% of AMI.
• $4,000 for those making 80% to 150% of AMI.

HEAR Program

Low- and middle-income single-family homeowners (i.e., those earning up to 150% of AMI) are potentially eligible at launch.

Eligible residents will be able to save up to $14,000 per dwelling unit, including up to:

• $8,000 for a whole-home heat pump for space heating and cooling.
• $4,000 for an electrical panel.
• $2,500 for electrical wiring.
• $1,750 for a heat pump water heater.
• $1,600 for insulation, air sealing, and ventilation.
• $840 for heat pump clothes dryer and/or electric stove, cooktop, range or oven.

Rebates at lower dollar amounts will be available for qualifying moderate-income homeowners earning between 80% to 150% of AMI.

Rental Properties

Rebates for rental properties — including tenant-occupied single-family and multifamily properties — will launch later.

A rental property will potentially be eligible for HOMES or HEAR if at least 50% of its residents are earning at or below 150% of AMI.

Under the HOMES program, rental properties are potentially eligible for up to $16,000 in rebates per dwelling unit. Eligible properties can receive up to $14,000 in HEAR rebates per unit.

More States Get Ready for Rebate Launches

Home Energy Rebates are coming online in more states to help American families save energy and save money with energy-efficient home upgrades. You can check the status of your state’s program at energy.gov/rebates.

For more information on what you can do to save energy and save money, visit www.energy.gov/save.

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

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