Parts of Alaska · Rebate
ACES: Accelerating Clean Energy Savings
Run by Alaska Heat Smart, in partnership with Southeast Conference and Alaska Municipal League
Heat pump rebates of $4,000 to $8,500, set by household income, for homeowners and renters in 43+ coastal Alaska communities from Metlakatla to Kodiak whose main heat is oil, propane, gas or wood. There's no income cap on the $4,000 level. You must be approved before buying anything.
Amounts
How much you get
Three rebate levels by household income relative to your community's area median income (AMI): $8,500 at or below 80% AMI, $6,000 between 81% and 150% AMI, and $4,000 with no income cap. The amount depends on which of these fits your install.
| What you install | You get |
|---|---|
| Household income at or below 80% of area median income | $8,500 |
| Household income 81% to 150% of area median income | $6,000 |
| Any income (no income cap) | $4,000 |
Eligibility
Do I qualify?
You need to meet all 8 of these.
Your home is in Parts of Alaska.
The home must be in an ACES community: Southern Southeast (Ketchikan, Metlakatla, Petersburg, Saxman, Wrangell), Prince of Wales and Hyder (Coffman Cove, Craig, Edna Bay, Hollis, Hydaburg, Hyder, Kake, Kasaan, Klawock, Naukati, Point Baker, Port Protection, Thorne Bay, Whale Pass), Northern Southeast (Angoon, Gustavus, Haines, Hoonah, Juneau, Klukwan, Pelican, Sitka, Skagway, Tenakee Springs, Yakutat), Southcentral (Chenega, Cordova, Tatitlek, Valdez, Whittier), the Kenai Peninsula (Seward and all communities on the Homer electric grid) and Kodiak Island (Akhiok, Kodiak, Larsen Bay, Old Harbor, Ouzinkie, Port Lions).
The address must be your primary home, and the resident must apply. Owners can't apply for a property they don't live in, or for all units in a multifamily building.
The home's primary heating system must currently use oil, propane, gas or wood. Homes that already have a working heat pump in a main living space (such as the kitchen or living room) aren't eligible.
Homeowners and renters can apply. Renters need a signed tenant-property owner agreement before starting, and the tenant receives the rebate.
What to doIf you rent, have your landlord sign the ACES property owner permission form before any work starts.
Single-family homes, duplexes, condos, apartments, multifamily buildings and trailer homes are covered.
You must apply, complete income verification, have an Alaska Heat Smart home energy assessment, and get final approval before buying equipment or starting work. No retroactive rebates.
What to doApply to ACES and wait for final program approval before buying or installing a heat pump.
DIY heat pump installations and electrical work are not eligible; a certified installer and electrician must do the work. You can choose any qualified contractor.
What to doHire a certified heat pump installer and electrician (Alaska Heat Smart's Qualified Contractor List can help).
Equipment
What equipment counts
The program sets these minimums for heat pumps.
- Heat pumps
Ductless split systems HSPF2 ≥ 8.5.
- Heat pumps
Ducted split systems HSPF2 ≥ 8.1.
- Heat pumps
COP at 5°F ≥ 1.75 (ductless and ducted).
- Heat pumps
Heating capacity at 5°F at least 70% of capacity at 47°F; aligned with ENERGY STAR cold climate requirements.
- Heat pumps
A whole-house or heat pump surge protector and a drain pan heater must be installed, and the heat pump registered under the manufacturer's parts warranty.
Applying
How to apply
You apply online. Applications are accepted on a rolling basis. After final approval you have one year to install; extensions can be requested before the deadline. Get approved before you buy anything.
- Apply to ACES.
The online application takes about 5-10 minutes and asks about your heating system and household income. Printable applications are also on the ACES page.
- Income verification (about 1 month).
Alaska Heat Smart staff help you verify income (from your most recent filed tax return) and tell you your rebate level. Renters get property owner approval at this step.
- Home energy assessment (about 1 month).
Virtual or in person. Have three years of fuel purchase records and electric bills ready. You then get official acceptance and have one year to install.
- Install the heat pump (1-4 months).
At $4,000 or $6,000, hire your own installer and electrician and pay them. At $8,500, you can instead let a program-managed contractor do the work and be paid directly up to $8,500.
- Submit the reimbursement packet.
Signed installation checklist, photos, paid invoices for the heat pump and electrical work, and a W-9, sent to aces@akheatsmart.org.
- Receive the rebate check.
About 30 days for processing, then about 30 days for the check.
Most recent filed tax return
Photo ID (front and back)
Three years of fuel purchase records and electric utility statements
Property owner permission form (renters)
Reimbursement packet (installation checklist, photos, paid invoices, W-9)
Forms and instructionsHigh Heat Pump Price Tag? AHS Assistance is Here! (Alaska Heat Smart, February 3, 2026)
Questions about applyingaces@akheatsmart.org
Stacking
Use it with
ACES can be combined with the Alaska Carbon Reduction Fund for lower-income homeowners, and Alaska Heat Smart's heat pump loans can cover costs above the rebate. Alaska Heat Smart says utility rebates may be available too.
Parts of Alaska
Alaska Carbon Reduction Fund Heat Pump Program
Amount varies
No-cost heat pump installations for lower-income homeowners in coastal Alaska communities from Metlakatla to Kodiak whose homes are heated by oil, propane, natural gas or wood. Household income must be at or below 80% of the area median; first come, first served.
Checked Oct 27, 2026
Parts of Alaska
Heat Pump Loan Program
Up to $20,000
Low-interest personal loans for heat pump installation in coastal Alaska, arranged by Alaska Heat Smart. True North FCU lends up to $20,000 for up to 60 months across the ACES region; Tongass FCU lends up to $15,000 in Sitka. An Alaska Heat Smart home energy assessment is required.
Checked Oct 27, 2026
Your address
Next steps
Check that it covers your address. This program has to approve you before you buy anything, so start with the program, not a contractor quote.
Is it available at your address?
Before anything else
Apply to ACES and wait for final program approval before buying or installing a heat pump.
Your quote request is in If a contractor we work with serves your ZIP, they can contact you. We take one request per person; contact us to change it.
Get an email if this program changes
We'll write if its amount, status or deadline changes. Nothing else.
FAQ
Questions
How much does ACES: Accelerating Clean Energy Savings pay?
$4,000 to $8,500, depending on what you install. The table under How much you get lists each amount.
Do renters qualify?
The address must be your primary home, and the resident must apply. Owners can't apply for a property they don't live in, or for all units in a multifamily building. Homeowners and renters can apply. Renters need a signed tenant-property owner agreement before starting, and the tenant receives the rebate. If you rent, have your landlord sign the ACES property owner permission form before any work starts.
Do I have to use a contractor?
Yes. DIY heat pump installations and electrical work are not eligible; a certified installer and electrician must do the work.
Do I need approval before I buy?
Yes. Apply before you buy or install anything; purchases made first don’t qualify. You must apply, complete income verification, have an Alaska Heat Smart home energy assessment, and get final approval before buying equipment or starting work. No retroactive rebates. Apply to ACES and wait for final program approval before buying or installing a heat pump.
What’s the deadline?
No fixed deadline. Apply any time while it’s open.
Can I combine it with other rebates?
Yes, with Alaska Carbon Reduction Fund Heat Pump Program and Heat Pump Loan Program. See Use it with.
Is it still available?
Yes. It was open when we last checked, on October 27, 2026.
Can I install the heat pump myself?
No. DIY heat pump installations and electrical work aren't eligible; use a certified installer and electrician.
Do I have to use a contractor from Alaska Heat Smart's list?
No. The Qualified Contractor List is a resource, not a requirement, except when an $8,500 recipient chooses a Southeast Conference-managed contractor who is paid directly.
Which heat pumps qualify?
Cold climate models only, such as Daikin Aurora or Atmosphera, Mitsubishi Hyper Heating M or P series, or Fujitsu LZAH or RLX series. Air-to-water or ground source systems need review by email first.
My community has no heat pump installers. Can I still take part?
Yes, apply anyway. Alaska Heat Smart works on workforce training and group campaigns that bring contractors to a community, but some communities may not be a good fit.
Plain words
Words used on this page
- HSPF2
- A heat pump’s heating efficiency rating. Higher is better.
- No retroactive incentives
- Anything you bought before signing up doesn’t qualify.
- AMI
- Area median income: the middle household income where you live, set each year by HUD.
References
Sources
This page is built from these official pages, run by the program itself.
- ACES: Accelerating Clean Energy Savings (Alaska Heat Smart)
- High Heat Pump Price Tag? AHS Assistance is Here! (Alaska Heat Smart, February 3, 2026)
When one of these pages changes, we re-check this page against it.
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Checked Oct 27, 2026
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