A reliable HVAC system is vital for a comfortable and stress-free home, but it’s also a significant purchase. Each and every homeowner deserves top-notch climate control solutions, no matter their budget. That’s why HVAC rebates and other savings opportunities are so beneficial. By utilizing rebates, tax credits and various plans, you can make new installation more affordable. But before you get started, there are a few things to keep in mind to ensure you optimize these programs.
For example, the energy efficiency standards for HVAC systems are rising, so it will help to check the minimum ratings to get a better understanding of what’s an energy-efficient option for the climate. In order to be eligible for many of the tax credits, your chosen make and model has to meet these standards.
Admiral Plumbing Services can help simplify things for you. By sharing details about local HVAC rebates online, it becomes quicker for homeowners to save funds and time on this crucial utility. We’ll also assist you in finding the perfect make and model to ensure you benefit the most from heat pump rebates, AC rebates and more.
As solutions for climate control evolve, so do our standards for energy-efficient heating and cooling. There are distinct rating systems for heating and cooling units, and anything failing to reach these standards can only be sold or installed if they were manufactured before the cutoff date. Use these rating systems to effortlessly identify which models are eligible for rebates and tax credits.
Every 7 years, the U.S. Department of Energy updates the minimum efficiency requirements for HVAC systems. This time, there are new minimum efficiency standards that homeowners should keep in mind. In Northern regions, non-compliant AC and heat pump systems manufactured before January 1, 2023, can still be sold and installed. However, in the Southeast and Southwest regions, non-compliant air conditioning systems are off-limits regardless of their manufacture date. Non-compliant heat pumps developed before January 1, 2023, can still be sold and installed in these areas.
Understanding HVAC efficiency measurements is crucial for both manufacturers and homeowners:
Minimum HVAC Efficiency Ratings for 2024
Type of System | 2023 Minimum Rating (Northern) | 2023 Minimum Rating (South + Southeast) |
AC (<45,000 BTU/hr) | 14 SEER (13.4 SEER2) | 15 SEER (14.3 SEER2) |
AC (>45,000 BTU/hr) | 14 SEER (13.4 SEER2) | 14.5 SEER2 (13.8 SEER2) |
Split-system heat pump | 15 SEER (14.3 SEER2)
8.8 HSPF (7.5 HSPF2) |
15 SEER (14.3 SEER2)
8.8 HSPF (7.5 HSPF2) |
Single-package heat pump | No change | No change |
A large part of why HVAC technology improved was the need for safer, more efficient refrigerant. In the past, most air conditioners used something called R-22, more commonly known as Freon, for coolant. But this substance is a hydrochlorofluorocarbon (HCFC), which was found to deplete the ozone. The US started to remove HCFCs in the mid 1990s and passed the 2020 American Innovation and Manufacturing Act to speed up the replacement of HVAC equipment still using Freon and other HCFC refrigerants.
The Inflation Reduction Act of 2022 has made it easier for homeowners to save on new HVAC equipment and other energy-efficient upgrades. This is how you can benefit from these opportunities:
You can apply for tax credits for eligible energy-efficient improvements such as HVAC systems and insulation as well as energy-efficient windows and doors. These credits help cut down the full cost of home energy upgrades, making it more affordable to improve your home’s efficiency.
This credit will cover 30% for the installation of eligible home improvements, up to $1,200 annually. This extends to heating and cooling systems, energy-efficient windows and doors, and insulation. By using this incentive, you can invest in better home efficiency and enjoy sustained energy savings.
The Inflation Reduction Act of 2022 offers considerable financial incentives for certain energy upgrades, available through 2032. Homeowners can receive up to $3,200 annually, cutting down the cost of energy-efficient home improvements by 30%.
Solar Installations and Solar-Powered HVAC: With the Inflation Reduction Act, you can get a tax credit for 30% of the cost of installing clean energy systems like solar panels and solar-powered HVAC systems. This credit makes solar energy more available and affordable, promoting the use of renewable energy sources.
High-Efficiency Heat Pumps: The Act also offers incentives for the installation of energy-efficient heat pump systems. incentives can cover a large part of the cost, making heat pumps especially attractive for enhancing your home’s heating and cooling efficiency. Heat pumps are extremely efficient and can significantly decrease your energy consumption and costs.
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