Heat Pump Water Heater (HPWH)
Incentive for Contractors
BayREN and participating Bay Area electricity suppliers are offering an incentive up to $1,000—paid directly to licensed contractors—for replacing their customers’ natural gas or propane residential water heaters with high efficiency heat pump water heaters (HPWH).
You can browse Qualified Products by clicking here.
How to Enroll
Step 1. Eligible?
Review the eligibility criteria below. If you meet those, move forward.
Step 3. Confirmation
Once your eligibility and agreement is confirmed, you will be enrolled, and a log-in link to the Incentive Processing Platform will be provided.
$1,000 per heat pump water heater installed
Paid directly to the participating contractor
Can be paired in some cases to a Home+ incentive
Must be a licensed contractor holding C-36, C-20 or General B license
Must complete the program participation agreement
The homeowner must be a current customer of one of these participating electricity suppliers:
East Bay Community Energy (May 2020)
MCE (May 2020)
Silicon Valley Power (City of Santa Clara) (May 2021)
The heat pump water heater must:
Be replacing an existing natural gas or propane water heater
Have a Uniform Energy Factor (UEF) of 3.1 or greater
Have grid-connected capabilities
Be listed on the program’s Qualified Products List
Frequently Asked Questions
What do Heat Pump Water Heaters cost?
They cost more than gas or conventional electric water heaters, but the energy savings can make up for the initial cost difference. Installation costs may include an upgrade to the electrical service panel. Planning for HPWH installations ahead of time and when financing other projects may help bring down the overall cost of the electrical work.
Is installation difficult?
Are there rebates for HPWHs?
Yes! Rebates are currently available to homeowners all across the region. Look at the list of rebates and incentive programs at the top of the page for more information.
Why should contractors install HPWHs?