California Home Energy Rebates: Current HEEHRA Phase I Guide
HEEHRA Phase I rebates remain available through qualified California contractors, while HEEHRA Phase II and HOMES rebates are not yet available.
California’s federal home-energy rebate page is not a single, fully open statewide rebate pool. It is a group of programs at different stages of delivery. The California Energy Commission (CEC) is the state agency launching California’s Home Efficiency Rebates (HOMES), Home Electrification and Appliance Rebates (HEEHRA), and Training for Residential Energy Contractors (CA-TREC) programs under the federal Inflation Reduction Act.
The practical status for a household is more specific: HEEHRA Phase I is available for qualifying projects through a TECH-certified and HEEHRA-trained contractor, subject to income verification, equipment rules, an approved reservation, and available funds. HEEHRA Phase II is not yet available. HOMES rebates are also not yet available. Those distinctions matter because a general article or contractor advertisement may describe the federal programs together even though a homeowner cannot apply for every program today.
Key details at a glance
| Detail | Current information |
|---|---|
| State agency | California Energy Commission |
| Available customer rebate | HEEHRA Phase I, through qualified contractors |
| Single-family amount | Up to $8,000 for households below 80% of area median income; up to $4,000 for households between 80% and 150% of area median income |
| Multifamily amount | Up to $14,000 per unit for income-qualified multifamily properties |
| HEEHRA Phase II | Not yet available; the program is under development |
| HOMES rebates | Not yet available |
| Deadline | Ongoing availability, with limited funds and contractor-level reservation requirements |
| Main application route | Verify income through TECH Clean California, then work with a qualified contractor on the reservation |
| Official source | California Energy Commission’s Inflation Reduction Act Residential Energy Rebate Programs page |
The word “ongoing” here does not mean an unlimited entitlement or a promise that every contractor has funds. The CEC says Phase I continues to process and finalize applications for completed projects with approved reservations, and it warns that funds are limited. Availability can vary by region. A homeowner should confirm that a contractor can submit a reservation and that funds remain available before authorizing work.
What is available now: HEEHRA Phase I
HEEHRA Phase I helps income-qualified California households and multifamily properties replace qualifying equipment with efficient electric equipment. For a single-family home, the CEC describes the current rebate as covering a new, energy-efficient heat-pump HVAC system that replaces an existing, non-heat-pump source of space heating. The program is not a general cash payment for any home improvement, and it is not a reimbursement for work that was started without the required reservation.
The single-family ceiling depends on verified annual household income. A household below 80% of area median income may qualify for up to $8,000. A household between 80% and 150% of area median income may qualify for up to $4,000. These are maximum rebate amounts, not guaranteed payments. The household must still satisfy the equipment, property, contractor, reservation, and documentation rules.
The CEC also describes rebates of up to $14,000 per unit for income-qualified multifamily properties. Eligible multifamily equipment can include heat pumps for space heating and cooling, heat-pump water heaters, qualifying electric cooking equipment, heat-pump clothes dryers, and related electrical work such as panel upgrades and wiring. The exact project combination and amount must be confirmed through the program administrator and qualified contractor. The multifamily amount is per unit; it should not be presented as a universal $14,000 payment for every California resident.
The program page says HEEHRA rebates are available statewide for multifamily homes, while funds and reservation status still need to be checked. Single-family applicants should likewise avoid assuming that a statewide label means a reservation is guaranteed in their area. The contractor is the practical point of contact for the current reservation status and for questions about the project’s equipment eligibility.
HEEHRA Phase I eligibility
The CEC’s single-family eligibility description is narrower than “any homeowner who wants an electric upgrade.” The property must be a California single-family home, including the types of homes identified by the CEC such as manufactured or mobile homes and condominiums. The applicant may live in the home and be income-qualified, or may rent the home to an income-qualified household. The project must replace an existing non-heat-pump space-heating source with a qualifying heat pump.
Income is verified rather than self-declared. The applicable area median income percentage depends on household income and the program’s verification process. If the household is close to the 80% or 150% threshold, it is especially important to complete verification before signing a project agreement that assumes a particular rebate amount. The official process provides an income eligibility verification code or approval PDF for the contractor to use.
Multifamily projects have their own property and equipment requirements. A property owner, manager, or other authorized representative should ask the contractor how the program defines the eligible property, units, residents, and equipment package. Do not transfer a single-family income rule or amount to a multifamily project without confirmation.
All applicants should check the equipment requirements. The CEC says eligible equipment generally must have ENERGY STAR certification unless no ENERGY STAR certification exists for that product type. It also points applicants to the TECH HEEHRA materials and the Switch Is On product information. For residential and light-commercial air-conditioning and heat-pump systems, the CEC page identifies a refrigerant global-warming-potential limit of 700 or lower under the applicable current requirement. The contractor should verify the exact model before purchase.
The reservation rule is central
HEEHRA is not retroactive. The CEC says equipment, appliances, and related products purchased or installed before a HEEHRA rebate is reserved and approved are not eligible for the rebate. This is the most important timing rule on the page. A homeowner should not buy a heat pump, water heater, panel, range, or other planned item first and hope to attach the rebate later.
The sequence should be:
- Confirm that the planned property and project fit the HEEHRA Phase I pathway.
- Complete the income-verification step through TECH Clean California.
- Find a contractor who is both enrolled in TECH and trained in HEEHRA rebates.
- Have the contractor confirm the equipment, model, project scope, and available funds.
- Wait for the contractor to submit the reservation and for the reservation to be approved.
- Only then begin the approved project, following the contractor’s instructions for installation, invoice, and rebate payment.
The CEC says a qualifying contractor may provide the rebate as an upfront discount on the project invoice or as a check from the contractor after installation. That payment arrangement should be written clearly into the project paperwork. It is sensible to ask who receives the funds, when the customer receives the benefit, and what happens if the reservation amount changes.
How to find the right contractor
The CEC directs homeowners to TECH Clean California for HEEHRA information and to the Switch Is On Contractor Finder for contractors with the relevant training and certification. Look for the HEEHRA-trained designation rather than relying on a contractor’s general claim that they “work with rebates.” The CEC specifically warns homeowners not to allow contractors into the home who are not on the TECH-certified and HEEHRA-trained contractor list.
Before accepting a quote, ask the contractor to identify the exact HEEHRA pathway, confirm the income-verification step, and explain the reservation process. Request an itemized scope that separates equipment, labor, electrical work, permits, and any nonqualifying items. Ask for the model numbers and efficiency information that will be used to confirm eligibility. If the contractor cannot explain whether approval must come before purchase and installation, pause the project until the answer is clear.
Do not hand over financial documents to an intermediary who promises to submit a rebate on your behalf. The CEC says a trained contractor needs the income eligibility verification code or approval PDF, not unrestricted access to a homeowner’s financial information. Keep copies of verification results, the reservation confirmation, signed scope, invoices, proof of payment, equipment documentation, and installation records.
What is not available yet
HEEHRA Phase II is under development and is not yet available for applications. The CEC says its availability will be announced later. A homeowner should not treat a Phase II proposal, workshop, request for information, or future program description as an open rebate opportunity. Until the CEC announces the operating rules and application route, there is no Phase II reservation to request through this page.
HOMES rebates are also not yet available. HOMES is intended to support whole-home energy improvements, and the CEC describes planned components including an Equitable Building Decarbonization Direct Install program and a statewide Pay for Performance program. The page says the planned programs may use modeled or measured savings and may provide enhanced support for low-income households, but those design details are not permission to claim a HOMES rebate now. Do not advertise or budget a current HOMES payment as though it were open.
This distinction also changes the answer to common upgrade questions. A homeowner planning insulation, air sealing, or a whole-home efficiency package should not assume that HEEHRA Phase I will pay for it simply because the project could reduce energy use. HEEHRA Phase I is the currently available equipment rebate pathway described above. HOMES is the pathway associated with whole-home performance rebates, and the CEC says those rebates are not yet available.
Practical application checklist
Start with the official CEC page and the TECH HEEHRA materials linked from it. Confirm that the information you are reading applies to Phase I, not Phase II or HOMES. Then prepare a short project file containing the property address, household information needed for income verification, current heating equipment details, the proposed equipment models, and the contractor’s TECH and HEEHRA credentials.
Complete income verification before committing to the project. Save the verification code or approval PDF in a secure location and provide it only through the official contractor process. If the property is rented, coordinate with the owner early because the person approving the upgrade and the household used for income qualification may not be the same party.
Ask for written confirmation of the reservation status. An estimate, an email saying “you should qualify,” or an application started by itself is not the same as an approved reservation. The CEC says projects must have an approved reservation to be funded and that HEEHRA rebates are not retroactive.
After approval, keep a complete record of the work. Retain the signed contract, itemized invoice, model and efficiency information, permit records where applicable, proof of payment, installation date, and any confirmation from the contractor about the rebate. Check the finished equipment against the approved scope before the contractor closes the job. If the contractor changes the model or project size, ask whether a revised reservation is required.
Frequently asked questions
Can I apply for the full $14,000 as a homeowner?
No general $14,000 single-family payment is stated by the CEC. The current single-family maximum is up to $8,000 for a household below 80% of area median income and up to $4,000 for a household between 80% and 150% of area median income. The $14,000 figure is a maximum per unit for eligible multifamily properties.
Can I claim HOMES for insulation or air sealing now?
Not through the current CEC status described here. The CEC says HOMES rebates are not yet available. Wait for an official announcement of the operating program and application route before treating planned whole-home work as a HOMES-eligible project.
Can I apply for HEEHRA Phase II?
No. Phase II is under development and its availability will be announced later. The currently actionable pathway is HEEHRA Phase I, if the project and household qualify and a reservation is available.
Can I buy the equipment first and request the rebate afterward?
No. The CEC says HEEHRA is not retroactive and requires an approved reservation before the purchase or installation of equipment intended for the rebate.
Who answers questions about an existing reservation?
Start with the TECH-certified and HEEHRA-trained contractor handling the project. The CEC also lists TECH Clean California for program questions and provides the CEC contact email, [email protected], and phone number, 916-343-8471, for questions or concerns about the state program.
Bottom line
California’s home-energy rebate opportunity is currently a status-sensitive program, not a promise of a single statewide opening. HEEHRA Phase I can still help an income-qualified household or eligible multifamily property with a qualifying electric upgrade, but the work must go through the right contractor and an approved reservation. HEEHRA Phase II is not yet available, and HOMES rebates are not yet available.
Before spending money, verify income, find a TECH-certified and HEEHRA-trained contractor, confirm the equipment, check available funds, and wait for reservation approval. Use the California Energy Commission’s official Inflation Reduction Act Residential Energy Rebate Programs page for the current status and links to the program administrator:
