NYS Clean Heat Rebates
(Heat Pumps + Heat Pump Water Heaters)
If you’re a NYSEG customer, you may qualify for NYS Clean Heat incentives — and Nebrasky applies eligible savings directly to your invoice.
What this program is
The NYS Clean Heat Program is New York’s statewide heat pump incentive program (authorized for 2026–2030) designed to accelerate adoption of efficient heat pumps for space and water heating/cooling—including ASHP/AWHP, HPWH, and GSHP technologies.
For this program period, Clean Heat targets residential one- to four-family homes (1–4 dwelling units), and projects must be completed at eligible sites by customers with an active utility account tied to the program requirements.
In NYSEG territory, incentives are offered across multiple “paths”—including full-load air-source heat pumps (with standard Base and enhanced Weatherized tier options), full-load with decommissioning, geothermal systems, partial-to-full upgrades, and water-heating categories.
Rebates vary based on project type, home type (single-family vs apartment / small home), and DAC vs Non-DAC location; incentives are generally capped at 70% of project costs outside DACs and can reach up to 85% for DAC-qualified projects.
If you’re not sure what qualifies in your home, Nebrasky will confirm your eligibility and design the project to match NYSEG program requirements before anything moves forward.
Nebrasky makes rebates simple
Other contractors may tell you to “apply later.” Nebrasky’s approach is different:
- We confirm which NYSEG rebates apply to your project.
- We complete and submit the required documentation.
- Your rebate savings are applied directly to your Nebrasky invoice (no waiting for checks).
Eligibility basics (plain English)
In general, NYS Clean Heat incentives apply to existing residential buildings and are subject to program rules (including incentive caps as a share of project cost). DAC projects can qualify for higher cost-coverage caps than non-DAC projects.
2026 NYSEG Incentives (at-a-glance)
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Space Heating Incentives 2026 (DAC)
| Category | What it covers | Single-Family (Base) | Single-Family (Weatherized) | Apt / <1,000 sq ft (Base) | Apt / <1,000 sq ft (Weatherized) |
|---|---|---|---|---|---|
| Category 2 | Full-load cold-climate ASHP | $5,000 | $9,000 | $2,500 | $4,500 |
| Category 2b | Full-load ASHP + decommissioning | $8,000 | $13,000 | $4,000 | $6,500 |
| Category 3 (retrofit) | GSHP (retrofit) | $18,000 | - | $8,000 | - |
| Category 3 (new construction) | GSHP (new construction) | $11,000 | - | $6,000 | - |
| Category 4 | Partial-to-full load | $3,000 | - | $3,000 | - |
Space Heating Incentives 2026 (Non-DAC)
| Category | What it covers | Single-Family (Base) | Single-Family (Weatherized) | Apt / <1,000 sq ft (Base) | Apt / <1,000 sq ft (Weatherized) |
|---|---|---|---|---|---|
| Category 2 | Full-load cold-climate ASHP | $4,000 | $8,000 | $2,000 | $4,000 |
| Category 2b | Full-load ASHP + decommissioning | $7,000 | $12,000 | $3,500 | $6,000 |
| Category 3 (retrofit) | GSHP (retrofit) | $17,000 | - | $7,000 | - |
| Category 3 (new construction) | GSHP (new construction) | $10,000 | - | $5,000 | - |
| Category 4 | Partial-to-full load | $3,000 | - | $1,000 | - |
Water Heating Incentives
- Category 5 (Downstream HPWH): $1,250 per unit
- Category 5b (GSHP desuperheater): $100 per unit
Frequently Asked Questions
Full-load means the heat pump system is designed to heat the home (per program rules). Decommissioning means the legacy fossil system is taken out of service as required for that incentive path.
The program uses NYSERDA’s DAC mapping. Nebrasky can help confirm this during your estimate.
Base rebates apply to standard full-load heat pump installations. The Weatherized tier offers higher rebate amounts for homes that meet NYS energy efficiency standards—such as homes built after 2010 or those with qualifying insulation/air-sealing upgrades
No — Nebrasky manages the rebate steps and applies eligible savings directly to your invoice.
Yes. Programs can be updated, and incentive levels can change based on program rules.
Some utilities support instant-discount pathways for HPWH. We’ll guide you to the right option for your service territory.
Important Notes
Program rules, eligible equipment, incentive categories, caps, and payment mechanics can change by utility and over time. Final incentive eligibility is determined by the program administrator based on the rules in effect at the time of application and completed documentation. Nebrasky will confirm the current incentives and requirements for your utility territory during your estimate.
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