Rhode Island Heat Pump Rebates
Stackable incentives available to Rhode Island homeowners installing a qualifying heat pump in 2026.
What's available in Rhode Island
Rhode Island has one of the most generous and well-coordinated heat pump incentive landscapes in the country, but as of the July 21, 2025 relaunch the state-funded Clean Heat RI program is now income-targeted: only households below 150% of State Median Income qualify, with rebates covering 60% of eligible project cost up to $11,500 (lifetime per-property cap $18,000 across space heating, HPWH, and future installs). The standard-income tier that existed under the original ARPA-funded program (2022–2025) has been retired; funding has transitioned from ARPA to Regional Greenhouse Gas Initiative (RGGI) revenues. Rhode Island Energy (formerly National Grid Rhode Island), the dominant electric and gas utility, layers per-ton ASHP rebates of $150–$1,000 per ton of equipment capacity (depending on the existing heating type), plus a $600 heat pump water heater rebate. Rhode Island was the first New England state to launch the federal IRA-funded HEAR low-income pathway on September 17, 2024, providing up to $8,000 to households at or below 80% AMI; the moderate-income (80–150% AMI) HEAR pathway is still under development. Income-eligible Clean Heat RI, RI Energy, and HEAR rebates all fully stack. Smaller utilities Clear River Electric & Water District ($350–$700 ASHP, up to $450 HPWH) and Block Island Utility District ($250/ton ASHP, up to $300 HPWH) cover their respective service territories.
HEEHRA in Rhode Island
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. Rhode Island is finalizing program rules.
How heat pump rebates work in Rhode Island
Rhode Island has one of the most generous and well-coordinated heat pump incentive landscapes in the country, but as of the July 21, 2025 relaunch the state-funded Clean Heat RI program is now income-targeted: only households below 150% of State Median Income qualify, with rebates covering 60% of eligible project cost up to $11,500 (lifetime per-property cap $18,000 across space heating, HPWH, and future installs). The standard-income tier that existed under the original ARPA-funded program (2022-2025) has been retired; funding has transitioned from ARPA to Regional Greenhouse Gas Initiative (RGGI) revenues. Rhode Island Energy (formerly National Grid Rhode Island), the dominant electric and gas utility, layers per-ton ASHP rebates of $150-$1,000 per ton of equipment capacity (depending on the existing heating type), plus a $2,500 Clean Heat RI HPWH rebate stackable with RI Energy's $600 HPWH rebate. RI was the first New England state to launch the federal IRA-funded HEAR low-income pathway on September 17, 2024, providing up to $8,000 to households at or below 80% AMI. Income-eligible Clean Heat RI, RI Energy, and HEAR rebates all fully stack.
Rhode Island rebate programs
Clean Heat RI Whole-Home Heat Pump (Standard Income)
$11,500CLOSED: standard-income tier was discontinued when Clean Heat RI relaunched on July 21, 2025 as the income-targeted 'Low to Moderate Clean Heat Program' funded by RGGI (after the ARPA $25M was fully allocated across 4,114 projects). Per cleanheatri.com homeowner eligibility table, all current Clean Heat RI participants must have household income below 150% of State Median Income; there is no longer a separate standard-income tier.
Clean Heat RI Whole-Home Heat Pump (Income-Eligible)
$11,500Covers 60% of eligible heat pump project cost up to $11,500 per address for RI households below 150% of State Median Income (the program is income-gated as a single tier post-2025-07-21 relaunch; standard-income households are no longer eligible). Lifetime per-property cap is $18,000 across space heating + heat pump water heater + future installs combined. Pre-installation weatherization is required (home built on/after Jan 1, 2000, OR all weatherization recs completed, OR Home Energy Assessment shows <$1,000 in recommended work). Funding source transitioned from ARPA to Regional Greenhouse Gas Initiative (RGGI) revenues in 2026.
Rhode Island Energy Air-Source Heat Pump Rebate
$3,000Per-ton utility rebate paid by Rhode Island Energy: $150–$1,000 per ton of equipment capacity, depending on existing heating type (lower tier for fossil-fuel replacement, upper tier for electric-resistance replacement). Amount shown reflects upper-tier max for a 3-ton install (3 × $1,000 = $3,000); stacks with Clean Heat RI.
Clean Heat RI Heat Pump Water Heater
$2,500Flat $2,500 statewide rebate toward a qualifying heat pump water heater installation. Stackable with the Rhode Island Energy $600 HPWH rebate for combined savings of up to $3,100.
RI HEAR (income-qualified)
$8,000Federally-funded HEAR pathway administered by the Rhode Island Office of Energy Resources providing up to $8,000 for heat pump installations for households at or below 80% AMI. RI launched HEAR in September 2024; stacks with Clean Heat RI and RI Energy rebates.
3 utility-specific programs not shown here. Enter your ZIP in the calculator to filter to just your utility.
A worked example: oil-to-heat-pump conversion in Providence
Khalil owns a 1,650 sq ft home in Providence served by Rhode Island Energy, currently heated by a 24-year-old oil-fired boiler. He gets quotes for a 3-ton ducted air-source heat pump installed with new ductwork (since the existing home is hydronic), full displacement of oil, and NEEP cold-climate certified equipment. Installed cost including ductwork: $25,800. Because the install replaces electric-resistance-equivalent heating with a heat pump, he qualifies for Rhode Island Energy's per-ton ASHP rebate at the higher tier — $1,000/ton × 3 tons = $3,000. His household income is approximately 78% of RI State Median Income — below the 150% threshold for Clean Heat RI's relaunch tier AND below the 80% threshold for HEAR. Clean Heat RI covers 60% of eligible project cost up to $11,500 — 60% of $25,800 = $15,480, capped at $11,500. HEAR adds up to $8,000 (the maximum for a heat pump install at ≤80% AMI). Combined stack: $3,000 RI Energy + $11,500 Clean Heat RI + $8,000 HEAR = $22,500 against $25,800 installed. Net out-of-pocket: $3,300. Pre-installation weatherization is required for Clean Heat RI (home built on/after January 1, 2000, OR all weatherization recs completed, OR Home Energy Assessment showing <$1,000 in recommended work) — Khalil's 1958 home requires the Home Energy Assessment first.
Choosing a contractor in Rhode Island
Rhode Island licenses HVAC contractors through the Department of Business Regulation (RI Contractors Registration and Licensing Board). Verify at dbr.ri.gov before signing. Clean Heat RI requires a participating contractor; the participating contractor lookup is at cleanheatri.com. The pre-installation weatherization requirement is verified through the Home Energy Assessment — the Assessment-conducting auditor must be BPI-certified. Rhode Island Energy's per-ton ASHP rebate processes through a separate utility application alongside the Clean Heat RI rebate. Confirm with the contractor that both applications will be filed at install.
Common pitfalls for Rhode Island homeowners
- Skipping the pre-installation weatherization for Clean Heat RI. Clean Heat RI requires pre-installation weatherization, met by one of three paths: home built on/after January 1, 2000, OR all weatherization recommendations completed, OR Home Energy Assessment showing less than $1,000 in recommended work. A homeowner who installs a heat pump in a 1958 home without addressing the weatherization requirement will have the rebate denied. Schedule the Home Energy Assessment early in the project timeline.
- Counting on the closed standard-income Clean Heat RI tier. The standard-income Clean Heat RI tier (open to households above 150% SMI) was retired when the program relaunched on July 21, 2025. Several aggregator sites still cite the $11,500 figure as available to all incomes. As of 2026, only households below 150% SMI qualify. Above 150% SMI, your RI incentive stack is limited to RI Energy's per-ton rebate plus the federal §25D credit (geothermal only).
Estimate your net cost
Used to determine HEEHRA eligibility (under 80% area median income).
- Rhode Island Energy Air-Source Heat Pump Rebate−$3,000
- Clean Heat RI Heat Pump Water Heater−$2,500
Estimate only. Includes only programs accepting applications today — waitlisted or closed programs are excluded. Mutually exclusive programs (e.g. HEEHRA vs HOMES) and project-cost caps are applied per current program rules; confirm with your installer and utility before signing.
How to claim each rebate
- Get pre-approved (where required). Some utility programs require approval before install. Check program details before signing a contract.
- 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.
- Save documentation. AHRI certificate, model numbers, and itemized invoice are required for most utility rebates.
- 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.