Rebate amounts and requirements

How much you can get for each appliance and what your equipment must meet to qualify.

Ready to apply? Start with Apply for a rebate for the step-by-step process.

For full program details, refer to the rebate program guide (PDF).

Heat pump for space heating and cooling

For replacing a gas, propane, oil, or wood stove heater or furnace with an electric heat pump system.

Income-qualified only. Starting June 1, 2026, this rebate is only available to households that qualify as moderate-income or low-income. Review income-qualified rebates.

Rebate project Standard Moderate-income Low-income
Ducted system or ductless system with 3 or more indoor units Not eligible $1,500 $3,000
Ductless system with 1–2 indoor units Not eligible $750 $1,500

Equipment requirements

  • Must completely replace an existing gas, propane, oil, or wood stove heater or furnace — the old appliance must be removed, not just shut off
  • Condenser (outdoor unit) and air handler (indoor unit) must both be new and installed at the same time
  • Must have a multi-speed or variable-speed compressor — look for "two-stage" or "continuous" under Compressor Staging
  • Must be certified by the Air Conditioning, Heating, and Refrigeration Institute (AHRI)
  • Must be Energy Star certified

Heat pump water heater

For replacing a gas or electric resistance water heater with a heat pump water heater.

Rebate project Standard Moderate-income Low-income
Heat pump water heater $800 $1,600 $2,000

Equipment requirements

  • Must completely replace an existing gas or electric resistance (non-heat pump) water heater — the old appliance must be removed
  • Must be Energy Star certified
  • Must meet NEEA Tier 3 Advanced Water Heater Specification or higher
  • Must have a Uniform Energy Factor (UEF) of 3.0 or higher

Solar and battery storage

For installing solar panels and a battery together, or adding a battery to an existing solar system.

Rebate project Standard Moderate-income Low-income
Solar PV panels and battery storage system $2,000 $3,000 $5,000
Battery storage system $1,000 $1,500 $2,500

Requirements for combined solar and battery rebate

  • Solar panels and battery must be installed at the same time and included in the same permit
  • Solar panel installation without a connected battery is not eligible
  • Solar system must be at least 4kW CEC-AC
  • Non-photovoltaic technologies (such as solar hot water systems) are not eligible
  • Battery must have a minimum capacity of 5kWh
  • Battery must be permanently installed at the property — portable batteries are not eligible
  • Battery must appear on the California Self-Generation Incentive Program (SGIP) Verified Equipment List or the California Energy Commission (CEC) Solar Equipment List

Requirements for battery rebate

  • Battery must have a minimum capacity of 5 kWh
  • Battery must be permanently installed at the property
  • Battery must appear on the SGIP Verified Equipment List or the CEC Solar Equipment List

Electrical panel improvements

For upgrading your main electrical panel or installing a smart panel when it's needed to support switching from gas to electric.

Rebate project Standard Moderate-income Low-income
Main electrical panel upgrade or smart panel $900 $1,800 $2,250

Equipment requirements

  • Must replace the home's main electrical service panel
  • Capacity upgrades must increase capacity to at least 125 amps
  • Installation must follow the current California Electrical Code, Article 230, and PG&E rules and regulations

Demonstrating need for the upgrade

You must show that the panel upgrade or smart panel was needed to support switching from gas to electric. You can do this with either:

  • Permits for a heat pump for space heating and cooling, a heat pump water heater, or both — applied for within 1 year of the panel upgrade application date, or
  • Dated invoices or receipts for an induction cooktop or an electric or heat pump dryer — within 1 year of the panel upgrade application date

Related