Heat Pump Rebates for Your Home
If you are looking for a convenient way to heat and cool your home, consider a heat pump. Heat pumps can efficiently heat your home in the winter and cool it in the summer—while lowering your household’s carbon emissions.
CMLP and the Sponsors of Mass Save® are making the purchase and installation of energy-efficient heat pumps affordable for Concord residents. Your primary heating fuel determines which agency provides you with heat pump rebates.
Oil, Electric and Propane Heating ↓ See below to learn more and apply. |
Whole-Home Rebate: CMLP offers enhanced rebates to customers who install heat pumps for whole-home heating and cooling in existing homes. Customers must submit a completed and signed Whole Home Heat Pump Verification Form as part of their rebate claim.
Partial Home/Supplemental Rebate: CMLP offers rebates based on equipment size (tons of cooling capacity) to customers who install air source heat pumps to supplement an existing heating system or in just a small section of their existing home. To quality for rebates on supplemental (or partial-home) heat pumps, integrated controls must be installed in homes with oil or propane back-up.
Outbuilding Rebate: CMLP offers rebates based on equipment size (tons of cooling capacity) to customers who install air-source heat pumps in an outbuilding on their property.
For whole-home, partial home and outbuilding rebates, please refer to the eligibility sections below for further requirements, including pre-installation pre-approval and post-installation quality assurance requirements.
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Pre-Existing Primary Fuel Type Equipment Type Rebate Type Rebate Amount Special Requirements Equipment Eligibility Criteria Oil, Propane, Electric Resistance, Heat Pumps, or ETS Ground Source
Heat Pumps (GSHPs)Partial Home $2,000 per ton* up to $15,000 per home Must be on both ENERGY STAR and AHRI-Certified Lists Whole Home $15,000 per home See Note below** Air Source
Heat Pumps (ASHPs)Partial Home $1,250 per ton* up to $10,000 per home Integrated controls required if supplemental heating system uses oil or propane. Refer to Mass Save Integrated Controls Product List at MassSave.com/ICPQL Mass Save Heat Pump Qualified Product List at MassSave.com/HPQPL Whole Home $10,000 per home See Note below** Outbuilding $1,250 per ton* up to $2,500 per outbuilding Oil, Propane, Heat Pumps, or ETS Air to Water
Heat Pumps (AWHPs)Whole Home $10,000 per home See Note below** * Tons are calculated based on AHRI cooling capacity divided by 12,000 BTUs.
**Heat pumps must be capable of being the sole source of heating for the residence. Whole-home heat pump verification form must be signed and submitted with rebate application.
Rebate Caps:
Rebate not to exceed project cost.
A customer is eligible for the following maximum rebate per service address per calendar year for equipment installed in that calendar year. A service address is the physical address at which electricity is provided.
- $10,000 in air source heat pump or air-to-water heat pump rebates or
- $15,000 in ground source heat pump rebates or
- $15,000 in rebates if a combination of air source and ground source heat pumps are installed
If a property is sold, the new account holder’s cap resets at $10,000 (ASHP or AWHP) or $15,000 (GSHP) per service address per calendar year, regardless of rebates awarded to previous account holders.
Rebate cannot be combined with a National Grid/Mass Save rebate for the same equipment.
Rebate Eligibility for Multiple Buildings per Service Address:
A customer can receive more than one whole home or partial home heat pump rebate if they have more than one non-gas heated house at a service address. Residential buildings eligible for whole home heat pump rebates must be listed as Building 1 or Building 2, etc. in the property record in the Town of Concord’s online assessment database, and must show heat fuel = oil, propane or electricity. The annual rebate caps per service address apply.
If Building 1 or Building 2 at the same service address has more than one living unit within it, each building is eligible for just one whole home rebate or multiple partial home rebates up to $10,000 ASHP/$15,000 GSHP per calendar year for the same service address. (See next section for policies governing condominium complexes and rental apartment buildings.)
The customer is not eligible for a whole home rebate for a heat pump installed in an outbuilding on their property, even if the heat pump is the sole source of heating in the outbuilding. An outbuilding is shown in the Outbuilding section of a property record in the Town of Concord’s online assessment database. Outbuildings are eligible for a rebate of $1,250 per ton up to $2,500 per building. Integrated controls are not required in outbuildings.
Rebate Eligibility for Condominium Complexes and Rental Apartment Buildings:
Regardless of the number of condominium units in a complex, whole home or partial home heat pump rebates are available to each condominium owner for a heat pump solely serving his/her living unit, if the living unit has its own service address. The annual rebate cap per service address and other rebate policies apply. Note: As of January 1, 2023, a new policy will apply to projects serving individual condominium units in 5+ unit complexes for which project planning had not already begun before January 1, 2023. Project planning had begun if the condo owner requested heating/cooling coaching services or if the condo owner's installer had received an air-source heat pump or ground-source heat pump project pre-approval from Abode Energy Management before January 1, 2023. If project planning had not begun by January 1, 2023, the following policy will apply: Equipment installed in individual units in residential 5+ unit complexes, including 1-4 unit buildings that are part of larger complexes, are not eligible for whole-home rebates but are eligible for the partial-home rebate amounts of $1,250/ton for air-source heat pumps and $2,000/ton for ground-source heat pumps. The annual cap per service address and other rebate policies apply.
Condominium associations with common area electric accounts and central heating plants serving multiple living units will be eligible for heat pump rebates under a new commercial rebate program, which will offer $2,500 - $4,500 per ton of cooling capacity, depending on heat pump type, up to $50,000 per customer every three years. Condo association common area buildings such as clubhouses, fitness centers, management offices, etc., will be eligible for heat pump rebates for those common buildings under the new commercial rebate program. In some cases, these common area buildings are classified as residential accounts in CMLP’s billing system. However, if a building owned by a condo association if a building owned by a condo association is fully or partially used for non-residential purposes, the building is eligible for a rebate under the commercial program rather than the residential program. CMLP reserves the right to determine whether an association-owned building is eligible for a residential or commercial heat pump rebate.
Customers that own rental apartment buildings will be eligible for heat pump rebates under a new commercial rebate program, which offers $2,500 - $4,500 per ton of cooling capacity, depending on heat pump type, up to $50,000 per customer every three years. The commercial rebate program and the 3-year cap apply regardless of whether each rental unit in the building has its own heating/cooling system or whether a central heating plant serves multiple living units. More details coming soon.
A "customer" is defined by a unique customer number in CMLP's billing system. In most cases, a customer with multiple accounts will have the same customer number assigned to them. However, if a business or property owner or manager has multiple customer numbers in CMLP's billing system, CMLP can, at its sole discretion, define them as a single customer.
Rebate Eligibility for New Construction
See the next section: "Eligibility Criteria for All Heat Pump Projects," for information on rebate eligibility for new construction.
Rebate Eligibility for Ground Source Heat Pumps that Share a Geothermal Well
A ground source heat pump sharing a geothermal well with another ground source heat pump serving a different building is not eligible for a rebate from CMLP.
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Applicable Building Stock
CMLP’s heat pump rebates are available for heat pumps installed in existing buildings, and/or newly constructed additions to existing buildings. They are not applicable to heat pumps installed in newly constructed homes or newly constructed outbuildings.
Equipment must be used to supplement or replace oil, propane, electric baseboard (resistance) or pre-existing heat pumps as the primary heating system. Households whose primary heating fuel is natural gas are not eligible for CMLP’s heat pump rebates, but may apply for similar rebates through Mass Save.
Home Energy Assessment Requirement
If a home was built before 2008, a no-cost home energy assessment within the last three years or scheduled within six months after project completion is required. Outbuildings listed in the “Outbuildings” section of the property record in the Town of Concord’s online assessment database are exempt from the home energy assessment requirement.
Completed Home Energy Assessment: If you believe you had an assessment in the last three years through CMLP, but do not know the date, contact Energy New England, CMLP’s assessment provider, at 1-888-772-4242 or solutions@ene.org for assistance.
Scheduling a No-Cost Home Energy Assessment: Visit our Home Energy Assessments webpage for instructions on scheduling an assessment.
CMLP strongly recommends that priority weatherization recommendations from the home energy assessment be implemented before, or in coordination with, the installation of the heat pump. A tight, well-insulated home optimizes heat pump performance, and may allow for a smaller heat pump to be installed, saving you money upfront and on your monthly utility bills. CMLP’s weatherization rebates help you increase your home’s efficiency and prepare for a new heating system.
Project Pre-Approval and Quality Assurance Requirements
Pre-Approval: To ensure optimal performance, comfort, and cost savings, heat pump projects must receive sizing and design pre-approval by Abode Energy Management before installation begins, and pass a quality assurance check by Abode after installation is complete, in order to qualify for a rebate. Click for sizing and design pre-approval forms for air-source or ground source heat pump projects. Installers must submit the pre-approval form to Abode prior to installation.
Quality Assurance: Abode will review the proposal and provide pre-approval or feedback. Installers must submit a post-installation quality assurance form to Abode once installation is complete. Click for quality assurance forms for air-source or ground-source heat pump projects. The quality assurance check may include an on-site inspection, if necessary.
Town Building Department Permit and Inspection Requirements
The project electrician must apply for a Town electrical permit before work begins and schedule an electrical inspection after the work is done. CMLP will not award rebates until projects have passed an electrical inspection by Concord's Building Department.
If the project requires sheet metal ducting work that goes beyond minor repairs, a sheet metal permit must be obtained for the project. Examples of projects that require a sheet metal permit include installation of new ducting or replacement, significant repairs or changes to existing ducting. The Town of Concord's inspector must have inspected and approved the sheet metal work.
CMLP will verify that the project has passed the necessary inspections. Find out more details about permits and inspections in the Quality Assurance section on this page. The Building Department's contact information and hours are here.
Do-It-Yourself Heat Pump Installations
Do-it-yourself (DIY) heat pump installations are eligible for rebates under the following conditions:
-- A licensed electrician obtains an electrical permit and does the wiring. The installation must pass a Concord Building Department electrical inspection.
-- If the project involves sheet metal work beyond minor repairs, a tradesperson qualified to obtain a sheet metal permit must do so. The sheet metal work must pass a Concord Building Department inspection.
-- When applicable, refrigerant lines must be charged, sealed, and tested by a licensed professional to adhere to EPA regulations (some self-install systems are pre-charged and pre-sealed). If an existing HVAC system is being decommissioned, existing refrigerant must be properly recaptured.
-- The rebate cannot exceed the cost of the project, which is documented by invoices and/or receipts. Therefore DIY labor does not count towards the cost of the project.
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In addition to the requirements for all heat pump projects, the following are requirements for CMLP's whole home heat pump rebate:
- Heat pumps must be new and sized to be capable of being the sole source of heating in the home (i.e. sized to meet 90 - 120% of the total heating load at the outdoor design temperature, per ACCA Manual J Design Conditions, throughout 100% of the conditioned space. Conditioned space is defined as the space designated as living area in the Assessor’s database.). Homes may maintain back up heat from a wood or pellet stove or supplemental heat from existing electric resistance heating, ETS or heat pumps.
- Project must either include the removal or disconnection of the pre-existing heating system, or the homeowner must not use the pre-existing heating system unless there is an emergency or unless the pre-existing heating system is the source of hot water for domestic uses. An emergency is defined as heat pump maintenance down-time or if the heat pump is not able to heat the home during an extreme weather event.
- A customer and their installer must sign the whole home heat pump verification form and submit it with the heat pump rebate application.
- Because the heat pump system for which the rebate is being sought must be sized to be capable of being the sole source of heat in the home:
- a customer installing more heat pumps to supplement existing heat pumps is eligible for a partial home heat pump rebate, not a whole home heat pump rebate, if the new heat pumps are sized to meet less than 90% of the heating load.
- a heat pump sized for whole home AC but inadequate for whole home heating is eligible for a partial home heat pump rebate but not for a whole home heat pump rebate.
- A customer installing new a new heat pump system to replace existing heat pumps is eligible for a whole home hat pump rebate if the new heat pump system is sized to be capable of being the sole source of heating in the home, as defined above.
- A heat pump installed in an outbuilding on a customer’s property is not eligible for a whole home heat pump rebate, even if the heat pump is the sole source of heating in the outbuilding. An outbuilding is shown in the Outbuilding section of a property record in the Town of Concord’s online assessment database. Outbuildings are eligible for a rebate of $1,250/ton of cooling capacity up to $2,500 per outbuilding.
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In addition to the requirements for all heat pump projects:
-- new heat pumps sized to meet less than 90% of the total home heating load at the outdoor design temperature, per ACCA Manual J Design Conditions, are eligible for partial home heat pump rebates if they are supplementing or replacing oil, propane, electric resistance, ETS or existing heat pumps, or if they are replacing natural gas as a secondary source of heating.
- integrated controls must be installed in homes with oil or propane backup to qualify for rebates on partial-home air-source or air-to-water heat pumps. Integrated controls are not required if the backup heating system is heat pumps, electric resistance or ETS. Integrated controls are not required for partial-home ground-source heat pumps.
- integrated controls must be set at or below these maximum switchover temperatures:
Pre-Existing Heating Fuel Maximum Switch-Over Temperature Maximum Switch-Over Temperature after Jan. 1, 2023 Propane ≤15°F ≤5°F Oil ≤30°F ≤30°F - A heat pump sized for whole home AC, but inadequate for whole home heating is eligible for a partial-home heat pump rebate. Integrated controls are required for air-source or air-to-water heat pumps, and installers must design the system to be able to meet the home's heating needs at the defined maximum switch-over temperature above, so that the new heat pump system is heating-ready.
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Preliminary Step 1: To be eligible for a rebate, heat pump projects require sizing and design pre-approval by Abode Energy Management before installation begins and a quality assurance (QA) check by Abode after installation is complete. Once the project has received its pre-approval and quality assurance approval, Abode will submit the pre-approval and QA documentation to CMLP on your behalf.
- Click for the air-source or ground-source heat pump pre-approval form to be submitted by the installer to Abode prior to installation. Abode will review the proposal and provide pre-approval or feedback.
- Click for the air-source or ground-source heat pump post-installation quality assurance form to be submitted by the installer to Abode. The quality assurance check may include an on-site inspection, if necessary.
Preliminary Step 2: CMLP’s rebate application requires you to attest that the heat pump installation has passed a Town of Concord Building Department electrical inspection and, if applicable, a sheet meal inspection. Ensure that the following steps have been taken before you apply for a heat pump rebate.
- The project electrician must apply for a Town electrical permit before work begins, and schedule an electrical inspection after the work is done.
- If the project requires sheet metal ducting work that goes beyond minor repairs, a sheet metal permit must be obtained for the project. Examples of projects that require a sheet metal permit include installation of new ducting or replacement, significant repairs or changes to existing ducting. The Town of Concord's inspector must have inspected and approved the sheet metal work.
Payment of rebates is contingent upon verification by CMLP that Town records show the appropriate inspection approvals for the project.. Find out more about permits and inspections in the Quality Assurance section on this page. The Building Department's contact information and hours are here.
Rebate Application Step: Access the rebate application at the button below, and complete it with assistance from your installer or CMLP Energy Specialist Pamela Cady (pcady@concordma.gov or 978-318-3149). If you are working with a heating/cooling coach, they may be able to help you as well. Upload the following documents with the rebate application.
- invoice from a heat pump installer showing:
- installation address
- installer company name
- outdoor and indoor equipment model numbers
- integrated control model numbers, if applicable.
- Whole-home heat pump verification form signed by you and your installer, if the heat pump system is sized to be the sole source of heating in the residence.
The rebate application must be received by CMLP within 90 days of the heat pump installation date. The installation date is the date that the installation was completed, inclusive of any additional work needed in order for the project to pass Abode Energy Management's quality assurance check.
The Town of Concord assumes no liability for any equipment, installation or damages.
The Town may inspect equipment to verify the above information up to 1 year after receiving the rebate application.
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All projects must go through a post-installation quality assurance process overseen by Abode Energy Management to qualify for a rebate. Once the installation is complete, your installer must submit Abode's Quality Assurance (QA) Form, found at the following links for air-source or ground-source heat pumps. The form requires photos of all exterior and interior units, outlines installation best practices and requests that the installer confirm that best practices were followed. Abode Energy Management will review the completed form, follow up with the installer regarding any deficiencies, conduct an on-site inspection if necessary, and notify CMLP when the quality assurance process is complete.
Town of Concord Building Department Permits and Inspections
In addition, the project's electrician must obtain a Town electrical permit and schedule an electrical inspection. CMLP will not award rebates until projects have passed electrical inspection by Concord's Building Department. If sheet metal duct work beyond minor repairs is also part of your installation, your installer must also obtain a sheet metal permit. Contact information and hours for the Building Department are here.
Getting an Electrical Permit
The permit should be obtained before work begins. Concord has online permitting, so the electrician does not have to go into the Building Department office in person to obtain a permit. The electrician can upload their liability insurance certificate and license and can pay online.
Getting an Electrical Inspection
Electrical inspections are done weekday mornings and can usually be completed within 2-3 days of the request. The homeowner cannot schedule the inspection. The electrician schedules it by calling the Building Dept. at (978) 318-3280 with the permit number and the desired inspection date and time. An adult (who does not need to be the electrician – a homeowner, family member, or builder is fine) needs to be there to let the inspector into the house. The inspector knows what to look for once he is in the house and can phone the electrician if there is a question about the project while he’s on site.
The electrical inspector notifies CMLP of all approved electrical inspections on the next business day.
Sheet Metal Permits and Inspections
Sheet metal permits and inspections are required whenever duct work beyond minor repairs are part of an ASHP installation, such as installing new ducts or re-routing existing ducts. The process for getting permits and inspections follows the same process as electrical inspections, outlined above, except that homeowners may call the Building Dept. to schedule sheet metal inspections at (978) 318-3280.
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Rebates will not be issued until projects have passed the Concord Building Department's electrical inspection. If sheet metal duct work beyond minor repairs was also part of the project, it must also have passed a sheet metal inspection. Find out more details about permits and inspections in the Quality Assurance section on this page. Contact information and hours for the Building Department are here.
All rebates under $600 are issued as a credit on your electric bill.
Any customer in good standing may choose to receive a rebate of $600 or more as either a bill credit or a check from the Town. Indicate your preference on your rebate application. If a customer requesting a check has been in arrears frequently in the past two years, CMLP may apply all or part of the rebate as a bill credit rather than as a check.
A rebate check will arrive 4 to 6 weeks after rebate approval.
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CMLP offers the R-7 “Electric Resistance & Heat Pump Heating Systems/DHW” rate for heat pump users. This special winter rate is designed to prevent an unintended spike in electricity charges for electric heating customers as a result of CMLP’s tiered rate structure. This rate may benefit you if you already use more than 657 kilowatt-hours in some winter months, or if you expect to do so once your heat pump is installed.
However, in order to take advantage of this rate, you must request that a separate meter be installed by CMLP. This meter will record the electric usage of your heat pump. Electricity use recorded on this meter from October 1st through April 30th will be billed exclusively at the lowest (tier 1) rate of at $0.22031 per kWh. From May 1st through September 30th, the use through this meter will be billed under the regular R-1 Rate, which ranges from the tier 1 rate of $0.22031 to the tier 3 rate of $0.24921 per kWh, depending on how much electricity your household has used that month.
CMLP will supply and install the separate meter at no cost to you. However, you will need to pay an electrician to install a meter socket for the new meter. An additional electrical panel is typically needed as well. Costs for a meter socket/electrical panel can range from $1,000 to $4,000. The time it will take you to recoup the cost of the new meter socket/panel through electricity cost savings depends on several factors:
- the socket/panel installation cost;
- the extent to which your electric usage exceeds 657 kWh per month once your heat pump is installed and
- how long the tiered rate structure and the Electric Resistance & Heat Pump Heating Systems/DHW rate remain in effect. CMLP plans to upgrade all meters beginning in 2023. The CMLP Light Board intends to replace tiered rates with a time of use rate structure once these meters are installed. At that point, the Electric Resistance & Heat Pump Heating Systems / DHW rate may be discontinued. In that case, it is unlikely that you would recoup your investment in a new meter socket and electrical panel through electricity cost savings.
Please note also that customers who have a solar array usually expect that solar electricity will lower the portion of their electric bill attributable to the electricity needed to power their heat pump during the winter. However, if a heat pump is separately metered so that a customer can receive the Electric Resistance & Heat Pump Heating Systems/DHW rate for winter usage, CMLP is unable to offset the winter usage measured by the separate meter with solar electricity generated by the array. Therefore, having a solar array will not lower a customer’s winter bill for heat pump electricity usage if the Resistance & Heat Pump Heating Systems/DHW rate is in effect. However, during the summer, when the Resistance & Heat Pump Heating Systems/DHW rate does not apply, solar electricity will offset the portion of an electricity bill due to a heat pump being used for air conditioning, even if the heat pump is separately metered.
In addition, heat pump customers with solar would need to locate the second meter on the line (street) side of the existing house meter in order for the solar electricity powering the heat pump to be accounted for properly. This can require longer wire runs that increase the cost of the meter socket installation.
Please consider these factors when deciding whether to invest in a separate meter/electric panel. If you have further questions about the Electric Resistance & Heat Pump Heating Systems/DHW rate, please contact Laura Scott, Power Supply and Rates Administrator, at (978) 318-3102 or LScott@concordma.gov.
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Home improvements can be financed by leveraging the equity in your home. There are different ways of doing this. The Federal Trade Commission describes the pros and cons of loans and lines of credit in this article. It also explains how to watch for disreputable service.
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Contact Pamela Cady, CMLP’s Energy Specialist, at pcady@concordma.gov or 978-318-3149.
The heat pump project electrician must apply for a Town electrical permit and schedule an inspection. CMLP will not award rebates until projects have passed electrical inspection by Concord's Building Department. If sheet metal duct work beyond minor repairs is also part of your installation, your installer must also obtain a sheet metal permit and the sheet metal work must pass a Building Department inspection. Contact information and hours for the Building Department are here.