Mississippi Heat Pump Rebates

What's available in Mississippi

Mississippi has no statewide heat pump rebate program. As of September 2026 the Mississippi Development Authority's Office of Energy describes a new utility-delivered Home Energy Rebates (HER) program built on the state's DOE allocation, but it has published no application portal, rebate amounts, income tiers or launch date, so income-qualified (under 150% AMI) households still cannot apply. Practical incentives come from utilities: Entergy Mississippi (central and western MS) offers the most generous stack with $500-$1,100 for split heat pumps by efficiency tier and $750 for heat pump water heaters via its Entergy Solutions program; Mississippi Power (southeast MS) pays $160-$200 per ton for heat pumps and $350 for heat pump water heaters under its Residential Energy Efficiency Program (REEP); TVA EnergyRight covers north Mississippi co-op territories with $500-$800 on qualifying air source heat pumps installed by Quality Contractor Network members; and some rural electric co-ops offer their own rebates or low-interest heat pump loans. Utility rebates are the primary 2026 incentive layer until the state HER program opens for applications.

HEEHRA in Mississippi

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. Mississippi is finalizing program rules.

How heat pump rebates work in Mississippi

Mississippi has no statewide heat pump rebate program, and as of early 2026 the state has not publicly launched its federal Home Electrification and Appliance Rebate (HEEHRA) program for low- and moderate-income households (under 150% AMI), though funds were allocated by the DOE. Practical incentives come from utilities: Entergy Mississippi (central and western MS) offers the most generous stack with up to $1,100 for heat pump HVAC and $750 for heat pump water heaters via its Entergy Solutions program. Mississippi Power (southeast MS) offers per-ton rebates for HVAC heat pumps at $200/ton (raised from $100/ton in December 2025) and $350 for HPWHs under its Residential Energy Efficiency Rebate Program. TVA EnergyRight covers north Mississippi co-op territories with rebates up to roughly $800 on qualifying air source heat pumps via Quality Contractor Network installers. Several rural electric co-ops (Singing River EPA, Tallahatchie Valley EPA) offer their own rebates or low-interest heat pump loans. Utility rebates are the primary 2026 incentive layer until state HEEHRA launches.

Mississippi rebate programs

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

A worked example: heat pump install in Jackson

Aaliyah owns a 1,750 sq ft home in Jackson served by Entergy Mississippi. Her 18-year-old central AC and electric furnace are both end-of-life. She gets quotes for a 3-ton ducted air-source heat pump (Trane XR16, 16 SEER2 / 8.5 HSPF2) installed at $11,400 by a participating Entergy Solutions trade ally. Because she's converting from electric resistance to a qualifying ENERGY STAR ASHP, she qualifies for the Entergy Mississippi rebate at $500 (Tier 1, 15.20-16.14 SEER2; the $1,100 top tier requires an 18.05+ SEER2 split heat pump). She also replaces her aging electric tank water heater with an ENERGY STAR HPWH at $2,200 installed, qualifying for the additional Entergy Mississippi HPWH rebate at $750. Combined Entergy stack: $500 + $750 = $1,250. Her household income is approximately 95% of Hinds County AMI — Mississippi HEEHRA hasn't launched, so the federal income-qualified rebate isn't available. The federal §25C credit is gone. Combined total: $1,850 against $13,600 total project cost. Net out-of-pocket: $11,750.

Choosing a contractor in Mississippi

Mississippi licenses HVAC contractors through the Mississippi State Board of Contractors for jobs above $50,000 (typically not residential HVAC) and through municipal building departments for smaller projects. Verify the contractor at the city level. Entergy Solutions Mississippi requires a participating trade ally for rebate filing; the trade ally list is on entergymississippi.com. Mississippi Power's Residential Energy Efficiency Rebate Program has its own approved contractor expectations — confirm at the quote stage. TVA EnergyRight in north Mississippi requires a Quality Contractor Network (QCN) member; the QCN roster is searchable at energyright.com.

Common pitfalls for Mississippi homeowners

• Skipping the Entergy Solutions trade ally requirement. Entergy Solutions Mississippi rebates require the work to be done by a participating trade ally enrolled with Entergy's program. A homeowner who hires a non-participating contractor cannot file the rebate, even with qualifying equipment. The trade ally list is searchable on entergymississippi.com — confirm enrollment before signing.
• Missing Mississippi Power's 90-day application window. Mississippi Power's HPWH rebate requires application within 90 days of purchase. Most other utility rebates allow 60-90 days; the 90-day window is the outer limit, not the standard. If your contractor is filing on your behalf, confirm submission within the first 30 days after install rather than waiting until day 89.

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 Mississippi

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; Mississippi 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 Mississippi 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.

FAQ