Heat Pump Rebates
Shrewsbury Electric and Cable Operations (SELCO) offers rebates on heat pump systems. Please note that all heat pumps must be installed by a MA licensed contractor in order to be eligible for a rebate. Refer to the tables below to see if your heat pump system qualifies.
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| Heat Pump | SEER2 | EER2 | HSPF2 | COP | Tier I Rebates | Tier II Rebates |
|---|
| Air Source Heat Pump (Including Mini-Splits) | ≥15.3 | N/A | ≥7.65 | N/A | $1,000/ton | $2,000/ton |
| Ground Source Heat Pump | N/A | ≥19.2 | N/A | ≥3.5 | $1,500/ton | $3,000/ton |
| | | | | | |
*Maximum Heat Pump Rebate is $9,000 + Decarbonization Rebate is $1,000 for a Total Maximum Rebate of $10,000 per address
Customers Qualify for Tier I if ANY of the following apply:
- There is natural gas in my home, so I am also eligible to receive a Mass Save rebate.
- The heat pump installed is only a partial unit not meant to heat/cool every room in the house.
- A home energy assessment has not been performed in over three years.
- The required weatherization measures indicated in the home energy assessment were not completed.
Customers applying for Tier I rebates must provide:
- Good Standing Letter from SELCO (obtain letter online HERE)
- Copy of a recent electric bill
- AHRI Certificate (obtain from contractor)
- Copy of “ACCA Approved Version 8 Manual J” Load (Sizing) Calculation (Note: Manual J not required for mini-split systems)
- Copy of contractor’s invoice including install date & address of installed equipment, brand and condenser & air handler model #s, size in BTUs and total installation cost
Tier II Rebates are for SELCO customers who:
- Are NOT eligible for Mass Save rebates ANDinstalled a whole home unit that has the ability to heat/cool every finished room in the home.
- Heat pumps must be new and sized to be capable of being the sole source of heating in the home. Contractors must install equipment sized to meet 90-120% of the total heating load at the outdoor design temperature, per ACCA Manual J Design Conditions, throughout 100% of the conditioned space.
- Customers applying for Tier II rebates are additionally required to:
- Have had a home energy assessment performed within the past 3 years.
- Install all required weatherization measures. Sufficient weatherization can be demonstrated by satisfying at least one of the following requirements:
- Home was built during or after 2000
- Home energy assessment report indicates less than $1,000 worth of weatherization recommended.
- Weatherization recommendations made during or after 2013 have been completed. Supporting documentation only required upon request
- Have a Whole Home Verification Visit performed by NextZero & provide a copy of verification form signed by the inspector.
- Customers applying for Tier II rebates must provide:
- Provide a SELCO Good Standing Letter
- Copy of a recent electric bill
- AHRI Certificate (obtain from contractor)
- Copy of “ACCA Approved Version 8 Manual J” Load (Sizing) Calculation (Note: Manual J not required for mini-split systems)
- Tier II Only – provide a copy of the Whole Home Heat Pump Verification Form signed by the inspector
Some Restrictions Apply:
- Maximum Heat Pump Rebate is $9,000 + Decarbonization Rebate is $1,000 for a Total Maximum Rebate of $10,000 per address.
- Ductless mini-split cooling-only units are not eligible.
- A Heat Pump Consultation is encouraged, but not required.
- A home energy assessment, as well as any recommended weatherization work are required to be completed for all Tier II rebates.
- Heat pumps must be installed between 1/1/2024 and 12/31/2024.
- Applications must be postmarked by 1/31/2025.
- Total incentives cannot exceed 100% of total project costs. This includes NextZero rebate, the SELCO Loan and any upcoming federal rebates. Please include documentation detailing any and all incentives this project will be receiving.
Massachusetts provides a sales tax exemption on the purchase of heat pump systems. For more information, consult your local tax expert.
Decarbonization Rebate
In order to further their decarbonization efforts, SELCO is offer a $1,000 rebate to customers that install heat pumps as their sole heating source. To qualify for this rebate, customers must remove or disconnect their fossil fuel heating system. A post inspection must be performed by NextZero. The inspector will issue a verification form confirming the fossil fuel heating system has been removed or disconnected. This signed inspection form will be required to receive the $1,000 decarbonization rebate. To schedule this inspection, please call 888-333-7525.
