HEA customers, Alaska · Bill credit
Heat Pump Rebate Program (Homer Electric Association)
Run by Homer Electric Association
Homer Electric Association gives members a $500 bill credit for installing a qualified heat pump, and pays the licensed contractor who installs it another $500, for up to $1,000 in total. Funding is limited.
Amounts
How much you get
$500 on-bill credit to the member/homeowner, plus a separate $500 rebate check to the licensed contractor (plumbing, HVAC or general) who installs the qualified unit, for rebates of up to $1,000 per installation. Rebates are limited.
Eligibility
Do I qualify?
You need to meet all 3 of these.
Homer Electric Association member installing a qualified heat pump in a home (businesses are also eligible).
The $500 contractor rebate goes to a licensed contractor (plumbing, HVAC or general) who installs a qualified unit.
What to doHave a licensed plumbing, HVAC or general contractor install the heat pump. Get a quote from a contractor
Installations must meet local codes and may be inspected by HEA staff. Homes inside Kenai or Soldotna city limits may need building permits and inspections.
What to doCheck with local building officials about permits, and allow HEA to inspect the installation if asked.
Equipment
What equipment counts
Applying
How to apply
You apply online. Rebates are limited; HEA says to act now.
- Check that a heat pump suits your home.
HEA says heat pumps save most for homes heating with oil, propane or old electric heat; homes on natural gas may not see significant savings.
- Apply online through HEA's "Apply Now for HEA Heat Pump Rebate" form.
Rebates are limited. Contact HEA before buying to confirm whether approval is needed first (the application terms couldn't be read for this listing).
- Have a licensed contractor install a qualified heat pump to local code.
- Allow HEA inspection if requested.
- Receive the $500 credit on your HEA bill.
The installing contractor receives a separate $500 rebate check.
Forms and instructionsHomer Electric Association: Heat Pump Rebate Program
Questions about applying(907) 235-8551 or HeatPumps@HomerElectric.com
Stacking
Use it with
HEA points members to Alaska Heat Smart's ACES program for additional heat pump incentives, and members can finance eligible purchases with HEA's line of credit.
HEA customers, Alaska
Line of Credit Program (Homer Electric Association)
Up to $10,000 loan
Homer Electric Association lends qualified members $200 to $10,000 to buy electrical and plumbing appliances, including heat pumps, and pay for installation, repaid over 6 to 60 months or more by auto-draft.
Checked Oct 27, 2026
Your address
Next steps
Check that it covers your address. Then, if you want, ask for a contractor quote.
Is it available at your address?
Before anything else
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 Heat Pump Rebate Program (Homer Electric Association) pay?
$500.
Do I need to be a HEA customer?
Yes. It’s only for homes in HEA customers, Alaska. See Do I qualify for the details.
Do I have to use a contractor?
Yes. The $500 contractor rebate goes to a licensed contractor (plumbing, HVAC or general) who installs a qualified unit.
What’s the deadline?
No fixed deadline. Apply any time while it’s open.
Can I combine it with other rebates?
Yes, with Line of Credit Program (Homer Electric Association). See Use it with.
Is it still available?
Yes. It was open when we last checked, on October 27, 2026.
Can I finance the rest of the heat pump cost through HEA?
Yes. Members may use HEA's low-interest line of credit for eligible purchases in addition to the rebate.
Do I need a permit to install a heat pump?
Possibly. Members in Kenai or Soldotna city limits may need building permits and inspections for electrical and plumbing work; contact local building officials.
Will a heat pump save money if I heat with natural gas?
Maybe not. HEA says homes using natural gas for heat and hot water may not see significant cost savings.
Plain words
Words used on this page
References
Sources
This page is built from these official pages, run by the program itself.
When one of these pages changes, we re-check this page against it.
Nearby
More in Alaska
Parts of Alaska
ACES: Accelerating Clean Energy Savings
Up to $8,500 back
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.
Checked Oct 27, 2026
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