Heat pumps $4,000 to $7,500

PSEG Long Island Home Rebates

PSEG Long Island runs its own program for LIPA customers, separate from NYS Clean Heat. The amount depends on income as well as equipment, and the heat pump must be sized to the whole home.

What PSEG Long Island pays in 2026

Do not combine this table with the upstate Clean Heat figures. Long Island is a different program with different rules.

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Whole-house heat pump

$4,000, $5,000 or $7,500

$7,500 for low income (under 60% of area median income), $5,000 for moderate income (under 80%) or a market-rate household in a disadvantaged community, $4,000 for market rate. The contractor also receives $250. Limits for a household of four in 2026: $98,925 low, $131,900 moderate.

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Heat pump water heater

Up to $1,200

Listed on PSEG Long Island's ENERGY STAR rebate page, alongside smart thermostats at $100 to $130.

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Battery storage

Not verified

NYSERDA's Long Island storage incentive applies only to batteries paired with grid-connected solar. We have not verified a current amount.

Pre-approval before work starts is part of the program, so do not sign a contract before confirming the project qualifies.

The sizing rule

The heat pump must cover 100 to 120% of the whole-dwelling heating load, shown by a Manual J. It must be on the NEEP cold-climate list, and it must either use integrated controls or remove the fossil heating system. That rules out a couple of mini-splits added to a house that keeps its boiler as the main heat. Ask for the load calculation before you compare prices.

Income tiers in practice

The 2026 limit for a household of four is $98,925 for the low tier and $131,900 for the moderate tier. A smaller or larger household uses a different figure, which PSEG Long Island lists on its page. A household can also reach $5,000 as a market-rate household in a disadvantaged community, so check the address even if income is above the limit.

Thermostats and everyday rebates

The ENERGY STAR page lists smart thermostat rebates of $100 to $130 and an $85 Smart Savers offer for homes with central air conditioning. Those are small, but they are claimed without pre-approval.

Questions to ask a contractor before pre-approval

Ask three things. First, who performs the Manual J and can you see it. Second, which NEEP-listed model is quoted and does its rated capacity at design temperature cover 100% of the load. Third, whether the quote assumes integrated controls or removal of fossil heat, since one of the two is required. A contractor who answers those cleanly has done these jobs before. A vague answer on any of them is a reason to get a second quote, because a project rejected at inspection leaves you with the bill for equipment the program will not pay for.

Why Long Island is separate

PSEG Long Island operates the grid for the Long Island Power Authority, and its programs are set by that arrangement, not by the statewide Clean Heat manual. NYSERDA programs such as EmPower+ may still apply to eligible households, and NY-Sun solar incentives pay $0.40 per watt on Long Island for income-eligible households.

How to claim PSEG Long Island's heat pump rebate

  1. Confirm PSEG Long Island is your electric provider.
  2. Choose a participating contractor and ask for a Manual J load calculation.
  3. Get the project pre-approved before work starts.
  4. Install equipment on the NEEP cold-climate list sized to 100 to 120% of the load.
  5. Keep the invoice and approval records.

Our pages for PSEG Long Island customers

Guides

Common questions

Is PSEG Long Island part of NYS Clean Heat?

No. It runs its own program for LIPA customers.

How much is the heat pump rebate?

$4,000 market rate, $5,000 moderate income, $7,500 low income, plus $250 to the contractor.

Do I need pre-approval?

Yes, before work starts.

Does a partial-load heat pump qualify?

No. It must meet 100 to 120% of the whole-home heating load.

What about water heaters?

Rebates up to $1,200.

By Sam Menard. Sources, last read October 3, 2026: PSEG Long Island heat pump rebates, PSEG Long Island ENERGY STAR rebates, NYSERDA EmPower+, NYSERDA NY-Sun incentives. All rebate programs →

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