HVAC Efficiency Program

Home Improvement Federal Tax Credits to end on December 31, 2025

Act now and complete project installations by December 31, 2025, to qualify for available tax credits up to $3,200. Projects completed after December 31, 2025, will be ineligible for the tax credit. Learn more here. Contact your tax professional for specific guidance.

New incentives for electric HVAC upgrades

Participating contractors can now receive additional rebates for qualifying projects that include changing heating and cooling equipment from natural gas, oil, or propane to electric systems. Contact us at Marylandmidstream@icf.com for details.

 

Become a Participating Contractor

Are you looking to set your business apart and offer your customers high-efficiency HVAC or water heating equipment? Partnering with Pepco can help you do exactly that!

Once you’re a part of the program, you can take advantage of the following benefits:

  • Incentives on high-efficiency equipment that you can pass on to your customers.
  • Distinguish yourself as an installer of cost-saving equipment.
  • Get additional rebates on qualifying high-efficiency equipment for your customers when switching their equipment from natural gas, oil, or propane to electric.

Questions? Email marylandmidstream@icf.com for more information!

High-Efficiency HVAC and Heat Pump Water Heater Equipment*

Minimum required efficiency levels

EquipmentTierSEER2HSPF2Eligible Electrification Incentive?
Air Source Heat Pump*
OR 
Ducted Mini-split Heat Pump*
115.26.7 (Packaged) 
7.5 (Split)
Yes
216.9Yes
Ductless Mini-split Heat PumpMulti-Zone15.57.5Yes
Single Zone187.5No
Central Air Conditioner*115.2

N/A

No
216.9

N/A

No
Geothermal Heat Pump (Closed Loop)**17.1 EER & 3.6 COPYes
Smart ThermostatENERGY STAR® CertifiedNo
Heat Pump Water HeaterENERGY STAR CertifiedNo

*All equipment must be AHRI rated, with the exception of smart thermostats. 

**Geothermal products installed at new construction homes that are not participating in the ENERGY STAR for New Homes Program are eligible for a rebate.

 

Ready-to-Install High-Efficiency HVAC Equipment

To get started, ask your HVAC distributor about high-efficiency equipment options. 

Participating Distributors
Advanced Heating Technology, Inc.Johnstone Supply-Wallace Group
Aireco SupplyLennox Industries
Applied Equipment SolutionsMilby Company
Carrier Mid-AtlanticNortheastern Supply
Chesapeake SystemsT Stats Supply
Daikin Comfort TechnologyThos. Somerville Co.
Enertech GlobalTotal Green Manufacturing
Ferguson EnterprisesUnited Products Distributors
HVAC Distributors, Inc.United Refrigeration, Inc.
Johnstone Supply-Balsan GroupWaterfurnace International

 

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.