Heat pump rebates from PSE, Seattle City Light, Tacoma Power and Snohomish PUD

Heat pump rebates around Seattle and Tacoma depend on your utility, your current heat and sometimes your income. Most programs also require a participating contractor. The table lists each program's amount, who qualifies, the contractor rule and the source as of October 2026. It also gives the page date where one was shown.

Heat pump rebates by utility

Program	Amount	Who qualifies	Contractor rule	Source (as of)
PSE: electric resistance to air-source heat pump	$1,500; $2,400 Efficiency Boost	PSE single-family customer with electric resistance as primary heat	PSE REP or Trade Ally; no DIY	PSE flyer, rev. 03/26; PSE page (no date shown)
PSE: air-source heat pump upgrade	$1,500; $2,400 Efficiency Boost	Current PSE single-family residential electric customer; existing centrally ducted all-electric air-source heat pump outside manufacturer's warranty; ductless and dual-fuel not eligible; new system must meet cold-climate thresholds	PSE REP or Trade Ally	PSE flyer, rev. 03/26; PSE page
PSE: gas furnace to hybrid heat pump	$1,500; $2,400 Efficiency Boost	Current PSE single-family customer with an existing natural gas furnace	PSE Trade Ally or REP (hybrid page)	PSE flyer, rev. 03/26
PSE: gas heat to air-source heat pump	$4,000 (based on income)	PSE customer replacing gas heat who meets income limits	PSE REP or Trade Ally	PSE page (no date shown)
PSE: midstream discount	$300, $400 or $600 per unit	Air-source heat pumps under 5.4 tons; tier 1 retrofit only	Through participating distributors	PSE page (no date shown)
Seattle City Light: instant discount	$300, $400 or $600	City Light customers; air-source heat pumps under 5.4 tons	Participating distributors only; no DIY	City Light page (no date shown)
City of Seattle Clean Heat	$2,000 instant rebate; $4,000 bonus	Seattle homes switching from oil; bonus at 81%–150% of area median income	Participating contractor; rebate applied at invoice by the contractor	City of Seattle page (no date shown); City Light page
Tacoma Power	$650 to $2,000	Tacoma Power customers; not new construction or homes with a prior Tacoma Power heat pump incentive	Participating Contractor; no DIY	Tacoma Power page (modified Oct. 1, 2026)
Snohomish PUD	$1,800 or $2,500 (ducted)	Owners of single-family, manufactured, or small attached homes where electric heat is a primary heating source	PUD registered contractor	Snohomish PUD page (modified July 1, 2026)

Puget Sound Energy (PSE) heat pump rebates

PSE's rebate flyer (form 3905, rev. 03/26) lists each rebate at a single-family amount and a higher Efficiency Boost amount, which is PSE's income-qualified level. The flyer says you must be a current PSE single-family residential customer and can apply only for rebates on the PSE services you use. New single-family construction, multifamily buildings with 5 or more attached units, and commercial accounts are not eligible.

For the electric resistance conversion, your current primary heat must be electric resistance. PSE counts electric forced-air furnaces, baseboard heaters, wall heaters and radiant cable, ceiling or floor heat. PSE also says: "You must use a contractor who is a PSE Recommended Energy Professional (REP) or PSE Trade Ally to complete the installation. You may not use an out-of-network contractor or complete the work yourself."

The upgrade rebate requires a new system with a COP of at least 1.75 at 5°F and at least 70% of its rated 47°F capacity at 5°F. PSE's midstream discounts are $300 for tier 1 (15.2 SEER2, 8.1 HSPF2, retrofit only), $400 for tier 2 (15.2 SEER2, 8.5 HSPF2), and $600 for tier 3 (16 SEER2, 9.5 HSPF2).

Seattle City Light and the City of Seattle Clean Heat program

Seattle City Light lists instant contractor discounts on qualifying air-source heat pumps under 5.4 tons:

• $300 for SEER2 15.2 and HSPF2 8.1 or higher
• $400 for SEER2 15.2 and HSPF2 8.5 or higher
• $600 for SEER2 16.0 and HSPF2 9.5 or higher

City Light says these discounts are available only through participating distributors and that do-it-yourself installations are not eligible. It also says income-eligible Seattle households can get a no-cost conversion from an oil furnace to an electric heat pump through the Seattle Office of Housing Clean Heat program.

The City of Seattle's Office of Sustainability and Environment runs a separate Clean Heat program. The City says it is "offering a $2,000 instant rebate when you switch from heating your home with oil to heating with an energy-efficient Mitsubishi Electric Heat Pump." City Light's page describes the same rebate as for "a qualified heat pump system," so confirm the equipment rule with the City. The City also offers a $4,000 bonus rebate on top of the $2,000 for households earning 81% to 150% of area median income. Bonus rebates are available for installations completed by May 30, 2027. The City says that combining the two could save up to $6,000.

Tacoma Power heat pump rebates and 0% loans

Tacoma Power's page, last modified October 1, 2026, sets the rebate by your current heat. If you have zonal or electric forced-air heat, it pays $1,000 for a ductless heat pump (up to 4 units) or $650 (5 or more units), $1,000 for an air-source heat pump, and $2,000 for a variable-speed heat pump when it replaces an electric forced-air furnace. With existing non-electric heat, a variable-speed heat pump earns $1,000. With an existing heat pump, a variable-speed heat pump earns $1000, as the page prints it. No rebate is available if you already have a ductless heat pump.

You must use a Tacoma Power Participating Contractor. The heat pump must be AHRI-certified with a minimum HSPF of 9.0 or HSPF2 of 7.5, and a SEER of 15 or SEER2 of 14.3. New construction, DIY installations and properties that already received a Tacoma Power heat pump incentive are not eligible. Tacoma Power also says you might be eligible for a 7-year, 0% interest loan, with loans of up to $20,000 for ductless, air-source and variable-speed heat pumps replacing zonal or electric forced-air heat.

Snohomish PUD heat pump rebates

Snohomish PUD's heating rebates page, last modified July 1, 2026, lists $1,800 for a ducted conversion (minimum 7.5 HSPF2 and 13.8 SEER2) and $2,500 for a ducted inverter-driven heat pump (minimum 8.5 HSPF2 and 13.8 SEER2). Electric heat must be a primary heating source. To qualify, you must own a single-family or manufactured home, or a townhouse or condo in a building with up to four attached dwellings. All work must be done by a PUD registered contractor, who includes the rebates in your initial bill and then submits the application.

Washington HEAR and federal home energy rebates

Washington's state Home Electrification and Appliance Rebates (HEAR) program serves low- and moderate-income households, including renters, with income at or below 150% of area median income for their county. That is according to the Department of Commerce's HEAR page, last updated September 8, 2026. In Seattle, HEAR funds the City's $4,000 Clean Heat bonus. Commerce lists the awards below. The page lists awardees, not the addresses each one serves, so check with Commerce or your local awardee to find out who serves your home.

Commerce also has a page on the federal Inflation Reduction Act home energy rebates, last updated June 15, 2026. As of that update, the federal rebates had not yet launched in Washington. The page warns: "We can’t issue rebates for any purchases or work done before you’re approved for a rebate."

Confirm rebates with your utility before you buy

PSE's flyer says its programs are "subject to change or termination without prior notice," and none of the pages we checked listed an end date for the PSE or Tacoma Power rebates. Before you sign a contract, check your utility's current page, such as PSE's heating rebates page. Make sure your contractor participates in the program and that the equipment meets its efficiency rules.