Up to $7,450 on a ducted system, plus $500 bonus

Heat Pump Rebates in Burlington, Vermont

Burlington Electric Department pays some of the largest heat pump rebates in Vermont. It also tells you, on its own page, that a heat pump may raise your bill if you heat with natural gas. About 71% of Burlington homes do.

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What Burlington Electric customers can get for a heat pump

We re-read the Burlington Electric heat pump page and Efficiency Vermont's partner offers on October 5, 2026. Burlington Electric Department (BED) is your electric utility, so its table is the one that applies, not the Green Mountain Power offers you may see on other Vermont sites. Amounts are maximums for your size of system.

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High-performance ducted heat pump

$2,350 to $7,450

A contractor discount at the point of sale ($1,000, $1,500 or $2,000 by size) plus a BED online rebate ($1,350, $3,950 or $5,450). The indoor and outdoor unit must both appear on the NEEP cold-climate list. A 3-ton system adds up to $1,500 plus $3,950, or $5,450.

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Standard ducted heat pump

$1,000 to $2,000

The contractor discount only, with no BED online rebate. If your system is not on the cold-climate list, this is all you get.

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BED bonus for qualifying customers

$500 per condenser

Added to either ducted table above. BED's page points to its Terms and Conditions for who qualifies, and we did not read those terms, so ask BED before you count on it.

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Ductless mini-split

Up to $2,900

Efficiency Vermont's page lists BED's partner offer for ductless systems as a post-purchase rebate of up to $2,900 plus a $350 to $450 instant discount. Statewide, Efficiency Vermont's base discount is $375 or $475.

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Air-to-water heat pump

Up to $12,400 total

BED raised its air-to-water incentives from a total of $5,000 to $12,400. It is built for homes with a boiler and baseboard or radiators.

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Vermont Gas loan for heat pumps

5.99% APR

Green Mountain Credit Union lends up to $20,000 over five years through Vermont Gas. 5.99% applies when the project includes a heat pump, and 0% when it is weatherization only.

One mismatch to know about. Efficiency Vermont's partner table says up to $8,750 for ducted systems, while BED's own table tops out at $7,950 for the biggest high-performance system once the $500 bonus is added. Build your budget from BED's table and ask BED to confirm the figure on your quote before you sign.

Check your fuel before you check the rebate

The Census Bureau's 2020 to 2024 American Community Survey counts 17,504 occupied homes in Burlington. Of those, 12,342 (71%) heat mainly with piped natural gas, 3,387 (19%) with electricity, 776 (4%) with propane, 662 (4%) with fuel oil and 131 with wood. That mix makes Burlington different from most Vermont towns, where oil is the main fuel.

BED says it plainly: if you heat with natural gas, as most Burlingtonians do, you might not save money with an air-source heat pump, because your electric bill could go up by more than your gas bill goes down. The honest path is to ask BED Energy Services for a free comparison using your last twelve months of bills. The households with the clearest case are the 3,387 on electric resistance heat, who can cut their electricity use sharply, and the roughly 1,569 on propane, oil or wood.

A city of renters and small buildings

58% of Burlington households rent (10,237 of 17,504), and only 34% of housing units are detached single-family houses. Another 4,619 units sit in two-, three- and four-unit buildings, the classic Burlington duplex or triple-decker. If you are a tenant, the decision belongs to your landlord. Efficiency Vermont lists heat pump rebates for rental properties, though its income bonus is not open to rental property owners or to BED customers.

For an owner of a small multi-unit building, the useful question is whether each apartment has its own heating system and meter. A ductless unit for one apartment is a simple project. A ducted or air-to-water system for a whole building is a larger one, and it is where BED's $12,400 air-to-water figure matters.

Old buildings leak, so weatherize first

About 38% of Burlington's housing units (6,938 of 18,079) were built in 1939 or earlier. BED's heat pump page says heat pumps work best in weatherized buildings and that very tight, well-insulated buildings may not need a fossil fuel backup at all. A 1920s house with an open attic and a stone foundation is the opposite case, and it is the reason our Burlington insulation guide comes before this one for many readers.

Cold-climate equipment for a lake-effect January

Our climate file puts Burlington's average January low at -9.2°C, and the coldest day between 2015 and 2024 reached -29.8°C. BED's higher ducted rebate requires the indoor and outdoor units to appear together on the NEEP Qualified Product List, filtered for ENERGY STAR V6.1 Cold Climate. Ask your contractor to show the model numbers on the quote and check them yourself. A unit that is not on the list can drop your ducted rebate from the high-performance column to the standard one, a difference of $1,350 to $5,450.

Panel upgrades and local lenders

A heat pump added to an older Burlington home sometimes needs more electrical capacity. BED has a guide for electric panel upgrades, notes that BED may charge for the disconnect and reconnect, and lists credit unions with low-rate energy loans, including EastRise and Vermont Federal Credit Union. BED also lists the Weatherization Repayment Assistance Program, which lets homeowners and renters repay certain projects through a monthly utility charge.

Top-rated installers in Burlington

These Burlington-area contractors have the most Google reviews. BED also keeps its own preferred installer network of 14 Efficiency Excellence Network contractors on its heat pump page, so compare both lists.

Green Heat
★ 5.0 (529 Google reviews)
Visit site →
Lloyd Plumbing Heating Air Electrical
★ 4.9 (323 Google reviews)
Visit site →
A Cooper Mechanical, Inc.
★ 5.0 (43 Google reviews)
Visit site →
Call The Whale (Plumbing Heating Air Electrical)
★ 4.8 (627 Google reviews)
Visit site →
Laplante's Plumbing & Heating LLC
★ 4.8 (89 Google reviews)
Visit site →

See all Burlington installers →

How to claim a heat pump rebate in Burlington

  1. Call BED Energy Services and ask for a comparison against your current gas, oil or electric bills.
  2. Weatherize first if your building is drafty, then size the heat pump to the smaller load.
  3. Pick a contractor from BED's preferred network or the Efficiency Excellence Network.
  4. Get a quote that lists the indoor and outdoor model numbers, and check both against the NEEP cold-climate list.
  5. Ask the contractor to apply the point-of-sale discount, then file the BED online rebate after installation.

Common questions

Should I get a heat pump if I heat with gas in Burlington?

Maybe not. BED's own page warns that an air-source heat pump on a gas home may raise your electric bill by more than your gas bill drops. Ask BED for a comparison from your actual bills, and consider a hybrid system that keeps the furnace for the coldest nights.

Which rebate table applies to a Burlington address?

Burlington Electric Department's. Green Mountain Power's income-eligible $2,000 per condenser does not apply to BED customers, and Efficiency Vermont says its income bonus is not available to BED customers either.

How big is the gap between standard and high-performance ducted systems?

For a system over 4 tons, the contractor discount is $2,000 either way, but the high-performance column adds a BED online rebate of $5,450. Both indoor and outdoor units must be on the NEEP cold-climate list.

Can renters in Burlington get a heat pump rebate?

The rebate goes to whoever buys and owns the equipment, so a renter needs the landlord's agreement. Efficiency Vermont lists heat pump offers for rental properties, but not the income bonus for rental owners.

Does BED have a bonus for lower-income households?

BED lists a $500 per condenser bonus for qualifying customers. We did not read the qualifying terms, so call BED Energy Services to confirm who qualifies.

What to do next

Read the Burlington insulation guide and the Burlington water heater guide, then see how Burlington Electric customers can charge an EV on the Vermont EV charger page. Every Vermont program is on the Efficiency Vermont rebates page.

By Sam Menard. Sources, last read October 5, 2026: Burlington Electric Department: heat pumps, Efficiency Vermont: ductless heat pump rebates, Vermont Gas: residential financing and rebates, US Census Bureau ACS 5-year 2020-2024, table B25040 (house heating fuel). All Burlington rebates → Every Efficiency Vermont rebate →

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

Compare top-rated installers in Burlington

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 Burlington →9 local companies ranked by 1,816 Google reviews. Top picks: Green Heat, Lloyd Plumbing Heating Air Electrical, A Cooper Mechanical, Inc..
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