What Duluth homes can get in 2026
All amounts are for purchases made from January 1 to December 31, 2026, and all need a customer account with Minnesota Power or a participating city utility.
Cold-climate heat pump
Ducted or ductless, efficient down to at least 5 degrees Fahrenheit, installed by a participating contractor.
Ground source heat pump
The higher amount needs a certified Master Installer.
Dual Fuel rate
A cheaper interruptible electric rate for electric heat with a non-electric backup.
State HOMES and HEAR rebates
The state says it has no launch date, so we do not count them.
What Duluth homes look like
The Census Bureau's American Community Survey for 2020 to 2024 counts 39,978 homes in Duluth. About 59% of households own and 41% rent. 60% of homes are detached houses and 13% sit in buildings of two to four units, the highest share of small multi-unit buildings among our four Minnesota cities. 78% were built before 1980 and 43% before 1940. Only 12% went up in 2000 or later.
The heating fuel table shows what Duluth is up against. About 72% of homes use natural gas from a utility line, about 19% use electricity, about 4% use fuel oil and about 3% use bottled gas. Fuel oil is a larger share here than in Minneapolis, Saint Paul or Rochester. Oil and bottled gas are costly ways to heat, so homes using them have the most to gain from a heat pump.
Why the cold-climate tier matters here
Minnesota Power's heat pump table has two tiers. A standard heat pump earns $400 and a cold-climate heat pump earns $1,000. The company defines a cold-climate unit as one that stays efficient to at least 5 degrees Fahrenheit. In a cold port city, that is the one most homeowners should look at. The company's page for ductless systems explains that newer units can provide heat well into the winter months, not only in the shoulder seasons. Even so, many homes keep a backup, and the company sells a rate for that setup.
Dual Fuel and backup heat
Dual Fuel is an interruptible rate for homes whose heat is electric and who have a non-electric backup, like a boiler or furnace. The company may turn off the service for short periods when its system is stressed and prices are high. In return you pay less for the power. The service needs its own meter and a separate panel. We could not read the discount size, which sits in a chart image, so call the company for today's price before you plan.
Renters, owners and small buildings
Because 41% of Duluth households rent and 13% of homes are in buildings of two to four units, some owners are landlords. The company's rebate form goes to the customer who bought the equipment, so a landlord who pays for a heat pump and has the electric account can apply. A tenant who pays the bill but not the equipment should ask the landlord. The page says you must be a residential retail customer of a participating utility.
Every rebate guide for Duluth
- Water Heater rebates in Duluth
- Heat Pump rebates in Duluth
- Minnesota smart thermostat rebates (all utilities side by side)
How to get started in Duluth
- Check your electric bill. Confirm the company is Minnesota Power or a participating utility.
- Decide whether you want a full heat pump system or a heat pump with your current furnace as backup.
- Pick a participating contractor from the company's lookup tool.
- Finish the work by December 31, 2026.
- Let the contractor file, or file the water heater or thermostat form with the receipt. Allow eight to ten weeks.
Common questions
Does Minnesota Power serve Duluth?
The company is based in Duluth. Look at your own electric bill to confirm who serves your address.
How much is the heat pump rebate?
$1,000 for a cold-climate model and $400 for a standard one, up to 75 percent of project cost.
Do I need a contractor?
For heat pumps, yes. A participating contractor installs and files for you. Water heaters and thermostats can be filed by you.
Is there help for oil-heated homes?
The page does not limit the heat pump rebate by your old fuel, so ask a participating contractor whether your oil-heated home qualifies. Ask about the tune-up and other rebates too.
What to do next
Next, see the Duluth heat pump page or the Duluth water heater page. The company guide is Minnesota Power rebates.
By Sam Menard. Sources, last read October 6, 2026: Minnesota Power heat pump rebates, Minnesota Power heat pump water heater rebate, Minnesota Power Dual Fuel rate, ACS housing facts (Census Bureau). All Duluth rebates → Every Minnesota Power rebate →