Multifamily Heat Pumps

Equipment Purchases and Services	Customer Incentive*	Trade Ally Incentive*
Ductless Heat Pump in a Home with Electric or Natural Gas Heating	$1,600-$1,800	$400
Ductless Heat Pump in a Home with Wood, Oil or Propane Heating	$1,800-$2,000	$400
Packaged Terminal Heat Pump	$300	$100

* Incentive may be capped so as not to exceed the qualifying project costs inclusive of other market funding sources. Incentive level is dependent upon various factors including whether or not the customer is residing in a Named Community. If you have questions, talk to an approved Wattsmart® Homes Vendor.

Choose a Qualified Trade Ally from the Wattsmart® Vendor Network 

• The Wattsmart® Vendor Network (Network) is a collaboration between Pacific Power and local contractors, distributors, manufacturers, engineers, architects and other Vendors to promote sales and incentives for the installation of energy-efficient equipment. 

• Customer must hire a contractor who is a qualified Trade Ally from the Wattsmart® Vendor Network. Projects completed by contractors not on this list are not eligible for this incentive. 

Ensure the Home Qualifies

• Residential electric customers residing in the state of Washington who purchase their electricity from Pacific Power on rate schedules 16, 17 and 19 qualify. Landlords who own rental properties served by the company in the state of Washington where the tenant is billed on rate schedules 16, 17 and 19 also qualify for this program. You can locate your rate schedule on your bill or by calling 1-888-221-7070. Incentive checks are only issued in the name of the Pacific Power account holder. 
• Must be an existing multifamily property, new construction is not eligible for this incentive.
• Multifamily incentives are available for buildings with four or more attached units, duplexes and triplexes are eligible for single-family incentives.  
• Customers in single-family or manufactured homes can learn more about heat pumps here. 
• Washington Named Community residential customers may qualify for Named Community Incentives. 

– Check customer eligibility here: Verify.WattsmartBusiness.com/pacific-power-residential-customer-eligibility/ 

For Multifamily Projects, Preapproval is Required

• Property managers, owners or Trade Allies must receive pre-approval before starting work. A site pre-inspection may be required to confirm program eligibility. 

• Trade Allies should work with their outreach coordinator to complete the pre-approval process. 

• For self-installed projects, pre-approval requests can be submitted to [email protected]. 

Ensure the Product Qualifies

• Equipment must be installed according to specification outlined in the Washington Technical Specification Manual. 

• Equipment must be listed on the AHRI (Air-Conditioning, Heating and Refrigeration Institute) Certified Directory: AhriDirectory.org. 

• Work completed must comply with all building codes and standards. 

Requirements for Ductless Heat Pumps

• Minimum 9.0 HSPF or 8.1 HSPF2 (Heating Seasonal Performance Factor). 

• Equipment must be a new AHRI rated ductless (mini-split) system. Must employ an inverter driven outdoor compressor unit and a variable speed fan for indoor blower and be fully ductless. 

• Must have at least one indoor head installed in the primary living space. 

• Qualifying equipment being replaced includes electric, natural gas, oil, wood, pellet stoves and propane heating system conversions. 

Requirements for Packaged Terminal Heat Pumps

• Equipment must be a new AHRI certified PTHP. 

• Equipment must be replacing an operable PTAC unit with integral electric resistance heat. 

 

Additional Program Requirements

• May apply for only one incentive per heat pump.

• Application and supporting documents must be submitted within 180 days of purchasing your new energy-efficient product. 

• Incentive may not exceed the total cost of the project. 

• Please allow six weeks plus mail service time for delivery of your incentive check after we receive your approved application and receipt. 

 

Required Documents

• Incentive Application, completed and signed, if mailing, please make copies for your records and note the date mailed on the application.
• Itemized receipt or contractor invoice:

– Product and/or installation costs (materials, labor, service)
– Model number: indoor and outdoor
– Date work initiated
– Date work completed
– Trade Ally business name

• Third Party Payment Addendum for applicants who would like to forward payment to a third party not listed on the utility account.
• IRS W-9 Form, for any businesses and non-individual customers, including landlords, applying for incentives. 
• AHRI certificate

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Incentives are associated with the Wattsmart® Homes program January 1, 2026, tariff filing approved by the Washington Utilities and Transportation Commission. All incentives are subject to change within 45 days notice. Additional terms and conditions may apply.