Peoples Gas customers, Illinois · Rebate
Peoples Gas Home Energy Rebate Program (HVAC and water heating)
Run by Peoples Gas Energy Efficiency Program (Home Energy Rebate Program)
Peoples Gas pays $20 to $700 for high-efficiency furnaces, boilers, combination boilers, gas heat pumps, tankless or indirect water heaters, thermostats and pipe insulation in existing homes.
Amounts
How much you get
A fixed amount per item, added up on one application; rebates can't exceed the project cost. The amount depends on which of these fits your install.
| What you install | You get |
|---|---|
| Furnace 97% AFUE or higher | $225 |
| Furnace 95% AFUE or higher | $200 |
| 95% AFUE or higherBoiler + integrated domestic hot water two-in-one unit | $500 |
| 90% AFUE or higherBoiler + integrated domestic hot water two-in-one unit | $400 |
| Hot water boiler 95% AFUE or higher | $350 |
| Hot water boiler 90% AFUE or higher | $300 |
| Steam boiler 82.5% AFUE or higher | $150 |
| Integrated space heating + domestic hot water gas heat pump | $700 |
| Space heating gas heat pump | $575 |
| Tankless water heater UEF 0.95 or higher | $150 |
| Indirect water heater (with 88% AFUE boiler) | $150 |
| Smart thermostat | $25 |
| Programmable thermostat (replacing a manual one) | $20 |
| Per linear foot (up to 300 ft)Space heating or domestic hot water pipe insulation | $1 |
Eligibility
Do I qualify?
You need to meet all 4 of these.
Peoples Gas customer with an active Service Classification 1 (residential) account; the classification is printed at the top of the gas bill. Peoples Gas serves the city of Chicago.
Single-family home, two-flat, or individually metered condo or townhome. Buildings on Service Classification 2 go through the multifamily program.
The page addresses owners; tenants with the gas account can apply and assign payment to the building owner who paid for the project.
New equipment, fully installed in an existing building (not new construction), replacing operational equipment that is removed or disconnected.
Equipment
What equipment counts
The program sets these minimums for furnaces, ac and thermostats, water heaters, heat pumps and insulation and air sealing.
- Furnaces
95% AFUE or greater ($200) or 97% AFUE or greater ($225), 225 MBh or less, sealed combustion.
- Boilers
300 MBh or less; hot water 90% or 95% AFUE, steam 82.5% AFUE; active outdoor-air reset control unless supply temperatures needn't exceed 140°F.
- Water heaters
Tankless power vented UEF 0.95 or greater, or indirect paired with a condensing modulating boiler of 88% AFUE or greater; must replace a standard atmospherically vented storage tank.
- Heat pumps
Gas heat pump, 225,000 Btu/hr or less.
- Thermostats
ENERGY STAR certified.
- Insulation
Pipe insulation R-3 or greater on bare pipe uninsulated for at least 12 months, in unconditioned space, up to 300 feet.
Applying
How to apply
Within 30 days of installation or by December 31, 2026, whichever comes first.
- Check your Service Classification.
It must be Service Classification 1, shown at the top of your gas bill.
- Buy and install qualifying equipment.
Install between January 1 and December 31, 2026, with a contractor or yourself. Keep the old equipment working until you apply, then remove it.
- Gather documents.
Your latest gas bill, an itemized invoice (contractor, dates, make, model, quantity, price) and, for furnaces, boilers and water heaters, the AHRI certificate.
- Apply within 30 days.
Apply online or email the signed application to HomeRebates@FranklinEnergy.com within 30 days of installation or by December 31, 2026, whichever comes first.
- Receive your check.
Usually within 6 to 8 weeks. You can assign payment to your contractor or building owner on the application.
Most recent natural gas bill
Itemized receipt or invoice
AHRI certificate (furnaces, boilers, water heaters)
Forms and instructions, including for applying by mailHome energy rebates - Peoples Gas · Home Energy Rebate Program HVAC and Water Heating Application 2026 - Peoples Gas and North Shore Gas
Questions about applying855-849-8928 or HomeRebates@FranklinEnergy.com
Stacking
Use it with
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 Peoples Gas Home Energy Rebate Program (HVAC and water heating) pay?
$1 to $700, depending on what you install. The table under How much you get lists each amount.
Do I need to be a Peoples Gas customer?
Yes. It’s only for homes in Peoples Gas customers, Illinois. See Do I qualify for the details.
Do renters qualify?
The page addresses owners; tenants with the gas account can apply and assign payment to the building owner who paid for the project.
What’s the deadline?
Apply after it’s installed: within 1 months of purchase or by Dec 31, 2026, whichever comes first.
Is it still available?
Yes. It was open when we last checked, on October 27, 2026.
Plain words
Words used on this page
- UEF
- A water heater’s efficiency rating. Higher is better.
- Individually metered
- Your home has its own utility meter, not one shared with other homes in the building.
References
Sources
This page is built from these official pages, run by the program itself.
- Home energy rebates - Peoples Gas
- Home Energy Rebate Program HVAC and Water Heating Application 2026 - Peoples Gas and North Shore Gas
When one of these pages changes, we re-check this page against it.
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