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COOLING · HEAT PUMPS

Heat pumps that do it all.

One system that cools in summer and heats in winter — with Connecticut rebates up to $10,000 when it replaces oil, propane, gas, or electric heat.

Phil says: Heat pumps move heat instead of creating it through combustion, providing heating and cooling from one system.

Bosch heat pump installed outside a Connecticut home
Connecticut rebates · 01/01/26 – 12/31/26

Replacing oil, propane, or electric heat? Rebates run up to $10,000.

For qualifying installations completed on or after September 1, 2026, Energize CT pays $1,500 per ton when a heat pump replaces natural gas, oil, propane, or electric resistance as the primary heat source, capped at $10,000 in combined incentives. Swapping an existing heat pump, adding a system to an unconditioned space, or installing for cooling only falls under a separate $250 per ton rebate, capped at $2,500. Rebates require Eversource or UI electric service and installation by a contractor in the Energize CT Heat Pump Installer Network.

The federal 25C heat pump tax credit ended for equipment placed in service after December 31, 2025. Connecticut utility rebates are still running. Smart-E Loan financing is running as low as 1.99% through December 31, 2026. We confirm what your home qualifies for during the site visit.

IN PLAIN ENGLISH
A cold-climate heat pump cools in summer and heats in winter from the same equipment, staying effective well below freezing. For qualifying installations completed on or after September 1, 2026, Energize Connecticut pays $1,500 per ton — up to $10,000 — when a heat pump replaces oil, propane, natural gas, or electric resistance heat. A separate $250-per-ton incentive, up to $2,500, applies to eligible heat-pump swaps and cooling-only installs. The federal 25C tax credit ended for equipment placed in service after December 31, 2025.

Key takeaways

  • Energize CT rebate: $1,500 per ton, up to $10,000, for qualifying installations completed on or after September 1, 2026
  • Separate $250 per ton rebate (up to $2,500) for heat pump swaps, cooling-only, or unconditioned space
  • Rebates require Eversource or UI electric service and a qualified installer
  • Federal 25C tax credit ended for equipment placed in service after December 31, 2025
  • Cold-climate models stay effective well below freezing
OVERVIEW

Built around how your home uses propane.

Modern cold-climate heat pumps deliver efficient cooling in summer and reliable heating in winter — even when temperatures drop into the single digits. Current Energize Connecticut incentives can help eligible households replace oil, propane, natural gas, or electric resistance heat. Levco sizes the system, confirms which program terms apply, and handles the rebate paperwork.

WHAT TO EXPECT

Propane delivery, handled.

  • Cold-climate (CCHP) models
  • Air-source & ducted heat pumps
  • Ductless mini-split heat pumps
  • Hybrid (dual-fuel) configurations
  • Energize CT rebate paperwork (Eversource / UI)
  • Smart-E Loan financing guidance
LEARN MORE

More about this service

Diagnostic gauges connected to a Bosch heat pump during system testing

How heat pumps work

Rather than burning fuel, a heat pump moves heat — pulling warmth out of outdoor air (yes, even cold air) and delivering it indoors in winter, then reversing direction to remove heat from your home in summer. That's why they're so efficient: every unit of electricity moves several units of heat.

Levco technician shaking hands with a Connecticut homeowner at her front door

Which Connecticut rebate applies to your project

Energize Connecticut runs two separate residential heat pump incentives, and which one you fall under depends on what the heat pump is replacing.

  • Replacing oil, propane, natural gas, or electric resistance as your primary heat — the Residential Energy Optimization Incentive: $1,500 per ton, up to $10,000 in combined incentives, for qualifying installations completed on or after September 1, 2026.
  • Replacing an existing heat pump, adding one to an unconditioned space, or installing for cooling only — the Residential Air Source Heat Pump Incentive: $250 per ton, up to $2,500.

Both programs run through December 31, 2026, apply to eligible residential Eversource and United Illuminating electric customers, and require qualifying equipment installed by a contractor in the Heat Pump Installer Network. Projects may be selected for inspection. Incentive availability and terms can change, so Levco confirms the current program requirements for each project.

Levco team members reviewing project details together at the office

Financing and the federal picture

The federal Energy Efficient Home Improvement Credit (Section 25C) — the up-to-$2,000 heat pump credit — was terminated for property placed in service after December 31, 2025, so a 2026 installation earns no federal credit. What remains is the Connecticut rebate plus Smart-E Loan financing, offered as low as 1.99% for heat pump installations through December 31, 2026. Instant point-of-sale incentives may also be available through distributors under the New England Heat Pump Accelerator.

Levco technicians unpacking a new heating and cooling system beside the unit it replaces

Who heat pumps are great for in CT

  • Homes currently heating with oil, propane, or electric resistance — the highest rebate tier
  • Houses without ductwork (ductless mini-split heat pumps)
  • Additions and finished basements where extending ductwork isn't practical
  • Homeowners who want cooling added while replacing aging heating equipment
FAQ

Frequently asked questions

Do heat pumps really work in Connecticut winters?
Yes — modern cold-climate heat pumps maintain rated capacity down to 5°F and continue heating well below 0°F. For our winters, they're a proven primary-heat solution.
What heat pump rebates are available in Connecticut in 2026?
For qualifying installations completed on or after September 1, 2026, the Energize Connecticut Residential Energy Optimization Incentive pays $1,500 per ton, up to $10,000 in combined incentives, when a heat pump replaces oil, propane, natural gas, or electric resistance as the primary heat source. Replacing an existing heat pump, adding one to an unconditioned space, or installing for cooling only falls under the Residential Air Source Heat Pump Incentive at $250 per ton, up to $2,500. Both programs run through December 31, 2026 for eligible Eversource and United Illuminating electric customers, and program terms can change.
Is the federal heat pump tax credit still available?
No. The federal Energy Efficient Home Improvement Credit (Section 25C), worth up to $2,000, ended for equipment placed in service after December 31, 2025. A qualifying 2025 installation can still be claimed on your 2025 return, but a 2026 install earns no 25C credit. Connecticut utility rebates are still running, and Smart-E Loan financing is available as low as 1.99% through December 31, 2026.
Do I have to use a specific contractor to get the rebate?
Yes. Energize Connecticut rebates require installation by a contractor in the Energize CT Heat Pump Installer Network, and the equipment has to appear on the Energize CT Heat Pump Qualified Product List. Projects are randomly selected for inspection, so both the paperwork and the installation have to hold up.
Heat pump vs. central AC + furnace?
If your existing system is at end of life, a heat pump can replace both AC and furnace with a single system. If you have a newer furnace, a hybrid setup pairs a heat pump with your existing furnace for the best of both.

See what your home qualifies for before the 2026 programs close.

Talk with a local Levco team member about fuel, service, or equipment for your home.