Now you have every incentive to choose heat pump technology

Puget Sound Energy, Seattle City Light and Snohomish PUD are offering contractors instant discounts of up to $600 for heat pumps and heat pump water heaters.

With an instant discount, you’ll get immediate savings to pass on to your customers. Plus, they’ll get the benefit of energy savings that come naturally with heat pump technology.

PSE, City Light and SnoPUD want to make achieving savings as easy as possible. That’s why we’ve partnered with distributors in our region to provide savings right at the point of sale without customer paperwork; we call these midstream rebates.

Midstream rebates are based on AHRI certifications and must meet minimum eligibility requirements.

Limit 1 heat pump and 1 heat pump water heater rebate per residential customer. No limit for commercial customers.


Commercial and Residential Hybrid Heat Pump Water Heaters

Unit type Building
rebate ($/unit)
Hybrid heat pump water heater ≤120 gallons*** Commercial Retrofit and new construction Any NEEA Tier $600 $100
Residential Retrofit only NEEA Tier 1 $300 $100
Retrofit only NEEA Tier 3 or 4 $500 $100
New construction only NEEA Tier 4 $150 N/A

* The Northwest Energy Efficiency Alliance (NEEA) qualifying product list can be found online.
** Contractor spiff will be passed through by the distributor to the contractor as a line item on the invoice.
*** May be referred to as electric hybrid water heater in the marketplace.

Heat Pump Incentives

Residential and small commercial <5.4 ton air-cooled heat pumps*

Unit type Size Category Tier SEER
Mini or Multi-Split Heat Pump* <65 kBtuh
(<5.4 Tons)
1 16.0 9.5 $400
2 16.0 11.0 $600
Traditional Heat Pump Retrofit only 1 15.0 9.0 $300
Traditional Heat Pump Retrofit or new construction 2 15.0 10.0 $500

*Values are AHRI-rated efficiencies
** Heat pump equipment is listed in the AHRI Database as Variable-Speed Mini-Split and Multi-Split Heat Pumps. They are also referred to as Ductless Heat Pumps in the marketplace

How to combine or optimize rebates

PSE has opportunities for contractors to optimize midstream and downstream rebates for customers. Below are some key factors to remember when determining qualifications for heat pump rebates with customers:

  • Midstream rebates are not dependent on existing heating fuel or heating equipment.
  • Midstream rebates are available to contractors and are encouraged to be passed through to customers.
  • Downstream rebates are only available to customers with existing zonal electric resistance heating, and electric forced air furnaces as their primary current heating system.
  • Downstream rebates must be provided to the customer directly.

Why choose heat pump technology?

Installing heat pump systems means a better return on investment for your customers, higher profitability for your team, and happier home buyers.

Demand for air conditioning is growing more than ever, and heat pumps are the most efficient type of air conditioning on the market.

Heat pumps improve the value of homes, are the most cost-effective home heating and cooling method, and have an average lifespan of 15 years.

Water heating and HVAC systems represent up to 60% of a home’s energy usage. Installing heat pumps and heat pump water heaters means big savings for homeowners on a monthly basis for the lifespan of the unit.

Modern heat pump water heaters are reliable, consistent, durable and have an average lifespan of 13 years.

Learn more. Download our heat pump water heater fact sheet to share the benefits of hybrid heat pump water heaters to your customers.

What heat pump technology means to homeowners:
  • Heat pump water heaters use up to 60% less energy than standard electric models.
  • Heat pump water heaters typically come with 10-year warranties.
  • Heat pump technology is reliable and easy to maintain.
  • Ductless split-systems are extremely quiet and give homeowners more control over the temperature on a room-by-room basis.

Visit these links to check out programs that may be of interest:

Manufactured Homes
Multifamily New Construction

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Have questions about PSE's green options, including energy efficiency tips and rebates, contractor referrals, electric cars and renewable energy options? We're here to help.

Call us at 1-800-562-1482, Monday through Friday 8 a.m. to 5 p.m. or contact us below.

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