| Product | Incentive* |
|---|---|
| Ductless Heat Pump – Multifamily Enhanced Incentives for Select Customers | $1,500 |
| Ductless Heat Pump Replacing Forced Air Furnace Enhanced Incentives for Select Customers | $1,750 |
| Ductless Heat Pump Replacing Zonal Heat Enhanced Incentives for Select Customers | $1,750 |
*Incentive may be capped so as not to exceed the qualifying project costs inclusive of other market funding sources.
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 California who purchase their electricity from Pacific Power on rate schedules D, DL-6, DS-8, DM-9 or NEM-35 qualify. Landlords who own rental properties served by the company in the state of California where the tenant is billed on rate schedules D, DL-6, DS-8, DM-9 or NEM-35 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 single, mult-family, or manufactured home, new construction is not eligible.
- Gas, oil, wood heating, pellet stoves and propane system conversions do not qualify.
- Homes 3,500 square feet or less may qualify for one unit, while homes greater than 3,500 square feet may qualify for two units; homes greater than 3,500 square feet requiring more than two units may apply for additional incentives (additional documentation required, subject to program approval).
Ensure the Product Qualifies
- Equipment must be installed according to the specifications outlines in the Califonia Technical Specifications 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.
- Previous primary heat source must have been a permanently installed electric forced air furnace or zonal electric heating system
- Must employ an inverter driven outdoor compressor unit and a variable speed fan for indoor blower
- Must be fully ductless.
- Minimum 9.0 HSPF (8.1 HSPF2)
- Must be installed in the primary living space.
Program Requirements
Multifamily Ductless Heat Pump Program Requirements
- Product must be installed in multifamily housing.
- The product must have a minimum efficiency of 9 HSPF (8.1 HSPF2).
- Previous primary heat source must be a permanently installed electric resistance heating system.
Ductless Heat Pump Replacing Forced Air Furnace Program Requirements
- Product must be installed in a single family or manufactured home.
- The product must have a minimum efficiency of 9 HSPF (8.1 HSPF2).
- Previous primary heat source must be a permanently installed electric forced air furnace.
Ductless Heat Pump Replacing Zonal Heat Program Requirements
- Product must be in a single family or manufactured home.
- The product must have a minimum efficiency of 9 HSPF (8.1 HSPF2).
- Previous primary heat source must be a permanently installed zonal electric heating system.
Criteria for Enhanced Incentives for Select Customers
- Customers that are eligible for California alternative rates for energy (CARE) and customers residing on tribal lands, you can verify your eligibility here Customer Eligibility.
Required Documents
- Application, completed and signed, if mailing, please make copies for your records and note the date mailed on the application.
- Itemized Receipt:
– Date work initiated
– Date work completed
– Retailer and/or Trade Ally business name
– Product and/or installation costs (materials, labor, service)
– Model numbers
- 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.
_______________________
Incentives are associated with the Wattsmart® Homes program February 20, 2026 tariff filing approved by the California Public Utilities Commission. All incentives are subject to change with 45 days notice. Additional terms and conditions may apply.

