New York Is the First State to Employ New Home Energy Rebate Program

There’s exciting news ahead for homeowners who are looking to save money on their electric bills. New York is officially the first US state to implement the new Home Energy Rebates program, part of President Biden’s Inflation Reduction Act.

New York residents will be the first of many soon-to-join states to receive up to $14,000 to make energy-saving improvements to their homes.

Ready to get rid of that high electric bill? Now you can do so at potentially no cost. Learn more about the program ahead.

About the Home Energy Rebates Program

The goal of the program is to help low- and mid-income families save money on electricity by providing home upgrades that will make residences more efficient.

So, what kinds of energy-saving renovations qualify for Home Energy Rebates? This covers upgrades like heat pumps and heat pump water heaters, insulation, air sealing, ventilation, and even electrical updates.

The incentives of the program are twofold: to give you a cheaper way to make your home more energy-efficient and to help you lower your costs on energy in the long term. Not only could you receive full coverage on the total cost of these upgrades, they’ll also help your home save more energy, lowering your bills in the long run.

New York offers a specific amount of money for each home improvement project. For example, up to $2,500 is offered for an electrical upgrade, while heat pumps have a rebate of up to $8,000. Ahead, New York hopes to add up to $8,000 in incentives for eligible households who can reduce their overall energy usage by at least 20%.

So, depending on the funding your state receives, you could have help making these home upgrades that will later net you even more money…on top of what you’ve already saved.

Is This Program a Good Fit for You?

We’re all excited about the potential of saving money on clean energy. But should you start remodeling your home for a rebate right away? The answer is that it depends.

To help you prepare for the rebates, the program recommends getting a free or discounted official energy assessment. This will help you (and the state) figure out how much energy you’re losing in your home and where the improvements could be made.

You also should check your eligibility for the program by using the free income calculator on the EmPower+ NY website.

Right now, though, the rebate program can’t be offered retroactively. If you want the full cost of your home improvement project to be covered by the state, you’ll need to apply for funding through your state specifically. 

The exact projects that are covered by the Home Energy Rebates could vary slightly by state. It will also depend on how your home specifically is eligible for improvements. Currently, 17 states are in the application process, and more rebates are expected to roll out by September.

How the Rebates Work Now

Wondering how the rebates will work? In New York, needed renovations will be determined and completed by NYSERDA. You’ll receive a free home inspection to confirm what improvements you might be eligible for—and as soon as you’re approved, the project will be completed and inspected. 

Possible upgrades, eligibility, and total funding can vary by state. To check where your state is in the application process, you can visit the online state program tracker.

To learn more about how you can start saving money on energy right away, you can also visit energy.gov for tips, guidelines, and more information on the Home Energy Rebates.