Power Saver™ Program
Residential Heat Pump Water Heater Rebate

When you install a new water heater in your home, consider a new heat pump water heater.  Heat pump water heaters can save you money and are friendlier to the environment.

Heat Pump Technology + Rebate = Savings
A heat pump extracts heat from the air to heat water.  In cold temperatures it uses a heating element. In warmer Texas climates, the heating element is not often needed.  

Heat pumps are more efficient. They use electricity to move the heat instead of using electricity to create heat. This method delivers nearly twice the heat as a conventional electric water heater.

Choosing a heat pump water heater adds up to big savings:

• Austin Energy rebate of $800
• Annual energy saving up to $220
• A total net savings over 10 years up to $3,000

Eligibility Requirements and Guidelines
To be eligible for the $800 rebate, you must be a current residential customer of Austin Energy.  

Also, your heat pump water heater must meet these requirements:

• be labeled an ENERGY STAR® heat pump water heater and have an
  Energy Factor of 2.0 or better
• store a minimum of 40 gallons of water
• be installed new (not used)
• meet all applicable codes and adhere to applicable building permit
  processes for proper installation
• be permanently installed at the structure
• have minimum required clearances and free area as determined by
  the manufacturer
• carry a minimum five-year warranty on major components supplied
  by manufacturer

In addition you must:

• agree to maintain the installed heat pump water heater system in proper working condition for a minimum of five years
• apply for the rebate within 60 days from installation date

How to Apply

• Use the online form to apply for a residential heat pump
  water heater rebate
• Mail your completed application to City of Austin, Austin Energy,
  Attn: Rebate Processing Section, 721 Barton Springs Rd., Austin, TX
  78704-1194 or fax to (512)482-5373.

Rebate applications for residential heat pump water heater installations do not require a pre-inspection. 

More Information
If you have questions about the residential rebate application, email conservation@austinenergy.com or call (512) 482-5346.

Interested in a heat pump water heater for your business?  Learn more about our Commercial Heat Pump Water Heater

Power Saver™ Program—Saving Energy Together