Maine Heat Pump Rebates

What's available in Maine

Maine runs one of the most generous heat pump rebate landscapes in the US through Efficiency Maine, the state-designated efficiency administrator funded by ratepayer surcharges from both Central Maine Power and Versant Power. Because Efficiency Maine administers incentives statewide, CMP and Versant do not run separate utility-level heat pump rebate programs and rebate amounts are identical regardless of utility territory. Efficiency Maine's residential heat pump rebate is a whole-home program: the heat pump(s) must be sized for at least 80% of the home's peak heating load and used as the primary heating system, installed by a Residential Registered Vendor. Tiered rebates run $1,000, $2,000, or $3,000 per rebate-eligible single-zone outdoor unit (or $3,000 / $6,000 / $9,000 flat for a ducted whole-home system) up to lifetime limits of $3,000, $6,000, or $9,000 per housing unit. Low income means a household member is on MaineCare, HEAP, SNAP, or TANF; moderate income means AGI up to $70,000 single or $100,000 joint. Multi-zone and dual-fuel systems are not rebatable. Rebates are paid by check after a claim form is submitted within six months of completion (about six weeks processing), not as a point-of-sale discount. A separate supplemental $3,000 rebate covers the first single-zone heat pump for households verified in MaineCare, HEAP, SNAP, or TANF. A limited-time $500 per housing unit whole-home bonus applies to upgrades completed and claimed March 1 through December 31, 2026, but not for households receiving a heat pump through the Mobile Home Initiative. Both the federal §25C and §25D credits were repealed effective December 31, 2025, making state rebates the primary remaining incentive. Maine is partially deploying the federally-funded HEAR program: the Mobile Home Initiative pays a $13,900 rebate for a ducted heat pump in an income-eligible single-wide mobile home not heated with natural gas or baseboard electric, located in a designated town, with claims due by December 31, 2026 (the $8,000 figure on the same page is an insulation alternative, not the heat pump amount), and new affordable multifamily is also active; single-family HEAR is not offered and the HER/HOMES program remains under DOE review. Maine surpassed its first heat pump goal of 100,000 installs in 2023 and is now targeting 175,000 more by 2027.

HEEHRA in Maine

HEEHRA rebate: Point-of-sale rebate up to $8,000 for households at or below 80% of area median income. Funded by the IRA, administered by each state. Maine is finalizing program rules.

How heat pump rebates work in Maine

Maine runs one of the most generous heat pump rebate landscapes in the US through Efficiency Maine, the state-designated efficiency administrator funded by ratepayer surcharges from both Central Maine Power and Versant Power. Because Efficiency Maine administers incentives statewide, CMP and Versant do not run separate utility-level heat pump rebate programs and rebate amounts are identical regardless of utility territory. Tiered rebates run $1,000, $2,000, or $3,000 per rebate-eligible single-zone outdoor unit (or $3,000 / $6,000 / $9,000 flat for a ducted whole-home system) based on income, up to lifetime limits of $3,000, $6,000, or $9,000 per housing unit. The heat pump must be installed by an Efficiency Maine Residential Registered Vendor, sized for at least 80% of peak heating load, and used as the home's primary heat; the rebate is paid by check after a claim form is submitted within six months of completion, not at point of sale. Income tiers: standard at $1,000/unit, moderate-income at $2,000/unit for households with AGI up to $70k single / $100k joint, and low-income at $3,000/unit for households with a member enrolled in MaineCare, HEAP, SNAP, or TANF. An additional $500 whole-home bonus is available for projects completed March through December 2026 where a heat pump serves as the primary heating system. The federal §25C 30% tax credit expired December 31, 2025 under the One Big Beautiful Bill Act, making state rebates the primary remaining incentive. Maine is partially deploying HEAR (currently active for single-wide mobile homes at $13,900 for a ducted heat pump, claims due by December 31, 2026, and new affordable multifamily); single-family HEAR is not offered and HER/HOMES remains under DOE review.

Maine rebate programs

2 utility-specific programs not shown here. Enter your ZIP in the calculator to filter to just your utility.

A worked example: mini-split system in Portland

Owen owns a 1,500 sq ft single-family home in Portland, currently heated by an aging oil furnace with no central AC. He's a Central Maine Power customer. He gets quotes for three single-zone ENERGY STAR cold-climate ductless mini-splits (one each in the living room, master bedroom, and second-floor open space) plus retention of the oil furnace as backup. Installed cost: $13,500 for the three-head system. Because Owen and his spouse file jointly with an AGI of about $95,000 — under the $100,000 joint-filer ceiling — he qualifies for the $2,000/unit moderate tier. Three single-zone outdoor units × $2,000 = $6,000 in Efficiency Maine rebate, which is the lifetime cap for the moderate tier. The system is sized to cover at least 80% of the home's peak heating load and the oil furnace is kept for emergency backup only, as the whole-home rules require. The federal §25C credit is gone. Combined stack: $6,000 against $13,500 installed. Net out-of-pocket: $7,500. Owen pays the contractor in full, then submits the Efficiency Maine claim form (with invoice and, for the moderate tier, income documentation) within six months of completion; Efficiency Maine mails a check in about six weeks.

Choosing a contractor in Maine

Maine doesn't have a single statewide HVAC contractor license — licensing is municipal or carried as part of plumbing/electrical credentials at the state level (Master Oil & Solid Fuel Burning Technician, etc.). Efficiency Maine's rebate is gated by the Efficiency Maine Registered Heat Pump Installer designation, not by HVAC license alone. The registered installer list is on efficiencymaine.com — a non-registered contractor cannot file the rebate even with qualifying equipment, and the homeowner files the claim form after installation and is paid by check, but a claim naming a non-registered vendor will be denied, so the contractor's Residential Registered Vendor status must be verified before signing. Ask 'are you a registered Efficiency Maine heat pump installer?' as the first question.

Common pitfalls for Maine homeowners

• Stacking dual-fuel or multi-zone units. Efficiency Maine's standard heat pump rebate covers single-zone ENERGY STAR mini-splits — multi-zone (one outdoor unit serving multiple indoor heads) and dual-fuel systems do NOT qualify under the standard rebate. A homeowner who wants a multi-zone system instead receives a smaller rebate (or none, depending on configuration). Confirm system type against Efficiency Maine's qualified products list before signing.
• Counting on 4+ indoor units. Efficiency Maine pays per single-zone outdoor unit and caps total heat pump rebates at a lifetime limit per housing unit: $3,000 standard, $6,000 moderate-income, $9,000 low-income. Past rebates on the same home count against that cap. A 3-head multi-zone system (one outdoor unit feeding three heads) is not rebatable at all, so for larger homes the math often favors three or more separate single-zone units, each rebated up to the lifetime cap, rather than one multi-zone system.

Estimate your net cost

How to claim each rebate

1. Get pre-approved (where required). Some utility programs require approval before install. Check program details before signing a contract.
2. Use a participating contractor. Many programs require a licensed installer from an approved contractor list — especially HEEHRA, which routes through CEC-approved contractors who process the rebate at point of sale.
3. Save documentation. AHRI certificate, model numbers, and itemized invoice are required for most utility rebates.
4. Submit utility rebate within 60–90 days of install. Some programs are first-come first-served and close mid-year — funding can run out before the calendar year does.

If you can't afford a replacement in Maine

Rebates lower the price, but they still assume you can pay the rest. If your heating system is unsafe or has failed and a new one is out of reach, these programs repair or replace equipment at low or no cost for income-qualified households. Heat Pump Pricing Index is an independent information site — we don't fund, discount, or install equipment — so these are the doors to knock on first:

• Weatherization Assistance Program (WAP). Free energy and health-and-safety repairs — an unsafe furnace is exactly the kind of problem it fixes — for households at or near 200% of the poverty line. Apply through your local community action agency: how to apply (energy.gov).
• LIHEAP. Heating-bill help plus, in most states, a crisis component for broken or dangerous heating equipment. Same local agency; Maine LIHEAP contacts.
• USDA Section 504 Home Repair. For homeowners outside cities: 1% loans up to $40,000, and grants up to $10,000 for homeowners 62 and older to remove health and safety hazards. Program page and state offices (rd.usda.gov).
• Your utility and 211. Most electric and gas utilities run an income-qualified assistance fund — call the number on your bill and ask. Dialing 211 reaches a local specialist who knows which agencies in Maine currently have funds.

Safety first: if a technician has told you a heat exchanger is cracked, stop using the furnace and make sure you have a working carbon monoxide detector before anything else.

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