A Guide to Orange & Rockland Heat Pump Rebates

When it comes to upgrading your home’s heating and cooling system, the upfront cost can often seem daunting. That’s why Orange and Rockland (O&R) Utilities offers generous rebates to help offset the cost of a new, energy-efficient heat pump, giving New York homeowners an incentive to save on energy costs while contributing to a more sustainable future. 

In addition to O&R’s rebates, you may also be eligible for federal incentives through the Inflation Reduction Act, helping you save even more. This guide covers everything you need to know about O&R’s heat pump rebates, eligibility, rebate amounts, and application process.

At a glance:

• Homeowners are eligible for thousands of rebates when they upgrade to more energy efficient heating and cooling systems
• When Orange and Rockland Customers install an air source, geothermal, air to water, and heat pump water heaters they are eligible for thousands
• Homeowners can bundle these rebates with tax incentives for additional savings. 

Who is Eligible for Orange and Rockland Utility Rebates?

The O&R rebate program is available to all O&R Utilities customers, with additional savings for qualifying low- to moderate-income households. 

Eligible Heat Pump Types

O&R offers rebates for air source and ground source (often called geothermal) heat pumps: 

- Air-Source Heat Pumps (ASHP)**: Ideal for most homes, these systems use outdoor air to heat and cool the home. These heat pumps must meet maximum heating capacity requirements. 

- **Ground-Source or Geothermal Heat Pumps (GSHP)**: These systems use the earth’s stable temperature to provide heating and cooling, offering maximum efficiency. A Ground source heat pump must meet the full heating load capacity requirements. ‍

Orange and Rockland Air-Source Heat Pump Rebates

Air source heat pumps are ideal for most homes, these systems use outdoor air to heat and cool the home and can be compatible with homes of varying size and type. They can also be used with or without existing ductwork. For air-source heat pumps, rebates are available in two categories based on whether you keep or disable your current heating system and the size of your system (which is denoted in BTU - British Thermal Unit a measure of heat):

• If you decide not to disable your current system, you receive $1,000/10,000 BTU of maximum heating capacity. For most homeowners that will be an average rebate of $4000.
• If you decide to disable your current system, you receive $1,400/10,000 BTU of maximum heating capacity. For most homeowners that will be an average rebate of $6000.

Orange and Rockland Ground-Source Heat Pump Rebates

O&R’s rebate for ground-source heat pumps is even more substantial, making it easier to invest in this highly efficient option:

• If you decide to disable your current system, you receive $2,000/10,000 BTU of maximum heating capacity. For most homeowners that will be an average rebate of $8,500.

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Orange & Rockland Heat Pump Hot Water Heater Rebates 

Heat pump hot water heaters which also provide more energy efficient water heating (versus more traditional counterparts) also receive a $1,000 rebate when installed. ‍

Important Requirements and Deadlines

- Timing Requirements: For both air-source and ground-source heat pumps, installations must be completed by December 31, 2024

- Equipment Requirements: Eligible heat pumps must be designed for both heating and cooling. Cooling-only systems do not qualify. For a list of eligible equipment, refer to the NYSERDA guidelines.

- Income Requirements: While there are no income restrictions to access rebates, income-qualified households can unlock larger rebate amounts.‍

How to Apply for Your Rebate

Tetra is an approved O&R contractor, simplifying the rebate application process for you. Here’s how it works:

1. Contact our team to schedule a consultation, where we’ll assess your home’s needs and provide a guaranteed quote.

2. We’ll help you choose the best system options, ensuring you get the highest rebates available.

3. The rebate amount will be directly deducted from your final invoice, so you can enjoy instant savings. 

Additional Incentives for Your Heat Pump Through the Inflation Reduction Act (IRA)

Thanks to the Inflation Reduction Act, you may qualify for even more financial support:

- **Income less than 80% of your area’s median**: Up to 100% of your new heat pump can be covered, up to $8,000.

- **Income between 81% and 150% of the median**: Up to 50% of heat pump expenses are covered.

- **Income above 150% of the median**: You’re eligible for a 30% tax credit of up to $2,000.

Low-income households may also qualify for the EmPower+ program, which provides funding for energy system upgrades up to $10,000.

How to take advantage of the rebates from Orange and Rockland

Upgrading to a heat pump is a great way to increase your home’s efficiency and reduce energy costs. With the rebates from Orange and Rockland Utilities, plus federal incentives, you can make this investment more affordable. Our team at Tetra is here to help you navigate the process, ensuring you get the best rebates and incentives available. 

Get started today by booking a consultation with one of our team members and start saving on your home’s energy costs!