Rebate applications will be closed January 5 - 11 for updates. 
Deadline to submit 2025 rebate applications is February 16, 2026. 

A heat pump water heater is a highly efficient way to provide hot water in your home, and it can save you up to 30% or more per year in fuel costs compared to propane or electric resistance water heaters.

Eligibility and Application Details

Click each of the items below to learn more.

  • Submit applications within 90 days of completed installation or certificate of occupancy (new construction). 
  • Installations must take place in LPEA’s service territory. 
  • Heat Pump Water Heaters must have a minimum 30-gallon capacity. 
  • Heat Pump Water Heaters must be Energy Star rated. 
  • LPEA reserves the right to inspect installations. 

2026 Income Qualification Limits

We know the cost of living is pretty high around here, so we're offering added savings for our income-qualified members who earn 150% of the area median income (AMI).

Rebate income limits
Based on 150% of Area Median Income (AMI) 

Complete the form below.
Jump to Application

You will need to upload: 

  • Proof of purchase and info/spec sheets for units installed. 
  • IRS W-9 IRS W-9 form completed by the member/rebate recipient. A W-9 is kept on file by LPEA as proof of allocation of funds. Any tax liability is the responsibility of the rebate recipient. View W-9 Guide here.  
    - Name on W-9 must match name on rebate check.
  • Rebates available while funds last. 
  • Applications typically take 8-10 weeks to process.
  • Heat pump water heater rebates are remitted as a check. Standard electric water heater rebates are remitted as a bill credit.

Custom Commercial Space Heatingn and Water Heating Rebates

LPEA offers custom rebates for commercial space heating and water heating. If you are considering a project that does not fit into our existing heat pump or heat pump water heater programs, we will evaluate the project on a case-by-case basis. Projects could include VRF heat pumps, central water heat pumps, or combi systems, but are not limited to these options alone. 

Reach out to us at rebates@lpea.coop with a brief description of the project. 

Rebate amounts will be determined based on the specifics of the project, energy savings, and available rebate funds. 

Heat Pump Water Heater Rebates

Equipment Type Income Qualified Rebate  Standard Rebate 
Heat Pump Water Heater

$700

$350
Standard Electric Water 
Heater with *Smart Controller
or **Fuel Switch
$250 $100
On-Demand Water Heater  No Rebate No Rebate
Other commercial heating projects
beyond the scope of those included above

(e.g. VRF heat pumps, central water heat pumps,
combi systems, etc.)
Not Applicable Share your project description with 
rebates@lpea.coop, for an
evaluation. Rebate amounts will be determined 
based on project specifics, energy savings, and
available rebate funds
*Smart Controllers are Wi-Fi connected with the ability to schedule and remotely control the system. These may have additional features such as geo-fencing or learning modes. 
**Fuel switching requires the replacement of an existing propane or natural gas water heater 

Heat Pump Water Heater Rebate Application

2025 Application PDF

3rd Party Rebate Assignment Form

Having trouble submitting your rebate? Email us at rebates@lpea.coop.

LPEA Heat Pump
Water Heater Highlight

Discover the step-by-step process of installing a heat pump water heater in this brief video guide from LPEA. Our expert demonstrates how these energy-efficient systems work, providing you with significant savings on your utility bills while reducing your carbon footprint.

Homeowner Resources:
Learn More about Heat Pump Water Heaters Here
Which Heat Pump Water Heater is right for you? Take the Quiz! 

heat pump water heater