Heat Pump Water Heaters

Rebates & Incentives

Rebates & Incentives

Austin Energy

Customer Energy Solutions

721 Barton Springs Road

Austin, TX 78704

email icon   Customer Energy Solutions

phone icon   512-482-5346

Save Money & Energy
Save Money & Energy

Saving energy and money go hand-in-hand. We can all contribute to reducing Austin’s energy demand by making simple lifestyle changes and energy-efficient home improvements. When demand decreases, we all save. Austin Energy is committed to helping our customers achieve the greatest savings possible.

Heat Pump Water Heaters

Receive $800 to install a heat pump water heater in your home.

Austin Energy offers rebates on qualifying ENERGY STAR® high-efficiency heat pump water heaters.

Installing a new water heater? Consider a heat pump water heater. Heat pump water heaters are friendly to the environment and can save you money. Austin Energy offers a rebate to help you purchase and install a qualifying ENERGY STAR® new heat pump water heater for your home.

A heat pump extracts heat from the air to heat water. 

Heat pump water heaters use electricity to move heat instead of using electricity to create heat. This method delivers nearly twice the heat of conventional electric water heaters. Choosing a heat pump water heater can add up to big savings:

  • Austin Energy rebate of $800
  • Annual energy savings up to $220
  • A total net savings over 10 years up to $3,000

Other Energy Efficiency Incentives

We also offer rebates for the following equipment that can improve energy efficiency in your home:

If you have a home 10 years or older, consider whole home energy efficiency improvements through Home Performance with ENERGY STAR®. Our Registered Home Performance Contractors can perform an energy analysis to determine appropriate energy efficiency improvements for your home.

Austin Energy offers an $800 rebate per unit to customers who install qualifying heat pump water heaters. To identify qualifying heat pump water heaters, visit the ENERGY STAR® Find and Compare Products webpage and search for heat pump water heaters that meet the specific program requirements.


Specific Requirements

  • The heat pump water heater you purchase must:
    • Be labeled an ENERGY STAR® heat pump water heater and have an
      Energy Factor of 2.0 or better
    • Store a minimum of 40 gallons of water
    • Be installed new (not used)
    • Be installed meeting all applicable codes and adhering to all applicable building permit processes for proper installation
    • Be permanently installed at the structure
    • Have minimum required clearances and free area as determined by
      the manufacturer
    • Carry a minimum five-year warranty on major components supplied
      by manufacturer
  • You must agree to maintain the installed heat pump water heater system in proper working condition for a minimum of five years.
  • Rebate applications for residential heat pump water heater installations do not require a pre-inspection. 

Apply for a Rebate Online

You can apply for your rebate online once you purchase your heat pump water heater.

Apply Online

Are You Waiting For a Rebate?

Use the confirmation (enrollment) and utility account numbers to check the status of your rebate application.

Check Status

Apply for Your Rebate Online

All rebate applications are online. You must submit your rebate application within 60 days of purchase. The following information is required for your online rebate application:

  • Active Austin Energy Customer Account Number 
  • Tax Assessor Property ID
  • Manufacturer
  • Model
  • Serial number
  • Energy factor
  • Size (gallons)
  • Location (conditioned or unconditioned space)
  • Heating Type (gas, electric strip, heat pump)
  • Receipt

Tips for Applying Online

  • Before you submit the application, you will need to have all required information on hand.
  • You will need to complete and submit the application in a single session. You cannot save your information and start again later. Active sessions time out after one hour of inactivity.
  • If your application requires supporting documentation, such as invoices or sales receipts, you will need to scan or photograph these documents and upload into the application system. The system will accept any of the following file formats:
    • Adobe Acrobat PDF (.pdf)
    • Microsoft Word Document (.doc or .docx)
    • JPEG (.jpg)
    • ZIP (.zip)
  • Check your rebate status online using the confirmation (enrollment) number you receive after the application submission. You will also need your City of Austin utility account number.

Call Austin Energy Customer Energy Solutions at 512-482-5346 or email us if you have questions about your rebate status or need help with your rebate application.


Funding is limited and available only to Austin Energy customers on a first-come, first-served basis. Offerings are subject to change without notice.

Rebates are not guaranteed until after Austin Energy's review and approval of the rebate application.

Program guidelines include additional requirements and limitations for receiving the above rebates. Contact us for more details.

Date last reviewed or modified: 12/18/17
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