Heat pumps are quickly becoming one of the most energy-efficient options for HVAC systems today. Because they transfer heat instead of generating it, using a heat pump doesn’t require as much energy compared to traditional equipment like furnaces. What’s more, many heat pump models are capable of working in reverse, pumping heat out of your home in the same way an air conditioner does. While this sounds like a great deal, covering installation costs isn’t always possible for every budget.
The Denver Climate Action Rebate program, or CARe, is designed to help. Through licensed contractors like Lakeside Heating & Air Conditioning, homeowners can receive rebates on heat pump installation in Denver, CO. This includes air source heat pumps, geothermal models and even ductless mini-split models!
Whether you’ve been looking for a new HVAC system, or you’re just hearing about the advantages of heat pumps, now’s a fantastic time to reach out to the comfort specialists at Lakeside. Our heat pump installers in Denver, CO, will be happy to help you take full advantage of the rebate program. See the table below for the maximum rebate available for each type of heat pump.
| Eligible Equipment | Standard Rebate |
| Air Source Heat Pump | Up to $1,500 for ‘High-Efficiency’ heat pumps Up to $3,500 for ‘Cold Climate’ heat pumps |
| Ground-Source Heat Pump (Geothermal)* | Up to $3,500 |
| Mini-Split Heat Pump | Up to $1,500 for ‘High-Efficiency’ heat pumps Up to $3,500 for ‘Cold Climate’ heat pumps |
*Please note that while ground-source heat pumps are eligible for CARe rebates, Lakeside Heating & Air Conditioning does not install geothermal models.
How Do the Denver Heat Pump Rebates Work?
The city of Denver’s heat pump rebates are available as immediate discounts from your contractor, counted toward the project’s overall cost. Because of this, it’s contractors like Lakeside Heating & Air Conditioning that must apply for the rebate instead of the homeowners themselves.
We’ll register the job on your behalf, confirming the funding is available before finalizing any installation agreement. Once the contract is signed, the rebate’s formal application is submitted and your rebate funds are reserved. The project must be completed within a set period of time in order to receive the rebate. Upon finishing installation, we submit the final application for reimbursement. These rebates cannot exceed 40% of the project’s cost, so don’t hesitate to ask our installers for advice on how to maximize your rebate. We can help you identify the eligible makes and models best suited for your home’s HVAC needs.
Determining Your Eligibility for a Heat Pump Rebate
While Denver’s rebates for heat pumps are certainly intended for homeowner use, there are several restrictions to ensure the rebates are properly distributed. Below are some of the most important, but you should review the entirety of any terms and conditions with your Lakeside installer.
- Applicants must live in both the City and County of Denver, CO.
- Rebates are available for existing properties only. New construction is not eligible for a heat pump rebate.
- Rebates are also restricted to projects in single-family homes or multifamily housing of four units or fewer.
- You must be an Xcel Energy customer.
- Heat pumps and mini-splits must be installed as part of the ENERGY STAR® HVAC Quality Installation Program.
Additional discounts are extended to income-qualified households. You can determine your eligibility through the Energy Resource Center. Please note that you must meet certain income requirements, such as enrollment in assistance programs, to qualify for additional discounts.
What Heat Pump Products Are Eligible for a Rebate?
The availability of a rebate is also dependent on the specific make and model of your heat pump or mini-split. Equipment must meet certain energy efficiency standards, measured through the SEER (Seasonal Energy Efficiency Ratio) and HSPF (Heating Seasonal Performance Factor) rating systems.
Due to the recent rollout of the SEER2/EER2/HSPF2 updated energy efficiency standards, Lakeside installers will be accepting qualifying equipment under both sets of energy efficiency requirements. That being said, models that qualify under the original standards are only available for a limited time in 2023. Lakeside will update you once SEER-rated heat pumps are no longer eligible for a rebate.
Continue below for specific minimum SEER and SEER2 ratings as well as other requirements.
Air-Source Heat Pump Requirements:
Energy Efficiency Minimums: (15.0 SEER / 11.5 EER / 9.0 HSPF or equivalent SEER2/EER2/HSPF2 performance of 14.3 SEER2 / 11.0 EER2 / 7.7 HSPF2
Cold Climate Air Source Heat Pump Requirement:
The model must be listed on ashp.neep.org and feature a COP of 5F > 1.75. The chosen heat pump must also meet a minimum 70% ratio of Capacity at 5F / Capacity at 47F.
Energy Efficiency Minimums: 16 SEER / 10.5 EER / 9.5 HSPF or equivalent performance of 15.2 SEER2 / 10.0 EER2 / 8.1 HSPF2
Mini-Split Heat Pump Requirements:
Product must possess an AHRI (Air-Conditioning, Heating, and Refrigeration Institute) Reference Number. An Xcel-Registered Trade Partner can help you determine which model is a good fit for your home.
Energy Efficiency Minimums: 15.0 SEER / 11.0 EER / 9.0 HSPF* or equivalent performance of 15.0 SEER2 / 11.0 EER2 / 8.1 HSPF2
Cold Climate Mini-Split Heat Pump
The model must be listed on ashp.neep.org and feature a COP (Coefficient of Performance) of 5F > 1.75. The chosen heat pump must also meet a minimum 70% ratio of Capacity at 5F / Capacity at 47F.
Energy Efficiency Minimums: 16.0 SEER / 9.0 EER / 10.6 HSPF* or equivalent performance of 16.0 SEER2 / 9.0 EER2 / 9.5 HSPF2
How to Secure Your Heat Pump Rebate with Lakeside
As long as your installation project is completed in the year 2023, you may be eligible for a heat pump rebate. And, of course, the comfort experts at Lakeside Heating & Air Conditioning are happy to answer any questions you may still have about the CARe program.
We can help you confirm if a preferred heat pump or mini-split is a good fit for a rebate. Our heat pump or mini-split installers in Denver, CO, can also provide a free quote for installation. Just make sure you let us know you’re interested in a CARe rebate!
You can request an email alert for when funding becomes available. When you’re ready to start your next heat pump or mini-split installation in Denver, CO, give Lakeside Heating & Air Conditioning a call at 303-412-8015.
