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Residential Incentive

Residential Incentive

Clean Heat Rhode Island Residential Incentive
Equipment Type Efficiency Requirement Incentive Amount
Air Source Heat Pump
 Central Ducted AHRI: SEER >= 15, HSPF >= 9; OR SEER2 >=14.3, HSPF2 >=7.7
$1,000/ton
Multizone Mix of Ducted and Non-Ducted AHRI: SEER >= 15, HSPF >= 9;
OR SEER2 >=14.3, HSPF2 >=7.7
Non-Ducted NEEP’s Cold Climate Heat Pump List
Ground Source (Geothermal) Heat Pump ENERGY STAR & AHRI Matched Equipment $1,250/ton
Heat Pump Water Heater ENERGY STAR certified UEF 3.30 $750
Heat Pump Water Heater (120volt/15amp circuit) ENERGY STAR certified UEF 2.20 $750
Split-System Heat Pump Water Heater ENERGY STAR certified UEF 2.20 $1,500
Electrical Service Upgrade Minimum upgrade to 150 amp service $500
  • These incentives and requirements are subject to change at any time at the sole discretion of the Rhode Island Office of Energy Resources.
  • Residential incentives are available to those who heat with natural gas, propane, or oil. The income eligible program is open to those heating with propane or oil (scroll down for details on the income-eligible program and commercial program).
  • Tons are calculated based on cooling capacity. (1 ton = 12,000 BTU).
  • Residential incentives are capped at $10,000 per household.
  • Electrical service upgrade must result in at least 150 amp service and must coincide with the installation of a qualifying air or ground source heat pump or heat pump water heater.
  • Projects may be subject to a quality assurance process by the Clean Heat Rhode Island program administrators.
  • For a complete list of terms and definitions, please visit our program definitions & terminology page.

  • Equipment must be installed by a contractor listed on the Clean Heat Rhode Island Heat Pump Installer Network.
  • Single family or multifamily owners of an individually metered and individually heated unit may be eligible to receive this incentive.
  • Available to All Rhode Island utility customers including Block Island, Pascoag, and Rhode Island Energy.
  • Must displace oil, propane, or natural gas heating. Partial fuel displacement is allowed, whole-home displacement is not required.
    • An attestation is required that the heat pump will be used for primary heating in the zone(s) it will heat and cool.
  • Must be on a residential electric utility rate. Exceptions may be made for residential farm buildings with commercial rate codes, or multi-use buildings with residential units on a case-by-case basis.

Residential New Construction Incentive

Residential New Construction Incentive

Clean Heat Rhode Island Residential New Construction Incentive
Equipment Type Efficiency Requirement Incentive Amount
Air Source Heat Pump
 Central Ducted AHRI: SEER >= 15, HSPF >= 9;
OR SEER2 >=14.3, HSPF2 >=7.7
$750/ton
Multizone Mix of Ducted and Non-Ducted AHRI: SEER >= 15, HSPF >= 9;
OR SEER2 >=14.3, HSPF2 >=7.7
Non-Ducted NEEP’s Cold Climate Heat Pump List
Ground Source (Geothermal) Heat Pump ENERGY STAR & AHRI Matched Equipment $750/ton
  • These incentives and requirements are subject to change at any time at the sole discretion of the Rhode Island Office of Energy Resources.
  • Tons are calculated based on cooling capacity. (1 ton = 12,000 BTU).
  • Residential incentives are capped at $10,000 per household.
  • Projects may be subject to a quality assurance process by the Clean Heat Rhode Island program administrators.
  • For a complete list of terms and definitions, please visit our program definitions & terminology page.

  • Available to All Rhode Island utility customers including Block Island, Pascoag, and Rhode Island Energy.
  • Must be a new construction home or a renovation or addition totaling >= 400 new sq. ft. of conditioned space.
    • An attestation is required to confirm addition size.
  • An attestation is required that the heat pump will be used for primary heating in the zone(s) it will heat and cool.

Residential Income-Eligible Incentive

Residential Income-Eligible Incentive

Clean Heat Rhode Island Residential Income-Eligible Incentive
Equipment Type Efficiency Requirement Incentives Amount
Air Source Heat Pump NEEP’s Cold Climate Heat Pump List & Weatherization 100% of cost including electrical service upgrade
Heat Pump Water Heater ENERGY STAR certified UEF 3.30 100% of cost including electrical service upgrade
Heat Pump Water Heater (120volt/15amp circuit) ENERGY STAR certified UEF 2.20 100% of cost including electrical service upgrade
  • These incentives and requirements are subject to change at any time at the sole discretion of the Rhode Island Office of Energy Resources.
  • Electrical Service upgrade incentive not to exceed $3,000.
  • All projects are subject to a quality assurance pre-approval and post-installation processes by the Clean Heat Rhode Island program administrators.
  • For a complete list of terms and definitions, please visit our program definitions & terminology page.

  • Single family or multifamily owners of an individually metered and individually heated unit may be eligible to receive this incentive.
  • Available to All Rhode Island utility customers including Block Island Power Company, Pascoag Utility District, and Rhode Island Energy.
  • Any of the following programs will qualify a customer for the income-eligible program: SNAP, LIHEAP, or Rhode Island Energy Discount Rate.
    • Alternatively, customers can be income-qualified through the application process.
  • Must displace oil or propane heating. Natural gas is not eligible. Partial fuel displacement is allowed; whole-home displacement is not required.
    • An attestation is required that the heat pump will be used for primary heating in the zone(s) it will heat and cool.

Commercial Incentive Eligibility

Commercial Heat Pump Incentives

Commercial Heat Pump Incentives
Equipment Type Equipment Capacity EER IEER COP Incentive 16 Tons Max Amount
Air Source Heat Pumps
 <5.4 tons See Residential Requirements
$2,500/ton
$40,000
≥ 5.4 Tons and < 11.3 Tons 11.8 15.4 3.5
≥ 11.3 Tons and < 16 Tons 10.9 14.6 3.4
Variable Refrigerant Flow (VRF) Heat Pumps
 ≥ 5.4 Tons and < 11.3 Tons 11.3 18.9 3.4 @47F
$3,500/ton
$56,000
≥ 11.3 Tons and < 16 Tons 10.9 18 3.3 @47F
Ground Source Heat Pumps
(Closed Loop)
 Brine to Air < 11.3 Tons 17.1 – 3.6
$4,500/ton
$72,000
Brine to Water
 < 5.4 Tons 16.1 – 3.1
≥ 5.4 Tons and < 11.3 Tons 16.1 3
Heat Pump Water Heater
 <= 80 Gallon UEF >= 3.2 $1,000
N/A
81-120 Gallon COP >= 3.6 $2,200
Central Heat Pump Water Heater >=120 Gallon COP >= 3.5 $2,500/ton $40,000
  • These incentives and requirements are subject to change at any time at the sole discretion of the Rhode Island Office of Energy Resources.
  • Tons are calculated based on cooling capacity. (1 ton = 12,000 BTU).
  • Incentive amounts will be capped at 16 tons although installed equipment may be larger than 16 tons.
  • Pre-approval is required prior to installation.
  • Projects may be subject to a quality assurance process by the Clean Heat Rhode Island program administrators.

  • Must be small to medium-sized business with annual gross revenue in the prior year of less than $30 million or a nonprofit organization.
  • Available to all Rhode Island utility commercial customers including Block Island Power Company, Pascoag Utility District, and Rhode Island Energy.
  • Must displace oil, propane, or natural gas heating. Partial fuel displacement is allowed, whole-building displacement is not required.
    • An attestation is required that the heat pump will be used for primary heating in the zone(s) it will heat and cool.

  • Heat Pump Water Heaters will be capped at $40,000.

The incentives are allocated per ton, which corresponds to the capacity of heat pump systems installed. On average, homes in Rhode Island typically require heat pump systems with a capacity of 2 to 3 tons.

For information about other incentives that you may be eligible for, please visit the link below.