Inflation Reduction Act Home Energy Rebates

• Commerce will target half the rebate funds toward low-income households, defined as those with incomes less than 80% AMI 
• Both renters and homeowners qualify 
• It is likely that rebates will also be available to households with incomes less than 150% area median income (AMI) and entities that own multifamily buildings primarily serving lower incomes households

• Third-party implementers will manage the rebate program
• You or your building owner will apply to the implementers for the rebates   
• You must apply and be approved first before buying appliances or doing the upgrades (there is no rebate guarantee for work completed before the program launches)

• Electric wiring  
• Electric panel upgrade  
• Insulation 
• Air sealing
• Ventilation 
• Appliances
• Heat pumps
• General weatherization measures

Rebate amounts will vary depending on equipment and the work being done. View HEAR and HOMES fact sheet (PDF) to see more information

Commerce expects rebates to be available no sooner than late 2024/early 2025. We are currently designing the rules and processes for the program. We estimate federal funding will be available to households in 2025.

Federal law does not authorize states to offer Home Electrification and Appliance Rebate Program (50122) retroactively. It is unlikely that rebates will be retroactive for the Whole Home Efficiency Rebates (Section 50121) program due to a number of laws and guidelines.

If you have further questions, you can visit the DOE frequently asked questions website.

• If you need financial assistance with these upgrades, there may be state, municipal, utility, and federal programs available, including the Washington State Weatherization Assistance Program 
• Tax credits under the IRA are available. Please contact the Internal Revenue Service, the US Department of Energy’s Clean Energy Tax Credit webpage or your tax preparer for more information.

The 2022 Inflation Reduction Act directed $500 billion to accelerate clean energy investments that reduce carbon emissions. Building-related rebates and incentives under the IRA will support electrification and efficiency, with a special focus on low-income households. Households will be able to take advantage of a range of upfront rebates and tax credits for energy efficient electric appliances and energy efficiency improvements in their homes. For more information on the Inflation Reduction Act please see the IRA Guidebook.