$1,500 to $3,000 for a heat pump from Springs Utilities

Home Rebates in Colorado Springs

In Colorado Springs, the utility that sends your bill is the rebate office. Colorado Springs Utilities sells electricity, gas and water, and in 2026 it pays for heat pumps, heat pump water heaters, insulation and smart thermostats. It pays for efficient gas equipment too.

What is open for Colorado Springs homes in 2026

We read Colorado Springs Utilities' 2026 rebate form, its HVAC and water heater pages and its rebate rules on October 5, 2026. Everything on it is post-purchase: buy and install in 2026, then apply by January 31, 2027. Rebates are first come, first served.

Open

Heat pump (cold-climate, 3 tons and over)

$3,000

NEEP certified. Cold-climate units under 3 tons and ENERGY STAR heat pumps pay $1,500. Air-to-water heat pumps pay $3,000.

Open

Heat pump water heater

$750

For Colorado Springs Utilities electric customers, ENERGY STAR certified. A natural gas storage water heater pays $300 and a gas boiler $1,200.

Open

Insulation

40% up to $1,250 each

Attic (R-49 with bypass air sealing), wall (R-13) and crawl space (R-15 continuous). Colorado contractor required.

Open

Smart thermostat

Up to $50

ENERGY STAR certified. Peak Energy Rewards adds $50 the first year and $25 a year after a full cooling season.

Open

State heat pump discount

At least $333

$83 for a heat pump water heater. Off your invoice from a registered contractor.

Closed

State income-based rebates (HEAR)

Closed

Up to $14,000 per household while open. El Paso County was in the Front Range region, now closed.

Closed

Federal tax credits (25C, 25D)

Ended

Ended for spending after December 31, 2025.

Colorado Springs homes

The American Community Survey (2020 to 2024) counts 211,353 homes in Colorado Springs. About 61% of households own and 39% rent. About 60% of homes are detached houses, the highest share of the five Colorado cities we cover. About 39% were built before 1980 and 30% in 2000 or later.

A city of single-family houses with a municipal utility suits a post-purchase rebate: one owner, one meter and one permit with the Pikes Peak Regional Building Department. Renters are 39% of households, so tenants should ask the owner about it.

Gas and electric from one utility

About 70% of Colorado Springs households heat with utility gas and 27% with electricity. Springs Utilities sells both, so it also pays $900 for a natural gas furnace and $1,200 for a gas boiler. A heat pump pays more, but compare running costs for your own house before you decide. The utility says it will also give a $1,500 electric bill credit to customers approved for a heat pump under three tons from January 1, 2026; see our heat pump page.

The rules that all the rebates share

Equipment must be bought and installed between January 1 and December 31 of the year, and the application postmarked by January 31 of the next. You need a receipt with the date, price, make, model and quantity, and for contractor work, the installer's information on company letterhead. Many measures need a permit and a final inspection with the Pikes Peak Regional Building Department. Rebates are credited to your account and can take up to eight weeks. Two rebates per address every three years apply to heat pumps, water heaters and thermostats.

What Colorado Springs does not have

The Xcel Energy rebates on our Denver page are not for Colorado Springs Utilities customers, and El Paso County is not on Power Ahead Colorado's county list. We did not find a Colorado Springs Utilities rebate for solar panels, batteries or EV chargers on its rebate pages, so we show none. Ask the utility directly before you buy those.

Colorado Springs winters

Our climate file, built from ten Januaries (2015 to 2024), shows an average January low of about 17°F and a coldest day near minus 25°F. The heat pump rebates ask for cold-climate (NEEP) models for the larger amounts.

Every rebate guide for Colorado Springs

Top-rated installers in Colorado Springs

Ranked by Google reviews (minimum five). We don't take referral fees or paid placements.

Reliable Heating & Cooling LLC
★ 5.0 (879 Google reviews)
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Berg's Heating & Air Conditioning, LLC
★ 5.0 (427 Google reviews)
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Steadfast Heating & Air
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Winterrowd Heating & AC Inc
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PB&J Heating and Air, LLC
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See all Colorado Springs installers →

How to claim Colorado Springs rebates

  1. Confirm that Colorado Springs Utilities sends your electric and/or gas bill.
  2. Read the rules for your measure on the utility's rules page, and keep the model number.
  3. Hire a Colorado contractor, or do eligible work yourself with a Pikes Peak Regional Building Department permit.
  4. Pass the final inspection and keep an itemized receipt.
  5. Apply by email, mail or My Account, postmarked by January 31, 2027.

Common questions

What rebates can a Colorado Springs homeowner get in 2026?

From Colorado Springs Utilities: $1,500 to $3,000 for heat pumps, $750 for a heat pump water heater, 40% up to $1,250 for each insulation type, and up to $50 for a smart thermostat. The state also gives an invoice discount.

Is Xcel's rebate available in Colorado Springs?

No. Xcel's rebates are for Xcel customers.

When is the deadline?

Buy and install in 2026, then postmark your application by January 31, 2027.

Is there a rebate for solar or batteries?

We did not find one on Colorado Springs Utilities' rebate pages. Ask the utility before you buy.

Is the state's income-based program open?

No. The Colorado Energy Office says the single-family program is closed.

What to do next

See Colorado-wide pages for home batteries, solar and EV chargers, and the Colorado rebate calculator.

By Sam Menard. Sources, last read October 5, 2026: Colorado Springs Utilities HVAC and heat pump rebates, Colorado Springs Utilities rebate rules, Colorado Springs Utilities water heater rebate, State heat pump tax credit page (Colorado Energy Office), Colorado Home Energy Rebate Program. All Colorado Springs rebates → Colorado Springs Utilities rebate rules →

Statewide answer: see Colorado home battery rebates and incentives, with what is open, what has closed and the dates to watch.

Statewide answer: see Colorado home solar rebates, with what is open, what has closed and the dates to watch.

Statewide answer: see Colorado home EV charger rebates, with what is open, what has closed and the dates to watch.

Compare top-rated installers in Colorado Springs

Free for homeowners. We rank local companies by their Google reviews, weighted so many good reviews beat a handful. How we rank.

Top-rated heat pump installers in Colorado Springs →13 local companies ranked by 10,272 Google reviews. Top picks: Reliable Heating & Cooling LLC, Berg's Heating & Air Conditioning, LLC, Steadfast Heating & Air.Top-rated solar installers in Colorado Springs →9 local companies ranked by 1,575 Google reviews. Top picks: Solar Guard, National Solar Solutions, Solar Design of Colorado.Top-rated insulation installers in Colorado Springs →5 local companies ranked by 262 Google reviews. Top picks: RetroFoam of Southern Colorado, LLC, Atlas Springs, Koala Insulation of Colorado Springs.Top-rated home battery installers in Colorado Springs →8 local companies ranked by 1,838 Google reviews. Top picks: The Electric Way, Solar Guard, National Solar Solutions.
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