ODOE's program offers up to $7,000 for heat pump installations and up to $4,000 for
related upgrades.
ODOE's program funding has been completely reserved, and the agency is no longer
accepting applications.
We will not know about the potential for additional state funds for the program until the
next legislative session, which begins in January 2025. We anticipate re-opening the program
in 2025 when federal funding becomes available. Please sign up to receive future
email updates
about the program.
How Do I Receive a Rebate?
Rebates are paid to the
ODOE approved contractor
(PDF Version)
who installs the heat pump, so please start by reaching out to an approved contractor to
talk about your project. The total rebate amount paid to the contractor will be passed on as
savings to you, the customer. You will not need to pay the amount in advance and wait for a
rebate check; the savings will be taken off the total cost of the invoice after the
installation.
How much will I receive?
Available incentives vary depending on the efficiency of the heat pump installed and the
income level of the tenant. Low to moderate income households (LMI) are eligible for higher
incentives.
Purchase and Installation of Heat Pump Maximum Rebate Levels
| Income (LMI) |
Residential
tenancy
(incentive
cannot exceed
60% of
cost to
purchase and
install heat pump)
|
Manufactured
dwelling or
recreational vehicle
(incentive
cannot
exceed 80% of
cost to purchase
and install heat
pump)
|
|---|
| Standard efficiency | Higher efficiency | Standard efficiency | Higher efficiency |
| Not LMI | $2,000 | $3,000 | $2,000 | $4,000 |
| LMI | $4,000 | $5,000 | $5,000 | $7,000 |
Additional incentives are available for upgrades that facilitate the installation of the
heat pump.
Maximum Incentive Level (incentive cannot exceed 100%
of the cost of the
upgrade)
| Amount |
|---|
| Not LMI | $2,000 |
| LMI | $4,000 |
Contractors will also be able to help identify other potential savings, such as a federal
tax credit or an Energy Trust of Oregon incentive. The rebates for this program are eligible
to be stacked with other incentives offered by ODOE or another organization. Other
anticipated funding known at the time of installation and rebate request review will
influence the final incentive amount to ensure payment from ODOE does not exceed 100% of the
total cost of installation.
How Do I Receive the Low- or moderate-Income Rebate?
The program is designed to expand access to heating and cooling for Oregonians with lower
incomes. If your tenant's household is considered low or moderate-income, you could receive
a rebate worth up to 60 or 80 percent of the cost of your heat pump installation, depending
on the efficiency of the unit. There are multiple pathways to confirm eligibility (please
work with your contractor, and contact us if you have questions):
-
The tenant is determined eligible for certain Oregon Housing and Community Services
programs.
Form for option 1
|
En Español
-
The tenant is determined eligible for certain Oregon Department of Human Services or
Oregon Health Authority programs.
Form for option 2
|
En Español
-
The tenant can prove qualifying household income. The household must provide an Oregon
Department of Revenue tax transcript for each tax filer residing at the household
physical address.
Form for option 3
|
En Español
-
The owner provides the Department proof they are participating in the Housing Choice
Voucher Program (Section 8) at the dwelling the heat pump shall be installed.
What Else Should I Know?
Heat pumps must be installed in a residential tenancy or manufactured home/RV in a rented
space in Oregon by an ODOE-approved contractor. Rebates are issued to approved contractors,
who pass the savings on to customers. The contractor must submit a reservation application
and receive approval before starting installation of a heat pump to be
eligible for a rebate.
The systems must follow federal efficiency minimums and regulations, as
well as other technical and programmatic requirements. You can review Oregon Rental Home
Heat Pump Program
Oregon Secretary of State Administrative Rules
online.