Improving the energy efficiency of your home and transitioning away from natural gas appliances can result in energy savings and improved indoor air quality. A number of these local, state, and federal programs can be layered to bring down the overall cost of home energy efficiency and all-electric upgrades.

The table below summarizes the available and anticipated incentives offered by specific programs for a given energy efficiency or all-electric home improvement project. 

Local Programs

If you live in a single-family home:   

The Bay Area Regional Energy Network (BayREN) offers rebates for energy efficiency and all-electric measures ranging from attic and wall insulation to heat pump water heaters and induction cooktops. To qualify for BayREN rebates, you must work with a BayREN Participating Contractor. Wondering how to take advantage of what BayREN offers? Start here.

MCE, the community choice aggregator for Contra Costa County, runs the Home Energy Savings Program which offers a free home energy assessment and free home energy upgrades to eligible households. Check to see if your home is in MCE’s service territory and if you meet the household income requirements.

If you live in or own a multifamily building:

BayREN offers energy efficiency and all-electric rebates and no-cost technical assistance for multifamily buildings in the Bay Area. Rebates range from $500 to $5,000+ per unit! If you’re a multifamily property owner interested in cash back and free consultation for building upgrades in the Bay Area, fill out this interest form to get started.

MCE offers energy efficiency and all-electric rebates and no-cost technical assistance for multifamily buildings within MCE's service territory. Multifamily property owners and renters who meet specific income requirements can receive additional rebates for energy saving measures as part of MCE’s Low Income Families and Tenants Program.

The County's Weatherization Program offers free energy efficiency improvements to households that meet certain income guidelines. This program is available regardless of whether you own or rent or whether you live in a house, apartment, or mobile home. 

State Programs

The Technology and Equipment for Clean Heating (TECH) Program offers incentives for heat pump heating, ventilation, and air conditioning (HVAC) systems for single-family residences. In order to receive this incentive, qualifying heat pump HVAC systems must be installed by a contractor enrolled in the TECH Program. For more information on the application process and additional eligibility requirements, please visit the TECH Program page on The Switch is On website. Incentives for multifamily residences through the TECH Program are expected to be available in Summer 2023. 

The Self-Generation Incentive Program (SGIP) provides incentives for qualifying distributed energy systems including battery energy storage systems and heat pump water heaters. For more information on the specific incentive amounts available for each type of distributed energy system, visit the Self-Generation Incentive Program Metrics webpage. The SGIP program is anticipated to launch incentives for heat pump water heaters in Summer 2023. 

Federal Programs

Under the Inflation Reduction Act (IRA), incentives for home weatherization, energy efficiency, and all-electric improvements are available for residential buildings. Federal income tax credits will be available through 2032. Energy Star has a list of federal tax credits available to households for energy efficiency and all-electric home improvements. 

Upfront discounts (rebates) on energy efficiency and all-electric improvements are anticipated to be available to Californians in 2024 through two programs: the High-Efficiency Electric Home Rebate Program (HEEHRA) and the Homeowner Managing Energy Savings (HOMES) Rebate Program. HEEHRA rebates and HOMES rebates cannot be combined for the same single upgrade, but the two programs can be stacked for different upgrades within the same project. 

• HEEHRA offers point-of-sale rebates for the purchase and installation of qualified Energy Star appliances such as heat pumps and rebates for panel upgrades, wiring, and insulation. HEEHRA projects are listed in the table below under the "Inflation Reduction Act (IRA) Rebates" column. The total rebate amount across all qualified projects is capped at $14,000 for each household. Eligible applicants include low- (below 80% of area median income) or moderate-income (between 80% and 150% of area median income) households; owners of eligible low- or moderate-income multifamily buildings; and government, commercial, or nonprofit entities carrying out a project for an eligible household or an owner of an eligible multifamily building. 
• The HOMES Program offers performance-based rebates for whole-house energy efficiency upgrades for single-family homes and multifamily buildings. Up to $8,000 for single-family homes and up to $40,000 for multifamily buildings are available in rebates to homeowners or aggregators depending on energy savings and household income. Incentives for low-income households (below 80% of area median income) are doubled or cover up to 80% of project costs. The three incentive tiers are:
  1. Retrofits with modeled energy system savings of 35% or more receive the lesser of $4,000 or 50% of project costs.
  2. Retrofits with modeled energy system savings of 20-34% receive the lesser of $2,000 or 50% of project costs.
  3. Retrofits of measured energy savings of 15% or more receive the lesser of $100 per percent of energy saved or 50% of project cost. Note that the $100 per percent of energy saved ratio may be higher or lower for individual households depending on state implementation. 

To calculate how much your household could receive in federal incentives, check out Rewiring America's IRA Calculator.

Additional Resources

Several incentive search tools and guides summarize available incentives and provide guidance about which incentives can be layered: 

• The Switch is On Initiative’s incentive search tool can help you find energy efficiency and all-electric incentives available in your zip code.
• California's ClimateAction.ca.gov website lists state and local programs available to Californians related to home energy programs.
• Rewiring America’s IRA Calculator estimates how much a household could save on energy efficiency and all-electric projects through the IRA tax credits and upfront discounts. Additionally, Rewiring America created a complementary guide walking through how you can save money on home energy efficiency and all-electric improvements using IRA incentives.
• The US Department of Energy Clean Energy Tax Credit webpage summarizes the residential energy efficiency and all-electric tax credits available to consumers.
• The US Department of Energy Savings Hub lists energy efficiency and all-electric incentives available and forthcoming for homeowners and renters through the Inflation Reduction Act. 
• CleanEnergy.gov offers a user-friendly, introductory walk through the tax credits and rebates available to residents through the Inflation Reduction Act.