Heat Pump Water Heater Rebates

Heat pump water heaters are the most efficient way to heat water in a home—up to three times more efficient than conventional electric water heaters.

They work by extracting heat from the air surrounding the unit to heat water. These advanced systems are best suited for homes with basements or separate utility rooms (these units lose efficiency if installed in closets without proper clearance).

The Sponsors of Mass Save® offer instant savings of $750 to residential electric customers that have a licensed plumber install a qualified heat pump water heater when replacing an existing residential electric, propane or oil water heater.

Equipment TypeEfficiency RequirementsRebate Amount
Heat Pump Water HeaterENERGY STAR® certified UEF 3.30$750 per unit
Heat Pump Water Heater (120volt/15amp circuit)ENERGY STAR® certified UEF 2.20$750 per unit
Split-System Heat Pump Water HeaterENERGY STAR® certified UEF 2.20$1,500 per unit

How to participate?

Reducing the upfront cost of heat pump water heaters makes them cost-competitive with traditional water heating systems, while being up to three times more efficient. There are two ways to receive an instant rebate on qualifying heat pump water heaters, both of which eliminate the need to fill out any paperwork.

Work with a Licensed Plumber/Installer: Your plumber can purchase a qualifying heat pump water system at a Participating Distributor to receive an instant rebate of $750.

OR

Purchase a System From a Participating Retailer:The Sponsors of Mass Save are partnering with Home Depot and Lowes to offer residents instant, in-store discounts ($750) on qualifying heat pump water heaters. To receive the discount, visit MassSave.com/Instant to validate your eligibility and receive a code.

You will need to have your utility account number on hand. Present the code at the register and an instant rebate of $750 will be applied to the purchase price.

Get started:

To get started, work with a licensed contractor and make sure to specifically ask about installing a heat pump water heater and if they purchase from a distributor that offers instant savings. The savings will be passed down on your invoice so there is no need to worry about rebate forms or paperwork.

Eligibility

The $750 instant savings is available for systems meeting the following criteria:

  • Equipment must be installed by a licensed plumber between January 1, 2023 and December 31, 2023.
  • Equipment must be ENERGY STAR® certified.
  • Equipment must be new and installed to replace an existing residential electric resistance, propane, natural gas, or oil water heater.
  • Equipment must be installed in a residential home with 1-4 units.
  • To find ENERGY STAR® certified Heat Pump Water Heater units, talk to a licensed contractor or visit the ENERGY STAR® website for a list of local installers at www.energystar.gov/productfinder/water-heater-installers/.

If you have any questions about rebates through participating distributors, please call 1-617-440-5468 or email heat-ne@energy-solution.com.

If you have any questions about rebates through participating retailers, please call 1-888-895-0568 or email MARebates@resource-innovations.com.

High-Efficiency Oil & Propane Water Heating Equipment Rebates

Fossil fuel (oil, propane, and natural gas) equipment rebates ended August 31, 2024. Customers who installed equipment before the August deadline have until September 30th, 2024 to apply to be eligible. No exceptions will be made. To apply, visit www.masssave.com/savings.

 

Offers valid only for residential customers in Massachusetts where Berkshire Gas, Eversource, Liberty Utilities, National Grid, or Unitil is the Program Sponsor. Equipment must be installed by a licensed contractor or plumber between January 1, 2024, and August 31, 2024. Equipment must be new and must meet minimum efficiency requirements. Rebate form and supporting documentation must be received by September 30, 2024. Please note, program is subject to change without notice, including rebate and incentive levels. Rebate cannot be combined with other Mass Save incentives for the same equipment. Rebate amount not to exceed total installation cost. Sponsor reserves the right to conduct a verification inspection prior to rebate payment. Please allow eight weeks for rebate processing. Sponsor does not warrant the performance of installed equipment. See Terms & Conditions for full requirements.