California Launches IRA Rebate Program
The first phase of California's Home Electrification and Appliance Rebates program will provide $80 million to help low- and moderate-income households retrofit their homes with energy-efficient equipment.
Photo courtesy of Lennox
WASHINGTON — Add California to the list of states that have officially launched a federally funded Inflation Reduction Act’s Home Energy Rebates program.
Applications are open for the first phase of the Home Electrification and Appliance Rebates program (HEAR, also called HEEHRA in California), which will provide $80 million for low- and moderate-income households to retrofit their homes with efficient electrification projects. Owners and agents of multifamily buildings may apply for rebates on heat-pump heating and cooling units.
The owners of single-family homes will be able to apply for HEEHRA rebates for new heat pumps for space heating and cooling within the next several weeks.
HEEHRA’s rollout is part of the state’s strategy to decarbonize California’s buildings by encouraging the installation and use of electric appliances; reducing greenhouse gas emissions; and making buildings more efficient, comfortable, and resilient in the face of climate change impacts.
The California Energy Commission (CEC) is distributing the first phase of funds through TECH Clean California, a statewide initiative that focuses on electrification projects. TECH’s established community partnerships, network of trained contractors, and coordination with statewide energy utilities will accelerate the uptake of home electrification in low-income communities. Multifamily building owners can start the application process by checking eligibility at the Tech Clean California HEEHRA website.
“California has led the way on saving people money while taking climate action. With the help of the Biden-Harris administration and the historic Inflation Reduction Act, Californians can now get up to thousands of dollars to make the switch to energy efficient appliances,” said Governor Gavin Newsom in a press release from the U.S. Department of Energy (DOE). “Saving money and fighting the climate crisis have never been easier.”
“Existing buildings is one of the toughest segments of the housing market to decarbonize to reduce the impacts of climate change. That’s why we are so energized to bring the federal Home Energy Rebates to Californians wanting to switch to cleaner, more efficient electric appliances and equipment,” said Commissioner Andrew McAllister, lead for energy efficiency at the California Energy Commission. “Starting this week, California is opening up applications for federally funded rebates, thanks to a close partnership with the DOE, to make low-carbon technologies like heat pumps accessible to more Americans.”
IRA programs also include the Home Efficiency Rebates (HER, called HOMES in California) program, with $291 million in funding allocated for whole-home energy efficiency retrofits for single-family homes and multifamily buildings in California. The HOMES application is currently under review by DOE, with opportunities planned for public input to guide its direction in California. Part of the HOMES funding will support a statewide “pay for performance” program through which rebates will be based on actual measured energy savings. The pay for performance program will be available to Californians of all income levels.
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