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Massachusetts · checked October 20, 2026
Heat pump water heater rebates in Massachusetts
1 program pays toward a heat pump water heater in Massachusetts right now, with 2 separate offers between them. The largest stated amount is $1,500, from Mass Save heat pump water heater rebate (Split system). The federal 25C credit for this upgrade ended on December 31, 2025, so the state and utility money below is what is left.
What Massachusetts pays for heat pump water heaters
Mass Save heat pump water heater rebate Open
Run by Mass Save (sponsor utilities) · for customers of 6 utilities · ends December 31, 2026 · apply by February 28, 2027
- Integrated unit: $750 per unit (ENERGY STAR, UEF 3.30; or 120V/15A unit at UEF 2.20); $750 instant at Home Depot, Lowe's and participating distributors
- Split system: $1,500 per split-system unit (UEF 2.20)
Conditions on the program page: Replaces an electric resistance, propane, natural gas or oil water heater; Installed by a licensed plumber; 1–4 unit homes; one rebate per account; Cannot be combined with other Mass Save incentives for the same equipment.
Also on the page: The page's own example: $3,200 average installed cost, $750 rebate, $2,450 net; The page states federal credits expired for expenditures made after December 31, 2025.
Source: Mass Save: Heat Pump Water Heaters. Last checked October 20, 2026. Official program page.
Worked example: one Massachusetts home
Take one heat pump water heater replacing an electric tank. These are example inputs, not typical prices. Each program's own rule gives the amounts below; where one program has several tiers only the largest one counts, separate programs add up, and a percentage offer with no cost entered is shown at its ceiling.
| Utility | Not income-qualified | Moderate income | Low income |
|---|---|---|---|
| Eversource (Massachusetts) | $1,500 | $1,500 | $1,500 |
| National Grid (Massachusetts) | $1,500 | $1,500 | $1,500 |
| Unitil (Massachusetts) | $1,500 | $1,500 | $1,500 |
| Cape Light Compact | $1,500 | $1,500 | $1,500 |
| Liberty (Massachusetts gas) | $1,500 | $1,500 | $1,500 |
| Berkshire Gas | $1,500 | $1,500 | $1,500 |
For a household that is not income-qualified, the example comes to $1,500, made of $1,500 from Mass Save water heaters (Split system). None of the open offers has a separate income-qualified amount, so every household gets the same figure. All 6 listed utilities come out the same, because the money comes from a shared program.
Who can use these Massachusetts offers
Every household in Massachusetts covered by Mass Save can apply; the offers are not limited to one utility's territory. Customers of Municipal light plant (not in Mass Save) are not covered by any open heat pump water heater offer listed here; check with the utility directly. The earliest end date among these offers is December 31, 2026, and the latest application deadline listed is February 28, 2027.
Federal credit and state IRA rebates
The Energy Efficient Home Improvement Credit (IRC §25C) paid 30% of cost, up to $2,000 a year (shared with heat pumps). The IRS page says: “can claim the credit for improvements made through December 31, 2025.” Not allowed for property placed in service after December 31, 2025. Source: IRS: Energy Efficient Home Improvement Credit, 26 U.S.C. §25C, as amended by Public Law 119-21 (July 4, 2025). See what the credit covered and when it ended.
Massachusetts HEAR and HER (IRA home energy rebates): Not launched. The DOER page does not confirm a launch: “DOE approval on the State Implementation Blueprint is required before programs can be launched.” HEAR is planned to run through Mass Save. Source: Mass.gov: DOER federal funding updates.
How Massachusetts compares
3 of the other 14 covered states list a larger top amount for heat pump water heaters. Open elsewhere: California $4,000; Connecticut $1,900; North Carolina $1,750; Maine $1,200; Oregon $1,200; Texas $1,000; Vermont $1,000; New Hampshire $900; Rhode Island $625; Arizona $500; Pennsylvania $500; Wisconsin $300. No open, sourced offer is listed in 2 other covered states (Florida, Michigan). Compare them on the heat pump water heater rebates by state page.
Other upgrades in Massachusetts: air-source heat pump, insulation and air sealing, home EV charger, induction range or cooktop, electrical panel upgrade. Background: how rebates stack and the federal credit status.
Rebates are set by each program and can change or close without notice; the program's own page and application decide what is paid. This page is information, not tax, legal or financial advice. Amounts last checked October 20, 2026.