Home Energy Rebate Programs
Background
On August 16, 2022, President Biden signed the landmark Inflation Reduction Act (IRA) into law. The law includes $391 billion to support clean energy and address climate change, including $8.8 billion in rebates nationally for home energy efficiency and electrification projects.
The Home Energy Rebate Programs include the Home Owners Managing Energy Savings (HOMES) and Home Electrification and Appliance Rebates (HEAR). Rhode Island will receive approximately $32 million for the HOMES program and $31 million for the HEAR program. The goal of these two rebate programs is to increase the energy efficiency in homes thereby decreasing residential energy bills and carbon emissions. The HOMES program provides rebates to income-eligible customers undergoing a heat pump installation that is modeled to reduce their energy use by a minimum of 20%. The HEAR program is income-restricted and provides rebates on home electrification upgrades.
Program Design and Application
The Office of Energy Resources submitted the HEAR and HOMES program applications to the U.S. Department of Energy. The HEAR application was approved and OER launched the program on September 17th, 2024. The HOMES program application was approved and program launched on September 23rd, 2026. See the HEAR and HOMES website links below for more information on each program.
Inflation Reduction Act Energy Tax Credits
In addition to the Home Efficiency Rebates programs, the IRA established federal tax credits for home energy upgrades. The credit is not available for any property placed in service after December 31, 2025. Additional information the tax credits are available at: https://www.irs.gov/credits-deductions/residential-clean-energy-credit
State Incentive Calculator
To help identify existing energy rebates, tax credits, and incentives that may be available to you, please visit our incentive calculator at: https://energy.ri.gov/energy-incentives/incentive-calculator.