HVAC Efficiency Program

Heating and cooling can account for 50% of your home's energy use.* Upgrading to a high-efficiency HVAC system can reduce energy costs by up to 20% annually while improving comfort and performance. If your equipment is more than 10 years old, it may be time to consider an upgrade. 

Why choose high-efficiency heating and cooling equipment? 

  • Get rebates: Rebates plus additional incentives could be available for customers switching from natural gas, oil or propane. Check with an HVAC contractor to determine eligibility.  
  • Save energy: High-efficiency heating and cooling equipment can save energy and lower utility costs, reducing your annual energy bill by nearly $140, depending on where you live.* 
  • Boost comfort: These systems provide excellent “zone” space conditioning, so you can control the level of heating or cooling in different rooms (or zones) in your home. 

Path to HVAC Savings Starts Here 

  1. Start with our Home Equipment Tool to explore upgrade options, estimated costs, available incentives, and potential energy savings for your home. 
  2. Work with a participating contractor to determine what rebates and incentives may be available to you.  
  3. Explore flexible financing options – you may qualify for 0% interest loans to help with cost of a new system, click here to learn more. 
  4. Not ready to upgrade? Get a no-cost HVAC Tune-up to keep your existing system in good condition. Click here to schedule your tune-up.  

High Efficiency HVAC Equipment 

HVAC Efficiency Program 2 - accordions

Geothermal systems are a highly efficient alternative to traditional heating and cooling equipment and are at least 45% more energy efficient than standard heating and cooling systems. They use the temperature of the ground instead of the outside air to provide heating and air conditioning to your home. Because they have relatively few moving parts that are sheltered indoors, they are durable and highly reliable, often lasting 20 years or more.*

Electric air-source heat pumps move heat between the inside and outside to keep your home a comfortable temperature year-round. High-efficiency models are more efficient in both heating and cooling than standard models.

This highly efficient technology delivers warm or cool air directly into different zones or rooms of your home. Because it requires no ducts, it avoids the energy loss associated with ductwork in central forced air systems.

Qualifying HVAC Equipment Specifications

Minimum required efficiency levels

EquipmentTierSEER2HSPF2Energy Efficiency Incentive AmountsElectrification Incentive Amounts
Air Source Heat Pump OR
Ducted Mini-split Heat Pump
115.26.7 (Packaged)
7.5 (Split)
$800$2,000
216.9$1,300$2,500
Cold Climate Air Source Heat Pump1 or 215.28.1N/A$3,500
Ductless Mini-split Heat Pump Multi-Zone15.57.5$800$3,500
Single Zone187.5$500N/A
Central Air Conditioner115.2N/A$300N/A
216.9N/A$500N/A
Geothermal Heat Pump (Closed Loop) 17.1 EER & 3.6 COP$3,000$5,500
Smart Thermostat ENERGY STAR Certified$100N/A

Energy saving assistance for limited income households

Income eligible customers can get help lowering their energy bills and increasing their home’s comfort—at no cost. EmPOWER Maryland and the Maryland Department of Housing and Community Development offer energy-saving upgrades, like better insulation, lighting upgrades, water heater improvements, and more. Visit www.mdhousing.org/empower or call 1-855-583-8976 to learn more.

*Source: ENERGYSTAR.gov

***Both Single Packaged Units and Split Systems are eligible for ASHP and CAC rebates.

Offer valid for Pepco residential customers in Maryland only, and Effective only for equipment installed on and after April 1st, 2024: The Residential HVAC Midstream program is targeting high SEER2 energy efficient ASHPs, Ductless Mini-Splits, and CACs. The programs will continue to collect SEER2, EER2, and HSPF2 data on the applications, however equipment will only need to meet or exceed SEER2 and HSPF2 values listed to qualify for incentive funds. EER2 does not have a minimum energy efficiency requirement to qualify.

 

Is it time to replace your HVAC system?

Maintenance Checklist

 

energy star award

 

 

*EmPOWER Maryland programs are funded by a charge on your energy bill. EmPOWER programs can help you reduce your energy consumption and save you money. To learn more about EmPOWER and how you can participate, click here.

The EmPOWER Maryland charge funds programs that can help you reduce your energy consumption and greenhouse gas emissions and save you money. Since the inception of the EmPOWER Maryland program in 2008, the programs have saved $14.5 billion on installed measures at a cost of $4.1 billion. In addition to new program costs, this charge includes paying off the uncollected costs that were accrued over time by programs required by the EmPOWER statute and authorized by the Commission. In accordance with House Bill 864 the uncollected amounts will be fully paid by the end of 2032.