Eligible homeowners in California may receive tax rebates of up to $8,000 to install heat pumps in their residences, Gov. Gavin Newsom announced Thursday. Similar rebates have been available for proprietors of multifamily residences in the state since October.
A $4,000 credit is available to California homeowners who have household incomes up to 150% of the median for their areas. Those under 80% of their AMIs are eligible for the full $8,000 rebate.
Funding for the subsidy comes from the Inflation Reduction Act, and is managed by tCalifornia Energy Commission.
“Thousands of dollars are now available for California homeowners to install heat pumps, making your home more energy-efficient and reducing your energy bills by hundreds of dollars each year,” Newsom said in a statement. “With these new rebates made possible by the Biden-Harris administration, Californians can save money and take real climate action.”
Heat pumps are devices which can both heat and cool buildings. They take advantage of the circulation properties of air in order to control interior temperatures with exceptionally high energy efficiency.
“These units make homes more comfortable and can reduce electricity use by up to 75%, compared to electric resistance heating such as furnaces,” CEC commissioner Andrew McAllister said. “They also work as air conditioners, which an increasing number of Californians now need due to the effects of climate change.”
The move comes in the wake of a record-setting October heatwave which affected large swathes of the United States. Parts of California experienced the nation’s highest temperature, including Palm Springs, which tied the all-time October record for heat at 117 Degrees.
Experts said that, thanks to climate change, such extreme temperatures may become more common.
Californians wishing to apply for the rebates can check their AMIs and begin their applications at the program’s portal. More information on the rebates can also be found on the Tech Clean California website.