Residential Air Source Heat Pump-Electric Furnace Rebate

Consumers Power Inc. » Residential Rebates » Air Source Heat Pump Rebate

Offered to Consumers Power Inc. residential customers who meet eligibility requirements.

Pre-approval is strongly encouraged. Please apply before work is scheduled.

Eligible homes

  • Existing single-family Site Built (4 units or less) or Manufactured homes.
  • ONLY homes with existing Electric Forced Air Furnace qualify.
  • New residential construction and multifamily buildings are not eligible.

Qualified projects

  • The home has an existing Electric Forced-Air Furnace.
  • The new, centrally-ducted Air Source Heat Pump is the first heat pump in the home.
  • A licensed contractor performs the heat pump installation.
  • The contractor provides the new heat pump’s certificate or reference number from AHRI (Air conditioning, Heating, and Refrigeration Institute).
  • The AHRI certificate demonstrates the minimum efficiency requirement.

Minimum efficiency requirement

7.5 HSPF2 and 14.3 SEER2
or
8.8 HSPF and 15 SEER

Rebate

Non-Variable Speed: $1,250
Variable Speed: $1,560

Required documents

  • Please submit the AHRI information with the pre-approval.
  • If the actual installed model differs from the one specified in the pre-approval, new AHRI information is required with the final paperwork.
  • Rebates cannot be finalized without AHRI information.
  • Manufacturer specifications must be provided to show whether the heat pump is variable speed or inverter driven, or non-variable speed.
  • The final invoice must show the exact, complete model number of the outdoor unit installed.

Upgrades, replacements, and new construction

Consumers Power Inc. offers an Air Source Heat Pump Upgrade/Replacement for projects that are not eligible for the Electric Forced Air Furnace Conversion requirements.

The Upgrades/Replacements rebate is open to homes with any existing heat source, including an old heat pump. New construction homes are eligible. 

Please allow 8 to 10 weeks to receive rebate, after receipt of all required documentation.

Last Update: 10/1/25