SEATTLE'S CLEAN HEAT PROGRAM
Why Change From Heating Oil?
Heating oil is the least efficient, most expensive, and most polluting form of home heating in Seattle. With heating oil prices at an all-time high and generous incentives to finance the project, there’s never been a better time to switch to an energy-efficient heat pump that can save you more than 50% on your annual heating costs. Heat pumps also provide air-conditioning, making them a great solution for year-round comfort.
In addition, underground oil tanks can rust and develop leaks that contaminate your soil and groundwater. Switching to electric heat and decommissioning your oil tank can reduce the risk of contamination. There are an estimated 8,000-10,000 homes heating with oil in Seattle (down from approximately 18,000 in 2018), and the City is committed to helping transition all remaining households by 2030 through instant rebates and no-cost conversions for income-qualified households.
PUGET SOUND ENERGY - HEAT PUMP REBATE
Heat pumps are a great option for homeowners looking to improve year-round comfort
Heat pumps are just as reliable as other heating systems and can reduce your electricity use by 50% compared to furnaces and baseboard heaters (from energy.gov).
- Heat pumps also offer cooling, humidity reduction, and increased air circulation and filtration.
- Depending on the model, you can control your heat pump with a remote, mobile app, or smart thermostat.
- Ducted heat pump systems may be able to use the home’s existing ducting.
- Ductless heat pump systems, sometimes called mini-splits, are a great option for homes without ducting or with incompatible ducting.
INFLATION REDUCTION ACT 25C TAX CREDIT
Save Money and the Planet with the New Energy Home Improvement Tax Credit (25C)
The Energy Efficient Home Improvement Tax Credit (25C) is one of the most important aspects of the IRA for homeowners. This tax credit, formerly known as the Nonbusiness Energy Property Credit, is new and improved through the IRA and provides opportunities to save on your energy-efficient upgrades. Interested in the particulars? Here’s what you need to know:
Starting in 2023, the tax credit provides homeowners with up to 30% of the installation costs for qualified expenditures. This tax credit program lasts until December 31, 2032.
Under the 25C credit, there is an annual cap of 30% of the installed costs, with a maximum of $1,200. Qualified air conditioners or furnaces may receive up to $600 each. There is also a separate annual limit of $2,000 for qualified heat pumps, which means a homeowner could claim up to $3,200 in credits annually.
