Heat Pump Water Heaters
Get up to $2,000 cash back
A hot deal on heat pump water heaters
Save big when you upgrade to a high-performance heat pump water heater. Earn cash back on your purchase and watch your water heating costs drop. Qualified models can save the average household $100 a year on electric bills.
| Installation Type | Customer Incentives* | Trade Ally Incentives* |
|---|---|---|
| Self- install | $900 | – |
| Direct Install | No cost | $2,500 |
| Trade Ally install | $2,000 | $500 |
*Incentive may be capped so as not to exceed the qualifying project costs inclusive of other market funding sources.
Ensure the home qualifies:
- Incentives are available for single-family and manufactured homes. Incentives are not available for multifamily homes.
- Work completed must comply with all building codes and standards.
Requirements for heat pump water heaters:
- Heat pump water heater must meet the NEEA Tier 3 or above Advanced Water Heating Specifications.
- Must be on the Qualified Product List at time of purchase.
- Work must be completed by a Wattsmart Vendor Network contractor or self-installed by customer. Find a program-qualified contractor with the Find A Vendor tool. Contractors must be on the list at the time of equipment installation.
- Heat pump water heater must be installed according to the specifications outlined in the Washington Technical Specifications Manual.
- Previous water heater must have been an electric storage water heater (incentive does not apply when replacing an existing heat pump water heater).
- Gas system conversions do not qualify.
Additional program rules:
- Incentive application and supporting documentation must be postmarked or submitted online within 180 days of equipment installation.
- Application must be submitted within 180 days of purchasing your new energy-efficient product.
- Incentive may not exceed project costs. Self-installed heat pump water heaters are eligible for equipment costs only.
Required documents:
- Incentive Application, completed and signed*
- Itemized receipt or contractor invoice must include:
– Product and/or installation costs (materials, labor, service).
– Model numbers: indoor and outdoor.
– Date work initiated.
– Date work completed.
– Retailer and/or Trade Ally business name.
- Third Party Payment Addendum (only for homeowners and other third-party entities not listed on account and applying for incentives).
- IRS W-9 Form, if applicable**
*If mailing, please make copies for your records and note the date mailed on the application.
**Applicable only to businesses and non-individual customers, including landlords, applying for incentives.
Incentives are associated with the January 1, 2026 tariff filing approved by the Washington Utilities and Transportation Commission. All incentives are subject to change with 45 days notice. Additional terms and conditions may apply.