Central Alabama Electric Cooperative customers, Alabama · Rebate
Heat Pump Rebates (Central Alabama Electric Cooperative)
Run by Central Alabama Electric Cooperative
Central Alabama Electric Cooperative pays $350 per ton for dual fuel and 15 SEER or better mini-split heat pumps, $400 per ton to replace an electric furnace with a heat pump in an existing manufactured home, and $400 to $700 for a heat pump in a new manufactured home.
Amounts
How much you get
Standard homes: dual fuel $350 per ton; mini-split $350 per ton at 15 SEER or greater. The amount depends on which of these fits your install.
| What you install | You get |
|---|---|
| Dual fuel heat pump (standard or manufactured home): $350 per ton | $350 |
| 15 SEER or greater: $350 per tonMini-split | $350 |
| 14 SEER (manufactured homes): $250 per tonMini-split | $250 |
| Electric furnace to heat pump: $400 per tonExisting manufactured home | $400 |
| 2 to 2.5 tons: $400New manufactured home | $400 |
| 3 to 4 tons: $600New manufactured home | $600 |
| 5 tons: $700New manufactured home | $700 |
Eligibility
Do I qualify?
You need to meet all 4 of these.
Central Alabama Electric Cooperative member.
Standard (site-built) homes: dual fuel or mini-split heat pumps only, mini-splits at least 15 SEER. Manufactured homes: also a heat pump replacing an electric furnace.
The installer must have a business license for installing HVAC systems.
What to doHire an installer with a business license for installing HVAC systems. Get a quote from a contractor
A load calculation must be done and a copy turned in to CAEC; manufactured homes need a CAEC skirting inspection.
What to doHave your installer do a load calculation and turn in a copy to CAEC; manufactured homes also need a CAEC skirting inspection.
Equipment
What equipment counts
The program sets these minimums for heat pumps.
- Heat pumps
Mini-splits in standard homes must be 15 SEER or greater; manufactured home mini-splits start at 14 SEER.
Applying
How to apply
You apply by phone.
- Call CAEC at 1-800-545-5735 ext. 2118 about the rebate.
- Have a licensed HVAC installer do a load calculation and install the heat pump.
- Manufactured homes: have CAEC inspect the skirting.
- Turn in the load calculation and the invoice to CAEC.
- Receive the rebate.
The page doesn't say how or when rebates are paid.
Load calculation for the home
Proof of purchase (invoice)
Stacking
Use it with
You can get these too.
Central Alabama Electric Cooperative customers, Alabama
Energy Efficiency Loan Program (Central Alabama Electric Cooperative and MAX Credit Union)
$20,000
Central Alabama Electric Cooperative members who own their home and complete an energy audit can borrow $2,000 to $20,000 from MAX Credit Union for heat pumps, insulation, air sealing and other upgrades, with terms up to 10 years.
Checked Oct 26, 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 Rebates (Central Alabama Electric Cooperative) pay?
$250 to $700, depending on what you install. The table under How much you get lists each amount.
Do I need to be a Central Alabama Electric Cooperative customer?
Yes. It’s only for homes in Central Alabama Electric Cooperative customers, Alabama. See Do I qualify for the details.
Do I have to use a contractor?
Yes. The installer must have a business license for installing HVAC systems.
Do I need approval before I buy?
A load calculation must be done and a copy turned in to CAEC; manufactured homes need a CAEC skirting inspection. Have your installer do a load calculation and turn in a copy to CAEC; manufactured homes also need a CAEC skirting inspection.
Can I combine it with other rebates?
Yes, with Energy Efficiency Loan Program (Central Alabama Electric Cooperative and MAX Credit Union). See Use it with.
Is it still available?
Yes. It was open when we last checked, on October 26, 2026.
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.
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Checked Oct 27, 2026