ENERGY STAR® Heat Pump Water Heater Rebate

Double the Efficiency for Maximum Savings With Instant Discounts of Up To $500

Twice as efficient as older electric water heaters, ENERGY STAR®-certified heat pump water heaters, sold through participating distributors, qualify for instant discounts.

An Efficient Way to Heat Water

It’s not so hard to understand why heat pump water heaters are twice as efficient as electric water heaters. They simply move heat rather than make heat, just like a refrigerator, but in reverse. While a refrigerator pulls heat from inside a box and dumps it into the surrounding room, a heat pump water heater pulls heat from the surrounding air and transfers it – at a higher temperature – into the tank to heat your water. Because they use the warm ambient air temperature to do most of the work, it is a very efficient way to heat water.

As the heat pump removes heat from the surrounding ambient air, it provides a slight cooling effect. The result is dehumidification and cooling. For this reason, heat pumps work well in basements. Because they rely on surrounding air, they require at least 750 cubic feet of space around the heat pump and cannot be installed in a closet or other confined space.

We help make it affordable to upgrade to an ENERGY STAR-certified heat pump water heater with up to a $500 instant discount provided by the Connecticut Energy Efficiency Fund. Whether you’re replacing an old water heater or installing one in a new home, you'll save money up front.

For customers who meet certain income eligibility guidelines, even greater incentives may be available through the Home Energy Solutions – Income Eligible program.

ENERGY STAR is a widely recognized and trusted label on products that meet strict energy-efficiency requirements set by the U.S. Environmental Protection Agency and the U.S. Department of Energy. By using less energy, these products also help reduce greenhouse gas emissions that contribute to climate change. Learn more at the ENERGY STAR website.

Install a heat pump water heater today and save energy - and money!

Call 877-WISE-USE (877-947-3873) for more information. 

Benefits of Heat Pump Water Heaters

  • One of the most energy-efficient water heating systems on the market today
  • 25 to 50 percent savings on electric water heating costs
  • Programmable options such as “vacation mode” that save energy when you’re away and ensure you have hot water when you return
  • Dehumidify damp spaces such as a basement or unconditioned space

Steps to Take

Step 1 - Refer to your utility’s website for more details including FAQs and qualifying units. See our Find a Distributor page for a list of participating distributors.

Eversource     UI

Step 2 - Talk with an installer to find out if a heat pump water heater is right for you. Consider the following factors:

  • For the most efficient operation, the heat pump water heater should be installed in a space where temperatures average at least 50 degrees.
  • Because it exhausts cool air, the water heater should not be installed in a heated living area.
  • A heat pump water heater should be installed with at least 750 cubic feet of space around it. It cannot be installed in a closet or other confined space.

Step 3
- You or your installing contractor can purchase a qualifying unit at a discounted price through participating distributors in Connecticut. Up to a $500 instant discount will be automatically applied to the equipment cost.

Step 4 - Have your qualifying unit installed.

Learn more at the ENERGY STAR website.

Call 877-WISE-USE (877-947-3873) for more information.

Who Is Eligible

Residential customers of Eversource or UI.

Equipment must be ENERGY STAR-certified with an Energy Factor (EF) of 3.0 or greater.

To receive up to a $500 instant rebate, equipment must be purchased from a participating distributor located in Connecticut.

To find ENERGY STAR-certified units talk to a licensed contractor or visit the ENERGY STAR website.

If you are a Connecticut resident and are not served by one of the utilities listed above, please visit your municipal utility’s website to see what energy efficiency programs are available to you. 

Call 877-WISE-USE (877-947-3873) for more information.

Participating Locations


We strongly encourage you to contact a licensed contractor to ensure proper installation of your heat pump water heater. You or your contractor can receive up to a $500 instant discount on ENERGY STAR®-certified models through participating distributors listed on our Find a Distributor page.


Our Partners

Visit to CT Power Update page