Updated 2026

Bay Area HVAC Rebates & Incentives

Bay Area utility providers and state programs offer rebates that can significantly reduce your HVAC installation cost — and our $3,000 seasonal discount stacks on top.

Many programs can be stacked — your total savings may exceed any single program's limit

$6,500

BAAQMD rebate for replacing a wood stove with a heat pump

$8,000

Max HEEHRA rebate for income-qualified households (heat pump)

6

Active rebate programs — many can be stacked

Income-Qualified

HEEHRA – California Home Electrification Rebates

Up to $8,000

Limited funding cycles — check availability

The High-Efficiency Electric Home Rebate Act (HEEHRA) program, administered by the California Energy Commission, provides point-of-sale rebates for income-qualified households. Low-income households (under 80% of Area Median Income) can receive up to $8,000 toward a heat pump HVAC system. Moderate-income households (80–150% AMI) can receive up to $4,000. Funding is released in limited cycles — reservation windows open and close periodically, and some regions are currently waitlisted. Check the California Energy Commission site for current status before planning your installation.

Qualifying Systems

  • Heat pump HVAC replacing gas heating
  • Heat pump water heaters
  • Electric panel upgrades for HVAC
  • Insulation and weatherization

Eligibility

Households at or below 150% of Area Median Income (AMI)

Verify current amounts before installation Official Program Site
Regional

BAAQMD Wood Stove Replacement Program

Up to $6,500

Apply before July 14, 2026

The Bay Area Air Quality Management District (BAAQMD) offers up to $6,500 to replace a wood-burning stove or fireplace insert with a clean electric heat pump, or up to $1,000 to remove a wood-burning heater without replacing it. Preference is given to homes in West Oakland, East Oakland, Richmond-San Pablo, and Bayview Hunters Point/Southeast San Francisco, and to disadvantaged and low-income communities. Applications are accepted until funding runs out — apply before the July 14, 2026 deadline. This program stacks with utility rebates and our seasonal discount.

Qualifying Systems

  • Electric heat pump HVAC (replacing wood stove/fireplace insert)
  • Ductless heat pump mini splits
  • Removal only (up to $1,000 without replacement)

Eligibility

Bay Area homeowners; preference for disadvantaged communities in West Oakland, East Oakland, Richmond-San Pablo, and Bayview/SE San Francisco

Verify current amounts before installation Official Program Site
Utility

MCE Heat Pump HVAC Rebate

Up to $400/ton

Ongoing — check MCE website for current amounts

MCE (Marin Clean Energy) serves customers in Marin County and parts of Contra Costa County and offers up to $400 per ton of system capacity for heat pump HVAC installation. Each ton covers approximately 500 sq ft of living space — so a 3-ton system for a 1,500 sq ft home could qualify for up to $1,200. You must work with a participating MCE contractor to claim the rebate. Check MCE's website to confirm current amounts and find a participating contractor.

Qualifying Systems

  • Heat pump HVAC (central)
  • Heat pump air conditioner/heater combos

Eligibility

MCE electric service customers in Marin County and parts of Contra Costa County

Verify current amounts before installation Official Program Site
Utility

Peninsula Clean Energy (PCE)

Up to $1,500

Ongoing — check PCE website for current amounts

Peninsula Clean Energy serves San Mateo County and offers electrification rebates to its customers. Typical incentives include approximately $1,500 for a heat pump HVAC system, $1,000 for an electrical panel upgrade needed for the conversion, and $2,500 for a heat pump water heater. Additional bonuses are available for income-qualified customers. Programs stack with our $3,000 seasonal discount.

Qualifying Systems

  • Heat pump HVAC (central)
  • Heat pump water heater
  • Electric panel upgrade
  • Ductless mini splits

Eligibility

PCE electric service customers in San Mateo County

Verify current amounts before installation Official Program Site
Utility

Silicon Valley Clean Energy (SVCE)

Up to $2,500

Ongoing — check SVCE website for current program status

SVCE's FutureFit Homes and electrification programs serve Santa Clara County communities (Campbell, Cupertino, Gilroy, Los Altos, Los Gatos, Milpitas, Monte Sereno, Mountain View, Saratoga, Sunnyvale, and unincorporated Santa Clara County). Typical rebates include approximately $2,500 for a heat pump HVAC system and $500–$2,000 for a heat pump water heater. Additional incentives apply for income-qualified households.

Qualifying Systems

  • Heat pump HVAC (central)
  • Heat pump water heater
  • Ductless mini splits

Eligibility

SVCE electric service customers in Santa Clara County

Verify current amounts before installation Official Program Site
Utility

EBCE / Ava Community Energy (Alameda County)

Varies by project

Ongoing — amounts vary by project

East Bay Community Energy (now Ava Community Energy) serves Alameda County including Alameda, Albany, Berkeley, Dublin, Emeryville, Fremont, Hayward, Livermore, Newark, Oakland, Piedmont, Pleasanton, San Leandro, Union City, and unincorporated Alameda County. Rebate amounts vary and cover a broad range of electrification projects including heat pump HVAC, heat pump water heaters, panel upgrades, and induction appliances. Check the Ava/EBCE website for current rebate amounts.

Qualifying Systems

  • Heat pump HVAC
  • Heat pump water heater
  • Electric panel upgrades
  • Induction appliances

Eligibility

EBCE / Ava electric service customers in Alameda County

Verify current amounts before installation Official Program Site

Stacking Example: South Bay Heat Pump + Wood Stove Removal

A homeowner in San Jose (Santa Clara County, SVCE customer) who removes a wood-burning fireplace insert and installs a 3-ton Carrier heat pump could qualify for:

BAAQMD Wood Stove Replacement Program Up to $6,500
SVCE Heat Pump Rebate Up to $2,500
Our Seasonal Discount + $3,000
Total potential savings Up to $12,000

Income-qualified households may additionally stack HEEHRA rebates (up to $8,000) on top. BAAQMD applications must be submitted before July 14, 2026. Rebate amounts vary and are subject to program funding availability. We help identify all programs you qualify for before installation.

Find Every Rebate You Qualify For

The Switch Is On's rebate finder tool shows all California incentives based on your zip code, household size, and income — including programs not listed above.

Open Rebate Finder

Ready to see your rebate-adjusted price?

Use our estimator, then call us to confirm which rebate programs your installation qualifies for.

5-Star Reviews

What Our Customers Say

5.0 average from 1,300+ reviews

Had a Carrier Infinity heat pump installed to replace our old gas furnace and AC. The crew was professional, finished in one day, and the system is incredibly quiet. Our PG&E bill dropped by about 40% the first month. Best HVAC contractor we've ever worked with.

Michael T.

Walnut Creek, CA

Heat Pump Installation

We got a Lennox furnace and AC combo for our 2,400 sq ft home. The online estimator gave us an accurate quote and there were zero surprises on install day. They pulled permits, handled everything with the city, and even helped us understand the HEEHRA rebate process.

Sarah L.

San Ramon, CA

Furnace & AC Installation

Replaced a 22-year-old Trane system with a new Daikin dual fuel setup. The heat pump handles 90% of our heating now and the gas furnace kicks in on the coldest mornings. Installation team was on time, clean, and thorough with the electrical and lineset work.

David & Karen W.

Dublin, CA

Dual Fuel Installation

Installed a Mitsubishi ductless mini split in our converted garage and master bedroom — two zones, one outdoor unit. No ductwork needed and each room has its own temperature control. Whisper quiet and our energy bills actually went down.

Jennifer M.

Pleasanton, CA

Ductless Mini Split Installation

Our old AC died during a 105° heat wave. They had a new American Standard 16 SEER2 system installed the next day. Fast response, fair pricing, and the new unit cools our 1,800 sq ft home evenly. Highly recommend for AC installation in the East Bay.

Robert H.

Concord, CA

AC Installation

Got a Bosch heat pump for our 3,000 sq ft home. The German engineering really shows — it's the quietest system I've ever had. They also installed new ductwork in the attic and a UV air scrubber. Everything was included in the quote, no hidden fees.

Lisa P.

Danville, CA

Heat Pump Installation