Heat pumps up to $13,000

NYSEG and RG&E Home Rebates

NYSEG covers much of upstate and the Southern Tier and RG&E covers Rochester. Both are owned by the same parent and pay from an identical table, so one page covers both. NYSEG's website still showed the pre-September figures on October 3, 2026.

What NYSEG and RG&E pay in 2026

The table is the same for both utilities. Pick the one on your electric bill; your project is submitted under that utility.

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NYSEG air-source heat pump

$3,000 to $13,000

Non-DAC: Category 2 $4,000 ($8,000 Weatherized Tier); 2b $7,000 ($12,000). DAC: Category 2 $5,000 ($9,000); 2b $8,000 ($13,000). Apartments about half. Partial to full load $3,000, or $1,500 for an apartment.

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RG&E air-source heat pump

$3,000 to $13,000

The same table as NYSEG, applied to Rochester-area electric customers.

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Ground-source retrofit

$15,000 to $21,000

$15,000, or $20,000 in the Weatherized Tier, outside a disadvantaged community; $16,000 or $21,000 inside one.

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Heat pump water heater

$1,250

A limited-time offer from September 1 to November 30, 2026 raises distributor and installer payments.

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Weatherized Tier

Raises Category 2 and 2b

Reached by building after 2010, past participation in an approved weatherization program such as NYSEG and RG&E Home Insulation and Air Sealing, or a heating-load test.

NYSEG's own page showed up to $10,000 for air-source and up to $18,000 for ground-source on October 3, 2026. Those are the earlier amounts. The manual governs the contractor's submission.

One table, two utilities

RG&E and NYSEG are separate utilities with separate service territories, so the first thing to check is the name on your bill. Rochester city and parts of Monroe County are RG&E. Many surrounding towns and the Southern Tier are NYSEG. The Clean Heat amounts do not differ between them, but a contractor registered for one may need to submit under the other.

How disadvantaged-community status works

NYSERDA maps disadvantaged communities by census tract. If your address is in one, the DAC column applies and the cap rises from 70% to 85% of project cost. The lookup is on NYSERDA's disadvantaged communities page, and a contractor can check it for you. A household can live next to a DAC tract and not be in one, so check the address instead of assuming.

Heat pump water heaters in the limited-time window

From September 1 to November 30, 2026 the utility raises what distributors and installers are paid on water heaters. The homeowner figure is $1,250, so the offer helps most when the installer's price drops with the extra payment. Ask for a quote with and without the offer. A homeowner can apply directly and install a unit themselves if codes are followed, though installers must be NYS licensed.

Insulation and sealing come first

Because the Weatherized Tier pays up to $4,000 more for the same equipment, sealing first is worth pricing. NYSEG and RG&E run a Home Insulation and Air Sealing program that counts, and NYSERDA's Comfort Home pays $2,500 to $3,000 for seal-and-insulate packages. Ask whether finishing one of them before the heat pump qualifies the home.

How to claim NYSEG or RG&E Clean Heat

  1. Find the utility on your electric bill: NYSEG or RG&E.
  2. Check whether your address is in a disadvantaged community.
  3. Request quotes from NYS Clean Heat participating contractors and ask which category and tier each quote uses.
  4. Make sure the quote includes a Manual J load calculation.
  5. The contractor submits the project and shows the incentive on your invoice.

Our pages for NYSEG and RG&E customers

Guides

Common questions

Do NYSEG and RG&E pay the same?

Yes. The manual lists identical amounts for both.

Why is the NYSEG website different?

It still showed the pre-September figures on October 3, 2026.

How much more does the Weatherized Tier pay?

$4,000 more on Category 2 and $5,000 more on 2b for a single-family non-DAC home.

What is the water heater offer?

$1,250, with a limited-time offer from September 1 to November 30, 2026 that raises distributor and installer payments.

Can I get EmPower+ too?

Ask the contractor; stacking rules vary, and NYSERDA sets them.

By Sam Menard. Sources, last read October 3, 2026: NYS Clean Heat Program Manual, version 3, NYS Clean Heat, NYSERDA disadvantaged communities, NYSERDA EmPower+. All rebate programs →

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